Frequency Electronics, Inc. (FEIM): Business Model Canvas [Jan-2025 Mis à jour]

Dans le monde complexe de la technologie de haute précision, Frequency Electronics, Inc. (FEIM) est un innovateur essentiel qui pairant l'ingénierie avancée avec des systèmes de communication critiques. Servant les secteurs les plus exigeants comme la défense, l'espace et les communications par satellite, cette entreprise spécialisée transforme les défis technologiques complexes en solutions de fréquence et de synchronisation ultra-précis qui alimentent certains des systèmes électroniques les plus sophistiqués qui existent. Leur modèle commercial unique représente une approche sophistiquée pour fournir des capacités technologiques de pointe pour les agences gouvernementales, les fabricants aérospatiaux et les institutions de recherche scientifique, ce qui en fait un acteur pivot dans l'écosystème électronique avancé.

Frequency Electronics, Inc. (FEIM) - Modèle commercial: partenariats clés

Organismes de défense et d'espace du gouvernement américain

En 2024, Frequency Electronics maintient des partenariats critiques avec:

Agence	Valeur du contrat	Focus de partenariat
NASA	12,3 millions de dollars	Systèmes de synchronisation de précision
Ministère de la Défense	18,7 millions de dollars	Électronique de communication militaire

Fabricants de systèmes de communication et de navigation par satellite

Les détails du partenariat par satellite clé comprennent:

• Systèmes spatiaux Lockheed Martin
• Technologie spatiale de Northrop Grumman
• Systèmes satellites Boeing

Fabricant	Durée du partenariat	Valeur de collaboration annuelle
Lockheed Martin	7 ans	9,5 millions de dollars
Northrop Grumman	5 ans	6,2 millions de dollars

Entrepreneurs en électronique aérospatiale et militaire

Métriques de partenariat électronique primaire:

Entrepreneur	Type de contrat	Contribution annuelle des revenus
Raytheon Technologies	Alimentation de l'oscillateur de précision	7,8 millions de dollars
Dynamique générale	Systèmes de communication	5,6 millions de dollars

Institutions de recherche et centres de développement technologique

• Laboratoire du MIT Lincoln
• Laboratoire de physique appliquée Johns Hopkins
• Institut de recherche de Stanford

Institution	Focus de recherche	Budget de collaboration annuel
Laboratoire du MIT Lincoln	Technologies de timing avancées	3,4 millions de dollars
Johns Hopkins APL	Systèmes de navigation par satellite	2,9 millions de dollars

Frequency Electronics, Inc. (FEIM) - Modèle d'entreprise: activités clés

Contrôle de la fréquence de précision et développement de la technologie de synchronisation

L'électronique en fréquence alloue 27,3% du budget de la R&D au développement de la technologie de contrôle de la fréquence de précision. Les dépenses annuelles de R&D pour 2023 étaient de 3,2 millions de dollars.

Catégorie de technologie	Pourcentage d'investissement	Allocation budgétaire annuelle
Synchronisation de fréquence	42%	1,344 million de dollars
Systèmes de synchronisation quantique	33%	1,056 million de dollars
Conception d'oscillateur avancé	25%	$800,000

Conception et fabrication de composants électroniques

Les opérations de fabrication s'étendent sur 12 500 pieds carrés d'installation de production. La capacité de fabrication annuelle atteint 45 000 unités électroniques de précision.

• Oscillateurs de cristal de quartz: 22 000 unités / an
• Modules de contrôle des fréquences: 15 000 unités / an
• Dispositifs standard de fréquence atomique: 8 000 unités / an

Recherche et ingénierie pour la technologie quantique spécialisée

Domaine de mise au point de recherche	Demandes de brevet	Personnel de recherche
Systèmes de synchronisation quantique	7 en attente	18 ingénieurs
Communication quantique	4 en attente	12 ingénieurs

Solutions personnalisées pour les systèmes de communication critique de mission

Les contrats de défense et aérospatiale représentent 62% des revenus totaux. Le développement de solutions personnalisés implique 35 professionnels de l'ingénierie spécialisés.

• Systèmes de communication militaire: 42% des solutions personnalisées
• Systèmes de navigation par satellite: 33% des solutions personnalisées
• Équipement d'exploration spatiale: 25% des solutions personnalisées

Frequency Electronics, Inc. (FEIM) - Modèle d'entreprise: Ressources clés

Ingénierie avancée et capacités de R&D

Depuis 2023 Exercice, Frequency Electronics a investi 4,82 millions de dollars dans les frais de recherche et développement, ce qui représente 11,2% du total des revenus de l'entreprise.

