Sono-Tek Corporation has received a purchase order valued at $820,000 for coating equipment to be used in the production of diagnostic medical devices. The order, placed through a subcontractor integrating Sono-Tek's technology into a larger automated manufacturing line, reflects the continued scaling of production by an existing customer in the medical sector. The system will support a diagnostic-related application involving the deposition of a specialized electronically active layer and represents a significant expansion in production capability compared to earlier equipment supplied by Sono-Tek.
This order reflects the continued progression of our relationship with this customer as they scale their manufacturing capabilities, said Steve Harshbarger, President and CEO of Sono-Tek. The customer previously purchased two Sono-Tek production systems priced between $175,000 and $190,000 as they began scaling early production. This latest order represents a meaningful step forward in both system capability and throughput, and demonstrates our strategy of supporting customers as they transition toward larger, more complex production platforms with higher average selling prices.
This award further reinforces Sono-Tek's continued success in the medical device sector, a key growth driver in the Company's long-term strategy. Importantly, this order is from a different customer than the previously announced $5.0 million and $2.8 million medical device system orders, highlighting the Company's expanding footprint across multiple production programs within the broader medical sector. The Company believes this program may lead to additional opportunities with this customer as production continues to expand, including potential future orders for larger integrated coating systems that further increase average selling prices.
The system is expected to ship during fiscal year 2027. For business leaders and investors, this announcement underscores a strategic shift for Sono-Tek from selling individual components to providing complete machine solutions with higher value. The company's product line is rapidly evolving, transitioning from R&D to high-volume production machines with significantly higher average selling prices, showcasing market leadership and adaptability. This development signals growing validation of ultrasonic coating technology in precision manufacturing, particularly for medical devices requiring specialized thin-film applications.
The implications for the industry are substantial as manufacturers seek more efficient, precise, and environmentally friendly coating solutions. Sono-Tek's solutions are environmentally friendly, efficient and highly reliable, and enable dramatic reductions in overspray, savings in raw material, water and energy usage and provide improved process repeatability, transfer efficiency, high uniformity and reduced emissions. As companies scale production of complex medical diagnostics, reliable coating systems become critical infrastructure. This order, following earlier smaller purchases, demonstrates a successful customer adoption curve that other technology providers might emulate. The latest news and updates relating to Sono-Tek are available in the company's newsroom at https://tinyurl.com/sotknewsroom.
