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FEIM

Frequency Electronics, Inc.

FEIM

Frequency Electronics, Inc. • NASDAQ
$28.64 ▲ 2.03% (+0.57)
Market Cap $279.22 M
52w High $41.12
52w Low $12.70
Dividend Yield 1.00%
P/E 12.56
Volume 52.75K
Outstanding Shares 9.75M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q1-2026 $13.812M ▼ $4.718M ▲ $634K ▼ 4.59% ▼ $0.065 ▼ $557K ▼
Q4-2025 $19.986M ▲ $4.215M ▼ $3.197M ▼ 15.996% ▼ $0.34 ▼ $3.232M ▼
Q3-2025 $18.927M ▲ $4.816M ▼ $15.405M ▲ 81.392% ▲ $1.6 ▲ $3.607M ▲
Q2-2025 $15.82M ▲ $5.001M ▲ $2.654M ▲ 16.776% ▲ $0.28 ▲ $3.022M ▲
Q1-2025 $15.077M $4.333M $2.43M 16.117% $0.25 $2.813M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q1-2026 $4.512M ▼ $51.467M ▼ $36.884M ▼ $56.319M ▲
Q4-2025 $4.72M ▼ $93.737M ▲ $38.117M ▲ $55.62M ▲
Q3-2025 $5.516M ▼ $86.427M ▲ $34.592M ▼ $51.835M ▲
Q2-2025 $9.698M ▼ $77.775M ▼ $41.583M ▼ $36.192M ▲
Q1-2025 $16.201M $84.264M $51.062M $33.202M

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q1-2026 $634K ▼ $1.161M ▲ $-776K ▼ $-583K ▼ $-198K ▲ $385K ▲
Q4-2025 $3.197M ▼ $-155K ▲ $-631K ▼ $0 ▲ $-786K ▲ $-1.634M ▲
Q3-2025 $15.405M ▲ $-3.625M ▼ $-329K ▲ $-215K ▲ $-4.169M ▲ $-3.954M ▼
Q2-2025 $2.654M ▲ $3.872M ▲ $-521K ▼ $-9.729M ▼ $-6.378M ▼ $4.199M ▲
Q1-2025 $2.43M $-1.52M $-327K $0 $-1.847M $-1.847M

Revenue by Products

Product Q1-2022Q2-2022Q3-2022Q4-2022
FrequencyElectronicsIncNewYorkMember
FrequencyElectronicsIncNewYorkMember
 $0 ▲$0 ▲$0 ▲$10.00M ▲
FrequencyElectronicsIncZyferMember
FrequencyElectronicsIncZyferMember
 $0 ▲$0 ▲$0 ▲$0 ▲
InterSegmentMember
InterSegmentMember
 $0 ▲$0 ▲$0 ▲$0 ▲
GovernmentNonSpaceRevenueMember
GovernmentNonSpaceRevenueMember
 $10.00M ▲$10.00M ▲$0 ▼$0 ▲
OtherCommercialIndustrialRevenueMember
OtherCommercialIndustrialRevenueMember
 $0 ▲$0 ▲$0 ▲$0 ▲
SatelliteRevenueMember
SatelliteRevenueMember
 $10.00M ▲$10.00M ▲$10.00M ▲$0 ▼

Five-Year Company Overview

Income Statement

Income Statement Revenue has been gradually rising from a small base, and profitability has clearly improved over the last few years. The business moved from modest operating losses into consistent, if still relatively thin, operating profits. Net income has turned positive and become meaningfully stronger most recently, which may reflect both better execution and potentially some one‑off benefits. Overall, the income statement shows a niche company that is moving in the right direction in terms of margins and earnings, but still operates at a scale where results can be volatile from year to year.

Balance Sheet

Balance Sheet The balance sheet looks conservative and relatively simple. Assets have been stable to slightly higher over time, and shareholder equity has been rebuilding after a dip, which supports the view of improving financial health. Debt appears low and steady, indicating limited leverage and reduced financial risk. Cash levels have moved around, which suggests some timing effects from contracts and working capital, but there is no sign of an overextended balance sheet. In plain terms, the company appears to be funding itself mainly through equity and operations rather than heavy borrowing.

Cash Flow

Cash Flow Operating cash flow has been modest but generally positive in recent years, which is encouraging for a specialized hardware supplier. Free cash flow tracks closely with operating cash flow because capital spending has been very light, implying that the business is not currently very capital‑intensive. The flip side is that cash generation is not yet robust, so large contracts, program timing, or delays could still cause noticeable swings. Overall, cash flows are stable for a niche player, but not yet at a level that would fully insulate the company from execution or contract risk.

Competitive Edge

Competitive Edge Frequency Electronics operates in a very specialized corner of the communication and defense technology world: ultra‑precise timing and frequency control. Its long history, deep technical know‑how, and track record in demanding space and military programs give it a strong position relative to its size. The company often serves as a sole or key supplier on critical programs, which creates high switching costs and sticky relationships with government and defense customers. Vertical integration—from growing its own crystals to making atomic clock components—adds control over quality and acts as a barrier to new entrants. While it competes against much larger aerospace and defense names, its narrow focus and heritage in this niche provide a meaningful, if concentrated, competitive moat.

Innovation and R&D

Innovation and R&D The company is leaning hard into innovation, especially around quantum sensing and next‑generation timing solutions. It is building on decades of experience in atomic clocks to develop smaller, more advanced products like compact rubidium clocks for drones and advanced radar. Partnerships around quantum technologies—such as diamond‑based magnetometers and Rydberg sensors—position it at the front edge of navigation and sensing in environments where GPS is unreliable or unavailable. This is a high‑potential but higher‑risk area: success depends on technical milestones, customer adoption, and continued government and defense funding. Still, the overall R&D strategy is clearly focused, aligned with its strengths, and aimed at markets where its expertise is highly valued.

Summary

Frequency Electronics is a small, specialized technology company with improving profitability, a cautious balance sheet, and modest but generally positive cash generation. Its strength lies in a deep, defense‑oriented niche—precision timing for space, communications, and electronic warfare—where long customer relationships and technical complexity create meaningful barriers to entry. The main opportunity is its push into quantum sensing and next‑generation clocks, which could expand its addressable market if programs succeed and scale. Key risks include its reliance on government and defense budgets, the lumpy nature of contract work, the small scale of the business, and execution risk around new technologies. Overall, it looks like a focused niche player transitioning from legacy strength into more experimental, but potentially rewarding, innovation areas.

NEWS

September 9, 2025 · 4:01 PM UTC

Frequency Electronics Announces First Quarter Fiscal 2026 Financial Results Conference Call: Thursday, September 11, 2025, at 4:30 PM ET

Read more