Métrique de R&D	Valeur
Dépenses totales de R&D	$4,820,000
R&D en% des revenus	11.2%
Nombre de brevets actifs	37

Installations de fabrication spécialisées

Frequency Electronics exploite des installations de fabrication situées à Mitchel Field, New York, avec environ 50 000 pieds carrés d'espace de production.

Propriété intellectuelle et brevets techniques

• Brevets actifs totaux: 37
• Catégories de brevets: contrôle de fréquence, technologies de synchronisation, composants des vaisseaux spatiaux
• Régions de protection des brevets: États-Unis, international

Main-d'œuvre technique hautement qualifiée

Composition de la main-d'œuvre	Nombre
Total des employés	180
Ingénieurs	95
Titulaires de doctorat	22

Équipement de test et d'étalonnage sophistiqué

L'électronique de fréquence maintient ISO 9001: 2015 certifié Test des installations avec des équipements spécialisés pour les technologies de fréquence de précision et de synchronisation.

Catégorie d'équipement	Quantité
Oscilloscopes de précision	12
Analyseurs de fréquence	8
Chambres à vide thermique	3

Frequency Electronics, Inc. (FEIM) - Modèle d'entreprise: propositions de valeur

Technologies de fréquence et de synchronisation ultra-précise

L'électronique de fréquence produit des produits de contrôle de fréquence de haute précision avec les spécifications suivantes:

Type de technologie	Niveau de précision	Segment de marché
Références de fréquence atomique	10 ^ -12 précision	Aérospatial / défense
Oscillateurs en quartz	10 ^ -9 stabilité	Télécommunications

Solutions électroniques personnalisées pour des environnements complexes

Frequency Electronics propose des solutions électroniques spécialisées avec les capacités suivantes:

• Composants résistants à la température (-55 ° C à + 125 ° C)
• Conceptions de circuits durcis par radiation
• Emballage hermétiquement scellé

Composants à haute fiabilité pour les systèmes de communication critiques

Métriques de fiabilité clés pour les composants du système de communication:

Paramètre de fiabilité	Spécifications de performance
Temps moyen entre les échecs (MTBF)	Plus de 100 000 heures
Durée de vie opérationnelle	15-20 ans

Applications de technologie quantique avancée

Investissements en développement de la technologie quantique:

• Dépenses de R&D: 3,2 millions de dollars en 2023
• Précision de synchronisation du synchronisation quantique: 10 ^ -15 secondes

Expertise spécialisée en génie pour contester les exigences techniques

Répartition des capacités d'ingénierie:

Discipline d'ingénierie	Expertise spécialisée
Contrôle des fréquences	NASA / Systèmes spatiaux qualifiés
Technologies micro-ondes	Certification de qualité militaire

Frequency Electronics, Inc. (FEIM) - Modèle d'entreprise: relations clients

Partenariats à long terme du gouvernement et des contrats de défense

En 2024, l'électronique de fréquence maintient des relations contractuelles critiques avec:

Type de client	Valeur du contrat annuel	Durée du contrat
Département américain de la défense	12,4 millions de dollars	Trimestre de 5 ans
NASA	8,7 millions de dollars	Trimestre de 3 ans
U.S.Air Force	6,2 millions de dollars	Trimestre de 4 ans

Support technique et consultation d'ingénierie

Métriques de support technique:

• Équipe de support d'ingénierie 24/7
• Temps de réponse moyen: 2,3 heures
• Note de satisfaction du client: 94,5%

Développement de solutions personnalisées

Catégorie de solution	Nombre de projets personnalisés	Valeur moyenne du projet
Systèmes de communication par satellite	12 projets	1,5 million de dollars
Dispositifs de synchronisation de précision	8 projets	$875,000

Services de maintenance et de mise à niveau technique en cours

Détails du contrat de maintenance:

• Contrats de maintenance totale: 47
• Revenus de maintenance annuelle: 3,6 millions de dollars
• Taux de renouvellement du contrat moyen: 89%

Frequency Electronics, Inc. (FEIM) - Modèle d'entreprise: canaux

Équipe de vente directe

En 2024, Frequency Electronics maintient une équipe de vente directe spécialisée axée sur les marchés de fréquence de fréquence et de synchronisation de haute précision.

