LAFOX, Ill., Oct. 01, 2025 (GLOBE NEWSWIRE) -- Richardson Electronics, Ltd. (NASDAQ: RELL) plans to release its financial results for its first quarter ended August 30, 2025 after the close of business on Wednesday, October 8, 2025. The release will be distributed by GlobeNewswire and will be available on the Company’s website at www.rell.com. On Thursday, October 9, 2025, at 9:00 a.m. Central Time, Edward J. Richardson, Chairman and Chief Executive Officer, and Robert J. Ben, Chief Financial Officer, will ...

Richardson Electronics Conference Summary Company Overview - **Company Name**: Richardson Electronics (Ticker: RELL) - **Headquarters**: Lafox, Illinois, USA - **Employees**: Approximately 430 globally, primarily in sales and engineering roles - **Global Presence**: Over 60 locations and 24 legal entities worldwide, serving more than 20,000 OEM and end-user customers [2][3] Business Units - **Current Business Units**: 1. **Power & Microwave Technologies (PMT)**: Largest and oldest unit, includes Electron Device Group (EDG) focusing on power grid and microwave tubes, and semiconductor wafer fab equipment. 2. **Green Energy Solutions**: Focuses on alternative energy sources like wind and solar, with significant revenue from wind and electric locomotives. 3. **Canvas**: Custom display solutions primarily for medical OEMs [5][6][7][8] Financial Performance - **Debt Status**: The company is debt-free with $35.9 million in cash and cash equivalents [19] - **Growth Metrics**: Achieved a 6.3% year-over-year growth in FY2025, with positive operating cash flow for the past five quarters [18][19] - **Capital Expenditures**: Approximately $3 million last year, expected to increase in FY2026 [19] Market Opportunities - **Wind Energy Market**: Estimated total addressable market (TAM) of $450 million, with growth driven by repowering existing turbines and tax credits [14][15] - **Energy Storage Solutions**: Developing a large energy storage system (BESS) for various applications, including solar and grid energy storage [11][16][34] - **Green Energy Growth**: Anticipated year-over-year growth of 10% to 15%, primarily from green energy initiatives [36] Competitive Landscape - **Market Position**: Significant market share in power grid tube space, with limited competition in engineered solutions due to patented technologies [27][30] - **Niche Focus**: Targeting smaller markets in energy storage and custom displays, leveraging engineering capabilities for competitive advantage [28][30] Strategic Initiatives - **Global Expansion**: Investing in engineering and sales personnel in Europe and other regions to capture market share [15][19] - **Acquisition Strategy**: Open to acquisitions in the power management space that are accretive and enhance technological capabilities [39] Key Challenges - **Tariff Impacts**: Less than 5% of products sourced from China, allowing the company to manage tariff impacts effectively [20] - **Sales Cycle**: Longer sales cycles in the Green Energy Solutions segment, but lower interest rates may stimulate customer spending [31] Conclusion - **Outlook**: The company is well-positioned for growth in the green energy sector, with a strong balance sheet and a focus on innovative solutions in energy storage and power management [39][40]

The Company will leverage its state-of-the-art facility and engineering expertise to support global customers with U.S.-based manufacturing initiatives.LAFOX, Ill., Sept. 16, 2025 (GLOBE NEWSWIRE) -- Richardson Electronics, Ltd. (NASDAQ: RELL), a global provider of engineered solutions for the green energy, power management, and custom display markets, today announced the appointment of Daniel Albers to spearhead business development for its expanded, Made-in-USA contract manufacturing efforts. In this newl ...

