IEH Corp Swings to Profit as Defense Revenue Surges 116%, Backlog Triples to $38.6M

summarizeSummary

IEH Corp swung to profitability in Q1 FY2027, with revenue up 59% to $10M and a record $38.6M backlog, but disclosed ongoing material weakness in internal controls.

check_boxKey Events · Earnings and Guidance · IEHC

• Revenue Surges 59% to $10M

  Revenue reached $10.02 million, up from $6.31 million a year ago, driven by a 116% increase in defense sales.

• Swings to Profitability

  Net income was $654,466 ($0.26 per share) compared to a net loss of $654,618 ($0.27 per share) in the prior-year quarter.

• Backlog Triples to Record $38.6M

  Backlog stood at $38.56 million as of June 30, 2026, nearly triple the $13.02 million a year earlier, with shipments expected over the next 6–24 months.

• Defense Revenue Share Jumps to 75.5%

  Defense revenue represented 75.5% of total revenue, up from 55.6%, reflecting unprecedented demand for military and aerospace connectors.

auto_awesomeAnalysis · IEHC · Manufacturing

A dramatic turnaround defined IEH Corp's fiscal first quarter, with net income reaching $654,466 compared to a loss of $654,618 a year ago. Revenue jumped 58.9% to $10.02 million, fueled by a 116% surge in defense sales, which now account for over three-quarters of the top line. The backlog ballooned to a record $38.56 million—nearly triple the prior year—providing strong visibility into future quarters. However, the company continues to operate with a material weakness in IT general controls, and management concluded that disclosure controls and procedures were ineffective as of June 30, 2026. The combination of explosive growth and persistent internal control deficiencies makes this a critical update for investors.