Frequency Electronics, Inc. (FEIM): Modelo de negócios Canvas [Jan-2025 Atualizado]

No mundo intrincado da tecnologia de alta precisão, a Frequency Electronics, Inc. (FEIM) permanece como uma engenharia avançada de inovação crítica com sistemas de comunicação de missão crítica. Servindo os setores mais exigentes, como Defesa, Espaço e Comunicações Satélite, esta empresa especializada transforma desafios tecnológicos complexos em soluções de frequência e tempo ultraprecisos que alimentam alguns dos sistemas eletrônicos mais sofisticados existentes. Seu modelo de negócios exclusivo representa uma abordagem sofisticada para fornecer recursos tecnológicos de ponta para agências governamentais, fabricantes aeroespaciais e instituições de pesquisa científica, tornando-as um participante fundamental no ecossistema de eletrônicos avançados.

Frequency Electronics, Inc. (FEIM) - Modelo de negócios: Parcerias -chave

Agências de defesa do governo dos EUA e agências espaciais

A partir de 2024, a eletrônica de frequência mantém parcerias críticas com:

Agência	Valor do contrato	Foco em parceria
NASA	US $ 12,3 milhões	Sistemas de tempo de precisão
Departamento de Defesa	US $ 18,7 milhões	Eletrônica de comunicação militar

Fabricantes de sistemas de comunicação e navegação por satélite

Os principais detalhes da parceria de satélite incluem:

• Sistemas espaciais da Lockheed Martin
• Northrop Grumman Space Technology
• Boeing Satellite Systems

Fabricante	Duração da parceria	Valor anual de colaboração
Lockheed Martin	7 anos	US $ 9,5 milhões
Northrop Grumman	5 anos	US $ 6,2 milhões

Contratados aeroespaciais e militares

Métricas de Parceria Eletrônica Primária:

Contratante	Tipo de contrato	Contribuição anual da receita
Raytheon Technologies	FUNÇÃO DE ASCILLADOR DE PRECISÃO	US $ 7,8 milhões
Dinâmica geral	Sistemas de comunicação	US $ 5,6 milhões

Instituições de pesquisa e centros de desenvolvimento de tecnologia

• MIT Lincoln Laboratory
• Johns Hopkins Applied Physics Laboratory
• Instituto de Pesquisa de Stanford

Instituição	Foco na pesquisa	Orçamento anual de colaboração
MIT Lincoln Laboratory	Tecnologias de tempo avançadas	US $ 3,4 milhões
Johns Hopkins Apl	Sistemas de navegação por satélite	US $ 2,9 milhões

Frequency Electronics, Inc. (FEIM) - Modelo de negócios: Atividades -chave

Controle de frequência de precisão e desenvolvimento de tecnologia

A eletrônica de frequência aloca 27,3% do orçamento de P&D para o desenvolvimento da tecnologia de controle de frequência de precisão. As despesas anuais de P&D em 2023 foram de US $ 3,2 milhões.

Categoria de tecnologia	Porcentagem de investimento	Alocação de orçamento anual
Sincronização de frequência	42%	US $ 1,344 milhão
Sistemas de tempo quântico	33%	US $ 1,056 milhão
Design de oscilador avançado	25%	$800,000

Projeto e fabricação de componentes eletrônicos

As operações de fabricação abrangem 12.500 pés quadrados de instalação de produção. A capacidade anual de fabricação atinge 45.000 unidades eletrônicas de precisão.

• Osciladores de cristal de quartzo: 22.000 unidades/ano
• Módulos de controle de frequência: 15.000 unidades/ano
• Dispositivos padrão de frequência atômica: 8.000 unidades/ano

Pesquisa e engenharia para tecnologia quântica especializada

Área de foco de pesquisa	Aplicações de patentes	Pessoal de pesquisa
Sistemas de tempo quântico	7 pendente	18 engenheiros
Comunicação quântica	4 pendente	12 engenheiros

Soluções personalizadas para sistemas de comunicação mission-crítica

Os contratos de defesa e aeroespacial representam 62% da receita total. O desenvolvimento personalizado de soluções envolve 35 profissionais de engenharia especializados.

