Solitron Devices, Inc. reported preliminary fiscal 2025 fourth‑quarter results for the period ended February 28, 2026, showing revenue of $5.3 million, up 70% from $3.1 million in the same quarter a year earlier. The company’s gross profit fell within a range of $2.1 million to $2.2 million, while operating income rose to $1.3 million to $1.4 million, reflecting improved operating leverage as higher‑margin defense contracts offset lower‑margin commercial sales.
Pre‑tax income was $0.9 million to $1.0 million after a one‑time charge of $0.3 million to $0.4 million related to an increased contingent consideration for the acquisition of Micro Engineering Inc. (MEI). The charge reflects MEI’s higher backlog, which has pushed the earnout target upward and demonstrates the acquisition’s positive contribution to Solitron’s revenue base.
Bookings for the quarter were down compared with the same period a year earlier, largely because the company received the AMRAAM Lot 39 order from RTX in the third quarter of fiscal 2026, following the Lot 38 order in the fourth quarter of fiscal 2025. The timing shift reduced quarterly bookings but is expected to generate additional revenue in the next quarter, supporting the company’s long‑term backlog growth.
The company’s backlog increased 51% year‑over‑year, underscoring robust demand in the defense sector and the strategic value of the MEI acquisition, which added PCBA, SMT, and system‑level box build capabilities to Solitron’s portfolio. Management remains cautiously optimistic about multi‑year defense orders, noting that procurement cycles can be slow but that the backlog positions the company for future revenue growth.
Solitron’s board is evaluating strategic alternatives, including a potential sale, acquisition, or return of capital. A data room has been established for interested parties, and the company has not yet engaged an investment banker. The company’s focus on advanced power semiconductor technologies such as silicon carbide (SiC) and gallium nitride (GaN) continues to support its competitive positioning in the aerospace and defense markets.
The preliminary results suggest that Solitron’s operating leverage is improving, with operating income rising to the $1.3 million to $1.4 million range, while the one‑time charge associated with the MEI earnout is a temporary headwind to pre‑tax income. The company’s guidance for the full fiscal year remains unchanged, indicating confidence in maintaining profitability amid a lumpy defense procurement cycle.
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