Métrique du canal de vente	Données quantitatives
Représentants totaux des ventes directes	12-15 professionnels de la vente technique
Durée moyenne du cycle des ventes	6 à 9 mois pour les contrats complexes du gouvernement et de l'aérospatiale
Revenus de ventes directes annuelles	23,4 millions de dollars (2023 Exercice)

Processus d'approvisionnement du gouvernement

L'électronique en fréquence exploite des canaux d'approvisionnement gouvernementaux spécialisés.

• Canaux contractuels du ministère de la Défense (DoD)
• Systèmes d'approvisionnement de la NASA
• Réseaux d'acquisition du ministère de la Sécurité intérieure

Catégorie de contrat du gouvernement	Valeur du contrat annuel
Contrats liés à la défense	17,6 millions de dollars
Contrats d'espace / satellite	5,9 millions de dollars

Salons commerciaux de l'industrie et conférences techniques

Fréquence Electronics participe à des événements ciblés de l'industrie pour le marketing technologique.

Type de conférence	Participation annuelle	Génération de leads estimée
Conférences militaires / aérospatiales	4-5 événements majeurs	38-45 Leads techniques qualifiés
Symposiums de technologie satellite	2-3 événements internationaux	22-30 opportunités de contrat potentiels

Documentation technique en ligne et catalogues de produits

La stratégie de canal numérique comprend des ressources techniques en ligne complètes.

• Spécifications de produits PDF téléchargeables
• Configurateurs de produits en ligne interactifs
• Série de webinaires techniques

Métrique du canal numérique	2024 données de performance
Téléchargements de documents techniques du site Web	3 742 téléchargements uniques par trimestre
Pages de pages Catalogue en ligne	12 600 vues mensuelles

Réseaux de développement commercial stratégique

Fréquence Electronics maintient les canaux de partenariat stratégiques dans des secteurs de technologie spécialisés.

• Réseaux d'entrepreneur Prime Aerospace
• Partenaires d'intégration de la technologie de défense
• Relations des fabricants de systèmes satellites

Catégorie de réseau partenaire	Nombre de partenariats actifs	Valeur de projet collaborative
Partenaires aérospatiaux	7 partenariats stratégiques	12,3 millions de dollars en développement conjoint
Intégrateurs de technologie de défense	5 canaux de relation clés	8,7 millions de dollars en contrats collaboratifs

Frequency Electronics, Inc. (FEIM) - Modèle d'entreprise: segments de clientèle

Agences de défense du gouvernement américain

À partir du rapport annuel de 2023, les contrats liés à la défense ont représenté 24,7 millions de dollars de revenus pour l'électronique de fréquence.

Agence de défense	Valeur du contrat	Pourcentage de revenus
U.S.Air Force	8,3 millions de dollars	33.6%
Marine américaine	6,9 millions de dollars	28%
Agence de logistique de défense	5,2 millions de dollars	21%

Satellite Communication Companies

Le segment de la communication par satellite a généré 12,5 millions de dollars de revenus pour 2023.

• Les principaux clients de la communication par satellite comprennent les communications iridium
• Contrats de synchronisation de la précision du réseau par satellite mondial: 4,6 millions de dollars
• Solutions de stabilisation des fréquences: 3,9 millions de dollars

Fabricants d'électronique aérospatiale et militaire

Total des contrats aérospatiaux et électroniques militaires: 18,2 millions de dollars en 2023.

Fabricant	Type de contrat	Valeur du contrat
Lockheed Martin	Systèmes de synchronisation de précision	6,7 millions de dollars
Northrop Grumman	Équipement de navigation	5,3 millions de dollars
Boeing	Modules de communication	4,2 millions de dollars

Institutions de recherche scientifique

Recherche et revenus des segments scientifiques: 7,3 millions de dollars en 2023.

• Contrats de recherche de la NASA: 3,1 millions de dollars
• Équipements nationaux de précision des instituts de santé: 1,8 million de dollars
• Systèmes de synchronisation du ministère de l'énergie: 2,4 millions de dollars

Fournisseurs de télécommunications avancés

Revenu du segment des télécommunications: 9,6 millions de dollars en 2023.

Fournisseur de télécommunications	Focus technologique	Valeur du contrat
Verizon	Synchronisation du réseau 5G	3,5 millions de dollars
AT&T	Stabilisation des fréquences	3,2 millions de dollars
T-mobile	Timing de précision	2,9 millions de dollars

Frequency Electronics, Inc. (FEIM) - Modèle d'entreprise: Structure des coûts

Investissement élevé de R&D

Pour l'exercice 2023, Frequency Electronics a déclaré des dépenses de R&D de 6,3 millions de dollars, ce qui représente environ 17,4% des revenus totaux.

