Orbit International Corp. Reports 2025 Year End Results
Rhea-AI Summary
Orbit International (OTC:ORBT) reported a 2025 net loss of $5.03M ($1.51 per share) versus a $0.65M loss in 2024, on 2025 sales of $22.45M down from $29.90M. EBITDA, as adjusted, was a loss of $3.97M. Backlog rose slightly to $12.2M. Cash totaled approximately $684k with $2.475M drawn on a $4.0M LOC. Management cited a delayed OPG shipment (~$1.4M revenue shifted to 2026), supply-chain and legal costs as drivers of the year’s results, and noted SPS proposals of about $5.0M since Jan 1, 2026.
Positive
- Backlog up ~1.7% to $12.2M at year-end
- SPS proposals of approximately $5.0M since Jan 1, 2026
- Federal NOL carryforwards of approximately $10.0M
Negative
- Sales -25% YoY to $22.45M in 2025
- Net loss widened to $5.025M in 2025 from $0.646M
- EBITDA, as adjusted, loss of $3.971M in 2025
- Cash balance only $684k with $2.475M LOC borrowings
- Gross margin down to 25.6% from 33.3% (770 bps)
News Market Reaction – ORBT
On the day this news was published, ORBT declined 10.38%, reflecting a significant negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
2025 Net Loss of
2025 EBITDA, As Adjusted, was a loss of
Fourth Quarter 2025 Net Loss of
Fourth Quarter 2025 EBITDA, As Adjusted, was a loss of
Backlog at December 31, 2025 was approximately
HAUPPAUGE, N.Y., March 18, 2026 (GLOBE NEWSWIRE) -- Orbit International Corp. (OTCID Basic Market:ORBT) today announced results for the fourth quarter and the year ended December 31, 2025.
Fourth Quarter 2025 vs. Fourth Quarter 2024
- Net sales were
$6,726,000 , as compared to$8,708,000. - Gross margin was
28.6% , as compared to34.6% . - Net loss was
$708,000 ($0.21 loss per share), as compared to net loss of$252,000 ($0.08 loss per share). - Earnings before interest, taxes, depreciation and amortization, fair value adjustment on contingent liabilities (earn-out) and other non-current liability, contingent liability (legal matter) and stock-based compensation (EBITDA, as adjusted) was a loss of
$465,000 ($0.14 loss per share), as compared to earnings of 383,000 ($0.11 per diluted share).
Full Year 2025 vs. Full Year 2024
- Net sales were
$22,450,000 , as compared to$29,898,000. - Gross margin was
25.6% , as compared to33.3% . - Net loss was
$5,025,000 ($1.51 loss per share), as compared to a net loss of$646,000 ($0.19 loss per share). - Earnings before interest, taxes, depreciation and amortization, fair value adjustment on contingent liabilities (earn-out) and other non-current liability, contingent liability (legal matter) and stock-based compensation (EBITDA, as adjusted) was a loss of
$3,971,000 ($1.19 loss per share), as compared to earnings of$159,000 ($0.05 per diluted share). - Backlog at December 31, 2025 was
$12.2 million compared to$12.0 million at December 31, 2024.
