FREQUENCY ELECTRONICS INC 8K

Frequency Electronics, Inc. reported weaker fiscal 2026 results with non-recurring restructuring and investment charges but a record $111 million backlog, while reaffirming a $150 million fiscal 2029 revenue target and setting new long-term gross and operating margin goals of 50% and 30%, respectively.

On July 15, 2026, Frequency Electronics, Inc. announced its fourth quarter and fiscal year 2026 financial results, highlighting a record funded backlog of approximately $111 million (up 34% sequentially and 59% year-over-year), a fiscal 2026 revenue decline to $63.2 million with an operating loss of $3.0 million and net loss of $0.9 million, and the impact of significant investments and restructuring actions, including a $3.8 million non-cash inventory write-down and related severance costs tied to the restructuring of its FEI-Elcom business. The company front-loaded engineering and manufacturing efficiency investments, incurred several non-recurring charges (including a one-time PTO policy change), and reported weak as-stated margins but provided non-GAAP reconciliations showing meaningfully higher adjusted gross and operating margins. Management reaffirmed a three-year revenue target of at least $150 million by fiscal 2029 (a 34% CAGR from fiscal 2026) and established new long-term profitability goals of at least 50% gross margin and 30% operating margin by fiscal 2029, driven by a strategic shift from bespoke manufacturing to higher-rate, standardized production and pruning of lower-growth, lower-margin product lines, particularly in the FEI-Elcom operation.

Filing Facts

CIK

39020

Ticker

-

Form

8K

Source Type

sec

Accession

0001185185-26-002982

Alert Tier

6