Frequency Electronics (FEIM) 10-Q 15 Dec 23 2024 Q2 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	6 Months Ended
	Oct. 31, 2023	Dec. 11, 2023
Document Information Line Items
Entity Registrant Name	FREQUENCY ELECTRONICS, INC.
Trading Symbol	FEIM
Document Type	10-Q
Current Fiscal Year End Date	--04-30
Entity Common Stock, Shares Outstanding		9,415,417
Amendment Flag	false
Entity Central Index Key	0000039020
Entity Current Reporting Status	Yes
Entity Filer Category	Non-accelerated Filer
Document Period End Date	Oct. 31, 2023
Document Fiscal Year Focus	2024
Document Fiscal Period Focus	Q2
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Document Quarterly Report	true
Document Transition Report	false
Entity File Number	1-8061
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	11-1986657
Entity Address, Address Line One	55 CHARLES LINDBERGH BLVD.
Entity Address, City or Town	MITCHEL FIELD
Entity Address, State or Province	NY
Entity Address, Postal Zip Code	11553
City Area Code	516
Local Phone Number	794-4500
Title of 12(b) Security	Common Stock (par value $1.00 per share)
Security Exchange Name	NASDAQ
Entity Interactive Data Current	Yes

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Oct. 31, 2023	Apr. 30, 2023
Current assets:
Cash and cash equivalents	$ 8,708	$ 12,049
Accounts receivable, net of allowance for doubtful accounts of $111 at October 31, 2023 and April 30, 2023	3,781	4,622
Contract assets	12,474	10,009
Inventories	23,071	20,526
Prepaid income taxes	30	30
Prepaid expenses and other	1,639	1,071
Total current assets	49,703	48,307
Property, plant, and equipment, net	6,436	7,093
Goodwill	617	617
Cash surrender value of life insurance	10,404	10,220
Other assets	876	877
Right-of-use assets – operating leases	6,693	7,382
Total assets	74,729	74,496
Current liabilities:
Accounts payable	1,245	1,464
Accrued liabilities	4,049	3,934
Loss provision accrual	1,481	1,544
Operating lease liability - current portion	1,769	1,753
Contract liabilities	16,435	18,586
Total current liabilities	24,979	27,281
Deferred compensation	8,229	8,314
Deferred taxes	8	8
Operating lease liability – non-current portion	5,126	5,883
Other liabilities	131	124
Total liabilities	38,473	41,610
Stockholders’ equity:
Preferred stock - $1.00 par value; authorized 600 shares, no shares issued
Common stock - $1.00 par value; authorized 20,000 shares, 9,404 shares issued and 9,403 shares outstanding at October 31, 2023; 9,374 shares issued and 9,373 shares outstanding at April 30, 2023	9,405	9,374
Additional paid-in capital	49,636	49,136
Accumulated deficit	(22,782)	(25,621)
Common stock reacquired and held in treasury - at cost (1 share at October 31, 2023 and April 30, 2023)	(3)	(3)
Accumulated other comprehensive income	0	0
Total stockholders’ equity	36,256	32,886
Total liabilities and stockholders’ equity	$ 74,729	$ 74,496

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parentheticals) - USD ($) shares in Thousands, $ in Thousands	Oct. 31, 2023	Apr. 30, 2023
Statement of Financial Position [Abstract]
Allowance for doubtful accounts (in Dollars)	$ 111	$ 111
Preferred stock, par value (in Dollars per share)	$ 1	$ 1
Preferred stock - shares authorized	600	600
Preferred stock - shares issued	0	0
Common stock, par value (in Dollars per share)	$ 1	$ 1
Common stock shares issued	9,404	9,374
Common stock - authorized shares	20,000	20,000
Common stock - shares outstanding	9,403	9,373
Common stock reacquired and held in treasury - share	1	1

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Oct. 31, 2023	Oct. 31, 2022	Oct. 31, 2023	Oct. 31, 2022
Income Statement [Abstract]
Revenues	$ 13,575	$ 8,949	$ 25,984	$ 17,153
Cost of revenues	9,245	8,599	16,786	16,808
Gross margin	4,330	350	9,198	345
Selling and administrative expenses	2,552	2,034	4,853	4,026
Research and development expenses	840	599	1,347	1,709
Operating income (loss)	938	(2,283)	2,998	(5,390)
Other income (expense):
Investment (expense) income	(106)	(12)	(86)	24
Interest expense	(29)	(18)	(60)	(63)
Income (loss) before provision for income taxes	803	(2,313)	2,852	(5,429)
Provision for income taxes	6	1	13	2
Net income (loss)	$ 797	$ (2,314)	$ 2,839	$ (5,431)
Net income (loss) per common share:
Basic and diluted income (loss) per share (in Dollars per share)	$ 0.08	$ (0.25)	$ 0.3	$ (0.58)
Weighted average shares outstanding:
Basic and diluted (in Shares)	9,399,000	9,326,000	9,392,000	9,317,000
Condensed Consolidated Statements of Comprehensive Income (Loss)
Net income (loss)	$ 797	$ (2,314)	$ 2,839	$ (5,431)
Unrealized loss on marketable securities:
Change in market value of marketable securities before reclassification, net of tax	0	(581)	0	(552)
Reclassification adjustment for realized gains included in net income (loss), net of tax	0	16	0	1
Total unrealized loss on marketable securities, net of tax	0	(565)	0	(551)
Comprehensive income (loss)	$ 797	$ (2,879)	$ 2,839	$ (5,982)

