Universal Safety Products, Inc. designs and markets safety products primarily for consumer home use, including alarms and electrical safety devices, with a recent sale of its alarm segment.

# Company Overview - Universal Safety Products, Inc.

## Business Activities
- **Primary Focus:** Designs and markets safety products, mainly for home use.
- **Product Types:**
  - Smoke alarms (including battery-powered, sealed battery, and 120-volt with backup)
  - Carbon monoxide alarms
  - Related safety devices (such as hearing impaired alarms, heat alarms)
  - Other electrical products (door chimes, ventilation devices, ground fault circuit interrupters (GFCIs))
- **Market Approach:**
  - Most products require minimal installation, targeted at consumers for retail sale through stores.
  - The company markets products to retail stores and distributors.
  - Also markets products to electrical distribution trade via its wholly owned subsidiary, Universal Safety Electric, Inc. (Universal Electric), which sells primarily to electrical and lighting distributors, manufactured housing companies, and foreign customers (less than 5% of net sales).

## Operations & Imports
- **Manufacturing:** All products are imported, mainly from China.
- **Tariffs:** Tariffs of 25% previously, increased to 55% after March 31, 2025, impacting costs and supply chain uncertainty.
- **Suppliers:** Primarily dependent on Eyston Company Limited (China), which supplied approximately 96.3% of purchases in FY 2025, and 84.3% in FY 2024.

## Customer Base & Sales
- **Number of Customers:**
  - Approximately 40 independent sales organizations (around 100 sales reps) sell primarily to retail outlets.
  - Major retail and wholesale customers, with some contributing significantly to revenue.
- **Sales & Revenue:**
  - Fiscal year 2025 sales: **$23,563,554**, up from $19,517,673 in FY 2024.
  - The increase is mostly due to higher sales to retail customers.
  - Major customers: In FY 2025, two customers accounted for **21.7%** and **14.9%** of sales; in FY 2024, three customers represented **13.7%**, **13.7%**, and **10.6%**.
- **Backlog:** As of March 31, 2025, approximately **$2,142,000**, decreased from about **$5,314,000** in FY 2024 due to delayed orders in the prior year.

## Financial Performance
- **Revenue:** 
  - FY 2025: **$23,563,554**
  - FY 2024: **$19,517,673**
- **Net Income:**
  - FY 2025: **$500,684**
  - FY 2024: **Net loss of $695,790**
- The net income increased by **$1,196,474** compared to the prior year, mainly driven by increased sales and tax benefits from asset sale gains.
- **Employees:** The company had **11 employees** as of March 31, 2025.
- **Profitability:** Achieved net income in FY 2025 after losses in FY 2024.

## Recent Business Changes
- **Asset Sale:** In May 2025, the company sold its smoke and carbon monoxide alarm business to Feit Electric for approximately $4,955,000 and completed the sale in May 2025.
- **Future Business:** Continues importing and marketing non-alarm safety products, exploring new opportunities for long-term shareholder value.

## Summary
Universal Safety Products, Inc. is a safety product developer focusing on consumer markets, primarily offering smoke and carbon monoxide alarms, and electrical safety devices. It relies heavily on imports from China, with a small international sales component. The company has around 40 sales organizations and several major customers, with FY 2025 revenues surpassing FY 2024, and posted a net income of $500,684 for FY 2025. Following the sale of its alarm segment in 2025, it now plans to continue importing and marketing other product lines.

Universal Security Instruments, Inc. specializes in the design and marketing of safety products such as smoke alarms and carbon monoxide alarms, primarily targeting the do-it-yourself consumer market.

# Company Overview: Universal Security Instruments, Inc.

## General Information
- **Incorporation:** Founded in 1969 in Maryland.
- **Headquarters:** 11407 Cronhill Drive, Suite A, Owings Mills, Maryland 21117.
- **Website:** [www.universalsecurity.com](http://www.universalsecurity.com)
- **Telephone:** 410-363-3000

## Business Activities
Universal Security Instruments, Inc. specializes in the design and marketing of a variety of safety products, primarily focusing on:
- **Smoke Alarms**
- **Carbon Monoxide Alarms**
- **Related Safety Products** including:
  - Door chimes
  - Ventilation products
  - Ground Fault Circuit Interrupters (GFCIs)
  
The products are aimed mostly at "do-it-yourself" consumers and can typically be installed without professional assistance. 

### Product Distribution Channels
- **Retail Sales:** 
  - The Company sells directly to retailers, including wholesale distributors and various retail chains.
  - Approximately 40 independent sales organizations represent the Company, employing around 100 sales representatives.
- **Electrical Distribution Trade:** 
  - Marketed through USI Electric, Inc., a wholly owned subsidiary focusing on products requiring professional installation.
- **Website and Marketing Materials:** 
  - Products are marketed via the Company's website and promotional catalogs.

## Financial Performance
- **Fiscal Year Ending March 31, 2024:**
  - **Revenue:** $19,902,673
  - **Net Loss:** $395,790 
  - **Comparison with FY 2023:**
    - Revenue decreased from $22,178,873.
    - Net income was $720,411 in FY 2023, representing a decrease in earnings of $1,116,201.
  
## Operations
- **Employees:** 
  - As of March 31, 2024, the Company had a total of **11 employees** (7 in administration and sales, 4 in product development).
- **Sales Market:** 
  - Total backlog of orders as of March 31, 2024, was approximately **$5,314,000**, significantly up from $2,382,000 in 2023.

## Supply Chain and Manufacturing
- The Company imports all products, primarily from Eyston Company Limited in the People's Republic of China, accounting for about 84.3% of total purchases in FY 2024.
- Subject to tariffs, with some products facing 25% tariffs.

## Competition
- Competes mainly with firms like First Alert and Walter Kidde Portable Equipment, Inc., focusing on product styling, features, and pricing differences.

## Properties
- Operates a **15,000 sq. ft.** leased facility in Baltimore County, Maryland, with a lease extending to April 2025.
- Holds an additional lease for **3,400 sq. ft.** of office space in Naperville, Illinois.

## Legal Matters
- The Company is occasionally involved in routine legal proceedings but does not foresee any of these impacting its financial position materially.

This concise summary provides a detailed snapshot of Universal Security Instruments, Inc., encompassing its operations, financial health, and market positioning.

UNIVERSAL SAFETY PRODUCTS, INC.

10-K / July 29, 2025

10-K / July 12, 2024

10-K / July 29, 2025

Company Overview - Universal Safety Products, Inc.

Business Activities

Operations & Imports

Customer Base & Sales

Financial Performance

Recent Business Changes

Summary