Group 1 - Richardson Electronics, Ltd. will present and host one-on-one meetings at the Sidoti & Company Small-Cap Virtual Conference on September 17-18, 2025 [1] - Edward J. Richardson, Chairman and CEO, and Wendy Diddell, COO, will give a formal presentation on September 17 at 2:30 P.M. ET [1] - Registration for the conference is free and open to all participants [2] Group 2 - Richardson Electronics is a global manufacturer of engineered solutions, focusing on green energy products, power management, and custom display solutions [2] - Over 55% of the company's products are manufactured in LaFox, Illinois, Marlborough, Massachusetts, or Donaueschingen, Germany [2] - The company serves various markets including alternative energy, healthcare, aviation, and semiconductor industries [2] Group 3 - Richardson Electronics' common stock trades on the NASDAQ Global Select Market under the ticker symbol RELL [3]

Company Expansion - Richardson Electronics will expand its operations at its manufacturing headquarters in La Fox, Illinois, with a capital investment of over $8.5 million over the next four years [1][4] - The expansion will retain nearly 200 skilled employees and create 54 new full-time jobs in the region [1][4] Clean Energy Commitment - The expansion is supported by the Reimagining Energy and Vehicles in Illinois (REV Illinois) program, which aims to build a clean energy economy and attract investments [2][4] - Richardson Electronics plans to develop next-generation energy storage products to support electric grid stability, addressing issues like brownouts and reducing electricity costs [2][3] Technological Development - The company will invest in equipment and structural upgrades to research, develop, and produce battery energy storage system (BESS) technologies [2][3] - These technologies are targeted for industries such as manufacturing, healthcare, and critical infrastructure operations [2] State Support and Incentives - The REV Illinois program provides targeted support for clean energy production and advanced manufacturing, which includes tax credits for Richardson Electronics' capital investment [4] - The agreement specifies the retention of 190 jobs throughout the agreement period [4] Industry Context - Richardson Electronics' decision to expand aligns with other manufacturing companies establishing or expanding in Illinois, highlighting the state's skilled workforce and commitment to clean energy [3]

