Jon deRoy Gruber's questions to Frequency Electronics Inc (FEIM) leadership • Q1 2025
Question
Jon deRoy Gruber of Gruber McBaine questioned the low order volume in the quarter, which resulted in a book-to-bill ratio of 0.4 and a decline in backlog, and asked when the company expects to replenish its order book with new contracts.
Answer
Executive Thomas McClelland acknowledged the low orders, attributing the weakness to the inherent unpredictability of government contract timing. He expressed confidence that the backlog would be replenished, stating that the company anticipates significant new business in the current quarter and beyond from both satellite and non-satellite programs, though he declined to provide specific project details until they are under contract.