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Precision Optics secures $720k defense order

EditorEmilio Ghigini
Published 18/04/2024, 14:32
POCI
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GARDNER, Mass. - Precision Optics Corporation, Inc. (NASDAQ: POCI), a company specializing in advanced optical instruments for medical and defense applications, has announced the receipt of a $720,000 follow-on production order from a leading defense and aerospace company.

This latest order contributes to a total of over $1.9 million in production orders from this client for a commercial application utilizing Precision Optics' proprietary technology for micro-optics systems.

The initial order from the unnamed top-tier defense company was valued at $680,000 in September 2023, followed by additional orders in November and December 2023, amounting to $517,000. The company expects to deliver all current orders for this program by August 2024.

Dr. Joe Forkey, CEO of Precision Optics, expressed confidence in the company's ongoing growth, citing the consistent demand for their high-performance optical assemblies as a catalyst for strong sequential revenue growth throughout fiscal year 2024. He also indicated potential for continued order volumes into the next fiscal year and beyond, highlighting the company's expansion efforts in the defense and aerospace market.

Founded in 1982, Precision Optics leverages its expertise in micro-optics and imaging technologies to serve the healthcare and defense/aerospace industries, offering services from concept development to mass manufacturing.

The company is known for its design and production of imaging systems for minimally invasive surgery, including single-use medical devices and 3D endoscopy systems, which are essential for the growing surgical robotics field.

Precision Optics' success in securing and fulfilling orders for complex optical products underscores its position in the market and its role in supporting next-generation applications requiring exacting quality standards.

This announcement is based on a press release statement.

InvestingPro Insights

Precision Optics Corporation, Inc. (NASDAQ: POCI) has been making strides in the defense and aerospace sector with its advanced optical instruments. While the company's technology and recent orders highlight its market presence, a look at the financial metrics and InvestingPro Tips can provide investors with a deeper understanding of its performance and potential.

InvestingPro Data:

  • The company's market capitalization stands at $33.44 million, reflecting its size in the industry relative to its peers.
  • With a negative P/E ratio of -20.06, the company is not profitable as of the last twelve months. This is further reflected in an adjusted P/E ratio for the last twelve months as of Q2 2024, which has improved slightly to -15.45.
  • Revenue for the last twelve months as of Q2 2024 is reported at $19.22 million, with a gross profit of $6.41 million during the same period. However, the company has experienced a revenue decline of -5.87% over the last twelve months, indicating potential challenges in sales growth.

InvestingPro Tips:

1. Precision Optics operates with a moderate level of debt, which could be a factor for investors to consider when assessing the company’s financial health and risk profile.

2. The company has not been profitable over the last twelve months, which is an important consideration for investors looking for current earnings as part of their investment thesis.

For investors interested in a comprehensive analysis of Precision Optics' financials and future outlook, there are additional InvestingPro Tips available on the InvestingPro platform. By visiting https://www.investing.com/pro/POCI, readers can find more insights and make more informed decisions. To further enhance the value of a subscription, use coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription. With these tools at hand, investors can better navigate the complexities of investing in companies like Precision Optics that are at the crossroads of technology and growth.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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