PART I This part provides an overview of the company's business operations, risk factors, and legal disclosures [ITEM 1. Business](index=4&type=section&id=Item%201.%20Business) Richardson Electronics manufactures engineered solutions, green energy, and display products; Healthcare assets sold in FY2025 - Richardson Electronics, Ltd. is a global manufacturer of engineered solutions, green energy products, power grid and microwave tubes, and customized display solutions, serving diverse markets including alternative energy, healthcare, and semiconductor[16](index=16&type=chunk) - On January 24, 2025, the Company sold a substantial portion of its Healthcare business assets to DirectMed Imaging, LLC, and entered into an exclusive 10-year global supply agreement for repaired Siemens CT X-ray tubes and manufacturing of ALTA CT X-ray tubes[17](index=17&type=chunk) - The Healthcare asset sale resulted in a total loss of **$5.1 million** recorded for the fiscal year ended May 31, 2025[17](index=17&type=chunk) [General](index=4&type=section&id=General) This section provides general information about the company's business and operations [Government Regulations](index=4&type=section&id=Government%20Regulations) This section outlines the government regulations impacting the company's operations [Geography](index=5&type=section&id=Geography) This section details the geographic scope of the company's business activities [Business Segments](index=5&type=section&id=Business%20Segments) The company operates through distinct business segments, each focusing on specific product lines and markets [Power and Microwave Technologies (PMT)](index=5&type=section&id=Power%20and%20Microwave%20Technologies%20%28%22PMT%22%29) This segment focuses on power grid and microwave tubes and related engineered solutions [Green Energy Solutions (GES)](index=6&type=section&id=Green%20Energy%20Solutions%20%28%22GES%22%29) This segment provides products and solutions for the green energy market [Canvys](index=6&type=section&id=Canvys) This segment specializes in customized display solutions for various applications [Healthcare](index=6&type=section&id=Healthcare) This segment previously offered healthcare products, with significant assets sold in fiscal 2025 [Sales and Product Management](index=7&type=section&id=Sales%20and%20Product%20Management) This section describes the company's sales strategies and product management processes [Distribution](index=7&type=section&id=Distribution) This section details the company's global distribution network and logistics [International Sales](index=7&type=section&id=International%20Sales) This section covers the company's sales activities in international markets [Major Customers](index=7&type=section&id=Major%20Customers) This section identifies the company's significant customer relationships [Human Capital](index=8&type=section&id=Human%20Capital) This section provides an overview of the company's human resources and workforce management [Recruitment & Staffing](index=8&type=section&id=Recruitment%20%26%20Staffing) This section outlines the company's strategies for attracting and retaining talent [Employees](index=8&type=section&id=Employees) This section provides information regarding the company's employee base and structure [Culture](index=8&type=section&id=Culture) This section describes the company's organizational culture and values [Website Access to SEC Reports](index=8&type=section&id=Website%20Access%20to%20SEC%20Reports) This section details how to access the company's SEC filings online [ITEM 1A. Risk Factors](index=9&type=section&id=Item%201A.%20Risk%20Factors) The company faces risks from sales, inventory, competition, supply chain, IT, international operations, finance, legal, and concentrated ownership - Key business and operational risks include failure to achieve sales and margin targets, significant inventory obsolescence charges due to evolving technology, and intense competitive pressures[47](index=47&type=chunk)[48](index=48&type=chunk)[49](index=49&type=chunk) - The Company is dependent on a limited number of vendors, with **two suppliers each representing over 10% of total cost of sales in fiscal 2025**, and faces risks from supply chain disruptions and reliance on information technology systems, including cybersecurity threats[51](index=51&type=chunk)[52](index=52&type=chunk)[53](index=53&type=chunk) - International operations, which account for **56% of sales**, expose the Company to risks such as foreign currency exchange rate fluctuations, unstable political/economic conditions, and tariffs on products manufactured in China[39](index=39&type=chunk)[67](index=67&type=chunk)[69](index=69&type=chunk)[70](index=70&type=chunk) - Legal and regulatory risks include potential intellectual property claims, substantial operational costs to comply with data privacy laws (e.g., GDPR, CCPA), and compliance with trade, export controls, and anti-corruption laws[72](index=72&type=chunk)[75](index=75&type=chunk)[78](index=78&type=chunk) - Edward J. Richardson, Chairman, CEO, and President, beneficially owned approximately **61% of the voting power of outstanding common stock** as of July 28, 2025, allowing him to exert control over stockholder votes[82](index=82&type=chunk) [Business and Operational Risks](index=9&type=section&id=Business%20and%20Operational%20Risks) This section details risks related to the company's core business activities and operational processes [Risks Related to International Operations](index=13&type=section&id=Risks%20Related%20to%20International%20Operations) This section outlines specific risks associated with the company's global business presence [Financial Risks](index=14&type=section&id=Financial%20Risks) This section describes risks pertaining to the company's financial condition and capital structure [Legal and Regulatory Risks](index=14&type=section&id=Legal%20and%20Regulatory%20Risks) This section covers risks arising from legal proceedings and regulatory compliance requirements [Ownership Risks](index=16&type=section&id=Ownership%20Risks) This section addresses risks related to the company's ownership structure and control [General Risk Factors](index=16&type=section&id=General%20Risk%20Factors) This section includes broad risk factors that could generally impact the company's business [ITEM 1B. Unresolved Staff Comments](index=17&type=section&id=Item%201B.%20Unresolved%20Staff%20Comments) The Company reported no unresolved staff comments from the SEC - There are no unresolved staff comments[89](index=89&type=chunk) [ITEM 1C. Cybersecurity](index=18&type=section&id=Item%201C.%20Cybersecurity) The company manages cybersecurity risks via a NIST-based framework and IRP, with Board oversight, and has not experienced material impacts from threats - The Company's cybersecurity risk management program follows the U.S. National Institute of Standards and Technology (NIST) Cyber Security Framework, focusing on identifying, assessing, managing, and remediating material risks[91](index=91&type=chunk)[92](index=92&type=chunk) - An established Incident Response Plan (IRP) is executed by an Incident Response Team (IRT), led by the Information Systems Director, involving internal IT professionals and cross-functional stakeholders, potentially engaging external resources[93](index=93&type=chunk)[94](index=94&type=chunk) - Cybersecurity threats have not materially affected the Company's business strategy, results of operations, or financial condition in the past three fiscal years[95](index=95&type=chunk) - The Board of Directors delegates cybersecurity risk oversight to the Audit Committee, which receives quarterly updates from the CFO on incidents, threats, mitigation strategies, and controls[97](index=97&type=chunk)[98](index=98&type=chunk) [Risk Management and Strategy](index=18&type=section&id=Risk%20Management%20and%20Strategy) This section details the company's approach to managing cybersecurity risks and strategic initiatives [Governance](index=19&type=section&id=Governance) This section outlines the governance structure for cybersecurity oversight within the company [ITEM 2. Properties](index=20&type=section&id=Item%202.%20Properties) The company operates one owned and 24 leased global facilities, including its Illinois headquarters, supporting manufacturing, sales, and distribution across all segments - The Company owns one facility and leases **24 facilities globally**, including its corporate headquarters and largest distribution center in LaFox, Illinois (**224,000 sq ft**)[99](index=99&type=chunk) - Facilities are geographically diverse across North America, Asia/Pacific, Europe, and Latin America, serving PMT, Canvys, GES, and Healthcare segments for corporate, sales, distribution, and manufacturing purposes[99](index=99&type=chunk)[100](index=100&type=chunk) [ITEM 3. Legal Proceedings](index=20&type=section&id=Item%203.%20Legal%20Proceedings) The Company reported no material legal proceedings - There are no legal proceedings to report[101](index=101&type=chunk) [ITEM 4. Mine Safety Disclosure](index=20&type=section&id=Item%204.%20Mine%20Safety%20Disclosure) The Company stated that Mine Safety Disclosure is not applicable to its operations - Mine Safety Disclosure is not applicable[102](index=102&type=chunk) PART II This part covers market information, financial performance, and internal controls [ITEM 5. Market for the Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities](index=21&type=section&id=Item%205.%20Market%20for%20the%20Registrant%27s%20Common%20Equity%2C%20Related%20Stockholder%20Matters%20and%20Issuer%20Purchases%20of%20Equity%20Securities) The company's common stock trades on NASDAQ (RELL), paid $3.4 million in annual dividends, and joined the Russell 3000® Index in 2023 - The Company's common stock is traded on the NASDAQ Global Select Market

