BK Technologies Corporation delivered strong financial performance in the fourth quarter and full year of 2025, surpassing guidance across key metrics. Revenue climbed 20% year-over-year in Q4, fueled by robust demand for its BKR 5000 and BKR 9000 radios from state and local agencies.
Q4 2025 Financial Highlights
Revenue reached $21.5 million, up from $17.9 million in Q4 2024. Gross margins expanded significantly to 50.4%, a 929 basis point improvement from 41.2% the prior year, thanks to growing adoption of the BKR 9000 and an optimized product mix.
Diluted EPS stood at $1.05, compared to $0.93 in Q4 2024. Non-GAAP adjusted diluted EPS rose to $1.17 from $0.61. The company ended the quarter with a record $22.8 million in cash and a debt-free balance sheet.
Full Year 2025 Results
Annual revenue totaled $86.1 million, a 12.5% increase from $76.6 million in 2024. Gross margins improved to 48.8%, exceeding the 47% target and up over 10 percentage points from 37.9% the previous year.
GAAP diluted EPS hit $3.44, up from $2.25, while non-GAAP adjusted EPS reached $4.32 from $1.84. Operating income grew to $16.0 million with an 18.6% margin, and adjusted EBITDA was $17.6 million at a 20.5% margin.
Working capital expanded to $37.3 million, including $30.0 million in cash, equivalents, and receivables.
2026 Outlook and Strategic Priorities
BK Technologies introduced 2026 targets: $90 million in revenue, gross margins above 50%, GAAP diluted EPS over $3.15, and non-GAAP adjusted EPS of $3.55. These account for expensing engineering costs for the upcoming BKR9500 and a normalized 25% tax rate.
The company launched Vision 2030, emphasizing revenue growth, profitability, and cash generation. The BKR9500 multi-band mobile radio heads to FCC approval in late 2026.
CEO Commentary
“We achieved outstanding results throughout 2025, executing on strategic priorities to deliver revenue growth, margin expansion, and increased profitability,” stated CEO John Suzuki. He highlighted the BKR 9000’s traction in expanding markets like structural fire and law enforcement, positioning the company for market share gains amid a large replacement cycle for legacy radios.
Suzuki added that with strong momentum, the firm plans to invest in innovation, channel expansion, and go-to-market efforts. An Investor Day on April 2 will detail Vision 2030 initiatives.
The company repurchased 19,000 shares in Q4, with $3.8 million remaining under authorization.