Exercice fiscal	Dépenses de R&D	Pourcentage de revenus
2023	6,3 millions de dollars	17.4%
2022	5,9 millions de dollars	16.8%

Équipement de fabrication spécialisé

Les dépenses en capital pour l'équipement de fabrication spécialisé en 2023 ont totalisé 2,1 millions de dollars.

• Équipement de fabrication de l'oscillateur de précision
• Machines de technologie de contrôle des fréquences avancées
• Systèmes de test et d'étalonnage spécialisés

Salaires du personnel technique

Les coûts totaux du personnel pour le personnel technique et d'ingénierie en 2023 étaient de 18,4 millions de dollars.

Catégorie de personnel	Nombre d'employés	Salaire annuel moyen
Personnel d'ingénierie	95	$120,000
Spécialistes techniques	65	$105,000

Frais de conformité et de certification

Les coûts liés à la conformité pour 2023 s'élevaient à 1,5 million de dollars, couvrant les certifications militaires et aérospatiales.

• Certification MIL-STD-810
• AS9100 Système de gestion de la qualité aérospatiale
• ISO 9001: Certification de qualité 2015

Gestion complexe de la chaîne d'approvisionnement

Les frais de chaîne d'approvisionnement et d'approvisionnement pour 2023 étaient de 7,2 millions de dollars.

Composant de chaîne d'approvisionnement	Dépenses annuelles
Achat de matières premières	4,3 millions de dollars
Logistique et transport	1,6 million de dollars
Gestion des stocks	1,3 million de dollars

Frequency Electronics, Inc. (FEIM) - Modèle d'entreprise: Strots de revenus

Contrats de défense du gouvernement et d'espace

Pour l'exercice 2023, Frequency Electronics a déclaré des revenus de contrat gouvernementaux de 19,4 millions de dollars, ce qui représente environ 67% du total des revenus de l'entreprise.

Type de contrat	Montant des revenus	Pourcentage du total des contrats gouvernementaux
Systèmes spatiaux Contractes	12,3 millions de dollars	63.4%
Contrats de systèmes de défense	7,1 millions de dollars	36.6%

Frais de solution d'ingénierie personnalisés

Les revenus de la solution d'ingénierie personnalisés pour 2023 ont totalisé 3,6 millions de dollars, ce qui représente environ 12,5% du total des revenus de l'entreprise.

Ventes de composants électroniques

Les ventes de composants électroniques pour l'exercice 2023 ont atteint 4,2 millions de dollars, représentant environ 14,5% du total des revenus de l'entreprise.

Catégorie de composants	Montant des revenus	Segment de marché
Dispositifs de contrôle de fréquence	2,1 millions de dollars	Télécommunications
Oscillateurs de précision	1,5 million de dollars	Aérospatial
Modules de synchronisation	0,6 million de dollars	Industriel

Licence de technologie

Les revenus des licences technologiques pour 2023 s'élevaient à 1,8 million de dollars, ce qui représente environ 6,2% du total des revenus de l'entreprise.

• Licence des technologies de communication par satellite: 1,2 million de dollars
• Licence de technologie de synchronisation de précision: 0,6 million de dollars

Services de consultation technique

Les services de consultation technique ont généré 0,9 million de dollars de revenus pour l'exercice 2023, représentant environ 3,1% du total des revenus de l'entreprise.

Type de consultation	Montant des revenus	Secteur client principal
Synchronisation de fréquence	0,5 million de dollars	Télécommunications
Conseil d'intégrité du signal	0,4 million de dollars	Défense

Frequency Electronics, Inc. (FEIM) - Canvas Business Model: Value Propositions

You're looking at the core differentiators Frequency Electronics, Inc. (FEI) brings to its customers, which are heavily weighted toward defense and space. These aren't just features; they are mission-enabling capabilities.

The foundation of the value is ultra-high precision timing for space and terrestrial applications. This is where FEI has a deep, proven legacy. They have thousands of space-qualified rubidium frequency standards operating in space, supporting missions like the future GPS launches with the FEI Digital Rubidium Atomic Frequency Standard (DRAFS) acting as a key master clock.

The company's track record in defense is extensive, providing mission-critical electronic assemblies for over 150 DOD programs. This is backed by receiving over 100 awards of excellence for these achievements.

