Frequency Electronics(FEIM) - 2026 Q3 - Quarterly Results

Financial Performance - Revenue for Q3 2026 was approximately $16.9 million, a decrease of 10.6% compared to $18.9 million in Q3 2025[3] - Operating income for the nine months ended January 31, 2026, was $3.3 million, down from $8.5 million in the same period of 2025, representing a decline of 61.2%[3] - Net income for Q3 2026 was $1.6 million or $0.16 per diluted share, compared to $15.4 million or $1.60 per diluted share in Q3 2025, a decrease of 89.6%[3] - Total revenues for the nine months ended January 31, 2026, were $47.8 million, down from $49.8 million in the same period of 2025, a decrease of 4.0%[3] - The company reported a gross margin of $18.2 million for the nine months ended January 31, 2026, compared to $22.6 million in the same period of 2025, reflecting a decline of 19.5%[14] Growth Opportunities - The backlog as of January 31, 2026, was approximately $83 million, an increase from $70 million at April 30, 2025[3] - The company has secured two new contracts worth approximately $45 million, marking significant near-term growth opportunities[5] - The company anticipates continued growth in quantum sensing and satellite applications, contributing to market expansion over the next 3 to 5 years[5] Cash Position - Cash collected since February 1, 2026, exceeded $11 million, indicating a positive cash flow trend moving forward[6] - The company remains debt-free with a healthy cash position, setting the stage for substantial top-line growth and profitability[6]