Espey Mfg & Electronics (ESP) Q3 2025 earnings summary

Executive summary

• Q3 FY2025 net sales rose 24.8% YoY to $10.3M; net income increased to $1.70M from $1.03M, supported by higher gross profit and interest income.

• Nine-month sales advanced 26.7% YoY to $34.4M, while net income reached $5.21M versus $3.92M.

Financial highlights

• Q3 operating income was $1.75M versus $1.09M YoY; nine-month operating income was $5.49M versus $4.41M.

• Q3 gross profit increased to $2.95M from $2.06M; nine-month gross profit rose to $8.91M from $7.45M.

• Q3 basic/diluted EPS was $0.66/$0.63 versus $0.41/$0.40; nine-month EPS was $2.03/$1.95 versus $1.58/$1.56.

Outlook and guidance

• FY2025 revenue and EPS are expected to exceed FY2024, driven mainly by backlog shipments in Q4 and product mix.

• At least $9.6M of March 31 backlog was expected to ship in FY2025, subject to delivery and other execution factors; this excludes later orders.

• Backlog recognition estimate: 7.0% in FY2025, 35.9% in FY2026, 12.3% in FY2027 and 44.8% thereafter; timing may change.