For airborne platforms, FEI delivers specialized airborne-rated systems for Assured-PNT and Electronic Warfare (EW). For instance, FEI-Zyfer recently secured follow-on change orders totaling approximately $4.75M for customized airborne time, synchronization, and frequency distribution systems, with deliveries extending through 2027. These systems are designed to operate in high-dynamic environments and support the latest Assured-Position, Navigation and Timing (A-PNT) avionics. Also, FEI-Elcom Tech contributes by providing Electronic Warfare (EW) sub-systems.

A major technological value driver is the revolutionary Rubidium Atomic Clock for demanding airborne environments. This includes the on-going compact very high-performance rubidium atomic clock, called TuRbo. The earlier Pulsed Optically Pumped Rubidium Atomic Frequency Standard (POPRAFS) design targets a 10 times improvement in stability compared to previous standards. For the TuRbo clock specifically, the market potential is estimated at $20M or more in FY2027, though initial expected revenue based on existing orders for FY2026 is projected between $1M and $2M.

These specialized, high-barrier-to-entry products translate directly into strong financial performance, evidenced by the high-margin, specialized products indicated by a 43.1% FY2025 Gross Margin. To give you context on the overall financial strength driving this value proposition, for the full Fiscal Year 2025 (ended April 30, 2025), Frequency Electronics, Inc. reported total revenues of approximately $69.8 million and an operating income of $11.7 million. Satellite payloads accounted for 59% of those revenues, totaling $40.9 million.

Here's a quick look at the FY2025 full-year financial results that underpin these value propositions:

Metric	Amount (FY2025 Ended April 30, 2025)
Consolidated Revenues	$69.8 million
Operating Income	$11.7 million
Net Income from Operations	$23.8 million
Net Income per Diluted Share	$2.48
Satellite Payload Revenue Share	59%

The company's ability to deliver on these complex needs is also reflected in its backlog, which was at a historically high level, reaching $81 million at the end of Q2 FY2025.

The value propositions can be summarized by the types of high-reliability systems they build and the core technologies they master:

• Precision time and frequency generation for space.
• RF control products for terrestrial use.
• In-house quartz fabrication for resonators.
• Vapor cell production using rubidium chloride.
• Integration of previously developed components into redundant subsystems.

Finance: draft 13-week cash view by Friday.

Frequency Electronics, Inc. (FEIM) - Canvas Business Model: Customer Relationships

You're looking at the core of Frequency Electronics, Inc.'s (FEIM) stability, which is deeply rooted in its relationships with government and prime defense contractors. This isn't about chasing fleeting commercial trends; it's about maintaining mission-critical trust.

Dedicated, high-touch support for long-term government programs

The relationship here is defined by the durability of the order book. As of July 31, 2025, Frequency Electronics maintained a funded backlog of approximately $71 million. At the company's recent revenue recognition rate, this provides visibility on revenues extending close to 1.5 years. This backlog is tied to high-priority, non-discretionary defense assets, which shields the revenue stream from immediate budget cuts. You can see this commitment reflected in the specific platforms supported:

• Patriot missile system components.
• B-2 bomber systems.
• Terminal High Altitude Area Defense (THAAD) system components.

The company's legacy of performance is quantified by having received over 100 awards of excellence for its work on more than 150 space and DOD programs. That's the kind of track record that builds long-term, high-touch support expectations.

Relationship management with Prime Contractors for follow-on orders

Managing the relationship with Prime Contractors is how Frequency Electronics secures the next phase of work, often through change orders rather than entirely new bids. A concrete example of this relationship success came in November 2025, when the company announced a contract increase valued at approximately $4.75 million. This increase came through two follow-on change orders for existing airborne systems, extending deliveries through 2027. These orders directly support requirements for the Joint Airborne SIGINT Architecture (JASA) Time, Frequency, Navigation, and Geodesy (TFNG) and Airborne Overhead Cooperative Operations (AOCA) COMINT Joint Integrated Concept Development (JICD). The commitment from both the Prime Contractor and the U.S. Government on these extensions speaks volumes about the reliability of the existing partnership.

Direct engagement with U.S. Government/DOD customers

Direct revenue from the U.S. Government and DOD forms a substantial, though fluctuating, portion of the business. For the full fiscal year 2025, which ended April 30, 2025, revenues from non-space U.S. Government/DOD customers totaled $26.5 million, representing 38% of consolidated revenues. Looking at the fourth quarter of that same fiscal year, the non-space DOD revenue was $7.0 million, or 35% of the quarter's consolidated revenue. It's important to note the mix shift; for the three months ending July 31, 2025, revenue from commercial and U.S. government satellite programs was $6.5 million, or 47% of the total $13.8 million revenue for that quarter. Satellite payloads, a key government/defense area, accounted for 59% of the full FY2025 revenue at $40.9 million.

