Shimmick Launches Axia Electric LLC to Expand Specialized Electrical Offerings Across Infrastructure Markets

Rhea-AI Summary

Shimmick Corporation (Nasdaq: SHIM) has announced the launch of Axia Electric LLC, a specialized electrical subsidiary focused on delivering electrical and power distribution solutions. The new entity will serve low- and medium-voltage markets, with additional focus on commissioning and O&M services.

Under the leadership of President Fernando DeLeon, Axia Electric has already secured $42 million in new electrical contracts from various clients including Orange County Sanitation District and Redwood Materials. The company currently has over $380 million in active electrical construction projects under contract and employs more than 150 skilled workers.

Positive

• Recently secured $42 million in new electrical contracts
• Strong existing portfolio with over $380 million in active electrical construction projects
• Established workforce of 150+ skilled employees
• Strategic expansion into specialized electrical services market through new subsidiary
• Diversified client base across public and private sectors

Negative

• None.

Insights

Financial Analyst

Shimmick's launch of Axia Electric strategically expands revenue streams with $42M in new contracts and $380M total electrical work backlog.

Shimmick's formation of Axia Electric LLC represents a strategic move to capitalize on growing demand for specialized electrical services across infrastructure markets. The company is leveraging its 20+ years of experience in this sector to create a dedicated subsidiary that can better target specific market opportunities.

The announcement highlights $42 million in recent electrical contract wins from municipal and private clients, demonstrating immediate market traction. More significantly, Shimmick reports over $380 million in active electrical construction projects under contract, providing substantial revenue visibility and establishing a solid foundation for the new entity.

This organizational restructuring allows Shimmick to better position itself in the high-demand electrical and power services market while maintaining its core heavy civil capabilities. By creating a dedicated subsidiary with specialized focus, the company can pursue growth opportunities more effectively while potentially improving operational efficiency.

The strategic rationale appears sound as infrastructure modernization continues across water, industrial, aviation, transportation, and energy sectors. Axia Electric's self-perform model should provide cost control advantages, while its turnkey solution capabilities may create opportunities for higher-margin work compared to traditional contracting.

For investors, this represents a calculated expansion that leverages existing expertise rather than a high-risk diversification. The substantial backlog of electrical work provides near-term revenue stability while the company positions itself for additional growth in this specialized market segment.

Shimmick has recently received electrical contracts totaling $42 million, with total electrical work under contract exceeding $380 million

IRVINE, Calif., June 23, 2025 (GLOBE NEWSWIRE) -- Shimmick Corporation (“Shimmick” or the “Company”) (Nasdaq: SHIM), a national leader in complex infrastructure solutions, is proud to announce the launch of Axia Electric LLC (Axia Electric), a dedicated electrical subsidiary designed to meet growing market demand for specialized, high-performance electrical and power distribution solutions.

Axia Electric builds on more than 20 years of Shimmick’s proven success delivering complex electrical systems for clients across the public and private sectors—including municipalities, airports, ports, technology companies, developers, and industrial manufacturers. The new standalone entity will serve low- and medium-voltage markets, with an additional focus on commissioning and operations and maintenance (O&M) services.

“Our electrical team has a longstanding track record of delivering outstanding results on some of the nation’s most critical infrastructure,” said Ural Yal, CEO of Shimmick. “With Axia Electric, we’re sharpening that focus to better serve a growing market and increasing demands from our customers for our electrical and power services. Axia allows us to scale in this high-demand market and deliver greater value to our clients who are increasingly seeking specialized electrical expertise and complement our offering with Shimmick’s proven heavy civil capabilities.”

Axia Electric will serve a range of infrastructure markets, including water, industrial, mission-critical, aviation, transportation, transit, and energy. The subsidiary’s self-perform model, strong safety culture, and ability to deliver turnkey solutions offer our clients the best possible budget and schedule outcomes.

“With more than 150 skilled employees and an industry-leading track record in safety and quality, Axia Electric will be well-positioned to grow and lead,” said Fernando DeLeon, President of Axia Electric. “In this growing segment of the industry, our clients are demanding more from their contractor partners—and we’re ready to meet that demand with focus, expertise, and agility.”

Under the leadership of Mr. DeLeon, Shimmick is proud to announce recent electrical contract awards totaling $42 million. These include projects for the Orange County Sanitation District, the San Francisco Public Utilities Commission, and the City of Santa Cruz in California, as well as Redwood Materials in Nevada. Currently, Shimmick has over $380 million in active electrical construction projects under contract. The company is enthusiastic about the growth opportunities presented by Axia Electric LLC, which builds on Shimmick's extensive electrical expertise.

Media Contact:
Tonya Sandman, Director of Marketing & Communications
tonya.sandman@shimmick.com

Investor Relations Contact:
1-949-704-2350
IR@shimmick.com

FAQ

What is Axia Electric LLC and when was it launched by Shimmick (SHIM)?

Axia Electric LLC is Shimmick's new electrical subsidiary launched in June 2025, focusing on specialized electrical and power distribution solutions for low- and medium-voltage markets.

How much in electrical contracts does Shimmick (SHIM) currently have under contract?

Shimmick has over $380 million in active electrical construction projects under contract, with $42 million in recent new contract awards.

Who is leading Axia Electric LLC and how many employees does it have?

Axia Electric LLC is led by President Fernando DeLeon and employs more than 150 skilled workers.

What markets will Axia Electric LLC serve?

Axia Electric will serve various infrastructure markets including water, industrial, mission-critical, aviation, transportation, transit, and energy.

What recent contracts has Shimmick (SHIM) secured through Axia Electric?

Shimmick has secured $42 million in new contracts from clients including the Orange County Sanitation District, San Francisco Public Utilities Commission, City of Santa Cruz in California, and Redwood Materials in Nevada.