Core Viewpoint - Butler National Corporation reported strong financial results for Q2 FY2026, with significant increases in revenue, operating income, and net income compared to the same period in the previous fiscal year [1][3]. Financial Performance - Revenue for Q2 FY2026 reached $23.251 million, a 9% increase from $21.360 million in Q2 FY2025 [2]. - Operating income rose to $7.077 million, reflecting a 46% increase from $4.854 million in the same quarter last year [2][5]. - Net income increased by 67% to $5.994 million, compared to $3.596 million in Q2 FY2025 [2][3]. - Earnings per share improved to $0.09 from $0.05 year-over-year [2][5]. Business Segment Highlights Aerospace Products - Revenue in the Aerospace Products segment increased by 20% to $14.0 million in Q2 FY2026, up from $11.7 million in Q2 FY2025 [10]. - The growth was driven by a $1.2 million increase in Aircraft Modifications and a $1.1 million increase in Special Missions Electronics [10]. - Operating margin improved to 38% in Q2 FY2026 from 21% in Q2 FY2025, with costs remaining flat at $7.5 million [10]. Professional Services - Revenue from Professional Services decreased by 5% to $9.2 million in Q2 FY2026 compared to $9.7 million in Q2 FY2025 [11]. - Mobile sports wagering revenue increased to $1.6 million from $1.4 million year-over-year, while traditional casino gaming revenue saw a slight decline [11]. Investments and Developments - The company invested approximately $1.7 million in new product development and production during the first quarter of fiscal 2026, leading to additional FAA Supplemental Type Certificate approvals [6]. - The company repurchased 687,852 shares of its common stock during Q2 FY2026 as part of its capital allocation strategy [9]. Backlog - As of October 31, 2025, the backlog totaled approximately $46.3 million, an increase from $38.1 million in the previous year [12].

Core Points - The Federal Aviation Administration (FAA) has granted Avcon Industries, Inc. and Butler Avionics Inc. a Supplemental Type Certificate (STC) for the installation of non-halon portable fire extinguishers in various Learjet models [1][2] - The new Halotron BrX-filled fire extinguishers are designed for easy retrofit and compliance with European Union Aviation Safety Agency (EASA) requirements, with an application for EASA validation underway [2][4] - Halon, an ozone-depleting substance, has been banned in EU member states since 1994, and regulatory bodies require the replacement of hand-held Halon fire extinguishers in aircraft by December 31, 2025 [3] Company Overview - Butler Avionics, Inc. has been providing avionics integration, installation, and repair services since 1969, working closely with its parent company, Butler National Corporation, and affiliate Avcon Industries, Inc. [5] - Avcon Industries, Inc. specializes in the modification of business and commercial aircraft, focusing on complex structural modifications and system integrations across various sectors, including air ambulance and Intelligence, Surveillance, and Reconnaissance (ISR) [6][7] - Avcon is recognized for its solutions to regulatory-driven aircraft modifications and is a wholly owned subsidiary of Butler National Corporation, which is publicly traded under the ticker symbol OTCQX: BUKS [7]

Core Viewpoint - Butler National Corporation has initiated a new stock repurchase program of $5 million, closing its previous 2016 program, reflecting the company's commitment to enhancing shareholder value and confidence in long-term growth prospects [2][3]. Group 1: Stock Repurchase Details - The company has repurchased 2.41 million shares of its common stock since April 30, 2025, at an average price of $1.51 per share [1]. - The new stock repurchase program is authorized through April 2027 and allows for the repurchase of approximately 4.8% of the 64,854,736 outstanding shares at current market prices [2]. - As of July 31, 2025, the company has paid $2.9 million for the repurchased shares, with remaining payment obligations of $0.9 million due before December 31, 2025 [4]. Group 2: Management and Strategic Intent - The Board of Directors has prioritized stock repurchases, with management actively seeking opportunities to repurchase shares through private transactions [3]. - The new stock repurchase program is indicative of the Board's commitment to enhancing shareholder value and reflects confidence in the company's long-term growth prospects [3]. Group 3: Company Overview - Butler National Corporation operates in the Aerospace and Professional Services sectors, focusing on aircraft modification, maintenance, and gaming management services [6]. - The Aerospace Products segment includes design, manufacture, and service of structural modifications and electronic systems for various aircraft, while the Professional Services segment manages a gaming facility in Dodge City, Kansas [6].

Core Points - Butler National Corporation has adopted new Corporate Governance Guidelines to enhance the structure and practices of its Board of Directors [1][2] - The Guidelines include a mandatory retirement age for directors at 75 years old, alongside existing policies like stock ownership guidelines and annual performance reviews [2][3] - The company has made significant strides in corporate governance, including annual elections for all directors and separating the roles of Chairman and CEO [3][4] Company Overview - Butler National Corporation operates in the Aerospace and Professional Services sectors, focusing on aircraft modification, maintenance, and gaming management services [5] - The Aerospace Products segment involves design, manufacture, and service of aircraft modifications and electronic systems, while the Professional Services segment includes managing a gaming facility in Dodge City, Kansas [5]