• Sistemas de comunicação militar: 42% das soluções personalizadas
• Sistemas de navegação por satélite: 33% das soluções personalizadas
• Equipamento de exploração espacial: 25% das soluções personalizadas

Frequency Electronics, Inc. (FEIM) - Modelo de negócios: Recursos -chave

Recursos avançados de engenharia e P&D

A partir de 2023, o ano fiscal, a Eletrônica de Frequência investiu US $ 4,82 milhões em despesas de pesquisa e desenvolvimento, representando 11,2% da receita total da empresa.

Métrica de P&D	Valor
Despesas totais de P&D	$4,820,000
P&D como % da receita	11.2%
Número de patentes ativas	37

Instalações de fabricação especializadas

A Frequency Electronics opera instalações de fabricação localizadas em Mitchel Field, Nova York, com aproximadamente 50.000 pés quadrados de espaço de produção.

Propriedade intelectual e patentes técnicas

• Total de patentes ativas: 37
• Categorias de patentes: controle de frequência, tecnologias de tempo, componentes de naves espaciais
• Regiões de proteção de patentes: Estados Unidos, Internacional

Força de trabalho técnica altamente qualificada

Composição da força de trabalho	Número
Total de funcionários	180
Engenheiros	95
Titulares de doutorado	22

Equipamento sofisticado de teste e calibração

A eletrônica de frequência mantém Certificado ISO 9001: 2015 Instalações de teste com equipamentos especializados para frequência de precisão e tecnologias de tempo.

Categoria de equipamento	Quantidade
Osciloscópios de precisão	12
Analisadores de frequência	8
Câmaras de vácuo térmicas	3

Frequency Electronics, Inc. (FEIM) - Modelo de negócios: proposições de valor

Tecnologias de frequência e tempo ultra-precisas

A eletrônica de frequência produz produtos de controle de frequência de alta precisão com as seguintes especificações:

Tipo de tecnologia	Nível de precisão	Segmento de mercado
Referências de frequência atômica	10^-12 Precisão	Aeroespacial/Defesa
Osciladores de quartzo	10^-9 Estabilidade	Telecomunicações

Soluções eletrônicas personalizadas para ambientes complexos

A Frequency Electronics oferece soluções eletrônicas especializadas com os seguintes recursos:

• Componentes resistentes à temperatura (-55 ° C a +125 ° C)
• Projetos de circuitos endurecidos pela radiação
• Embalagem hermeticamente selada

Componentes de alta confiabilidade para sistemas críticos de comunicação

Métricas principais de confiabilidade para componentes do sistema de comunicação:

Parâmetro de confiabilidade	Especificação de desempenho
Tempo médio entre falhas (MTBF)	Mais de 100.000 horas
Vida operacional	15-20 anos

Aplicações avançadas de tecnologia quântica

Investimentos de desenvolvimento de tecnologia quântica:

• Despesas de P&D: US $ 3,2 milhões em 2023
• Precisão de sincronização do tempo quântico: 10^-15 segundos

Experiência especializada em engenharia para desafiar os requisitos técnicos

Recuperação de recursos de engenharia:

Disciplina de engenharia	Experiência especializada
Controle de frequência	NASA/Sistemas Espaciais qualificados
Tecnologias de microondas	Certificação de nível militar

Frequency Electronics, Inc. (FEIM) - Modelo de negócios: Relacionamentos do cliente

Parcerias de contratos governamentais e de defesa de longo prazo

A partir de 2024, a eletrônica de frequência mantém relacionamentos críticos de contrato com:

Tipo de cliente	Valor anual do contrato	Duração do contrato
Departamento de Defesa dos EUA	US $ 12,4 milhões	Mandato de 5 anos
NASA	US $ 8,7 milhões	Mandato de 3 anos
Força Aérea dos EUA	US $ 6,2 milhões	Mandato de 4 anos

Suporte técnico e consulta de engenharia

Métricas de suporte técnico:

• Equipe de suporte a engenharia dedicada 24/7
• Tempo médio de resposta: 2,3 horas
• Classificação de satisfação do cliente: 94,5%

Desenvolvimento de solução personalizada

Categoria de solução	Número de projetos personalizados	Valor médio do projeto
Sistemas de comunicação por satélite	12 projetos	US $ 1,5 milhão
Dispositivos de tempo de precisão	8 projetos	$875,000

Serviços de manutenção e atualização técnica em andamento

Detalhes do contrato de manutenção:

• Contratos totais de manutenção: 47
• Receita anual de manutenção: US $ 3,6 milhões
• Taxa média de renovação do contrato: 89%

Frequency Electronics, Inc. (FEIM) - Modelo de negócios: canais

Equipe de vendas diretas

A partir de 2024, a Frequency Electronics mantém uma equipe de vendas direta especializada focada nos mercados de tecnologia de alta precisão e tempo.