Mitchell Binder, President and CEO of Orbit International commented, “Unfortunately, 2025 was a very challenging period for our Company. Lower anticipated bookings in 2024 and the first half of 2025 affected 2025 delivery schedules for our various business units. Delivery schedules were lined up more favorably in the second half of 2025; however, a single supply chain issue undermined significant scheduled shipments to an Orbit Power Group (“OPG”) customer during the third and fourth quarters and approximately
Binder added, “Our current fourth quarter operating results were negatively affected by the aforementioned delayed shipment from our OPG as well as lower sales by SPS. In addition, our fourth quarter was adversely affected by several one-time charges. Despite higher sales from our Orbit Instrument division, higher than expected outside test service costs were incurred in connection with the qualification of newly designed units on three separate programs. Our consolidated net loss for the fourth quarter was approximately
Binder noted, “Operating results for SPS for the three months and twelve months ended December 31, 2025, were adversely impacted by lower sales in the current and twelve month periods, a consequence of reduced bookings in the second half of 2024 and lower than expected bookings throughout 2025. Prior period revenues during 2024 were positively impacted by higher bookings during the 2023 fiscal year. 2025 bookings were also negatively affected by ongoing opportunities that were not yet finalized in 2025 and certain lost opportunities, primarily due to lack of funding or our customers losing awards to competitors. However, bookings for SPS in 2025 did slightly improve from bookings in 2024 and proposals for new and follow-on opportunities have significantly increased. In addition, we incurred significant infrastructure costs in 2023 and 2024 in order to support SPS’ sales increase since the Company’s acquisition of the SPS business in 2022. At the time of the SPS acquisition, we anticipated the need to invest in infrastructure and internal controls in order to bring SPS up to the standards of a public company. However, after several quarters of personnel and cost increases, we have taken precautionary measures to trim certain costs as we continue to align our organization to support our growth while striving to improve our operating results.”
Mr. Binder added, “Our sales for the twelve months ended December 31, 2025, decreased significantly to
Mr. Binder further added, “Our gross margin for the twelve months ended December 31, 2025, decreased to
Mr. Binder added, “For the twelve months ended December 31, 2025, selling, general and administrative expenses were
Mr. Binder continued, “Backlog at December 31, 2025, was approximately
David Goldman, Chief Financial Officer, noted, “At December 31, 2025, our cash and cash equivalents aggregated approximately
Mr. Binder added, “Because our revenues are tied to delivery schedules specified in our contracts, it is often difficult to judge our performance on a quarterly basis. Our operating results for the twelve months ended December 31, 2025, resulted from weak bookings in the second half of 2024 and throughout 2025 that primarily emanated from contract delays. These contract delays have particularly affected our Orbit Instrument division, which has historically been our most profitable business. Although we received some of the contracts at the end of the year, the number of proposals for follow-on business has grown with outstanding proposals from this division totaling approximately
Mr. Binder concluded, “Improved bookings from both our OPG and SPS subsidiary have carried over into the 2026 year. In particular, since January 1, 2026, SPS has proposed approximately
Orbit International Corp., through its Electronics Group, is involved in the development and manufacture of custom electronic device and subsystem solutions for military, industrial and commercial applications through its production facilities in Hauppauge, NY and Carson, CA. Orbit’s Power Group, also located in Hauppauge, NY, designs and manufactures a wide array of power products including VPX, COTS (Commercial-off-the-shelf) and commercial power supplies.
Certain matters discussed in this news release and oral statements made from time to time by representatives of the Company including statements regarding our expectations of Orbit International Corp.’s operating plans, deliveries under contracts and strategies generally; statements regarding our expectations of the performance of our business; expectations regarding costs and revenues, future operating results, additional orders, future business opportunities and continued growth may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and the Federal securities laws. Although Orbit International Corp. believes that the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that its expectations will be achieved.
Forward-looking information is subject to certain risks, trends and uncertainties that could cause actual results to differ materially from those projected. Many of these factors are beyond Orbit International Corp.’s ability to control or predict. Important factors that may cause actual results to differ materially and that could impact Orbit International Corp. and the statements contained in this news release can be found in Orbit International Corp.’s reports posted with the OTC Disclosure and News service. For forward-looking statements in this news release, Orbit International Corp. claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Orbit International Corp. assumes no obligation to update or supplement any forward-looking statements whether as a result of new information, future events or otherwise.