Core Insights - Richardson Electronics, Ltd. has announced a partnership with KEBA Industrial Automation to develop cost-efficient pitch systems for wind turbines in North America, enhancing compatibility and deployment speed in the renewable energy sector [1][4] - KEBA has over 20 years of experience in providing pitch control systems for wind turbines, ensuring reliability and performance in both onshore and offshore installations [2] - The new pitch systems from KEBA are designed to reduce material input and operating costs while providing flexibility and compliance with global grid codes, thus enhancing long-term value for wind turbine operators [3] Company Overview - Richardson Electronics is a global manufacturer of engineered solutions, with over 50% of its products manufactured in the U.S. and Germany, serving various markets including alternative energy and healthcare [5] - KEBA Industrial Automation specializes in high-quality servo drive and automation solutions, with a focus on innovation and seamless integration across multiple industries, including wind energy [10]

Core Insights - Richardson Electronics, Ltd. (RELL) has successfully transformed from a niche parts distributor to a company that designs and builds complex, high-reliability equipment for military systems, clean-energy projects, and large-scale applications [1] Company Overview - The company focuses on producing objective, data-driven research primarily about small- to mid-cap companies, which are often overlooked by many investors [1] - Occasionally, the company also analyzes large-cap names to provide a broader perspective on the equity markets [1]

