Revenue: As of FY2026 Q2, the actual value is USD 17.13 M, beating the estimate of USD 16.87 M.EPS: As of FY2026 Q2, the actual value is USD 0.18.EBIT: As of FY2026 Q2, the actual value is USD 1.583 M.<h3>FEI-NY Segment</h3><ul><li>Revenues: $10,794,000 for the three months ended October 31, 2025, compared to $11,518,000 for the same period in 2024. For the six months ended October 31, 2025, revenues were $21,148,000 compared to $22,494,000 in 2024.</li><li>Cost of Revenues: $6,919,000 for the three months ended October 31, 2025, compared to $5,907,000 for the same period in 2024. For the six months ended October 31, 2025, cost of revenues was $13,866,000 compared to $12,494,000 in 2024.</li><li>Research and Development Expenses: $616,000 for the three months ended October 31, 2025, compared to $800,000 for the same period in 2024. For the six months ended October 31, 2025, R&amp;D expenses were $1,166,000 compared to $1,681,000 in 2024.</li><li>Operating Income: $693,000 for the three months ended October 31, 2025, compared to $2,402,000 for the same period in 2024. For the six months ended October 31, 2025, operating income was $860,000 compared to $3,779,000 in 2024.</li></ul><h3>FEI-Zyfer Segment</h3><ul><li>Revenues: $7,065,000 for the three months ended October 31, 2025, compared to $4,559,000 for the same period in 2024. For the six months ended October 31, 2025, revenues were $10,783,000 compared to $8,831,000 in 2024.</li><li>Cost of Revenues: $4,176,000 for the three months ended October 31, 2025, compared to $2,742,000 for the same period in 2024. For the six months ended October 31, 2025, cost of revenues was $6,266,000 compared to $4,689,000 in 2024.</li><li>Research and Development Expenses: $583,000 for the three months ended October 31, 2025, compared to $813,000 for the same period in 2024. For the six months ended October 31, 2025, R&amp;D expenses were $1,166,000 compared to $1,420,000 in 2024.</li><li>Operating Income: $1,473,000 for the three months ended October 31, 2025, compared to $253,000 for the same period in 2024. For the six months ended October 31, 2025, operating income was $1,773,000 compared to $1,393,000 in 2024.</li></ul><h3>Consolidated Metrics</h3><ul><li>Revenues: $17,127,000 for the three months ended October 31, 2025, compared to $15,820,000 for the same period in 2024. For the six months ended October 31, 2025, revenues were $30,939,000 compared to $30,898,000 in 2024.</li><li>Cost of Revenues: $10,591,000 for the three months ended October 31, 2025, compared to $8,201,000 for the same period in 2024. For the six months ended October 31, 2025, cost of revenues was $19,321,000 compared to $16,580,000 in 2024.</li><li>Gross Margin: $6,536,000 for the three months ended October 31, 2025, compared to $7,619,000 for the same period in 2024. For the six months ended October 31, 2025, gross margin was $11,618,000 compared to $14,318,000 in 2024.</li><li>Operating Income: $1,714,000 for the three months ended October 31, 2025, compared to $2,618,000 for the same period in 2024. For the six months ended October 31, 2025, operating income was $2,079,000 compared to $4,983,000 in 2024.</li><li>Net Income: $1,801,000 for the three months ended October 31, 2025, compared to $2,654,000 for the same period in 2024. For the six months ended October 31, 2025, net income was $2,435,000 compared to $5,084,000 in 2024.</li><li>Operating Cash Flow: $638,000 for the six months ended October 31, 2025, compared to $2,352,000 for the same period in 2024.</li><li>Free Cash Flow: - $1,709,000 for the six months ended October 31, 2025, compared to - $8,225,000 for the same period in 2024.</li></ul><h3>Future Outlook and Strategy</h3><ul><li>Core Business Focus: The company plans to continue investing in R&amp;D to maintain its competitive edge in time and frequency technology, with a focus on space applications, guidance and targeting systems, and communication systems.</li><li>Non-Core Business: The company is exploring expansion into new markets, including Colorado and Quantum sensing, and expects increased SG&amp;A expenses related to these investments to continue through the remainder of fiscal year 2026.</li><li>Priority: The company aims to secure additional customer funding for R&amp;D activities and will allocate internal funds based on market conditions and new opportunities.</li></ul>

Frequency Electronics | 10-Q: FY2026 Q2 Revenue Beats Estimate at USD 17.13 M