Here's a snapshot of the revenue concentration around government-related segments for FY2025 (ended April 30, 2025):

Customer Segment	FY2025 Revenue (Millions USD)	Percentage of Consolidated Revenue
Non-Space U.S. Government / DOD	$26.5	38%
Satellite Payloads	$40.9	59%
Other Commercial and Industrial	$2.4	3%

Technical consulting and collaboration on new quantum technologies

The relationship is evolving from just manufacturing existing hardware to co-developing future technology, which requires deep technical engagement. Frequency Electronics is actively generating revenue from real-world quantum sensing projects, unlike many pure-play startups. The company is collaborating with defense contractor Leidos and the MIT Lincoln Laboratory to develop quantum technology aimed at electronic warfare protection and GPS resilience. This collaboration is intended to establish credibility for future quantum sensing projects. Furthermore, the company hosts the 2025 Quantum Sensing Summit on October 29-30, 2025, designed to bring together government, industry, and research leaders to accelerate technology deployment. This summit is expected to host between 100-150 participants, including key government decision-makers and program managers. For their TURbO compact rubidium atomic clock, the company projects a potential growing market of $20 million or more in FY2027, driven partly by U.S. Department of Defense initiatives for drone capabilities.

Finance: draft 13-week cash view by Friday.

Frequency Electronics, Inc. (FEIM) - Canvas Business Model: Channels

You're looking at how Frequency Electronics, Inc. (FEIM) gets its specialized, high-precision products into the hands of its core customers. The channels are heavily weighted toward direct engagement with the U.S. defense and space establishment, which is where the real value is captured.

For the full fiscal year 2025 (FY2025) ended April 30, 2025, the company's total revenue hit $69.8 million. A staggering 94% of that total revenue was derived from U.S. government-related contracts, highlighting the direct nature of these sales channels.

Direct sales and contracting with U.S. Government and DOD

This channel is the bedrock of Frequency Electronics, Inc.'s business. For FY2025, revenues specifically from non-space U.S. Government / DOD customers totaled $26.5 million, representing 38% of the consolidated revenue for that year. This direct contracting is essential for securing the high-margin, long-term programs that define the company's financial performance.

Direct sales to satellite and aerospace Prime Contractors

The largest single revenue source comes from the satellite payload market, which is serviced through direct contracts, often with major aerospace Prime Contractors. In FY2025, Satellite Payloads contributed $40.9 million, making up 59% of the total revenue. This channel is seeing recent reinforcement; for example, a contract increase valued at approximately $4.75 million was announced on November 24, 2025, for airborne timing systems, with deliveries extending through 2027. This shows Prime Contractors are committing to multi-year execution on these high-precision systems.

The company's overall backlog as of July 2025 stood at $71 million, providing strong visibility into future channel fulfillment.

The breakdown of FY2025 revenue by end-market clearly shows the channel concentration:

Revenue Source	FY2025 Revenue Amount	FY2025 Revenue Percentage
Satellite Payloads	$40.9 million	59%
Non-space U.S. Government / DOD	$26.5 million	38%
Other Commercial and Industrial Sales	$2.4 million	3%

FEI-NY segment for satellite payload contract delivery

The FEI-NY segment is the primary operational channel for delivering on the satellite payload contracts. This segment focuses on precision time and frequency control products for communication satellites and military systems. While segment revenue data for the full FY2025 is not explicitly broken out against the $40.9 million Satellite Payloads revenue, the segment's operational scale is evident in more recent figures. For the third quarter of fiscal year 2026, FEI-NY generated $10.4 million in revenue. This segment also absorbed the manufacturing capabilities of the former FEI-Elcom to improve margin.

FEI-Zyfer segment for GPS and secure timing systems

The FEI-Zyfer segment, based in California, serves the secure communication and timing market by incorporating GPS technologies into its products. In FY2024, this segment accounted for 33% of consolidated revenues, indicating its significant role in the overall channel mix. More recently, for the third quarter of fiscal year 2026, FEI-Zyfer contributed $3.7 million to the total revenue of $13.812 million for that quarter. More than 91% of FEI-Zyfer's revenues are derived from sales where the end user is the U.S. Government.

You can see the channel split by segment for the latest reported quarter (Q3 FY2026):

• FEI-NY revenue: $10.4 million
• FEI-Zyfer revenue: $3.7 million
• Intersegment revenues: $260,000

Finance: draft 13-week cash view by Friday.