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Oct. 31, 2023	Oct. 31, 2022
Cash flows from operating activities:
Net income (loss)	$ 2,839	$ (5,431)
Non-cash charges to earnings	2,191	1,209
Net changes in operating assets and liabilities	(8,011)	3,756
Net cash used in operating activities	(2,981)	(466)
Cash flows from investing activities:
Proceeds on redemption of marketable securities	0	1,137
Purchase of marketable securities	0	(1,383)
Purchase of property, plant, and equipment, and other assets	(360)	(729)
Net cash used in investing activities	(360)	(975)
Cash flows from financing activities:
Net cash used in financing activities	0	0
Net decrease in cash and cash equivalents	(3,341)	(1,441)
Cash and cash equivalents at beginning of period	12,049	11,561
Cash and cash equivalents at end of period	8,708	10,120
Supplemental disclosures of cash flow information:
Interest	60	36
Income taxes	9	0
Cash refunded during the period for:
Income taxes	$ 0	$ 176

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Changes in Stockholders' Equity - USD ($) $ in Thousands	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	Treasury Stock, Common [Member]	AOCI Attributable to Parent [Member]	Total
Balance at Apr. 30, 2022	$ 9,298	$ 57,956	$ (20,120)	$ (6)	$ (440)	$ 46,688
Balance (in Shares) at Apr. 30, 2022	9,298,178			1,375
Contribution of stock to 401(k) plan	$ 17	105				122
Contribution of stock to 401(k) plan (in Shares)	16,708
Stock-based compensation expense		(25)				(25)
Other comprehensive income (loss), net of tax					14	14
Net income (loss)			(3,117)			(3,117)
Balance at Jul. 31, 2022	$ 9,315	58,036	(23,237)	$ (6)	(426)	43,682
Balance (in Shares) at Jul. 31, 2022	9,314,886			1,375
Balance at Apr. 30, 2022	$ 9,298	57,956	(20,120)	$ (6)	(440)	46,688
Balance (in Shares) at Apr. 30, 2022	9,298,178			1,375
Net income (loss)						(5,431)
Balance at Oct. 31, 2022	$ 9,334	58,153	(25,551)	$ (6)	(991)	40,939
Balance (in Shares) at Oct. 31, 2022	9,334,268			1,375
Balance at Jul. 31, 2022	$ 9,315	58,036	(23,237)	$ (6)	(426)	43,682
Balance (in Shares) at Jul. 31, 2022	9,314,886			1,375
Contribution of stock to 401(k) plan	$ 18	89				107
Contribution of stock to 401(k) plan (in Shares)	18,632
Stock-based compensation expense	$ 1	28				29
Stock-based compensation expense (in Shares)	750
Other comprehensive income (loss), net of tax					(565)	(565)
Net income (loss)			(2,314)			(2,314)
Balance at Oct. 31, 2022	$ 9,334	58,153	(25,551)	$ (6)	$ (991)	40,939
Balance (in Shares) at Oct. 31, 2022	9,334,268			1,375
Balance at Apr. 30, 2023	$ 9,374	49,136	(25,621)	$ (3)		32,886
Balance (in Shares) at Apr. 30, 2023	9,373,776			741
Contribution of stock to 401(k) plan	$ 17	96				113
Contribution of stock to 401(k) plan (in Shares)	17,013
Stock-based compensation expense		128				128
Net income (loss)			2,042			2,042
Balance at Jul. 31, 2023	$ 9,391	49,360	(23,579)	$ (3)		35,169
Balance (in Shares) at Jul. 31, 2023	9,390,789			741
Balance at Apr. 30, 2023	$ 9,374	49,136	(25,621)	$ (3)		$ 32,886
Balance (in Shares) at Apr. 30, 2023	9,373,776			741
Contribution of stock to 401(k) plan (in Shares)						29,898
Net income (loss)						$ 2,839
Balance at Oct. 31, 2023	$ 9,405	49,636	(22,782)	$ (3)		36,256
Balance (in Shares) at Oct. 31, 2023	9,404,424			741
Balance at Jul. 31, 2023	$ 9,391	49,360	(23,579)	$ (3)		35,169
Balance (in Shares) at Jul. 31, 2023	9,390,789			741
Contribution of stock to 401(k) plan	$ 13	75				$ 88
Contribution of stock to 401(k) plan (in Shares)	12,885					12,885
Stock-based compensation expense	$ 1	201				$ 202
Stock-based compensation expense (in Shares)	750
Net income (loss)			797			797
Balance at Oct. 31, 2023	$ 9,405	$ 49,636	$ (22,782)	$ (3)		$ 36,256
Balance (in Shares) at Oct. 31, 2023	9,404,424			741

CONDENSED CONSOLIDATED FINANCIA

CONDENSED CONSOLIDATED FINANCIAL STATEMENTS	6 Months Ended
	Oct. 31, 2023
Accounting Policies [Abstract]
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]	NOTE A – CONDENSED CONSOLIDATED FINANCIAL STATEMENTS In the opinion of management of Frequency Electronics, Inc. (the “Company”), the accompanying unaudited condensed consolidated interim financial statements reflect all adjustments (which include only normal recurring adjustments) necessary to present fairly, in all material respects, the condensed consolidated financial position of the Company as of October 31, 2023 and the results of its operations, changes in stockholders’ equity for the three and six months ended October 31, 2023 and 2022, and cash flows for the six months ended October 31, 2023 and 2022. The April 30, 2023 condensed consolidated balance sheet was derived from audited financial statements. These financial statements are prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP’). Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted. These condensed consolidated interim financial statements should be read in conjunction with the annual consolidated financial statements included in the Company’s Annual Report on Form 10-K for the fiscal year ended April 30, 2023, filed on July 27, 2023 with the Securities and Exchange Commission (the “Form 10-K”). The results of operations for such interim periods are not necessarily indicative of the operating results for the full fiscal year.

