2025 Net Loss of $5,025,000 ($1.51 loss per share) vs. Net Loss of $646,000 ($0.19 loss per share) in 2024 2025 EBITDA, As Adjusted, was a loss of $3,971,000 ($1.19 loss per share) vs. earnings of $159,000 ($0.05 per diluted share) in 2024 Fourth Quarter 2025 Net Loss of $708,000 ($0.21 loss per share) vs. Net Loss of $252,000 ($0.08 loss per share) in Prior Year Period Fourth Quarter 2025 EBITDA, As Adjusted, was a loss of $465,000 ($0.14 loss per share) vs. earnings of $383,000 ($0.11 per diluted share) i ...

Core Insights - Orbit International Corp. reported a net loss of $875,000 for Q3 2025, compared to a net income of $558,000 in the same period last year, reflecting a significant decline in profitability [1][6][7] - The adjusted EBITDA for Q3 2025 was a loss of $508,000, down from earnings of $749,000 in Q3 2024, indicating operational challenges [1][6][7] - For the first nine months of 2025, the company experienced a net loss of $4,317,000, compared to a net loss of $394,000 in the prior year [1][2][6] Financial Performance - Q3 2025 net sales were $5,785,000, a decrease from $8,414,000 in Q3 2024, while nine-month sales fell to $15,724,000 from $21,190,000 in the previous year [6][7] - Gross margin for Q3 2025 was 31.9%, down from 36.8% in Q3 2024, and for the nine months ended September 30, 2025, it decreased to 24.4% from 32.8% [6][7] - Selling, general and administrative expenses increased to $7,873,000 for the nine months ended September 30, 2025, compared to $7,698,000 in the prior year [7] Operational Challenges - A supply chain issue at Orbit Power Group (OPG) delayed a significant shipment, resulting in a revenue recognition loss of approximately $1,240,000 and an incremental profitability loss of about $620,000 [5][7] - The backlog at September 30, 2025, was $12.7 million, up from $12.0 million at December 31, 2024, indicating some improvement in order flow despite recent challenges [2][6][7] Management Commentary - The CEO expressed optimism for the second half of 2025 but acknowledged that a single supply chain issue adversely impacted the current quarter's results [5][7] - The company is taking measures to reduce costs, expecting to save approximately $750,000 annually, while also addressing the impact of tariffs on product costs [5][7] Cash Position - As of September 30, 2025, cash and cash equivalents were approximately $159,000, with borrowings under a $4 million line of credit at $3.3 million [8][19] - By November 7, 2025, cash and cash equivalents increased to approximately $1.3 million, and borrowings under the line of credit decreased to $2.475 million [8]