CONTACT
David Goldman
Chief Financial Officer
631-435-8300
(See Accompanying Tables)
| Orbit International Corp. Consolidated Statements of Operations (in thousands, except per share data) | ||||||||||||||||
| Three Months Ended December 31, (unaudited) | Year Ended December 31, (unaudited) (audited) | |||||||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||||||
| Net sales | $ | 6,726 | $ | 8,708 | $ | 22,450 | $ | 29,898 | ||||||||
| Cost of sales | 4,805 | 5,695 | 16,696 | 19,945 | ||||||||||||
| Gross profit | 1,921 | 3,013 | 5,754 | 9,953 | ||||||||||||
| Selling general and administrative | 2,502 | 2,716 | 10,375 | 10,439 | ||||||||||||
| expenses | ||||||||||||||||
| Interest expense | 53 | 86 | 159 | 119 | ||||||||||||
| Other expense (income), net | 69 | (3 | ) | 109 | (436 | ) | ||||||||||
| (Loss) income before income taxes | (703 | ) | 214 | (4,889 | ) | (169 | ) | |||||||||
| Income tax provision | 5 | 466 | 136 | 477 | ||||||||||||
| Net loss | $ | (708 | ) | $ | (252 | ) | $ | (5,025 | ) | $ | (646 | ) | ||||
| Basic loss per share | $ | (0.21 | ) | $ | (0.08 | ) | $ | (1.51 | ) | $ | (0.19 | ) | ||||
| Diluted loss per share | $ | (0.21 | ) | $ | (0.08 | ) | $ | (1.51 | ) | $ | (0.19 | ) | ||||
| Weighted average number of shares outstanding: | ||||||||||||||||
| Basic | 3,334 | 3,339 | 3,331 | 3,343 | ||||||||||||
| Diluted | 3,334 | 3,339 | 3,331 | 3,343 | ||||||||||||
| Orbit International Corp. Consolidated Statements of Operations (in thousands, except per share data) (unaudited) | ||||||||||||||||
| Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||||||
| EBITDA (as adjusted) Reconciliation | ||||||||||||||||
| Net loss | $ | (708 | ) | $ | (252 | ) | $ | (5,025 | ) | $ | (646 | ) | ||||
| Income tax expense | 5 | 466 | 136 | 477 | ||||||||||||
| Depreciation and amortization | 157 | 79 | 658 | 582 | ||||||||||||
| Interest expense | 53 | 86 | 159 | 119 | ||||||||||||
| Fair value adj-contingent liabilities (earn-out) & other non-current liability | - | - | - | (387 | ) | |||||||||||
| Contingent liability (legal matter) | 25 | - | 88 | - | ||||||||||||
| Stock-based compensation | 3 | 4 | 13 | 14 | ||||||||||||
| EBITDA (as adjusted)(1) | $ | (465 | ) | $ | 383 | $ | (3,971 | ) | $ | 159 | ||||||
| EBITDA (as adjusted) Per Diluted Share Reconciliation | ||||||||||||||||
| Net loss | $ | (0.21 | ) | $ | (0.08 | ) | $ | (1.51 | ) | $ | (0.19 | ) | ||||
| Income tax expense | 0.00 | 0.14 | 0.04 | 0.14 | ||||||||||||
| Depreciation and amortization | 0.05 | 0.02 | 0.20 | 0.17 | ||||||||||||
| Interest expense | 0.01 | 0.03 | 0.05 | 0.04 | ||||||||||||
| Fair value adj-contingent liabilities (earn-out) & other non-current liability | 0.00 | 0.00 | 0.00 | (0.11 | ) | |||||||||||
| Contingent liability (legal matter) | 0.01 | 0.00 | 0.03 | 0.00 | ||||||||||||
| Stock-based compensation | 0.00 | 0.00 | 0.00 | 0.00 | ||||||||||||
| EBITDA (as adjusted), per diluted share (1) | $ | (0.14 | ) | $ | 0.11 | $ | (1.19 | ) | $ | 0.05 | ||||||
(1) The EBITDA (as adjusted) tables presented are not determined in accordance with accounting principles generally accepted in the United States of America. Management uses EBITDA (as adjusted) to evaluate the operating performance of its business. It is also used, at times, by some investors, securities analysts and others to evaluate companies and make informed business decisions. EBITDA (as adjusted) is also a useful indicator of the income generated to service debt. EBITDA (as adjusted) is not a complete measure of an entity's profitability because it does not include costs and expenses for interest, depreciation and amortization, income taxes, fair value adj.-contingent liabilities (earn-out) and other non-current liability, contingent liability (legal matter) and stock-based compensation. EBITDA (as adjusted) as presented herein may not be comparable to similarly named measures reported by other companies.
