TIKK Shareholder Update

08/29/2025 – 01:42 PM

EAST RUTHERFORD, N.J.–(BUSINESS WIRE)–Tel Instrument (TIC) is addressing shareholders after a delay in filing its Annual Report on Form 10-K for the fiscal year ending March 31, 2025. The company cites ongoing negotiations with its bank regarding the extension of its credit line as the primary reason for the delay. Consequently, TIC shares will temporarily trade on the OTC Pink market until the 10K is filed.

In parallel, Tel Instrument is actively pursuing a capital raise involving corporate insiders and management. This strategic move aims to bolster the balance sheet and finance anticipated growth in the company’s operations. The company highlighted this dual-track approach as essential for its near-term financial stability and future expansion.

In more positive news, Tel Instrument announced that it has received full-rate production approval from the U.S. Navy for its CRAFT upgrade KITS (AN-USM-708A and AN/USM-719A). The Navy has already placed an initial delivery order for 150 upgrade KITS, and the company anticipates further orders throughout the year. This contract is projected to boost annual revenues by approximately $5 million. Production of the CRAFT 708A is slated to commence in September.

The company also noted the growing market adoption of its SDR-OMNI and SDR-OMNI/MIL test sets, signaling further diversification of its revenue streams.

Tel Instrument anticipates a substantial increase in quarterly revenues following the commencement of CRAFT 708A production and the execution of the Navy contract. The company projects that this revenue growth will translate into solid profitability due to its largely fixed cost structure. The combination of these positive catalysts could signal a turnaround for the company as it navigates its current financial hurdles.

Tel Instrument promises to provide further updates as developments warrant.

Source: Tel Instrument Electronics Corp.