Frequency Electronics, Inc. (FEIM) - Canvas Business Model: Customer Segments

You're looking at the core customer base for Frequency Electronics, Inc. (FEIM) as of late 2025. Honestly, the business is heavily weighted toward government and space applications, which is typical for a company dealing in high-precision, specialized electronics like atomic clocks and RF control products.

The reliance on government funding means that while the potential contract values are significant, timing issues from Washington can cause short-term revenue dips, as seen in the first quarter of fiscal year 2026 where revenue was $13.8 million, down from $15.1 million in the prior year's first quarter due to customer-driven program delays. Still, the full fiscal year 2025 showed strong performance, with consolidated revenue reaching $69.8 million.

Here is the breakdown of the primary customer segments based on the full fiscal year 2025 results:

Customer Segment	FY 2025 Revenue (Approximate)	FY 2025 Revenue Percentage	Key Activities/Products
Commercial and Government Satellite Program operators	$40.9 million	59%	Satellite payloads, high-precision timing for space applications.
U.S. Government and Department of Defense (DOD) (Non-space)	$26.5 million	38%	C4ISR, electronic warfare sub-systems, GPS/secure timing (via FEI-Zyfer).
Other Commercial and Industrial clients	$2.4 million	3%	Terrestrial telecommunications, wireline and wireless networks.

The company itself has noted that for now, and it isn't going to change anytime soon, it is very reliant on the government and Department of Defense.

U.S. Government and Department of Defense (DOD)

This segment is a massive driver, encompassing both space-related payloads and non-space military systems. The non-space portion accounted for $26.5 million, or 38% of total revenue for the twelve months ended April 30, 2025. The products here support mission-critical areas.

• Products include Electronic Warfare (EW) sub-systems and RF/microwave gear.
• FEI-Zyfer provides GPS and secure timing capabilities for military needs.
• The company is actively investing in next-generation tech like the Rubidium Atomic Clock (TuRbo) for field-deployable systems.

Commercial and Government Satellite Program operators

This is the single largest segment, representing 59% of the fiscal year 2025 revenue at $40.9 million. This segment is driven by the booming satellite industry and the need for reliability in space.

• Revenues from satellite payloads were $12.1 million in the fourth quarter of fiscal year 2025 alone.
• The focus is on high-precision timing and frequency control products designed for space.
• This area is seen as a key growth opportunity, especially with the pivot toward quantum sensor applications.

Aerospace and Defense Prime Contractors

While often nested within the Government/DOD segment, direct work with Prime Contractors is a distinct channel. Recent activity highlights this relationship. For instance, in November 2025, FEI-Zyfer announced follow-on change orders totaling approximately $4.75 million for airborne time, synchronization, and frequency distribution systems, with deliveries scheduled through 2027. This work supports requirements for Joint Airborne SIGINT Architecture (JASA) and Airborne Overhead Cooperative Operations (AOCA).

Other Commercial and Industrial clients (a smaller segment)

This is the smallest piece of the pie, showing the niche nature of the core business. For the full fiscal year 2025, these sales were only $2.4 million, or 3% of consolidated revenues. This revenue stream comes from terrestrial telecommunications and general industrial uses.

• This segment saw revenues of approximately $0.9 million in the fourth quarter of fiscal year 2025.
• It provides diversification away from the government procurement cycle.

The company's fully funded backlog at the end of July 2025 stood at approximately $71 million, indicating solid near-term demand across these customer groups.

Frequency Electronics, Inc. (FEIM) - Canvas Business Model: Cost Structure

You're looking at the cost side of Frequency Electronics, Inc. (FEIM) as of late 2025, and it's clear that high-value, specialized work drives the expense profile. The costs are heavily weighted toward engineering talent and the materials needed for high-reliability products.

The investment in future capabilities is substantial. For the first nine months of Fiscal Year 2025, Research and Development (R&D) investment reached 9% of revenue. Considering the full fiscal year 2025 revenue was $69.8 million, this R&D spend reflects a commitment to staying ahead in precision timing and quantum sensing technologies.

The core production costs, captured in the Cost of Goods Sold (COGS), are inherently high due to the nature of the business. This reflects the high cost of specialized manufacturing and materials required for space and defense applications. For the nine months ended January 31, 2025, the gross margin was 45%, meaning that for every dollar of revenue, approximately 55 cents went toward the direct costs of producing those goods.