Métrica do canal de vendas	Dados quantitativos
Total de representantes de vendas diretas	12-15 Profissionais de vendas técnicas
Comprimento médio do ciclo de vendas	6-9 meses para contratos complexos do governo e aeroespacial
Receita anual de vendas direta	US $ 23,4 milhões (2023 ano fiscal)

Processos de compras governamentais

A eletrônica de frequência aproveita os canais especializados de compras do governo.

• Canais de contrato do Departamento de Defesa (DOD)
• Sistemas de compras da NASA
• Departamento de Redes de Aquisição de Segurança Interna

Categoria de contrato do governo	Valor anual do contrato
Contratos relacionados à defesa	US $ 17,6 milhões
Contratos de espaço/satélite	US $ 5,9 milhões

Feiras de comércio da indústria e conferências técnicas

A Eletrônica de Frequência participa de eventos direcionados do setor para marketing de tecnologia.

Tipo de conferência	Participação anual	Geração estimada de chumbo
Conferências militares/aeroespaciais	4-5 grandes eventos	38-45 leads técnicos qualificados
Simpósios de tecnologia de satélite	2-3 eventos internacionais	22-30 oportunidades de contrato potenciais

Documentação técnica online e catálogos de produtos

A estratégia de canal digital inclui recursos técnicos on -line abrangentes.

• Especificações do produto PDF para download
• Configuradores de produtos online interativos
• Série de webinar técnica

Métrica de canal digital	2024 dados de desempenho
Site downloads de documentos técnicos	3.742 downloads exclusivos por trimestre
Visualizações de página de catálogo de produtos online	12.600 visualizações mensais

Redes estratégicas de desenvolvimento de negócios

A Eletrônica de Frequência mantém canais de parceria estratégica em setores de tecnologia especializados.

• Redes de contratantes aeroespaciais
• Parceiros de integração de tecnologia de defesa
• Relacionamentos do fabricante do sistema de satélite

Categoria de rede de parceiros	Número de parcerias ativas	Valor colaborativo do projeto
Parceiros aeroespaciais	7 parcerias estratégicas	US $ 12,3 milhões em desenvolvimento conjunto
Integradores de tecnologia de defesa	5 canais principais de relacionamento	US $ 8,7 milhões em contratos colaborativos

Frequency Electronics, Inc. (FEIM) - Modelo de negócios: segmentos de clientes

Agências de defesa do governo dos EUA

A partir de 2023, o relatório anual, os contratos relacionados à defesa representavam US $ 24,7 milhões em receita para eletrônicos de frequência.

Agência de Defesa	Valor do contrato	Porcentagem de receita
Força Aérea dos EUA	US $ 8,3 milhões	33.6%
Marinha dos EUA	US $ 6,9 milhões	28%
Agência de logística de defesa	US $ 5,2 milhões	21%

Empresas de comunicação por satélite

O segmento de comunicação por satélite gerou US $ 12,5 milhões em receita para 2023.

• Os principais clientes de comunicação por satélite incluem comunicações de iridium
• Contratos de tempo de precisão de rede de satélite global: US $ 4,6 milhões
• Soluções de estabilização de frequência: US $ 3,9 milhões

Fabricantes de eletrônicos aeroespaciais e militares

Contratos totais de eletrônicos aeroespaciais e militares: US $ 18,2 milhões em 2023.

Fabricante	Tipo de contrato	Valor do contrato
Lockheed Martin	Sistemas de tempo de precisão	US $ 6,7 milhões
Northrop Grumman	Equipamento de navegação	US $ 5,3 milhões
Boeing	Módulos de comunicação	US $ 4,2 milhões

Instituições de Pesquisa Científica

Receita de pesquisa e segmento científico: US $ 7,3 milhões em 2023.

