Solitron Devices, Inc. reported fiscal 2026 third‑quarter revenue of $5.02 million, up 49% from $3.99 million in the prior quarter and 49% from $3.37 million in the same period a year earlier. Net income rose to $0.65 million, or $0.31 per share, compared with $0.27 million ($0.13 per share) in the fiscal 2025 third quarter, reflecting stronger top‑line growth and improved operating leverage.
The company’s backlog expanded to $27.48 million, a 124% increase from $12.28 million at the end of the fiscal 2025 third quarter. The surge is largely attributable to the AMRAAM Lot 39 order, which added a substantial volume of high‑margin defense contracts and reinforced Solitron’s position as a key supplier for the U.S. missile program.
Gross profit fell year‑to‑year, driven by higher material costs and tariff expenses that eroded the 34% gross margin reported for the quarter. SG&A rose to $344,000, largely due to a one‑time fully vested stock grant to the board and recurring options for the COO. The margin compression underscores the company’s exposure to commodity price swings and the impact of tariff adjustments on its cost base.
Management highlighted ongoing product development and prototype testing, emphasizing a strategy to broaden revenue streams beyond its current customer base. The company’s leadership expressed confidence that the backlog growth and new product pipeline will sustain demand momentum in the defense and aerospace markets, while acknowledging the need to manage cost pressures and supply‑chain volatility.
Overall, Solitron’s earnings demonstrate robust demand for its high‑reliability power semiconductor products, with backlog expansion providing a clear view of near‑term revenue. The company faces headwinds from material cost inflation and tariff increases, but its strategic focus on product innovation and defense contracts positions it well for continued growth.
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