EARNINGS (LOSS) PER SHARE

EARNINGS (LOSS) PER SHARE	6 Months Ended
	Oct. 31, 2023
Earnings Per Share [Abstract]
Earnings Per Share [Text Block]	NOTE B – EARNINGS (LOSS) PER SHARE Reconciliation of the weighted average shares outstanding for basic and diluted income (loss) per share (“EPS”) for the three and six months ended October 31, 2023 and 2022, respectively, were as follows: Periods ended October 31, Three months Six months 2023 2022 2023 2022 Weighted average shares outstanding: Basic EPS shares outstanding (weighted average) 9,399,052 9,326,347 9,391,714 9,317,143 Effect of dilutive securities ** ** ** ** Diluted EPS shares outstanding 9,399,052 9,326,347 9,391,714 9,317,143 ** For the three and six months ended October 31, 2023 and 2022, dilutive securities are excluded from the calculation of EPS since the inclusion of such shares would be antidilutive. The exercisable shares excluded for the three and six months ended October 31, 2023 was 97,000 shares. The exercisable shares excluded for the three and six months ended October 31, 2022 was 243,625 shares.

CONTRACT (LIABILITIES) ASSETS

CONTRACT (LIABILITIES) ASSETS	6 Months Ended
	Oct. 31, 2023
Contractors [Abstract]
Long-Term Contracts or Programs Disclosure [Text Block]	NOTE C – CONTRACT (LIABILITIES) ASSETS At October 31, 2023 and April 30, 2023, contract assets and contract liabilities, consisted of the following (in thousands): October 31, 2023 April 30, 2023 Contract assets $ 12,474 $ 10,009 Contract liabilities (16,435 ) (18,586 ) Contract assets represent revenue recognized on long-term contracts that have not been billed at the balance sheet dates, and contract liabilities represent a liability for amounts billed in excess of the revenue recognized. Amounts are billed to customers pursuant to contract terms. In general, the recorded amounts will be billed and collected or revenue recognized within twelve months of the balance sheet dates. Revenue on these long-term contracts are accounted for over time using the percentage-of-completion (“POC”) method. Fluctuations of contract assets and contract liabilities are due to the timing of funding, amounts billed and revenue recorded. Contract assets increased $2.5 million during the six months ended October 31, 2023, primarily due to revenue recognized during the six months ended October 31, 2023 for which we have not yet billed our customers. Contract liabilities decreased $2.2 million during the six months ended October 31, 2023, primarily due to revenue recognized on these performance obligations. During the three and six months ended October 31, 2023, we recognized $4.4 million and $8.1 million, respectively, of our contract liabilities at April 30, 2023 as revenue. During the three and six months ended October 31, 2022, we recognized $1.9 million and $4.4 million, respectively, of our contract liabilities at April 30, 2022 as revenue. During the three and six months ended October 31, 2023, revenue recognized under POC contracts was approximately $12.3 million and $24.0 million, respectively. During the three and six months ended October 31, 2022, revenue recognized under POC contracts was approximately $8.7 million and $16.6 million, respectively. If contract losses are anticipated, a loss provision is recorded for the full amount of such losses when they are determinable. Total contract losses, recorded in cost of revenue, for the three and six months ended October 31, 2023 were approximately $1.4 million and $1.5 million, respectively. Total contract losses, recorded in cost of revenue, for the three and six months ended October 31, 2022 were approximately $0.7 million and $2.0 million, respectively.

EMPLOYEE BENEFIT PLANS

EMPLOYEE BENEFIT PLANS	6 Months Ended
	Oct. 31, 2023
Disclosure Text Block Supplement [Abstract]
Compensation and Employee Benefit Plans [Text Block]	NOTE D – EMPLOYEE BENEFIT PLANS During the three and six months ended October 31, 2023, the Company made contributions of 12,885 and 29,898 shares, respectively, of its common stock to the Company’s profit-sharing plan and trust under Section 401(k) of the Internal Revenue Code. Such contributions are in accordance with the Company’s discretionary match of employee voluntary contributions to this plan. Deferred compensation expense charged to selling and administrative expenses during the three and six months ended October 31, 2023, was approximately $109,000 and $217,000, respectively. Payments made related to deferred compensation, inclusive of approximately $29,000 and $60,000, respectively, of interest expense, were approximately $175,000 and $361,000 for the same periods. Deferred compensation expense charged to selling and administrative expenses during the three and six months ended October 31, 2022, was approximately $109,000 and $218,000, respectively. Payments made related to deferred compensation, inclusive of approximately $18,000 and $36,000, respectively, of interest expense were approximately $159,000 and $320,000 for the same periods.

INVENTORIES

INVENTORIES	6 Months Ended
	Oct. 31, 2023
Inventory Disclosure [Abstract]
Inventory Disclosure [Text Block]	NOTE E – INVENTORIES Inventories, which are reported at the lower of cost and net realizable value, consisted of the following (in thousands): October 31, 2023 April 30, 2023 Raw materials and component parts $ 14,193 $ 12,460 Work in progress 8,336 7,547 Finished goods 542 519 $ 23,071 $ 20,526

RIGHT-OF-USE ASSETS AND LEASE L

RIGHT-OF-USE ASSETS AND LEASE LIABILITIES	6 Months Ended
	Oct. 31, 2023
Disclosure Text Block [Abstract]
Lessee, Operating Leases [Text Block]	NOTE F – RIGHT-OF-USE ASSETS AND LEASE LIABILITIES The Company’s leases primarily represent offices, warehouses, vehicles, manufacturing facilities and Research and Development (“R&D”) facilities which expire at various times through 2029 and are operating leases. Contractual arrangements are evaluated at inception to determine if the agreement contains a lease. New York lease. California lease New Jersey lease The Company elected the practical expedient for short-term leases which allows leases with terms of 12 months or less to be recorded on a straight-line basis over the lease term without being recognized on the consolidated balance sheets. The table below presents ROU assets and liabilities recorded on the respective consolidated balance sheets as follows (in thousands): Classification October 31, 2023 April 30, 2023 Assets Operating lease ROU assets ROU assets - operating leases $ 6,693 $ 7,382 Liabilities Operating lease liabilities (short-term) Operating lease liability - current portion 1,769 1,753 Operating lease liabilities (long-term) Operating lease liability - non-current portion 5,126 5,883 Total lease liabilities $ 6,895 $ 7,636 Total operating lease expense was $466,000 and $921,000 for the three and six months ended October 31, 2023, respectively, the majority of which is included in cost of revenues and the remaining amount in selling and administrative expenses on the unaudited condensed consolidated statements of operations. Total operating lease expense was $481,000 and $962,000 for the three and six months ended October 31, 2022, respectively, the majority of which is included in cost of revenues and the remaining amount in selling and administrative expenses on the unaudited condensed consolidated statements of operations. The table below reconciles the undiscounted cash flows for each of the first four fiscal years and total of the remaining fiscal years to the operating lease liabilities recorded on the unaudited condensed consolidated balance sheet as of October 31, 2023: Fiscal Year Ending April 30, (in thousands) Remainder of 2024 $ 815 2025 1,844 2026 1,328 2027 937 2028 1,262 Thereafter 1,976 Total lease payments 8,162 Less imputed interest (1,267 ) Present value of future lease payments 6,895 Less current obligations under leases (1,769 ) Long-term lease obligations 5,126 As of October 31, 2023 and 2022, the weighted-average remaining lease term for all operating leases was 5.27 years and 5.97 years, respectively. The Company does not generally have access to the rate implicit in the leases and therefore selected a rate that is reflective of companies with similar credit ratings for secured debt as the discount rate. The weighted average discount rate for operating leases as of October 31, 2023 and 2022, was 6.28% and 6.19%, respectively.

