Butler National Navigates Leadership Transition Amid Record Growth

OLATHE, KS – June 15, 2026 – Butler National Corporation (OTCQX: BUKS), a specialized provider of high-tech aerospace solutions and professional gaming management, announced today a significant leadership transition at a time of unprecedented financial strength. Christopher J. Reedy has retired from his role as President and Chief Executive Officer due to health considerations, effective immediately. The company’s Board of Directors has appointed Chief Financial Officer Adam Sefchick as Interim CEO, tasking him with the dual responsibility of steering the company while maintaining his CFO duties.

The change comes as Butler National enjoys a period of robust growth, largely fueled by its innovative Aerospace Products segment. The transition places a steady financial hand at the tiller, but it also opens a crucial chapter for the company as it begins the search for a permanent leader to build on its recent momentum and navigate the complex, high-stakes world of aerospace technology and defense contracting.

A Legacy of Expansion and Innovation

While his tenure as CEO was relatively brief, beginning in May 2023, Christopher J. Reedy’s impact on Butler National is the culmination of a career that started with the company in November 2000. His leadership, informed by a unique background blending legal and engineering expertise, has been instrumental in shaping the company's recent trajectory.

Under Reedy’s guidance, Butler National has posted record-breaking financial results. For the third quarter ending January 31, 2026, the company reported a 27% increase in revenue to $26.9 million and a staggering 129% surge in operating income to $9.2 million compared to the prior year. This performance was driven by the aerospace segment, which saw its own revenue climb by 50%. The company’s operating margin expanded dramatically to 34%, a testament to operational efficiencies and a focus on high-value, repetitive product sales.

Key strategic initiatives during Reedy's CEO tenure include the 2023 relocation of the company’s headquarters to a new, consolidated facility at the New Century Airport, a move designed to enhance collaboration between leadership, engineering, and avionics teams. More critically, he championed continued investment in research and development. This focus yielded tangible results, including recent Federal Aviation Administration (FAA) Supplemental Type Certificates (STC) for special mission modifications on Bombardier Challenger and Cessna Caravan aircraft—complex certifications that represent significant competitive moats and unlock new revenue streams in the Intelligence, Surveillance, and Reconnaissance (ISR) market.

"It has been an honor to serve Butler National, its employees, customers, and shareholders," Mr. Reedy stated in the official announcement. "While health considerations have led me to step away from my day-to-day responsibilities, I remain committed to supporting the Company and helping ensure a successful transition." Reedy will continue to serve on the Board of Directors and in an advisory capacity.

A Steady Hand at the Financial Helm

Entering the chief executive role is Adam Sefchick, a Certified Public Accountant who has served as Butler National’s CFO since May 2025. Sefchick brings over two decades of accounting and financial analysis experience, having previously served as Chief Accounting Officer at Jack Cooper Investments, Inc. and as an Audit Senior Manager at Grant Thornton. His appointment signals a focus on continuity and financial discipline during this interim period.

"Adam has been a key member of Butler National's leadership team and has worked closely with Chris, our Board, and our operating leaders," said Jeff Yowell, Executive Chairman of Butler National. "The Board is confident that Adam, together with our experienced management team, will provide continuity and stability during this transition period."

Sefchick inherits a company in a remarkably strong financial position, a state he helped cultivate as CFO. As of early 2026, Butler National held more cash than debt, boasted a healthy current ratio of 1.88, and delivered an impressive return on equity of 28.42%. His immediate challenge will be balancing the strategic, forward-looking demands of a CEO with the meticulous, risk-focused duties of a CFO—all while ensuring the company doesn't lose a step on its strategic objectives.

"I appreciate the confidence the Board has placed in me," Mr. Sefchick commented. "I look forward to working closely with Jeff, Chris, and the rest of our leadership team to ensure a smooth transition, continue serving our customers, and execute on the Company's strategic priorities."

A Tale of Two Segments: Aerospace and Gaming

To understand the task ahead for Butler National's leadership, one must appreciate its unique dual-market structure. The company operates in two distinct segments: Professional Services, which primarily involves managing the Boot Hill Casino & Resort in Kansas, and the far larger Aerospace Products segment.

The aerospace division is the company’s engine of growth and technological innovation. Through subsidiaries like Avcon Industries and Butler Avionics, the company designs, engineers, and manufactures critical aircraft components, avionics systems, and complex structural modifications. Its specialty lies in converting commercial aircraft for 'special missions'—a growing market that includes ISR, atmospheric research, and air ambulance services. This work demands deep engineering expertise and the ability to navigate the FAA's rigorous certification landscape. With a reported backlog of approximately $37 million, the demand for these high-tech services is clear and growing.

This technology-forward segment, with its focus on MRO (maintenance, repair, and overhaul) and defense electronics, positions Butler National at the heart of critical global industries. The Professional Services segment, while stable, provides portfolio diversification but does not possess the same high-growth, high-tech profile as its aerospace counterpart.

The Board's High-Stakes Search

With Sefchick providing interim stability, the Board of Directors has turned its attention to the crucial task of finding a permanent CEO. The search will be led by Joe Daly, the Board's Lead Independent Director and Chair of the Nominating and Governance Committee. Daly, himself the CEO of an engineering research firm, brings a deep understanding of the technical and financial drivers in high-tech industries.

"The Board will initiate a search process immediately to identify Butler National's next Chief Executive Officer," Daly confirmed. "We are committed to conducting a thorough and thoughtful search process and selecting the leader best positioned to build upon the Company's strong foundation and drive long-term value for shareholders."

The timing of the search is both opportune and challenging. A new leader will inherit a company firing on all cylinders, with its stock price having surged over 160% in the past year and trading near its 52-week high. The challenge will be to find an individual who can not only sustain this momentum but accelerate it. The ideal candidate will likely need a strong background in the aerospace and defense sectors, a proven track record of managing complex engineering projects, and the strategic vision to expand Butler National's footprint in the global special missions market. Strong insider confidence, demonstrated by Director Daly significantly increasing his own shareholdings in the past year, underscores the belief that the company’s best days are still ahead.