CONTACT David Goldman Chief Financial Officer 631-435-8300
ORBIT INTERNATIONAL CORP. REPORTS FIRST QUARTER BOOKINGS IN EXCESS OF $6,900,000
Power Group Bookings Exceed $1,200,000 for Month of March 2020
Hauppauge, New York, April 7, 2020– Orbit International Corp. (OTC PINK:ORBT), an electronics manufacturer and software solution provider, today announced that consolidated bookings for the first quarter of 2020 exceeded $6,900,000. In addition, the Company also reported that bookings for its Power Group (“OPG”) exceeded $1,200,000 for the month of March 2020.
First quarter bookings were highlighted by a previously announced order by our Orbit Electronics Group (“OEG”) of approximately $2,300,000 for keyboards used on a major military aviation program. Other orders received during the quarter for the OEG consisted primarily of displays and control panels. In addition, our OPG reported bookings for the month of March 2020 in excess of $1,200,000, which consisted of a more than $400,000 order for VPX power supplies and a more than $300,000 follow-on order for a power supply used on a major military program. Deliveries for certain of these contracts have already commenced. Deliveries for all these contracts are expected to occur through the first quarter of 2022.
Mitchell Binder, President and CEO of Orbit International commented, “This solid consolidated booking quarter in excess of $6,900,000 comes on the heels of similarly solid bookings in our fourth quarter of 2019 that exceeded $7,100,000. This should well position our delivery schedules in 2020, particularly in the second half of the year. In addition, near the end of the first quarter, our newly acquired Q-Vio subsidiary delivered on a relatively significant order to a major prime contractor which we anticipate will result in a series of follow-on orders beginning with an expected order at the end of the current quarter.”
Binder added, “Our Company, along with other companies and communities continue to be faced with challenges from the COVID-19 pandemic. However, our Company is part of the U.S. Defense Industrial Base (“DIB”) which consists of defense and national security-related operations supporting the U.S. Government and its prime contractors. As such, our Company has a responsibility to make every effort to remain open as well as protect the health of our employees. Consequently, while being fully operational, we have made every effort to maximize social distancing, reduce employee density,
Orbit International News Release Page 2 April 7, 2020
allowed certain employees to work from home and created a split shift for our manufacturing workforce to best protect our employees.
Binder concluded, “Aside from our defense related work that makes up the majority of our business, we anticipate weakness in the commercial business of our OPG which, although providing power supplies for military, transportation and utility applications, also provides power supplies for oil and gas exploration and test and measurement applications. This part of our business may remain weak until the economy begins to recover. Nevertheless, assuming no unforeseen events from a situation that is rapidly evolving, in particular, a disruption of our supply chain, we expect to meet our deliveries to support our customers. Most important, our strong financial condition should allow us to continue to meet our responsibilities as a member of the DIB.”
Orbit International Corp., through its Electronics Group including its new Q-Vio subsidiary, is involved in the development and manufacture of custom electronic device and subsystem solutions for military, industrial and commercial applications through its production facility in Hauppauge, New York. 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, uninterruptible power supplies, VME/VPX power supplies as well as various COTS power sources. The Company also has a sales office in Bradenton, FL.
On March 11, 2020, the World Health Organization declared the novel strain of coronavirus (COVID19) a global pandemic and recommended containment and mitigation measures worldwide. The Company is classified as an essential business by New York State and therefore is exempt from the state’s mandate that all non-essential business close their business locations until further notice. In addition, as a member of the Defense Industrial Base (“DIB”), the Company is mandated by the Secretary of Defense to continue working its normal schedule. The Company’s customers and direct suppliers, as members of the DIB, share this same responsibility to remain open, although some of the Company’s indirect suppliers may not be members of the DIB. The Company remains open while following guidance from the Centers for Disease Control (“CDC”) to best protect our employees and does not currently anticipate a material impact to its business, financial condition, results of operations or cash flows.
The Company cannot reasonably estimate the length or severity of this pandemic as the situation is rapidly evolving. Therefore, it cannot be certain that its business, supply chain, financial position, results of operations, and cash flows will not eventually be materially impacted.
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
Orbit International News Release Page 3 April 7, 2020
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.