Precision Optics Announces Receipt of $2.5 Million Production Orders from Large Medical Device Company for Spinal Surgery Application

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Mar 24, 2022, 09:00 ET

GARDNER, Mass., March 24, 2022 /PRNewswire/ -- Precision Optics Corporation, Inc. (OTCQB: PEYE), a leading designer and manufacturer of advanced optical instruments for the medical and defense industries, today announced the receipt of multiple production orders totaling approximately $2.5 million from a large medical device company to meet increased demand for the customer's spinal surgery product that utilizes Precision Optics proprietary illumination technology.

Precision Optics has supplied this product to the customer for more than ten years, with an average yearly run rate for fiscal years 2019 and 2020 of approximately $625,000. Due to the impact of pandemic-related restrictions on elective surgeries, fiscal year 2021 deliveries dropped to $160,000. With the relaxation of these restrictions, elective surgeries have increased, and this customer has continued to take an aggressive position to expand market share in certain product and geographic markets. Orders received by Precision Optics for this product in fiscal year 2022 have reached $2.5 million. The Company expects to deliver approximately $1.2 million through the end of fiscal year 2022, and $1.3 million in fiscal year 2023.

"I am proud of the long-term partnership we have with this tier-one medical device customer, and I'm pleased that we have been able to quickly ramp up production to meet their increased demand for this spinal surgery product," commented Dr. Joe Forkey, CEO of Precision Optics. "These higher order levels are consistent with the increased demand our customers have experienced as the impact of the pandemic subsides. Order rates for virtually all of our customers with mature medical device products are increasing back to pre-pandemic levels or higher to address the backlog in elective medical procedures."

About Precision Optics Corporation
Founded in 1982, Precision Optics is a vertically integrated optics company primarily focused on leveraging its proprietary micro-optics and 3D imaging technologies to the healthcare and defense/aerospace industries by providing services ranging from new product concept through mass manufacture. Utilizing its leading-edge in-house design, prototype, regulatory and fabrication capabilities as well as its Lighthouse Imaging division's electronic imaging expertise and its Ross Optical division's high volume world-wide sourcing, inspecting and production resources, the Company is able to design and manufacture next-generation product solutions to the most challenging customer requirements. Within healthcare, Precision Optics enables next generation medical device companies around the world to meet the increasing demands of the surgical community who require more enhanced and smaller imaging systems for minimally invasive surgery as well as 3D endoscopy systems to support the rapid proliferation of surgical robotic systems. In addition to these next generation applications, Precision Optics has supplied top tier medical device companies a wide variety of optical products for decades, including complex endocouplers and specialized endoscopes. The Company is also leveraging its technical proficiency in micro-optics to enable leading edge defense/aerospace applications which require the highest quality standards and the optimization of size, weight and power. For more information, please visit www.poci.com.

About Forward-Looking Statements
This press release contains forward-looking statements. Forward-looking statements include, but are not limited to, statements that express the Company's intentions, beliefs, expectations, strategies, predictions or any other statements related to the Company's future activities or future events or conditions. These statements are based on current expectations, estimates and projections about the Company's business based, in part, on assumptions made by the Company's management. These statements are not guarantees of future performances and involve risks, uncertainties and assumptions that are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed or forecasted in the forward-looking statements due to numerous factors, including those risks discussed in the Company's annual report on Form 10-K and in other documents that we file from time to time with the SEC. Any forward-looking statements speak only as of the date on which they are made, and the Company does not undertake any obligation to update any forward-looking statement, except as required by law.

SOURCE Precision Optics Corporation