Financial Data and Key Metrics Changes - In Q4 FY 2025, total sales increased to $51.9 million, up from $47.4 million in Q4 FY 2024, marking a 9.5% year-over-year growth [10][6] - Gross margin improved by 50 basis points to 31.6% compared to 31.1% in the same quarter last year [11][7] - Operating income for Q4 was $600,000, a turnaround from an operating loss of $100,000 in Q4 FY 2024 [13] - Net income for Q4 was $1.1 million, compared to a net loss of $100,000 in the prior year [13] - For FY 2025, net sales were $208.9 million, a 6.3% increase from $196.5 million in FY 2024 [14] Business Line Data and Key Metrics Changes - PMT sales grew by 17.8% year-over-year in Q4, driven by demand from semiconductor wafer fab customers [11] - GES sales increased by 14.1% in Q4, attributed to higher demand for wind turbine modules [11] - Canvas reported Q4 revenue of $9.5 million, up from $8.7 million in the same quarter last year [31] Market Data and Key Metrics Changes - The company faced elevated inflation and supply chain pressures, particularly in Europe and Asia, but managed to achieve growth across all business units [5][6] - GES backlog grew to $42.5 million in Q4, contributing to a combined backlog of over $99 million for GES and PMT [23] Company Strategy and Development Direction - The company is focused on expanding its green energy products and enhancing its manufacturing capabilities in the U.S. [41][40] - Strategic initiatives include faster design-to-production cycles and the establishment of a new design center in Texas [22] - The company aims to leverage technology partnerships to fill gaps and reduce tariff risks [24][27] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating a challenging global environment and highlighted the importance of maintaining operational agility [5][6] - The company anticipates continued growth in FY 2026, supported by a strong backlog and strategic initiatives [29][30] - Management acknowledged the potential impact of new tariffs but emphasized their ability to adapt and mitigate risks [27][24] Other Important Information - The company reported a strong cash position of $35.9 million at the end of FY 2025, providing flexibility for operations and growth opportunities [16] - The Board declared a quarterly cash dividend of $0.06 per common share, reflecting confidence in financial stability [18] Q&A Session Summary Question: Update on selling ultracapacitor products to GE turbines - The company is in discussions with GE regarding final testing and paperwork, which is currently pending [48][49] Question: Potential customer list after GE agreement - The agreement could increase the serviceable available market by approximately 35%, opening up significant opportunities [51] Question: Product wins in green energy solutions - The company highlighted market share gains and several key agreements, including those with RWE and TransAlta, contributing to growth [55][56] Question: Competitive advantages in PMT - The company noted that its main competitors include industrial distributors and highlighted its unique demand creation and design capabilities [62][68] Question: Strategic opportunities and acquisitions - The company is focusing on expanding green energy products and is open to future acquisition opportunities that align with its strategic goals [69]

Financial Performance - FY2025 net sales increased by 63% year-over-year to $2089 million, driven by higher sales in the company's three continuing business segments[58] - Non-GAAP net income for fiscal year 2025 was $32 million, compared to $05 million in fiscal year 2024[59] - The company's cash and cash equivalents stand at $359 million with no debt[61] Strategic Initiatives - Richardson Electronics sold most of its Healthcare assets to DirectMed Imaging in January 2025 for $82 million, retaining CT tube engineering and manufacturing under an exclusive supply agreement[15] - The company intends to use proceeds from the Healthcare asset sale to invest in growth initiatives, primarily within its GES reportable segment[15] - Total backlog at the end of Q4 FY2025 was $1342 million, up more than 125% since FY2019[70] Business Segments - Power & Microwave Technology (PMT) revenue for FY2025 was $1378 million[19] - Green Energy Solutions (GES) revenue for FY2025 was $287 million[19] - Canvys revenue for FY2025 was $331 million[19] Market Opportunities - The company sees a $454 million global Total Addressable Market (TAM) opportunity in wind turbine pitch energy modules[39] - The global market for battery deployments is projected to grow to $114 billion by 2032, reflecting a CAGR of 21% over 8 years[46]