SEGMENT INFORMATION

SEGMENT INFORMATION	6 Months Ended
	Oct. 31, 2023
Segment Reporting [Abstract]
Segment Reporting Disclosure [Text Block]	NOTE G – SEGMENT INFORMATION The Company operates under two reportable segments based on the geographic locations of its subsidiaries: (1) FEI-NY – operates out of New York and its operations consist principally of precision time and frequency control products used in three principal markets: communication satellites (both commercial and U.S. Government-funded); terrestrial cellular telephone or other ground-based telecommunication stations; and other components and systems for the U.S. military. The FEI-NY segment also includes the operations of the Company’s wholly owned subsidiary, FEI-Elcom. FEI-Elcom, in addition to its own product line, provides design and technical support for the FEI-NY segment’s communication satellite business. (2) FEI-Zyfer – operates out of California and its products incorporate Global Positioning System (GPS) technologies into systems and subsystems for secure communications, both government and commercial, and other locator applications. This segment also provides sales and support for the Company’s wireline telecommunications family of products, including US5G, which are sold in the U.S. market. The Company measures segment performance based on total revenues and profits generated by each geographic location rather than on the specific types of customers or end-users. Consequently, the Company determined that the segments indicated above most appropriately reflect the way the Company’s management views the business. The accounting policies of the two segments are the same as those described in “Note 1. Summary of Accounting Policies” to the consolidated financial statements included in the Form 10-K. The Company evaluates the performance of its segments and allocates resources to them based on operating profit (loss), which is defined as income before investment (expense) income, interest expense, other income (expense), and taxes. All acquired assets, including intangible assets, are included in the assets of the applicable reporting segment. The tables below present information about reported segments with reconciliation of segment amounts to consolidated amounts as reported in the condensed consolidated statements of operations or the consolidated balance sheets for each of the periods (in thousands): Periods ended October 31, Three months Six months 2023 2022 2023 2022 Revenues: FEI-NY $ 9,271 $ 7,680 $ 18,762 $ 14,534 FEI-Zyfer 4,756 1,561 8,023 3,292 less intersegment revenues (452 ) (292 ) (801 ) (673 ) Consolidated revenues $ 13,575 $ 8,949 $ 25,984 $ 17,153 Operating income (loss): FEI-NY $ (231 ) $ (1,389 ) $ 1,249 $ (3,978 ) FEI-Zyfer 1,484 (792 ) 2,163 (1,230 ) less intersegment profit (79 ) - (140 ) - Corporate (236 ) (102 ) (274 ) (182 ) Consolidated operating income (loss) $ 938 $ (2,283 ) $ 2,998 $ (5,390 ) October 31, 2023 April 30, 2023 Identifiable assets: FEI-NY $ 37,315 $ 39,005 FEI-Zyfer 13,369 10,699 less intersegment balances (198 ) (58 ) Corporate 24,243 24,850 Consolidated identifiable assets $ 74,729 $ 74,496 Total revenue recognized over time as POC and Passage of Title (“POT”) was approximately $12.3 million and $1.3 million, respectively, of the $13.6 million reported for the three months ended October 31, 2023. Total revenue recognized over time as POC and POT was approximately $24.0 million and $2.0 million, respectively, of the $26.0 million reported for the six months ended October 31, 2023. Total revenue recognized over time as POC and POT was approximately $8.7 million and $0.3 million, respectively, of the $9.0 million reported for the three months ended October 31, 2022. Total revenue recognized over time as POC and POT was approximately $16.6 million and $0.5 million, respectively, of the $17.2 million reported for the six months ended October 31, 2022. The amounts by segment and product line were as follows (in thousands): Three Months Ended October 31, 2023 2022 POC Revenue POT Total POC Revenue POT Total FEI-NY $ 7,894 $ 1,377 $ 9,271 $ 7,173 $ 507 $ 7,680 FEI-Zyfer 4,402 354 4,756 1,481 80 1,561 Intersegment - (452 ) (452 ) - (292 ) (292 ) Revenues $ 12,296 $ 1,279 $ 13,575 $ 8,654 $ 295 $ 8,949 Six Months Ended October 31, 2023 2022 POC POT Total POC POT Total Revenue Revenue Revenue Revenue Revenue Revenue FEI-NY $ 16,569 $ 2,193 $ 18,762 $ 13,451 $ 1,083 $ 14,534 FEI-Zyfer 7,449 574 8,023 3,156 136 3,292 Intersegment - (801 ) (801 ) - (673 ) (673 ) Revenues $ 24,018 $ 1,966 $ 25,984 $ 16,607 $ 546 $ 17,153 Periods ended October 31, Three months Six months 2023 2022 2023 2022 Revenues by product line: Satellite revenue $ 4,664 $ 4,333 $ 9,522 $ 7,808 Government non-space revenue 8,201 3,918 15,080 7,983 Other commercial & industrial revenue 710 698 1,382 1,362 Consolidated revenues $ 13,575 $ 8,949 $ 25,984 $ 17,153

INVESTMENT IN MORION, INC.

