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Financial Data and Key Metrics Changes - Q4 2025 revenue reached a record $215.8 million, a 9.4% increase from $197.3 million in Q4 2024, marking the 19th consecutive quarter of year-over-year revenue growth [8][24] - Gross margins improved to 27.7% in Q4 2025, up from 23.5% in Q4 2024, with adjusted EBITDA margins at 17.5%, up from 13% in 2022 [10][12][14] - GAAP EPS was $0.48 per diluted share in Q4 2025, compared to $0.45 in Q4 2024, while adjusted diluted EPS was $1.05, up from $0.75 in the prior year [13][27] Business Line Data and Key Metrics Changes - Military and space segment revenues grew 13% to $124 million in Q4 2025, driven by strong performance in fixed-wing aircraft, rotorcraft, and missiles [17][24] - Commercial aerospace segment revenue increased by 1% to $82 million, with growth in A320 and 787 platforms offsetting declines in the 737 MAX [20][24] - Structural Systems segment revenue was $96 million, up from $90 million, with operating income margin increasing to 15.2% from 3.6% [28] - Electronic Systems segment revenue rose to $120 million, with operating income margin at 18.4%, up from 17.7% [29] Market Data and Key Metrics Changes - The remaining performance obligation (RPO) grew to a record $1.1 billion, increasing by $75 million sequentially, primarily in defense businesses [9] - Book-to-bill ratio was 1.3x in Q4, indicating strong order intake relative to revenue [10] - The company expects continued strength in defense business and a recovery in commercial aerospace in the second half of 2026 [16] Company Strategy and Development Direction - The company is executing its VISION 2027 strategy, focusing on increasing the revenue percentage of engineered products and aftermarket content, which rose to 23% in 2025 from 15% in 2022 [7] - The next investor conference will present the Vision 2032 strategy, indicating a long-term growth outlook [8] - The company aims to achieve an 18% EBITDA margin by 2027, with current margins trending positively [12][23] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the momentum from both military and commercial aerospace markets, anticipating mid-to-high single-digit revenue growth for 2026 [16][14] - The company highlighted the importance of relationships with defense primes and the expected ramp-up in missile production as key growth drivers [18][70] - Management noted that tariffs have not materially impacted results and expect to continue mitigating their effects [25][26] Other Important Information - The company entered into a binding settlement for the Guaymas fire litigation, resulting in a $150 million payment, with $56 million covered by insurance [15] - The restructuring program has been completed, with expected annual savings of $11 million to $13 million by the end of 2026 [31] Q&A Session Summary Question: Inventory destocking and working capital - Management expects continued destocking in the first half of 2026, with improvements anticipated in the second half as inventory levels decrease [39][40] Question: Medium-term opportunities in defense - Management indicated that they have significant existing capacity to meet increased demand, with a conservative estimate of at least 30% available capacity [50][51] Question: Margin outlook for 2026 - Management suggested that the exit rate for EBITDA margins should be viewed closer to 16.5% for 2026, with potential for improvement as production ramps up [59][60] Question: M&A market activity - Management noted increased activity in the M&A market, with a focus on disciplined evaluation of opportunities within their target range [96][97]

Ducommun (NYSE:DCO) Q4 2025 Earnings call February 26, 2026 01:00 PM ET Company ParticipantsBradley Eiser - Managing DirectorConnor Dezert - Global Investment Research AssociateMike Crawford - Senior Managing Director and Head of Discovery GroupStephen Oswald - Chairman, President and CEOSuman Mookerji - SVP and CFOConference Call ParticipantsKen Herbert - Managing Director and Senior Aerospace and Defense AnalystSlade Struhsaker - Equity Research AnalystTony Bancroft - Portfolio Manager and Research Analys ...

