Espey awarded $7.4M for U.S. Navy testing

SARATOGA SPRINGS — Espey Mfg. & Electronics Corp. announced this month that the company was awarded $7.4 million in military defense funding to upgrade and expand its Saratoga Springs facility to conduct testing for the U.S. Navy.

The company, which develops, designs and produces specialized military and industrial power supplies and transformers, said it will use the funding for facility and capital equipment upgrades.

The award comes as part of the Navy’s investment to improve and sustain the Surface Combatant Industrial Base, the company said in a news release.

The work will be conducted on the Saratoga Springs facility at 233 Ballston Ave., and is scheduled to be complete by 2024.

Income increases

In other Espey-related news, the company released its results for the first six months of the 2023 fiscal year on Monday, reporting net sales of $17.4 million from July 1 to Dec. 31, 2022, compared to $15 million for the first six months of the 2022 fiscal year.

Net income for the period came to 78 cents per share, increasing from 14 cents per share reported for the same period last year.

New orders dipped to $19 million from the $19.5 million reported in the first six months of the 2022 fiscal year.

David O’neil, Espey president and CEO, said the results are indicative of another successful quarter.

“Production operations are smoothing out and our supply chain issues remain but are being managed well.

“We made good progress on our engineering design efforts during the quarter, however, we still have hurdles to clear in the coming months,” O’neil said.

“We continue to work well with our customers to resolve any engineering related issues. With an increase in sales and income for the first six months of the year, we are positioned well to finish the full year with overall strong financial results.”