INVESTMENT IN MORION, INC.	6 Months Ended
	Oct. 31, 2023
Schedule of Investments [Abstract]
Investment Holdings [Text Block]	NOTE H – INVESTMENT IN MORION, INC. The Company has an investment in Morion, Inc. (“Morion”), a privately held Russian company, which manufactures high precision quartz resonators and crystal oscillators. The Company has also licensed certain technology to Morion. During the three and six months ended October 31, 2023, the Company did not acquire any product from Morion. During the three and six months ended October 31, 2022, the Company acquired product from Morion in the aggregate amount of approximately $31,000 for both periods. The Company’s investment consists of 4.6% of Morion’s outstanding shares, accordingly, the Company accounts for its investment in Morion on the cost basis. Morion is a less than wholly owned subsidiary of Gazprombank, a state-owned Russian bank. The U.S. Ukraine-related sanctions regime has since 2014 included a list of sectoral sanctions identifications (“SSI”) pursuant to Executive Order 13662, which prohibits certain transactions, including certain extensions of credit, with an entity designated as an SSI or certain affiliates of an entity designated as an SSI. On July 16, 2014, after the Company’s investment in Morion, Gazprombank was designated as an SSI. Due to the current Russia-Ukraine conflict and resulting sanctions, the future status of the Company’s equity investment in Morion is uncertain. In response to these conditions, in connection with the preparation of the audited financial statements included in the Form 10-K for the fiscal year ended April 30, 2022, as amended, the Company impaired its investment in Morion in full. The likelihood of future sales to, purchases from, and dividend payments from Morion is remote.

RECENT ACCOUNTING PRONOUNCEMENT

RECENT ACCOUNTING PRONOUNCEMENTS	6 Months Ended
	Oct. 31, 2023
Accounting Standards Update and Change in Accounting Principle [Abstract]
Accounting Standards Update and Change in Accounting Principle [Text Block]	NOTE I – RECENT ACCOUNTING PRONOUNCEMENTS In November 2023, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures

CREDIT FACILITY

CREDIT FACILITY	6 Months Ended
	Oct. 31, 2023
Debt Disclosure [Abstract]
Debt Disclosure [Text Block]	NOTE J – CREDIT FACILITY As of October 31, 2023, the Company neither had any borrowings nor any borrowing capacity pursuant to a credit facility. As of April 30, 2023, the Company retired its advisory credit arrangement with UBS Bank USA. Prior to retiring the advisory credit arrangement, no borrowings were made during fiscal 2023.

DEFERRED INCOME TAXES

DEFERRED INCOME TAXES	6 Months Ended
	Oct. 31, 2023
Income Tax Disclosure [Abstract]
Income Tax Disclosure [Text Block]	NOTE K – DEFERRED INCOME TAXES Deferred income taxes arise from temporary differences between the tax basis of assets and liabilities and their reported amounts in the financial statements, which will result in taxable or deductible amounts in the future. As required by the authoritative guidance on accounting for income taxes, we evaluate the realization of deferred tax assets on a jurisdictional basis at each reporting date. We consider all positive and negative evidence, including the reversal of deferred tax liabilities, projected future taxable income, tax planning strategies, and results of recent operations. Accounting for income taxes requires that a valuation allowance be established when it is more likely than not that all or a portion of the deferred tax assets will not be realized. In circumstances where there is sufficient negative evidence indicating that the deferred tax assets will not be realizable, we establish a valuation allowance. As of October 31, 2023, and April 30, 2023, the Company maintained a full valuation allowance against its deferred tax assets. If these estimates and assumptions change in the future, the Company may be required to adjust its existing valuation allowance resulting in changes to deferred income tax expense.

EARNINGS (LOSS) PER SHARE (Tabl

EARNINGS (LOSS) PER SHARE (Tables)	6 Months Ended
	Oct. 31, 2023
Earnings Per Share [Abstract]
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	Reconciliation of the weighted average shares outstanding for basic and diluted income (loss) per share (“EPS”) for the three and six months ended October 31, 2023 and 2022, respectively, were as follows: Periods ended October 31, Three months Six months 2023 2022 2023 2022 Weighted average shares outstanding: Basic EPS shares outstanding (weighted average) 9,399,052 9,326,347 9,391,714 9,317,143 Effect of dilutive securities ** ** ** ** Diluted EPS shares outstanding 9,399,052 9,326,347 9,391,714 9,317,143 ** For the three and six months ended October 31, 2023 and 2022, dilutive securities are excluded from the calculation of EPS since the inclusion of such shares would be antidilutive. The exercisable shares excluded for the three and six months ended October 31, 2023 was 97,000 shares. The exercisable shares excluded for the three and six months ended October 31, 2022 was 243,625 shares.

