- Frequency Electronics (FEIM, Financial) clarifies its revenue projections for its TURbO atomic clock, projecting a much larger market potential beyond initial estimates.
- The company expects a market opportunity exceeding $20 million by FY2027 due to increasing demand in drone and radar applications.
- Department of Defense initiatives to expand U.S. drone capabilities could significantly enhance FEIM's market reach.
Frequency Electronics, Inc. (NASDAQ: FEIM) has issued a clarification regarding its revenue expectations for the TURbO (Time Unit Rubidium Oscillator) compact atomic clock, as discussed in the recent earnings call. The company confirmed that while they anticipate $1 million to $2 million in revenue by FY2026 from orders received since TURbO's launch, this figure underestimates the broader market potential for this technology.
The TURbO atomic clock is expected to penetrate a broader market with a projected opportunity exceeding $20 million by FY2027. This growth will principally be driven by expanding applications in drone technology and traditional aircraft radar systems. This positive outlook is bolstered by the recent Department of Defense announcement aimed at enhancing U.S. drone manufacturing capabilities and increasing drone utilization in military training, which aligns with TURbO's market targets.
Additionally, Frequency Electronics is preparing to provide further updates on advancements in quantum sensing and magnetometer technology, aiming to capitalize on these cutting-edge developments in the near future.
