Richardson Electronics, Ltd. (NASDAQ:RELL)

Richardson Electronics, Ltd. (NASDAQ:RELL) ($12.44, $168.2M market cap.) is a company that engages in the power and microwave technologies, announced Q3 2021 results:

• Sales of $55.3 million vs $45.2 million in the prior year
• EPS of $0.21 vs $0.02
• Backlog increased to $175.6 million in the third quarter versus $146.9 million at the end of the second quarter and $98.7 million at the end of the third quarter of last fiscal year.

“In our third quarter of fiscal 2022, we produced our seventh consecutive quarter of sequential revenue growth,” said Edward J. Richardson, Chairman, Chief Executive Officer, and President. “With continued growth in our backlog in all three business units, and new customers expressing interest in our growing range of engineered solutions, we remain confident that in spite of the challenging economic environment, fiscal year 2022 will finish with strong sales and improved profitability.”

The company posted another strong quarter. While EPS was down some from Q2 due to slightly lower gross margins, the strong year over year growth continued and backlog seems to be accelerating. We are looking forward to the conference call this morning at 10 AM EST. In the Q2 call, management offered some very bullish comments on all its business segments and the visibility about future growth. We would like to see a reiteration of those messages in this call. 

For more color on the RELL story see our recent coverage:

• Reasons for Tracking note
• Fireside chat with CEO
• Brief clip of recent site visit Maj attended