CONTRACT (LIABILITIES) ASSETS (

CONTRACT (LIABILITIES) ASSETS (Tables)	6 Months Ended
	Oct. 31, 2023
Contractors [Abstract]
Costs and Estimated Earnings in Excess of Billings, Net [Table Text Block]	At October 31, 2023 and April 30, 2023, contract assets and contract liabilities, consisted of the following (in thousands): October 31, 2023 April 30, 2023 Contract assets $ 12,474 $ 10,009 Contract liabilities (16,435 ) (18,586 )

INVENTORIES (Tables)

INVENTORIES (Tables)	6 Months Ended
	Oct. 31, 2023
Inventory Disclosure [Abstract]
Schedule of Inventory, Current [Table Text Block]	Inventories, which are reported at the lower of cost and net realizable value, consisted of the following (in thousands): October 31, 2023 April 30, 2023 Raw materials and component parts $ 14,193 $ 12,460 Work in progress 8,336 7,547 Finished goods 542 519 $ 23,071 $ 20,526

RIGHT-OF-USE ASSETS AND LEASE_2

RIGHT-OF-USE ASSETS AND LEASE LIABILITIES (Tables)	6 Months Ended
	Oct. 31, 2023
Disclosure Text Block [Abstract]
Lease, Cost [Table Text Block]	The table below presents ROU assets and liabilities recorded on the respective consolidated balance sheets as follows (in thousands): Classification October 31, 2023 April 30, 2023 Assets Operating lease ROU assets ROU assets - operating leases $ 6,693 $ 7,382 Liabilities Operating lease liabilities (short-term) Operating lease liability - current portion 1,769 1,753 Operating lease liabilities (long-term) Operating lease liability - non-current portion 5,126 5,883 Total lease liabilities $ 6,895 $ 7,636
Lessee, Operating Lease, Liability, to be Paid, Maturity [Table Text Block]	The table below reconciles the undiscounted cash flows for each of the first four fiscal years and total of the remaining fiscal years to the operating lease liabilities recorded on the unaudited condensed consolidated balance sheet as of October 31, 2023: Fiscal Year Ending April 30, (in thousands) Remainder of 2024 $ 815 2025 1,844 2026 1,328 2027 937 2028 1,262 Thereafter 1,976 Total lease payments 8,162 Less imputed interest (1,267 ) Present value of future lease payments 6,895 Less current obligations under leases (1,769 ) Long-term lease obligations 5,126

SEGMENT INFORMATION (Tables)

SEGMENT INFORMATION (Tables)	6 Months Ended
	Oct. 31, 2023
Segment Reporting [Abstract]
Reconciliation of Revenue from Segments to Consolidated [Table Text Block]	The tables below present information about reported segments with reconciliation of segment amounts to consolidated amounts as reported in the condensed consolidated statements of operations or the consolidated balance sheets for each of the periods (in thousands): Periods ended October 31, Three months Six months 2023 2022 2023 2022 Revenues: FEI-NY $ 9,271 $ 7,680 $ 18,762 $ 14,534 FEI-Zyfer 4,756 1,561 8,023 3,292 less intersegment revenues (452 ) (292 ) (801 ) (673 ) Consolidated revenues $ 13,575 $ 8,949 $ 25,984 $ 17,153
Reconciliation of Operating Profit (Loss) from Segments to Consolidated [Table Text Block]	Operating income (loss): FEI-NY $ (231 ) $ (1,389 ) $ 1,249 $ (3,978 ) FEI-Zyfer 1,484 (792 ) 2,163 (1,230 ) less intersegment profit (79 ) - (140 ) - Corporate (236 ) (102 ) (274 ) (182 ) Consolidated operating income (loss) $ 938 $ (2,283 ) $ 2,998 $ (5,390 )
Reconciliation of Assets from Segment to Consolidated [Table Text Block]	October 31, 2023 April 30, 2023 Identifiable assets: FEI-NY $ 37,315 $ 39,005 FEI-Zyfer 13,369 10,699 less intersegment balances (198 ) (58 ) Corporate 24,243 24,850 Consolidated identifiable assets $ 74,729 $ 74,496
Disaggregation of Revenue [Table Text Block]	The amounts by segment and product line were as follows (in thousands): Three Months Ended October 31, 2023 2022 POC Revenue POT Total POC Revenue POT Total FEI-NY $ 7,894 $ 1,377 $ 9,271 $ 7,173 $ 507 $ 7,680 FEI-Zyfer 4,402 354 4,756 1,481 80 1,561 Intersegment - (452 ) (452 ) - (292 ) (292 ) Revenues $ 12,296 $ 1,279 $ 13,575 $ 8,654 $ 295 $ 8,949 Six Months Ended October 31, 2023 2022 POC POT Total POC POT Total Revenue Revenue Revenue Revenue Revenue Revenue FEI-NY $ 16,569 $ 2,193 $ 18,762 $ 13,451 $ 1,083 $ 14,534 FEI-Zyfer 7,449 574 8,023 3,156 136 3,292 Intersegment - (801 ) (801 ) - (673 ) (673 ) Revenues $ 24,018 $ 1,966 $ 25,984 $ 16,607 $ 546 $ 17,153
Revenue from External Customers by Products and Services [Table Text Block]	Periods ended October 31, Three months Six months 2023 2022 2023 2022 Revenues by product line: Satellite revenue $ 4,664 $ 4,333 $ 9,522 $ 7,808 Government non-space revenue 8,201 3,918 15,080 7,983 Other commercial & industrial revenue 710 698 1,382 1,362 Consolidated revenues $ 13,575 $ 8,949 $ 25,984 $ 17,153

EARNINGS (LOSS) PER SHARE (Deta

EARNINGS (LOSS) PER SHARE (Details) - shares	3 Months Ended		6 Months Ended
	Oct. 31, 2023	Oct. 31, 2022	Oct. 31, 2023	Oct. 31, 2022
Earnings Per Share [Abstract]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	97,000	243,625	97,000	243,625

EARNINGS (LOSS) PER SHARE (De_2

EARNINGS (LOSS) PER SHARE (Details) - Schedule of Earnings Per Share, Basic and Diluted - shares		3 Months Ended		6 Months Ended
		Oct. 31, 2023	Oct. 31, 2022	Oct. 31, 2023	Oct. 31, 2022
Weighted average shares outstanding:
Basic EPS shares outstanding (weighted average)		9,399,052	9,326,347	9,391,714	9,317,143
Effect of dilutive securities	[1]
Diluted EPS shares outstanding		9,399,052	9,326,347	9,391,714	9,317,143
[1]For the three and six months ended October 31, 2023 and 2022, dilutive securities are excluded from the calculation of EPS since the inclusion of such shares would be antidilutive. The exercisable shares excluded for the three and six months ended October 31, 2023 was 97,000 shares. The exercisable shares excluded for the three and six months ended October 31, 2022 was 243,625 shares.

