Frequency Electronics Inc (NAS:FEIM)
$ 12.8 0.16 (1.27%) Market Cap: 123.18 Mil Enterprise Value: 111.21 Mil PE Ratio: 20.65 PB Ratio: 3.69 GF Score: 58/100

Q4 2024 Frequency Electronics Inc Earnings Call Transcript

Jul 22, 2024 / 08:30PM GMT
Release Date Price: $10.1 (+7.45%)

Key Points

Positve
  • Frequency Electronics Inc (FEIM) reported a significant increase in revenue for the fiscal year ended April 30, 2024, with consolidated revenue reaching $55.3 million compared to $40.7 million in the prior fiscal year.
  • The company achieved an operating profit of $5 million for the fiscal year, a substantial improvement from an operating loss of $4.7 million in the previous year.
  • FEIM's backlog reached a historic high of $78 million, indicating strong future business prospects.
  • The Board of Directors authorized a $1 per share special dividend, reflecting the company's strong cash generation and profitability.
  • The company maintains a debt-free balance sheet, providing financial stability and flexibility for future investments.
Negative
  • The company faces challenges with the evolving satellite industry, particularly the shift towards lower-cost, easily replaceable satellite hardware, which may involve higher risk and potentially lower gross margins.
  • There is uncertainty in the satellite industry regarding the balance between cost and reliability, which could impact FEIM's ability to maintain high margins.
  • The company's results may fluctuate quarter-over-quarter due to the nature of its business, making it difficult to predict future performance based on a single quarter.
  • FEIM's participation in new, riskier satellite programs could lead to financial challenges if not managed carefully.
  • The company faces competition in the market for precision timing technologies, which could impact its market share and profitability.
Operator;Thomas Mcclelland
Frequency

Greetings and welcome to the Frequency Electronics year-end fiscal 2024 earnings release conference call. (Operator Instructions) As a reminder, this conference is being recorded.

Any statements made by the company during this conference call regarding the future constitute forward-looking statements pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements inherently involve uncertainties that could cause actual results to differ materially from the forward-looking statements.

Factors that would cause or contribute to such differences are included in the company's press releases and are further detailed in the company's periodic report filings with the Securities and Exchange Commission. By making these forward-looking statements. The company undertakes no obligation to update these statements for revisions or changes after the date of this conference call.

It is now my pleasure to introduce your host, Thomas McClelland, President and Chief Executive Officer.

Already have an account? Log in
Get the full story
Access to All Earning Calls and Stock Analysis
30-Year Financial on one screen
All-in-one Stock Screener with unlimited filters
Customizable Stock Dashboard
Real Time Insider Trading Transactions
8,000+ Institutional investors’ 13F holdings
Powerful Excel Add-in and Google sheets Add-on
All data downloadable
Quick customer support
And much more...
30-Day 100% money back guarantee
You are not charged until the trial ends. Subscription fee may be tax deductible.
Excellent
4.6 out of 5 Trustpilot