BK Technologies Reports First Quarter of Fiscal Year 2026 Results (Form 8-K)

BK Technologies Reports First Quarter of Fiscal Year 2026 Results

Record Cash Balance Achieved

WEST MELBOURNE, FL May 14, 2026 / BK Technologies Corporation (NYSE American: BKTI) (the "Company," "BK Technologies"), a provider of advanced public safety communications solutions, today announced financial and operating results for the first quarter of fiscal year 2026 ended March 31, 2026. The Company will host a conference call today, May 14, 2026, at 9:00 a.m. Eastern Time.

¹ Represents a non-GAAP financial measure. Refer to the section entitled "Use of Non-GAAP Measures" and Reconciliation to GAAP later in this press release.

John Suzuki, CEO of BK Technologies, commented, "Our first quarter performance represents a successful start to our Vision 2030 mission. Revenue growth, gross margin above 50%, and a record cash balance, all underscore the benefits of our disciplined operating model, favorable product mix and increasing adoption of our innovative products and solutions. Our Vision 2030 roadmap is built around capturing two powerful market transitions, most notably the shift from single-band to multiband wireless connectivity and the evolution from in-vehicle to on-person broadband solutions. This quarter's results reflect continued demand for our BKR Series radios, particularly the multiband BKR 9000, and the benefits of our improved product mix.

"During the quarter, we continued to make targeted investments in product development and innovation, leading to the public debut of the BKR 9500 multiband mobile radio at FDIC International last month. The BKR9500 expands our presence into the mobile radio market and represents an important extension of our multiband product strategy. Our conviction behind diligent investments in engineering and product development is anchored by our focus on delivering purpose-built, high-performance multiband BKR Series radios and innovative software solutions under our BK ONE platform. We believe BK Technologies is exceptionally well positioned to capture a larger share of the public safety communications market and remain confident in our strategy, our team and our ability to deliver sustainable long-term growth.

"We remain focused on disciplined revenue growth, margin expansion, cash generation, and delivering reliable mission-critical communications solutions that support first responders and create long-term value for shareholders."

First Quarter 2026 Financial Review

Revenue of $21.3 million increased 11.8% compared to $19.1 million in the first quarter of 2025, driven by strong order activity from federal, state and local agencies.

Gross margin of 51.8% expanded by 483 basis points compared to 47.0% in the first quarter of 2025, primarily related to favorable product mix and continued customer adoption of the BKR 9000.

Selling, General & Administrative expenses totaled $7.7 million, compared with $6.0 million for the first quarter of 2025. Growth in Selling, General and Administrative expenses for the quarter is attributed to engineering costs associated with the development of new products and solutions.

Operating income was $3.3 million compared with $2.9 million in the first quarter of 2025. Operating margin increased moderately to 15.4% from 15.3% in the year ago quarter, driven by revenue growth and diligent cost management.

BK Technologies recorded net income of $2.8 million, or $0.74 per basic and $0.69 per diluted share, compared with $2.1 million, or $0.60 per basic and $0.55 per diluted share, for the first quarter of 2025.

The Company reported non-GAAP adjusted earnings¹ of $3.5 million, or $0.94 per basic and $0.88 per diluted share, compared to $2.4 million, or $0.67 per basic and $0.62 per diluted share, for the first quarter of 2025.

Non-GAAP adjusted EBITDA¹ for the first quarter of 2026 was $4.0 million, compared with $3.2 million in the first quarter of 2025. Non-GAAP adjusted EBITDA¹ margin reached 18.7%, an expansion from 16.9% in the first quarter of 2025.

Working capital totaled $41.4 million at March 31, 2026, of which $36.1 million was comprised of cash, cash equivalents and trade receivables. This compares with working capital at December 31, 2025 of $37.3 million, of which $30.0 million was comprised of cash, cash equivalents and trade receivables. The Company ended the quarter with no debt.

Conference Call and Webcast

BK Technologies will host a conference call and webcast for investors today, May 14, 2026, at 9 a.m. Eastern Time.

Shareholders and interested parties may participate in the conference call by dialing (888) 506-0062 and international participants should dial (973) 528-0011 and use access code: 115484. The call and the accompanying slide deck will also be webcast at:

https://www.webcaster5.com/Webcast/Page/2208/53934

¹ Represents a non-GAAP financial measure. Refer to the section entitled "Use of Non-GAAP Measures" and Reconciliation to GAAP later in this press release.