CONTRACT (LIABILITIES) ASSETS_2

CONTRACT (LIABILITIES) ASSETS (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Oct. 31, 2023	Oct. 31, 2022	Oct. 31, 2023	Oct. 31, 2022
CONTRACT (LIABILITIES) ASSETS (Details) [Line Items]
Increase (Decrease) in Contract with Customer, Asset			$ 2,500
Increase (Decrease) in Contract with Customer, Liability			(2,200)
Revenues	$ 13,575	$ 8,949	25,984	$ 17,153
Loss on Contracts	1,400	700	1,500	2,000
Contract Liabilities [Member]
CONTRACT (LIABILITIES) ASSETS (Details) [Line Items]
Revenues	4,400	1,900	8,100	4,400
Contracts Accounted for under Percentage of Completion [Member]
CONTRACT (LIABILITIES) ASSETS (Details) [Line Items]
Revenues	$ 12,300	$ 8,700	$ 24,000	$ 16,600

CONTRACT (LIABILITIES) ASSETS_3

CONTRACT (LIABILITIES) ASSETS (Details) - Costs and Estimated Earnings in Excess of Billings, Net - USD ($) $ in Thousands	Oct. 31, 2023	Apr. 30, 2023
Costs And Estimated Earnings In Excess Of Billings Net Abstract
Contract Assets	$ 12,474	$ 10,009
Contract Liabilities	$ (16,435)	$ (18,586)

EMPLOYEE BENEFIT PLANS (Details

EMPLOYEE BENEFIT PLANS (Details) - USD ($)	3 Months Ended		6 Months Ended
	Oct. 31, 2023	Oct. 31, 2022	Oct. 31, 2023	Oct. 31, 2022
EMPLOYEE BENEFIT PLANS (Details) [Line Items]
Stock Issued During Period, Shares, Employee Benefit Plan (in Shares)	12,885		29,898
Deferred Compensation Arrangement with Individual, Compensation Expense	$ 109,000	$ 109,000	$ 217,000	$ 218,000
Deferred Compensation Arrangement with Individual, Distribution Paid	175,000	159,000	361,000	320,000
Interest Expense [Member]
EMPLOYEE BENEFIT PLANS (Details) [Line Items]
Deferred Compensation Arrangement with Individual, Compensation Expense	$ 29,000	$ 18,000	$ 60,000	$ 36,000

INVENTORIES (Details) - Schedul

INVENTORIES (Details) - Schedule of Inventory, Current - USD ($) $ in Thousands	Oct. 31, 2023	Apr. 30, 2023
Schedule Of Inventory Current Abstract
Raw materials and component parts	$ 14,193	$ 12,460
Work in progress	8,336	7,547
Finished goods	542	519
	$ 23,071	$ 20,526

RIGHT-OF-USE ASSETS AND LEASE_3

RIGHT-OF-USE ASSETS AND LEASE LIABILITIES (Details) - USD ($)	3 Months Ended		6 Months Ended
	Oct. 31, 2023	Oct. 31, 2022	Oct. 31, 2023	Oct. 31, 2022
Disclosure Text Block [Abstract]
Operating Lease, Expense	$ 466,000	$ 481,000	$ 921,000	$ 962,000
Operating Lease, Weighted Average Remaining Lease Term	5 years 3 months 7 days	5 years 11 months 19 days	5 years 3 months 7 days	5 years 11 months 19 days
Operating Lease, Weighted Average Discount Rate, Percent	6.28%	6.19%	6.28%	6.19%

RIGHT-OF-USE ASSETS AND LEASE_4

RIGHT-OF-USE ASSETS AND LEASE LIABILITIES (Details) - Lease, Cost - USD ($) $ in Thousands	Oct. 31, 2023	Apr. 30, 2023
Assets
Operating lease ROU assets	$ 6,693	$ 7,382
Liabilities
Operating lease liabilities (short-term)	1,769	1,753
Operating lease liabilities (long-term)	5,126	5,883
Total lease liabilities	$ 6,895	$ 7,636

RIGHT-OF-USE ASSETS AND LEASE_5

RIGHT-OF-USE ASSETS AND LEASE LIABILITIES (Details) - Lessee, Operating Lease, Liability, Maturity - USD ($) $ in Thousands	Oct. 31, 2023	Apr. 30, 2023
Lessee Operating Lease Liability Maturity Abstract
Remainder of 2024	$ 815
2025	1,844
2026	1,328
2027	937
2028	1,262
Thereafter	1,976
Total lease payments	8,162
Less imputed interest	(1,267)
Present value of future lease payments	6,895	$ 7,636
Less current obligations under leases	(1,769)	(1,753)
Long-term lease obligations	$ 5,126	$ 5,883

SEGMENT INFORMATION (Details)

SEGMENT INFORMATION (Details) $ in Thousands	3 Months Ended		6 Months Ended
	Oct. 31, 2023 USD ($)	Oct. 31, 2022 USD ($)	Oct. 31, 2023 USD ($)	Oct. 31, 2022 USD ($)
SEGMENT INFORMATION (Details) [Line Items]
Number of Reportable Segments			2
Number Of Principal Markets	3		3
Revenues	$ 13,575	$ 8,949	$ 25,984	$ 17,153
POC Revenue [Member]
SEGMENT INFORMATION (Details) [Line Items]
Revenues	12,296	8,654	24,018	16,607
POT Revenue [Member]
SEGMENT INFORMATION (Details) [Line Items]
Revenues	$ 1,279	$ 295	$ 1,966	$ 546

SEGMENT INFORMATION (Details)

