ESPEY MFG & ELECTRONICS CORP

Espey Mfg. & Electronics Corp. (NYSE American: ESP) is a power electronics design and original equipment manufacturing company specializing in highly reliable products for military and severe environment applications. Founded in 1928 and headquartered in Saratoga Springs, New York, the company operates from a single 174,000-square-foot facility that it owns outright, comprising manufacturing, engineering, shipping, and administrative spaces.

The company's primary products include power supplies, power converters, filters, power transformers, magnetic components, power distribution equipment, UPS systems, and antennas. These products serve applications in AC and DC locomotives, shipboard power systems, shipboard radar, airborne power, ground-based radar, and ground mobile power. Espey generates revenue through design and development services, build-to-print manufacturing, design studies, environmental testing, metal fabrication, painting services, and automatic testing equipment development.

Espey maintains ISO 9001:2015 and AS9100:2016 certifications and operates as a vertically integrated manufacturer, producing components including inductors, populating printed circuit boards, fabricating metalwork, painting, wiring, and conducting mechanical, electrical, and environmental testing in-house. The company generated total sales of approximately $46.1 million in fiscal year 2026, with a backlog of $134.9 million as of June 30, 2026.

The company's customer base is concentrated among defense prime contractors, the United States Department of Defense, other U.S. government agencies, and foreign governments. In fiscal 2026, five customers accounted for 11 percent to 16 percent of total sales respectively. Export shipments represented approximately $4.5 million of total sales. Espey employs 144 people as of August 2026, with approximately 35 percent represented by the International Brotherhood of Electrical Workers under a collective bargaining agreement.

The company is classified as a smaller reporting company for SEC reporting purposes and maintains a $3 million line of credit, though management does not anticipate borrowing needs in the foreseeable future. Espey's business strategy focuses on long-standing relationships with leading defense prime contractors while pursuing opportunities to diversify its customer base and reduce concentration risk.