A distributor and maker of electron tubes, RF and microwave components, and engineered solutions used in healthcare imaging, aviation, broadcast, and industrial equipment. Founded in 1947 by Edward J. Richardson, the Illinois-based company grew from a small tube distributor into a global supplier, taking its name from its founder. Its power grid tubes help keep radar systems, medical imaging machines, and broadcast transmitters running worldwide.
10-K · Fiscal year ended May 30, 2026 · SEC filing ↗
Richardson Electronics returned to full-year profitability in FY2026 as all three segments grew, but operating cash flow nearly vanished.
Richardson Electronics swung back to a profit. rose 9.4% to $228.6 million and reached $6.4 million, driven by a recovery in semiconductor wafer fabrication equipment demand that lifted the PMT . The company is profitable again, but the cash it generated from operations fell to just $0.8 million.
Key takeaways
was $6.4 million, or $0.50 per diluted share, compared to a net loss of $1.1 million in fiscal 2025, which had been driven by a $5.1 million loss on the sale of most Healthcare assets.
Consolidated rose 9.4% to $228.6 million, with growth in all three segments: Power and Microwave Technologies (PMT) up 9.1%, Green Energy Solutions (GES) up 7.3%, and Canvys up 12.4%.
widened 0.2 percentage points to 31.2%, helped by favorable product mix in PMT, partially offset by unfavorable mix in GES and Canvys.
Section summaries
Business
Richardson Electronics is a global manufacturer of engineered solutions, tubes, power components, and custom displays across three segments.
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The company operates three reportable segments: Power and Microwave Technologies (PMT), Green Energy Solutions (GES), and Canvys, after realigning from four segments effective June 1, 2025.
PMT provides engineered solutions, power grid and microwave tubes, and RF/wireless/power components for markets including 5G, aviation, broadcast, medical, military, and semiconductor, and holds exclusive distribution agreements with many suppliers.
GES designs and manufactures products for energy storage and power management applications such as wind, solar, hydrogen, electric vehicles, and synthetic diamond manufacturing.
fell to $0.8 million from $10.6 million a year earlier, as an $8.9 million increase in consumed the cash generated by .
The company realigned from four reportable segments to three, folding the remaining Healthcare business into PMT after the January 2025 sale of most Healthcare assets to DirectMed Imaging.
Cash and equivalents ended the year at $31.8 million, down from $35.9 million, while the $20 million with PNC Bank remained undrawn.
What changed
The PMT 's recovery from the semiconductor wafer fabrication equipment downturn, flagged as a key watch item in FY2024 and FY2025, materialized: PMT rose 9.1% to $137.8 million in FY2026, though quarterly growth was uneven, with a 4.0% decline in Q2 interrupting the trend.
GES grew 7.3% to $28.7 million for the full year, but the quarterly pattern remained lumpy, swinging between $4.9 million and $8.1 million, confirming earlier concerns that the is tied to the timing of individual large orders rather than a steady demand base.
The $35.9 million cash balance and $6.8 million in Healthcare sale proceeds flagged for deployment in FY2025 were partially consumed: cash fell to $31.8 million as dwindled to $0.8 million, and the filing does not disclose a specific GES growth investment that materially changed the 's profile.
The PMT reserve, flagged by the auditor as a critical audit matter in FY2025, remained a critical audit matter in FY2026, with the reserve at $6.3 million against $103.0 million in gross inventory, indicating the risk of obsolescence for trailing-edge technology products persists.
What to watch
Whether recovers from the $0.8 million generated in FY2026, or whether the $8.9 million increase in that consumed cash this year represents a permanent step-up in needs.
Whether PMT can string together consecutive quarters of growth, or whether the pattern of alternating growth and decline seen in FY2026 continues, signaling an uneven semiconductor wafer fabrication equipment recovery.
Whether GES can break out of the $4.9 million to $8.1 million quarterly range it has occupied for seven quarters, and whether management discloses progress toward a more predictable revenue base beyond individual large orders.
Whether the $31.8 million cash balance and undrawn $20 million are sufficient to fund the and if does not strengthen, particularly given the $6.3 million reserve that signals potential future write-downs.
Canvys offers customized display solutions including touch screens, protective panels, custom enclosures, and All-In-One computers for corporate, financial, healthcare, industrial, and medical markets.
On January 24, 2025, the company sold a substantial portion of its Healthcare business to DirectMed Imaging and entered an exclusive 10-year global supply agreement to supply repaired Siemens CT X-ray tubes.
In fiscal 2026, 60% of sales were outside the United States, and one PMT customer accounted for 14% of consolidated ($31.5 million).
Key risks center on customer and supplier concentration, inventory obsolescence, supply chain and tariff exposure, and cybersecurity threats.
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One PMT customer accounted for 14% of consolidated in fiscal 2026, and two suppliers each exceeded 10% of total cost of sales, creating material concentration risk.
The company faces obsolescence risk because its products support tube-based industrial machinery and markets can shift rapidly with new technology and changing demand.
Supply chain disruptions, including conflicts in Europe and the Middle East, logistics constraints, and tariffs on China-sourced products, could raise costs and delay shipments.
Cybersecurity threats, including AI-enabled attacks, could disrupt IT systems, compromise data, and create liability or reputational harm.
A single stockholder, Edward J. Richardson, controls 61% of voting power, limiting other shareholders' influence over major corporate decisions.
The company cites execution risk in its Green Energy Solutions and power conversion growth initiatives, which may not reach profitability as planned.
Company owns 1 facility and leases 24, with owned LaFox, IL site serving as corporate HQ and largest distribution center.
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The owned LaFox, Illinois facility spans approximately 100 acres and 224,000 square feet of manufacturing, warehouse, and office space.
The LaFox site serves the PMT, Canvys, and GES segments for corporate, sales, distribution, and manufacturing functions.
All other 24 facilities are leased, spanning the U.S., Europe, Asia, the Middle East, and Latin America.
Most leased locations are sales-only offices for the PMT , while Canvys uses facilities in Marlborough, MA, Donaueschingen, Germany, and shared sites in Taipei and Lincoln, UK.
The company maintains geographically diverse facilities to limit market risk and exchange rate exposure and believes properties are well maintained and adequate for current needs.
Facility utilization varies by property and fluctuates during the year.
Quantitative and Qualitative Disclosures About Market Risk
Primary market risk is foreign currency exposure; no derivatives or forward contracts were used in fiscal 2024-2026.
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The company's primary financial risk is foreign currency exchange, since certain operations, assets, and liabilities are denominated in foreign currencies.
Foreign-denominated assets and liabilities include cash, , , , and intercompany balances, mainly in the EU, Asia/Pacific, and to a lesser extent Canada and Latin America.
The company manages foreign exchange exposure through currency clauses in certain sales contracts rather than through derivatives or .
A hypothetical unfavorable 10% move in the U.S. dollar would have lowered foreign-denominated by an estimated $13.0 million in fiscal 2026, $11.3 million in fiscal 2025, and $10.8 million in fiscal 2024.
The same 10% adverse move would have reduced total assets by an estimated $5.2 million as of May 30, 2026 and $5.4 million as of May 31, 2025, and total liabilities by an estimated $0.9 million and $1.4 million, respectively.
The company cautions that these sensitivity estimates should not be viewed in isolation because exchange-rate changes would likely affect other economic factors that are not readily quantifiable.