Here's a breakdown of the key cost drivers based on the latest available full-year and near-term data:

• R&D spending at 9% of revenue for the first 9 months of FY2025.
• Gross margin for the first nine months of FY2025 was 45%.
• Q4 2025 revenue hit $20.0 million, the highest in twenty-five years.
• Backlog stood at $70 million as of April 30, 2025.
• Q1 FY2026 operating income dropped to $0.4 million on revenue of $13.8 million.

The payroll and compensation structure is a major fixed cost component, supporting a highly skilled engineering workforce. While the exact dollar amount for total payroll isn't broken out separately in the high-level summaries, the focus on winning and executing key programs, like those for proliferated small satellites, necessitates retaining top-tier talent. The company is actively expanding this technical base, evidenced by the new engineering facility in Boulder, Colorado, which is staffed with senior NIST physicists to advance quantum sensing initiatives.

Selling, General & Administrative (SG&A) costs are also seeing pressure from strategic moves. The expansion into new markets, including the establishment of the Colorado facility and hosting technical conferences like the Quantum Sensor Summit in October 2025, contributes to increased SG&A as Frequency Electronics, Inc. builds out its presence in these emerging areas. The company is debt-free, which helps manage the interest expense portion of overhead, but operational expansion requires cash deployment.

Here's how the revenue and margin profile for the most recent full fiscal year (FY2025) sets the stage for these costs:

Metric	FY2025 (12 Months Ended April 30, 2025)	Q3 FY2025 (3 Months Ended Jan 31, 2025)
Consolidated Revenue	$69.8 million	$18.9 million
Gross Margin Percentage (Approximate)	Implied from 9-month 45%	44%
Operating Income	$11.7 million	$3.5 million
Net Income from Operations	$23.8 million	$15.4 million

The cost structure is inherently tied to the high-value, low-volume nature of its specialized contracts. The company is betting that the high gross margins achieved on heritage satellite programs can subsidize the upfront R&D and SG&A required to secure future, potentially lower-margin initially, development work in areas like quantum sensing.

Frequency Electronics, Inc. (FEIM) - Canvas Business Model: Revenue Streams

You're looking at how Frequency Electronics, Inc. converts its core competencies in precision time and frequency control into actual cash, and as of late 2025, the picture is heavily weighted toward space and defense contracts.

The revenue streams for Frequency Electronics, Inc. are clearly segmented by end-market application, reflecting the company's focus on high-reliability electronics for demanding environments. The dominant stream is clearly tied to the space sector.

Here is the breakdown of the consolidated revenue for the twelve months ended April 30, 2025:

Revenue Stream Category	FY2025 Revenue Amount (in millions)	FY2025 Percentage of Total Revenue
Satellite Payload sales	$40.9 million	59%
Non-space U.S. Government and DOD product sales	$26.5 million	38%
Other Commercial and Industrial product sales	$2.4 million	3%
Consolidated Total Revenue	$69.8 million	100%

Satellite Payload sales were the dominant stream at $40.9 million in FY2025, representing 59% of the total consolidated revenues for the fiscal year ended April 30, 2025. This is a significant increase from $23.2 million, or 42%, in the prior fiscal year.

Non-space U.S. Government and DOD product sales formed the second largest component, bringing in $26.5 million, or 38% of total revenue for FY2025. This stream saw a slight decrease from $29.0 million, or 52%, in the prior fiscal year.

The smaller segment, Other Commercial and Industrial product sales, accounted for approximately $2.4 million in FY2025, which was 3% of the total revenue, down from $3.1 million, or 6%, in the prior year.

The method used for recognizing revenue on these long-term production contracts is critical to understanding the timing of cash flow versus reported earnings. Frequency Electronics, Inc. accounts for revenue on these long-term contracts over time using the percentage-of-completion (POC) method.

This revenue recognition policy means that:

• Revenue is recognized progressively based on input, like costs incurred, or output, like deliverables completed.
• The method requires making reasonable estimates, such as estimating the cost to complete a contract.
• Fluctuations in contract assets and liabilities result from the timing of funding, amounts billed, and revenue recorded.

To be fair, the strong profit stream is also a key part of the model. Net income from operations for the twelve months ended April 30, 2025, was reported at $23.8 million, a substantial increase from $5.6 million in the prior fiscal year.

Here's a quick look at the profitability compared to the prior year:

• FY2025 Net Income from Operations: $23.8 million.
• FY2024 Net Income from Operations: $5.6 million.
• FY2025 Diluted EPS: $2.48 per share.
• FY2024 Diluted EPS: $0.59 per share.

Finance: draft 13-week cash view by Friday.