The conference call and slide deck may also be accessed via the Events page of the Company's website at www.bktechnologies.com. Please allow extra time prior to the call to visit the site.

An online archive of the webcast will be available on the Company's website for thirty (30) days following the call at www.bktechnologies.com. A replay of the conference call will be available one hour after completion of the call until Thursday, May 28, 2026, by dialing (877) 481-4010 and international participants should dial (919) 882-2331. All callers must use access code 53934 to access the replay.

Use of Non-GAAP Measures

BK Technologies prepares its consolidated financial statements in accordance with United States generally accepted accounting principles ("GAAP"). In addition to disclosing financial results prepared in accordance with GAAP, the Company discloses non-GAAP financial measures. Management believes the non-GAAP financial measures discussed in this release are important to the reader of the Consolidated Financial Statements. The Company has provided the non-GAAP financial information presented in the press release, which is not calculated or presented in accordance with GAAP, as information supplemental and in addition to the financial measures presented in the press release that are calculated and presented in accordance with GAAP. Such non-GAAP financial measures should not be considered superior to, as a substitute for or alternative to, and should be considered in conjunction with the GAAP financial measures presented in the press release. The non-GAAP financial measures in the press release may differ from similar measures used by other companies.

Adjusted Earnings Before Interest Taxes Depreciation and Amortization (Adjusted EBITDA). Adjusted EBITDA and Adjusted EBITDA margin are considered non-GAAP financial measures under the SEC's rules because they exclude certain amounts included in net income provided in the statement of operations attributable to the Company calculated in accordance with GAAP, the most directly comparable financial measure calculated in accordance with GAAP. Management believes Adjusted EBITDA and Adjusted EBITDA margin can help the investors better understand operational factors associated with the Company's financial performance because it excludes the following from consideration: interest, taxes, depreciation and amortization, and infrequent or unusual losses or gains (i.e., non-recurring and incremental restructuring charges that are not expected to be routinely incurred year over year because of the Company's strategy and operating experience). Adjusted EBITDA margin is defined as Adjusted EBITDA divided by total revenue. See Reconciliation to GAAP below for calculation methodology and details regarding Adjusted EBITDA and Adjusted EBITDA Margin.

Adjusted earnings per share (Adjusted EPS). Adjusted EPS is considered a non-GAAP financial measure under the SEC's rules because it excludes certain amounts included in the basic and diluted earnings per share attributable to the Company calculated in accordance with GAAP EPS, the most directly comparable financial measure calculated in accordance with GAAP. Adjusted EPS is a non-GAAP financial measure that adjusts GAAP EPS for expense items that are typically strategic in nature or that management otherwise does not view as reflecting the operating performance of the Company. Management believes Adjusted EPS can help the reader better understand the operating performance of the core businesses and their ability to generate earnings. The Company has non-cash charges for stock-based compensation that do not reflect the operating performance of the LMR and Solutions businesses. The Company also recorded a one-time, non-cash income tax provision expense for NOL carryforwards during the second, third and fourth quarters of 2025. Management believes that these one-time charges do not reflect the operational profitability of the business for the second, third and fourth quarters of 2025 compared to prior periods. See Reconciliation to GAAP below for calculation methodology and details regarding Adjusted EPS. We do not provide reconciliations of forward-looking non-GAAP guidance due to the inherent difficulty in quantifying certain items necessary to provide such reconciliations as a result of their unknown effect, timing and potential significance.

About BK Technologies

BK Technologies Corporation (NYSE American: BKTI) manufactures high-specification communications equipment of unsurpassed reliability and value for public safety and government agencies. BK's BKR 9000 handheld multiband radio and next generation BKR9500 in-vehicle multiband radio combines advanced features with rugged durability and interoperability to meet the critical demands of first responders. BK's Solutions business unit, which includes the BK ONE family of offerings, combines land mobile radio (LMR) and LTE/5G to create seamless connectivity among first responders for planned and emergency events. BK Technologies is headquartered in West Melbourne, Florida. For more information, visit www.bktechnologies.com.