Precision timing firm Frequency Electronics' Q3 revenue falls

Reuters
Mar 12
Precision timing firm Frequency Electronics' Q3 revenue falls

Overview

  • US timing equipment maker's Q3 revenue fell 11% yr/yr to $16.9 mln

  • Q3 net income dropped sharply from prior year

Outlook

  • Company expects cash position to improve through current quarter, remains debt-free

Result Drivers

  • LARGE CONTRACT WINS - Co said recent $45 mln in new contracts, among the largest in its history, contributed to near-term growth and record backlog

  • CORE TECHNOLOGIES - Co attributed current business strength to demand for its core space and defense technologies

Company press release: ID:nGNX1m1Bd5

Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Revenue

Miss

$16.89 mln

$20.03 mln (2 Analysts)

Q3 Net Income

$1.57 mln

Q3 Pretax Profit

Miss

$1.44 mln

$3.72 mln (2 Analysts)

Q3 Operating Income

$1.27 mln

Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 1 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the electrical components & equipment peer group is "buy"

  • Wall Street's median 12-month price target for Frequency Electronics Inc is $44.00, about 18.7% below its March 10 closing price of $54.15

  • The stock recently traded at 49 times the next 12-month earnings vs. a P/E of 25 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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