EMCORE Awarded Continuing Development Contract for Navigation-Grade Inertial Measurement Units for Advance Tactical Pods

Rhea-AI Summary

EMCORE Corporation (Nasdaq: EMKR) has secured a development contract from a major U.S. prime contractor to design and produce Inertial Measurement Units (IMUs) for Advanced Tactical Pods (ATP). This contract follows a $1.1M award in 2021 aimed at enhancing the ATP program's capabilities. EMCORE's IMUs utilize proprietary Fiber Optic Gyro and quartz accelerometer technology, notable for cost-efficiency and performance. Initial production units are expected to be delivered in 2022, marking a significant step in supporting the customer's aggressive rollout plan.

Positive

• Secured ongoing development contract for IMUs, indicating strong client relationships and demand.
• Utilization of proprietary technology offers competitive advantages in cost, size, weight, and power.
• Initial production units set for delivery in 2022, enhancing revenue prospects.

Negative

• Dependence on a limited number of customers poses a risk to revenue stability.
• Potential delays in product commercialization could affect financial performance.

ALHAMBRA, CA, Jan. 25, 2022 (GLOBE NEWSWIRE) -- EMCORE Corporation (Nasdaq: EMKR), a leading provider of advanced mixed-signal products that serve the aerospace & defense, communications, and sensing markets, announced today that it has been awarded a continuing development contract by a major U.S. prime contractor to finalize the design and establish low-rate initial production processes to manufacture high-end Inertial Measurement Units (IMU) for Advanced Tactical Pods (ATP).

For this contract, EMCORE expects to deliver initial production units that will be used for proof of manufacturing and system level qualification beginning in 2022. This contract follows the $1.1M contract awarded to EMCORE in 2021 for the continued advancement of the customer’s ATP program enabling them to demonstrate increased capabilities in support of their strategic rollout and growth initiatives for ATP.

ATP is an electro-optical targeting system housed in a single, lightweight pod designed for precision targeting, surveillance, and reconnaissance missions. This custom IMU will be based on EMCORE’s proprietary closed-loop Fiber Optic Gyro (FOG) and quartz accelerometer technology that delivers proven CSWaP (Cost, Size, Weight, and Power) and performance advantages over other FOGs and competing technologies. The unique IMU configuration is designed to deliver navigation-grade performance in ATPs in GPS denied environments.

“We are extremely pleased to be selected by an important customer for this strategically significant program to develop a unique, high-performance IMU for this demanding application,” said David Hoyh, EMCORE’s Director of Sales & Marketing for navigation products. “EMCORE once again demonstrated its ability to quickly move through proof of design to satisfy the customer’s program requirements for this complex IMU in support of an aggressive roll-out plan for the Advanced Tactical Pods.”

We would welcome a deeper engagement with technical teams around the world to explore how our current and upcoming products could meet your needs for guidance, navigation, and control. For further discussion and specifications, call +1 866-234-4976; e-mail navigation-sales@emcore.com; or visit us on the web: www.emcore.com/nav.

About EMCORE
EMCORE Corporation is a leading provider of advanced mixed-signal products that serve the aerospace & defense, communications, and sensing markets. Our best-in-class components and systems support a broad array of applications including navigation and inertial sensing, defense optoelectronics, broadband communications, optical sensing, and specialty chips for telecom and data center. We leverage industry-leading Quartz MEMS, Lithium Niobate, and Indium Phosphide chip-level technology to deliver state-of-the-art component and system-level products across our end-market applications. EMCORE has vertically-integrated manufacturing capability at its wafer fabrication facility in Alhambra, CA, and Quartz MEMS manufacturing facility in Concord, CA. Our manufacturing facilities maintain ISO 9001 quality management certification, and we are AS9100 aerospace quality certified at our facility in Concord. For further information about EMCORE, please visit http://www.emcore.com.

Forward-looking statements:
The information provided herein may include forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, as amended. Such statements include statements regarding EMCORE's plans, strategies, business prospects, growth opportunities, changes, and trends in our business and expansion into new markets. These forward-looking statements are based on management's current expectations, estimates, forecasts, and projections about EMCORE and are subject to risks and uncertainties that could cause actual results and events to differ materially from those stated in the forward-looking statements, including without limitation, the following: (a) uncertainties regarding the effects of the COVID-19 pandemic and the impact of measures intended to reduce its spread on our business and operations, which is evolving and beyond our control; (b) the rapidly evolving markets for EMCORE's products and uncertainty regarding the development of these markets; (c) EMCORE's historical dependence on sales to a limited number of customers and fluctuations in the mix of products and customers in any period; (d) delays and other difficulties in commercializing new products; (e) the failure of new products: (i) to perform as expected without material defects, (ii) to be manufactured at acceptable volumes, yields, and cost, (iii) to be qualified and accepted by our customers, and (iv) to successfully compete with products offered by our competitors; (f) uncertainties concerning the availability and cost of commodity materials and specialized product components that we do not make internally; (g) actions by competitors; and (h) other risks and uncertainties discussed under Item 1A - Risk Factors in our Annual Report on Form 10-K for the fiscal year ended September 30, 2021, as updated by our subsequent periodic reports. Forward-looking statements contained in this press release are made only as of the date hereof, and EMCORE undertakes no obligation to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise.

Contact:

EMCORE Corporation

David Wojciechowski
Vice President of Sales, Marketing and Business Development
(626) 293-3715
davewojo@emcore.com

Investor
Tom Minichiello
Chief Financial Officer
(626) 293-3400
investor@emcore.com

Media
Joel Counter
Director, Corporate & Marketing Communications
(626) 999-7017
media@emcore.com

FAQ

What contract has EMCORE Corporation (EMKR) recently secured?

EMCORE has secured a development contract for Inertial Measurement Units (IMUs) for Advanced Tactical Pods (ATP).

When does EMCORE expect to deliver initial production units for the ATP program?

EMCORE expects to deliver initial production units in 2022.

What is the financial value of the previous contract awarded to EMCORE for the ATP program?

The previous contract awarded in 2021 was valued at $1.1 million.

What technology does EMCORE's IMU utilize?

EMCORE's IMU utilizes proprietary Fiber Optic Gyro and quartz accelerometer technology.

How does the IMU technology benefit the Advanced Tactical Pods?

The IMU technology provides cost, size, weight, and power advantages, along with navigation-grade performance in GPS denied environments.