SEGMENT INFORMATION (Details) - Reconciliation of Revenue from Segments to Consolidated - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Oct. 31, 2023	Oct. 31, 2022	Oct. 31, 2023	Oct. 31, 2022
Segment Reporting, Revenue Reconciling Item [Line Items]
Revenues	$ 13,575	$ 8,949	$ 25,984	$ 17,153
Frequency Electronics Inc New York [Member]
Segment Reporting, Revenue Reconciling Item [Line Items]
Revenues	9,271	7,680	18,762	14,534
Frequency Electronics Inc Zyfer [Member]
Segment Reporting, Revenue Reconciling Item [Line Items]
Revenues	4,756	1,561	8,023	3,292
Inter Segment [Member]
Segment Reporting, Revenue Reconciling Item [Line Items]
Revenues	$ (452)	$ (292)	$ (801)	$ (673)

SEGMENT INFORMATION (Details_2

SEGMENT INFORMATION (Details) - Reconciliation of Operating Profit (Loss) from Segments to Consolidated - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Oct. 31, 2023	Oct. 31, 2022	Oct. 31, 2023	Oct. 31, 2022
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
Consolidated operating income (loss)	$ 938	$ (2,283)	$ 2,998	$ (5,390)
Frequency Electronics Inc New York [Member]
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
Consolidated operating income (loss)	(231)	(1,389)	1,249	(3,978)
Frequency Electronics Inc Zyfer [Member]
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
Consolidated operating income (loss)	1,484	(792)	2,163	(1,230)
Inter Segment [Member]
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
Consolidated operating income (loss)	(79)	0	(140)	0
Corporate Segment [Member]
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
Consolidated operating income (loss)	$ (236)	$ (102)	$ (274)	$ (182)

SEGMENT INFORMATION (Details_3

SEGMENT INFORMATION (Details) - Schedule of Reconciliation of Assets from Segment to Consolidated - USD ($) $ in Thousands	Oct. 31, 2023	Apr. 30, 2023
Segment Reporting, Asset Reconciling Item [Line Items]
Identifiable Assets	$ 74,729	$ 74,496
Frequency Electronics Inc New York [Member]
Segment Reporting, Asset Reconciling Item [Line Items]
Identifiable Assets	37,315	39,005
Frequency Electronics Inc Zyfer [Member]
Segment Reporting, Asset Reconciling Item [Line Items]
Identifiable Assets	13,369	10,699
Inter Segment [Member]
Segment Reporting, Asset Reconciling Item [Line Items]
Identifiable Assets	(198)	(58)
Corporate Segment [Member]
Segment Reporting, Asset Reconciling Item [Line Items]
Identifiable Assets	$ 24,243	$ 24,850

SEGMENT INFORMATION (Details_4

SEGMENT INFORMATION (Details) - Disaggregation of Revenue - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Oct. 31, 2023	Oct. 31, 2022	Oct. 31, 2023	Oct. 31, 2022
Disaggregation of Revenue [Line Items]
Revenue	$ 13,575	$ 8,949	$ 25,984	$ 17,153
Frequency Electronics Inc New York [Member]
Disaggregation of Revenue [Line Items]
Revenue	9,271	7,680	18,762	14,534
Frequency Electronics Inc Zyfer [Member]
Disaggregation of Revenue [Line Items]
Revenue	4,756	1,561	8,023	3,292
Inter Segment [Member]
Disaggregation of Revenue [Line Items]
Revenue	(452)	(292)	(801)	(673)
POC Revenue [Member]
Disaggregation of Revenue [Line Items]
Revenue	12,296	8,654	24,018	16,607
POC Revenue [Member] | Frequency Electronics Inc New York [Member]
Disaggregation of Revenue [Line Items]
Revenue	7,894	7,173	16,569	13,451
POC Revenue [Member] | Frequency Electronics Inc Zyfer [Member]
Disaggregation of Revenue [Line Items]
Revenue	4,402	1,481	7,449	3,156
POC Revenue [Member] | Inter Segment [Member]
Disaggregation of Revenue [Line Items]
Revenue	0	0	0	0
POT Revenue [Member]
Disaggregation of Revenue [Line Items]
Revenue	1,279	295	1,966	546
POT Revenue [Member] | Frequency Electronics Inc New York [Member]
Disaggregation of Revenue [Line Items]
Revenue	1,377	507	2,193	1,083
POT Revenue [Member] | Frequency Electronics Inc Zyfer [Member]
Disaggregation of Revenue [Line Items]
Revenue	354	80	574	136
POT Revenue [Member] | Inter Segment [Member]
Disaggregation of Revenue [Line Items]
Revenue	$ (452)	$ (292)	$ (801)	$ (673)

SEGMENT INFORMATION (Details_5

SEGMENT INFORMATION (Details) - Revenue from External Customers by Products and Services - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Oct. 31, 2023	Oct. 31, 2022	Oct. 31, 2023	Oct. 31, 2022
Revenue from External Customer [Line Items]
Revenue	$ 13,575	$ 8,949	$ 25,984	$ 17,153
Satellite Revenue [Member]
Revenue from External Customer [Line Items]
Revenue	4,664	4,333	9,522	7,808
Government Non-Space Revenue [Member]
Revenue from External Customer [Line Items]
Revenue	8,201	3,918	15,080	7,983
Other Commercial & Industrial Revenue [Member]
Revenue from External Customer [Line Items]
Revenue	$ 710	$ 698	$ 1,382	$ 1,362

INVESTMENT IN MORION, INC. (Det

INVESTMENT IN MORION, INC. (Details) - USD ($)	3 Months Ended	6 Months Ended
	Oct. 31, 2022	Oct. 31, 2022	Oct. 31, 2023
INVESTMENT IN MORION, INC. (Details) [Line Items]
Revenue from Contract with Customer, Including Assessed Tax	$ 31,000
Cost Method Investment Ownership Percentage			4.60%
Morion Inc [Member]
INVESTMENT IN MORION, INC. (Details) [Line Items]
Revenue from Contract with Customer, Including Assessed Tax		$ 31,000
Morion Inc [Member]
INVESTMENT IN MORION, INC. (Details) [Line Items]
Cost Method Investment Ownership Percentage	4.60%	4.60%