Financial Data and Key Metrics Changes - Revenue for Q4 2025 reached a record $215.8 million, a 9.4% increase from $197.3 million in Q4 2024, marking the 19th consecutive quarter of year-over-year revenue growth [9][24] - Gross margins improved to 27.7% in Q4 2025, up from 23.5% in Q4 2024, with adjusted gross margins at 27.7%, a 370 basis point increase from 24% in the prior year [11][25] - Adjusted EBITDA margin for Q4 2025 was 17.5%, up from 13% in 2022, indicating significant progress towards the Vision 2027 goal of 18% [12][14] - GAAP EPS was $0.48 per diluted share in Q4 2025, compared to $0.45 in Q4 2024, while adjusted diluted EPS was $1.05, up from $0.75 in the prior year [13][27] Business Line Data and Key Metrics Changes - Military and space segment revenues grew 13% to $124 million in Q4 2025, driven by strong performance in fixed-wing aircraft, rotorcraft, and missiles [18][24] - Commercial aerospace segment revenues increased by 1% to $82 million, with growth in A320 and 787 platforms offsetting declines in the 737 MAX [20][24] - Structural Systems segment revenue was $96 million, up from $90 million, with operating income margin increasing to 15.2% from 3.6% [28][29] - Electronic Systems segment revenue rose to $120 million, with operating income margin at 18.4%, up from 17.7% [30][31] Market Data and Key Metrics Changes - The remaining performance obligation (RPO) grew to a record level of $1.1 billion, increasing by $75 million sequentially, primarily in defense businesses [10] - Book-to-bill ratio was 1.3x in Q4, indicating strong order intake relative to revenue [10] - The company expects continued strength in the defense business and a recovery in commercial aerospace in the second half of 2026 [17] Company Strategy and Development Direction - The company is executing its Vision 2027 strategy, focusing on increasing the revenue percentage of engineered products and aftermarket content, which rose to 23% in 2025 from 15% in 2022 [8] - The company plans to hold an investor conference in September 2026 to present the next five-year vision, Vision 2032 [9] - The strategy includes consolidating operations, driving evaluated pricing, and expanding content on key commercial aerospace platforms [8] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the momentum from both military and commercial aerospace markets, anticipating mid-to-high single-digit revenue growth for 2026 [17][15] - The company highlighted the importance of relationships with defense primes and the expected ramp-up in missile production as a growth catalyst starting in 2027 [19][70] - Management noted that tariffs have not materially impacted results and expect this trend to continue [25][26] Other Important Information - The company entered into a binding settlement for the Guaymas fire litigation, resulting in a payment of $150 million, with $56 million funded by insurance [16] - The restructuring program has been completed, with expected annual savings of $11 million to $13 million by the end of 2026 [32] Q&A Session Summary Question: Inventory destocking and working capital - Management expects continued destocking in the first half of 2026, with improvements anticipated in the second half as inventory levels decrease [40][41] Question: Medium-term opportunities in defense - The company is well-positioned to benefit from increased production capacity among primes, particularly in missile programs, with significant existing capacity available [44][46] Question: Growth potential without additional CapEx - Management indicated that there is at least 30% existing capacity available for growth without significant additional CapEx [50][51] Question: Margin outlook for 2026 - The exit rate for EBITDA margins is expected to be closer to 16.5% for 2026, with opportunities for improvement as production ramps up [60][61] Question: M&A market activity - The company is seeing increased M&A activity and remains disciplined in evaluating opportunities, with a focus on assets that align with their engineered products strategy [93][94]

Q4 2025 Earnings Call Stephen Oswald - Chairman, President and Chief Executive Officer Suman Mookerji – Senior Vice President, Chief Financial Officer February 26, 2026 Disclosures Forward-Looking Statements: This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may be preceded by, followed by or include the words "believe," "continue," "estimate," "expect," "may," "plan," "potential," "should," "result," ...

分组1 - Ducommun reported quarterly earnings of $1.05 per share, exceeding the Zacks Consensus Estimate of $0.91 per share, and showing an increase from $0.75 per share a year ago, resulting in an earnings surprise of +15.39% [1] - The company posted revenues of $215.8 million for the quarter ended December 2025, which was 0.57% below the Zacks Consensus Estimate, but an increase from $197.29 million year-over-year [2] - Ducommun has surpassed consensus EPS estimates in all four of the last quarters and has topped consensus revenue estimates three times during the same period [2] 分组2 - The stock has gained approximately 33.3% since the beginning of the year, significantly outperforming the S&P 500's gain of 1.5% [3] - The company's earnings outlook will be crucial for future stock performance, with current consensus EPS estimates at $0.91 for the upcoming quarter and $4.23 for the current fiscal year [4][7] - The Aerospace - Defense Equipment industry, to which Ducommun belongs, is currently ranked in the top 21% of over 250 Zacks industries, indicating a favorable outlook for the sector [8]

Investor Presentation Q4 2025 Disclosures Forward-Looking Statements: This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may be preceded by, followed by or include the words "believes," "expects," "anticipates," "intends," "plans," "estimates" or similar expressions. These statements are based on the beliefs and assumptions of the Company's management. Generally, forward-looking statements include infor ...

x ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2025 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 _________________________________________________________ FORM 10-K _________________________________________________________ OR For the transition period from to Commission File Number 001-08174 ____ ...

Ducommun Incorporated Reports Fourth Quarter 2025 Results Strong Finish to 2025; Record Full Year Revenue and Gross Margins EXHIBIT 99.1 NEWS RELEASE COSTA MESA, CALIFORNIA (February 26, 2026) – Ducommun Incorporated (NYSE: DCO) ("Ducommun" or the "Company") today reported results for its fourth quarter and year ended December 31, 2025. Fourth Quarter 2025 Recap "We continued to make excellent progress to close out year three of our five year VISION 2027 with gross margin and Adjusted EBITDA margins at reco ...

Strong Finish to 2025; Record Full Year Revenue and Gross MarginsCOSTA MESA, Calif., Feb. 26, 2026 (GLOBE NEWSWIRE) -- Ducommun Incorporated (NYSE: DCO) (“Ducommun” or the “Company”) today reported results for its fourth quarter and year ended December 31, 2025. Fourth Quarter 2025 Recap Net revenue of $215.8 million, an increase of 9.4% over Q4 2024Gross margin of 27.7% showed year-over-year growth of 420 bpsNet income of $7.4 million increased 10% year-over-year, or $0.48 per diluted share, or 3.4% of rev ...