• Contratos de pesquisa da NASA: US $ 3,1 milhões
• Institutos Nacionais de Equipamento de Precisão de Saúde: US $ 1,8 milhão
• Sistemas de tempo do Departamento de Energia: US $ 2,4 milhões

Provedores avançados de telecomunicações

Receita do segmento de telecomunicações: US $ 9,6 milhões em 2023.

Provedor de telecomunicações	Foco em tecnologia	Valor do contrato
Verizon	5G Sincronização de rede	US $ 3,5 milhões
AT&T	Estabilização de frequência	US $ 3,2 milhões
T-Mobile	Tempo de precisão	US $ 2,9 milhões

Frequency Electronics, Inc. (FEIM) - Modelo de negócios: estrutura de custos

Alto investimento em P&D

Para o ano fiscal de 2023, a Frequency Electronics registrou despesas de P&D de US $ 6,3 milhões, representando aproximadamente 17,4% da receita total.

Ano fiscal	Despesas de P&D	Porcentagem de receita
2023	US $ 6,3 milhões	17.4%
2022	US $ 5,9 milhões	16.8%

Equipamento de fabricação especializado

As despesas de capital para equipamentos de fabricação especializados em 2023 totalizaram US $ 2,1 milhões.

• Equipamento de fabricação de osciladores de precisão
• Máquinas de tecnologia de controle de frequência avançada
• Sistemas especializados de teste e calibração

Salários de pessoal técnico

Os custos totais de pessoal para a equipe técnica e de engenharia em 2023 foram de US $ 18,4 milhões.

Categoria de pessoal	Número de funcionários	Salário médio anual
Equipe de engenharia	95	$120,000
Especialistas técnicos	65	$105,000

Despesas de conformidade e certificação

Os custos relacionados à conformidade para 2023 totalizaram US $ 1,5 milhão, cobrindo as certificações militares e aeroespaciais.

• Certificação MIL-STD-810
• Sistema de gestão da qualidade aeroespacial AS9100
• Certificação de qualidade ISO 9001: 2015

Gerenciamento complexo da cadeia de suprimentos

A cadeia de suprimentos e as despesas de compras para 2023 foram de US $ 7,2 milhões.

Componente da cadeia de suprimentos	Despesa anual
Aquisição de matéria -prima	US $ 4,3 milhões
Logística e transporte	US $ 1,6 milhão
Gerenciamento de inventário	US $ 1,3 milhão

Frequency Electronics, Inc. (FEIM) - Modelo de negócios: fluxos de receita

Defesa do governo e contratos espaciais

Para o ano fiscal de 2023, a Frequency Electronics relatou receitas de contratos governamentais de US $ 19,4 milhões, representando aproximadamente 67% da receita total da empresa.

Tipo de contrato	Valor da receita	Porcentagem do total de contratos governamentais
Contratos de sistemas espaciais	US $ 12,3 milhões	63.4%
Contratos de sistemas de defesa	US $ 7,1 milhões	36.6%

Taxas de solução de engenharia personalizadas

As receitas de soluções de engenharia personalizadas para 2023 totalizaram US $ 3,6 milhões, representando aproximadamente 12,5% da receita total da empresa.

Vendas de componentes eletrônicos

As vendas de componentes eletrônicos para o ano fiscal de 2023 atingiram US $ 4,2 milhões, representando aproximadamente 14,5% da receita total da empresa.

Categoria de componente	Valor da receita	Segmento de mercado
Dispositivos de controle de frequência	US $ 2,1 milhões	Telecomunicações
Osciladores de precisão	US $ 1,5 milhão	Aeroespacial
Módulos de tempo	US $ 0,6 milhão	Industrial

Licenciamento de tecnologia

As receitas de licenciamento de tecnologia para 2023 totalizaram US $ 1,8 milhão, representando aproximadamente 6,2% da receita total da empresa.

• Tecnologias de comunicação por satélite Licenciamento: US $ 1,2 milhão
• Tecnologia de tempo de precisão Licenciamento: US $ 0,6 milhão

Serviços de consulta técnica

Os serviços de consulta técnica geraram US $ 0,9 milhão em receita para o ano fiscal de 2023, representando cerca de 3,1% da receita total da empresa.

Tipo de consulta	Valor da receita	Setor de clientes primários
Sincronização de frequência	US $ 0,5 milhão	Telecomunicações
Consultoria de integridade de sinal	US $ 0,4 milhão	Defesa

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.