| Year Ended December 31, | ||||||||
| Reconciliation of EBITDA, as adjusted, to cash flows provided by (used in) operating activities(1) | 2025 | 2024 | ||||||
| EBITDA (as adjusted) | $ | (3,971 | ) | $ | 159 | |||
| Income tax expense | (36 | ) | (32 | ) | ||||
| Interest expense | (159 | ) | (119 | ) | ||||
| Fair value adj-contingent liabilities (earn-out) and other non-current liability | - | 387 | ||||||
| Contingent liability (legal matter) | (88 | ) | - | |||||
| Stock-based compensation | 28 | 29 | ||||||
| Amortization of right-of-use assets | 739 | - | ||||||
| Net change in operating assets and liabilities | 1,377 | (425 | ) | |||||
| Cash flows used in operating activities | $ | (2,110 | ) | $ | (1 | ) | ||
| Orbit International Corp. Consolidated Balance Sheet | ||||||
| December 31, 2025 (unaudited) | December 31, 2024 (audited) | |||||
| ASSETS | ||||||
| Current assets: | ||||||
| Cash and cash equivalents | $ | 684,000 | $ | 1,355,000 | ||
| Accounts receivable, less allowance for credit losses | 2,985,000 | 3,935,000 | ||||
| Inventories | 8,472,000 | 8,884,000 | ||||
| Contract assets | 1,420,000 | 643,000 | ||||
| Other current assets | 307,000 | 428,000 | ||||
| Total current assets | 13,868,000 | 15,245,000 | ||||
| Property and equipment, net | 892,000 | 1,192,000 | ||||
| Right of use assets, operating leases | 1,770,000 | 2,297,000 | ||||
| Right of use assets, financing leases | 38,000 | 77,000 | ||||
| Goodwill | 3,515,000 | 3,515,000 | ||||
| Intangible assets, net | 2,080,000 | 2,322,000 | ||||
| Deferred tax asset | - | 100,000 | ||||
| Other assets | 51,000 | 53,000 | ||||
| Total assets | $ | 22,214,000 | $ | 24,801,000 | ||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||
| Current liabilities: | ||||||
| Accounts payable | 1,079,000 | 878,000 | ||||
| Accrued expenses | 1,020,000 | 990,000 | ||||
| Notes payable | 67,000 | 99,000 | ||||
| Lease liabilities, operating leases | 807,000 | 717,000 | ||||
| Lease liabilities, financing leases | 41,000 | 38,000 | ||||
| Contingent liability | 1,450,000 | 1,362,000 | ||||
| Customer advance | 1,404,000 | 296,000 | ||||
| Line of credit | 2,475,000 | 850,000 | ||||
| Total current liabilities | 8,343,000 | 5,230,000 | ||||
| Notes payable, net of current portion | 43,000 | 83,000 | ||||
| Lease liability, operating lease | 1,041,000 | 1,678,000 | ||||
| Lease liability, financing lease | - | 41,000 | ||||
| Total liabilities | 9,427,000 | 7,032,000 | ||||
| Stockholders’ Equity | ||||||
| Common stock | 353,000 | 351,000 | ||||
| Additional paid-in capital | 17,212,000 | 17,171,000 | ||||
| Treasury stock | (1,224,000 | ) | (1,224,000 | ) | ||
| (Accumulated deficit) retained earnings | (3,554,000 | ) | 1,471,000 | |||
| Stockholders’ equity | 12,787,000 | 17,769,000 | ||||
| Total liabilities and stockholders’ equity | $ | 22,214,000 | $ | 24,801,000 | ||
FAQ
What caused Orbit International (ORBT) to report a $5.03M net loss in 2025?
How much did ORBT revenue decline in 2025 compared with 2024?
What is Orbit International's (ORBT) liquidity position at December 31, 2025?
What backlog and near-term opportunities did ORBT report entering 2026?
How did gross margin and EBITDA, as adjusted, change for ORBT in 2025?
