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Fri. 24 Sep 2021, 4:05pm ETBenzinga
In: Earnings, Press Releases

SARATOGA SPRINGS, N.Y., Sept. 24, 2021 (GLOBE NEWSWIRE) -- Espey Mfg. & Electronics Corp. (NYSE:ESP) announces results for its fourth quarter and fiscal year, ended June 30, 2021.

For the fiscal year ended June 30, 2021, the Company reported net sales of $27,734,598 compared with $31,526,231 for the fiscal year ended June 30, 2020. Net loss for the year was $(181,543), $(0.08) per diluted share, compared with net income of $1,163,668, $0.49 per diluted share, for the fiscal year ended June 30, 2020. At June 30, 2021, the sales order backlog was $65.6 million, compared to last year's backlog of $54.9 million at June 30, 2020.

For the fourth quarter ended June 30, 2021, net sales decreased to $9,301,950 compared with last year's fourth quarter net sales of $12,124,438. The net income for the fourth quarter ended June 30, 2021 was $879,753, $0.36 per diluted share, compared with net income of $956,693, $0.40 per diluted share, for the corresponding period last year.

Also, new orders for the fiscal year ended June 30, 2021 were $38.5 million compared with the $40.9 million for the corresponding period last year.

Mr. Patrick Enright, President and CEO, commented,

In fiscal year 2021, impacts from the global pandemic challenged the Espey team in unprecedented ways. The effects of the global shortage of electronic components, the retraction of the commercial airline industry, and the continued decline in the transportation market we serve all contributed to our loss for the year. As reported in Q3, we had a pandemic-caused shutdown that deeply affected our team and our community. Our ability to retain valued employees and attract new personnel to support our growth faced challenges common to many businesses during the COVID era.

Looking forward it is apparent the challenges described above will continue to affect businesses worldwide. The focus of the entire Espey team, supported by our Board of Directors, is to deal with each challenge head-on and emerge from this period stronger than ever. Specifically, we will continue to work with our existing customers collaboratively to resolve issues and deliver product that supports their missions. Our increase in backlog of over $10 million in fiscal 2021 indicates our commitment to our customers is paying off. The fact that our loss for the year was just shy of $200,000, during a year in which we wrote down our commercial airline contract and absorbed cost growth from suppliers on a few major programs, demonstrates the continuing strength of other markets we serve and the more diverse lines of business we have achieved over the past few years.

Finally, the financial discipline demonstrated throughout fiscal 2021 resulted in a strong balance sheet and a conservation of cash that gives Espey the ability to weather the effects of the continuing pandemic, and positions us well to become profitable again and resume returns to shareholders we have historically achieved. As always, I appreciate the continued support of our investor community, our customers and most importantly our employees that remain dedicated to our mission and committed to our success.

Espey's primary business is the development, design, and production of specialized military and industrial power supplies/transformers. The Company can be found on the Internet at www.espey.com.

For further information, contact Mr. David O'Neil (518)245-4400.

This press release may contain certain statements that are "forward-looking statements" and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements represent the Company's current expectations or beliefs concerning future events. The matters covered by these statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those set forth in the forward-looking statements. The Company wishes to caution readers not to place undue reliance on any such forward-looking statements, which speak only as of the date made.