Eltek Ltd
NASDAQ:ELTK
Eltek Ltd
Eltek Ltd. is engaged in the development, manufacture, marketing, and sale of custom made printed circuit boards. The firm manufactures and supplies custom made circuitry solutions for use in compact electronic products. The firm's principal customers include manufacturers of defense and aerospace, medical, industrial, telecom and networking equipment, as well as contract electronic manufacturers. The firm designs and develops manufacturing solutions pursuant to interconnect requirements of original equipment manufacturers, and provides its customers with a range of custom designed PCBs, including rigid, double-sided and multi-layer PCBs, as well as flexible circuitry (flex and flex-rigid boards) made of various types of base material. The firm also acts as an agent for the importation of PCBs from South East Asia. The firm provides fabrication of dense multi-layer PCBs.
Eltek Ltd. is engaged in the development, manufacture, marketing, and sale of custom made printed circuit boards. The firm manufactures and supplies custom made circuitry solutions for use in compact electronic products. The firm's principal customers include manufacturers of defense and aerospace, medical, industrial, telecom and networking equipment, as well as contract electronic manufacturers. The firm designs and develops manufacturing solutions pursuant to interconnect requirements of original equipment manufacturers, and provides its customers with a range of custom designed PCBs, including rigid, double-sided and multi-layer PCBs, as well as flexible circuitry (flex and flex-rigid boards) made of various types of base material. The firm also acts as an agent for the importation of PCBs from South East Asia. The firm provides fabrication of dense multi-layer PCBs.
Revenue Dip: Quarterly revenue came in at $13.3 million, slightly below last year’s $13.5 million.
Gross Profit Decline: Gross profit dropped to $1.6 million from $3.5 million a year ago, pressured by currency and operational challenges.
Currency Headwinds: The sharp depreciation of the U.S. dollar against the shekel increased expenses and cut into profits.
Operational Instability: Continuing production process instability and integration of new equipment and personnel weighed on margins.
Competitive Pressure: New foreign competitors, particularly in higher volume segments, are limiting Eltek’s pricing power.
Guidance & Outlook: Management expects pricing improvements from updated quotations to show benefits in the coming quarters, with operational stabilization targeting mid-2026.
