Orbit International Corp. Reports Consolidated Bookings in Excess of $5,000,000 in October 2022

Rhea-AI Summary

Orbit International Corp. (OTC PINK:ORBT) announced consolidated bookings exceeding $5 million for October 2022, marking its strongest month this year. The Electronics Group achieved approximately $3.1 million in bookings, bolstered by significant orders for a U.S. Army program. Additionally, the Power Group reported over $1.9 million in bookings, highlighting key contracts in armament systems and oil exploration. However, the company is facing delays in contract awards from the Department of Defense due to pandemic-related work restrictions and funding issues, impacting future order timelines.

Positive

• Consolidated bookings for October 2022 exceed $5 million, the strongest month for 2022.
• Electronics Group bookings total approximately $3.1 million, including over $2.35 million for U.S. Army program displays.
• Power Group bookings exceed $1.9 million, with significant orders for military and oil industry applications.

Negative

• Delays in contract awards from the DoD due to work restrictions, funding delays, and prioritization issues.
• Expected significant contract for VPX power supply postponed to 2023.

Both Electronics and Power Group Report Strong Booking Months

HAUPPAUGE, New York, Nov. 03, 2022 (GLOBE NEWSWIRE) -- Orbit International Corp. (OTC PINK:ORBT), an electronics manufacturer and software solution provider, today announced that consolidated bookings for the month of October 2022 were in excess of $5,000,000. Deliveries for some of these orders have already commenced and are expected to continue through the fourth quarter of 2023.

Mitchell Binder, President and CEO of Orbit International commented, “We are pleased to report that our consolidated bookings for the month of October were in excess of $5,000,000, representing our strongest booking month of 2022. Our Electronics Group (“OEG”) bookings were approximately $3,100,000 and were highlighted by two orders previously announced by our Q-Vio subsidiary. These orders, totaling in excess of $2,350,000, are for displays used on a major U.S. Army program. Our OEG bookings also include approximately $400,000 in orders received by our Simulator Product Solutions LLC (“SPS”) subsidiary."

Binder added, “Bookings from our Power Group (“OPG”), totaling in excess of $1,900,000, were the highest amount received in 2022 and were highlighted by (i) approximately $775,000 for a COTS power supply used for a major armament system; (ii) approximately $300,000 for production units used for oil and gas exploration; and (iii) approximately $325,000 for a follow-on order for COTS power supplies used on a major missile defense system. In addition, we have been working on a significant follow-on order with a customer utilizing our VPX power supply. However, although we expected to receive this award in 2022, it now appears this contract will not be received until at some point in 2023.”

Binder concluded, “Despite the strong month of bookings for both our operating groups, in addition to the aforementioned VPX opportunity, as previously reported both our OEG and OPG are experiencing continued delays in the awards of contracts on key programs. Several factors are causing delays on these awards, which are coming from the Department of Defense (“DoD”), including work restrictions related to the pandemic, a shifting of prioritization of certain contract awards from the DoD, funding delays due to increased prices and other timing issues. It should be noted that timing uncertainty in the receipt of contracts from our prime contractors doing business with the U.S government is an inherent factor in our industry. As in the past, although timing remains an uncertainty, we expect these contract awards to eventually be received, although some of these awards that were expected during the current year may be delayed until 2023.”

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 AC power supplies, frequency converters, inverters, VME/VPX power supplies as well as various COTS power sources.

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’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 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's ability to control or predict. Important factors that may cause actual results to differ materially and that could impact Orbit International and the statements contained in this news release can be found in Orbit's reports posted with the OTC Disclosure and News service. For forward-looking statements in this news release, Orbit claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Orbit 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

FAQ

What were the total bookings for Orbit International Corp. in October 2022?

Orbit International Corp. reported total bookings exceeding $5 million for October 2022.

What contributed to the strong bookings in October 2022 for ORBT?

Strong bookings in October were driven by $3.1 million from the Electronics Group and $1.9 million from the Power Group.

What challenges is Orbit International facing regarding contract awards?

Orbit International is experiencing delays in contract awards from the Department of Defense due to various factors including pandemic-related restrictions and funding issues.

When is Orbit International expecting the postponed VPX contract award?

Orbit International now expects the significant VPX power supply contract to be awarded in 2023, later than initially anticipated.