Astronics Corporation (ATRO)

Astronics Corporation Receives Production Order for TS-4549/T Radio Test Sets ProgramMay 27, 2026 4:30 PM
Business Wire Astronics Corporation (Nasdaq: ATRO), a leading provider of advanced technologies for global aerospace, defense and other mission critical industries, announced today that the U.S. Army has issued a purchase order to Astronics Test Systems for the TS-4549/T Radio Test Sets Program. The order initiates the full rate production stage of the program and is for $44.7 million. The order is expected to cover deliveries over the next 20 months. The U.S. Army originally awarded Astronics an Indefinite Delivery, Indefinite Quantity (IDIQ) contract for the TS-4549/T program in June of 2024. The program was originally funded at $215 million, of which $145 million remains after today’s announcement. Jim Mulato, President of Astronics Test Systems, said, “We are proud to be partnered with the U.S. Army on this important program, and are excited to begin full rate production. The volume ramp will be challenging, but our team is prepared and ready for it. Our goal is to execute the current order effectively and efficiently, paving the way for additional production orders in the future.” ABOUT ASTRONICS CORPORATION Astronics Corporation (Nasdaq: ATRO) serves the world’s aerospace, defense, and other mission critical industries with proven, innovative technology solutions. Astronics works side-by-side with customers, integrating its array of power, connectivity, lighting, structures, interiors, and test technologies to solve complex challenges. For over 50 years, Astronics has delivered creative, customer-focused solutions with exceptional responsiveness. Today, global airframe manufacturers, airlines, militaries, completion centers and Fortune 500 companies rely on the collaborative spirit and innovation of Astronics. The Company’s strategy is to increase its value by developing technologies and capabilities that provide innovative solutions to its targeted markets. For more information on Astronics and its solutions, visit Astronics.com. Safe Harbor Statement This news release contains forward-looking statements as defined by the Securities Exchange Act of 1934. One can identify these forward-looking statements by the use of the words “expect,” “anticipate,” “plan,” “may,” “will,” “estimate” or other similar expressions and include all statements with regard production efficiencies and future potential production orders. Because such statements apply to future events, they are subject to risks and uncertainties that could cause actual results to differ materially from those contemplated by the statements. Important factors that could cause actual results to differ materially from what may be stated here include the ability to ramp to full rate production and effectively meet production order requirements, the likelihood of receiving future production orders and other factors which are described in filings by Astronics with the Securities and Exchange Commission. Except as may be required by applicable law, the Company assumes no obligation to update forward-looking information in this news release whether to reflect changed assumptions, the occurrence of unanticipated events or changes in future operating results, financial conditions or prospects, or otherwise. View source version on businesswire.com: https://www.businesswire.com/news/home/20260526507853/en/ For more information, contact:
Company
Nancy L. Hedges, CFO
Astronics Corporation
T: 716.805.1599 Investors
Deborah K. Pawlowski
Alliance Advisors LLC
T: 716.843.3908
dpawlowski@allianceadvisors.com Original: Astronics Corporation Receives Production Order for TS-4549/T Radio Test Sets Program

Astronics Corporation Reports 12% Sales Growth for First Quarter 2026May 12, 2026 4:15 PM
Business Wire First quarter sales increased 12.0% to $230.6 million Achieved first quarter net income of $25.5 million, or $0.67 per diluted share; adjusted EBITDA1 was $37.9 million, or 16.4% of sales Aerospace operating margin expanded to 16.5%; adjusted Aerospace operating margin1 was 17.4% Record quarterly bookings of $290.4 million for book-to-bill of 1.26 and record backlog of $734.3 million Generated $10.6 million in cash from operations Increasing 2026 revenue guidance to a range of $970 million to $1 billion Astronics Corporation (Nasdaq: ATRO) (“Astronics” or the “Company”), a leading supplier of advanced technologies and products to the global aerospace, defense, and other mission critical industries, today reported financial results for the three months ended April 4, 2026. Financial results include the acquisition of Bühler Motor Aviation (“BMA”) on October 13, 2025. Peter J. Gundermann, Chairman, President and Chief Executive Officer, commented, “We are off to a strong start in 2026 with strong growth, expanded margins and record bookings and backlog. Our team’s focus on operational execution combined with higher volume delivered adjusted EBITDA1 margin of 16.4%. Demand across markets for our products remains robust, as evidenced by record bookings that were driven by strength in both Aerospace and Test. Our activity level is expected to pick up noticeably in the coming quarters and we believe we are well-positioned to capitalize on the opportunities ahead.” First Quarter Results   Three Months Ended ($ in thousands) April 4, 2026   March 29, 2025   % Change             Sales $ 230,619     $ 205,936     12.0 % Gross profit $ 75,133     $ 60,849     23.5 % Gross margin   32.6 %     29.5 %     Income from operations $ 27,230     $ 13,137     107.3 % Operating margin %   11.8 %     6.4 %     Net income $ 25,540     $ 9,528     168.1 % Net income %   11.1 %     4.6 %                 Adjusted operating income2 $ 29,560     $ 22,619     30.7 % Adjusted operating margin %2   12.8 %     11.0 %     Adjusted net income2 $ 22,501     $ 16,973     32.6 % Adjusted EBITDA2 $ 37,901     $ 30,739     23.3 % Adjusted EBITDA margin %2   16.4 %     14.9 %     First Quarter 2026 Results (compared with the prior-year period, unless noted otherwise) Growth in sales was driven by the Aerospace segment’s continued strength in demand primarily from the Commercial Transport market. Aerospace sales increased $22.4 million, or 11.7%, while Test Systems sales grew $2.2 million, or 15.4%. Gross profit increased $14.3 million to $75.1 million, or 32.6% of sales, an improvement over gross margin of 29.5% in the comparator quarter. Gross profit growth and margin expansion were primarily attributable to higher volume, improved productivity, and a $2.8 million catch-up of profit on the MV-75 program based on revised program estimates. This was partially offset by a $1.7 million increase in tariff expenses. In the prior year, first quarter consolidated sales and gross profit was negatively impacted by a $1.9 million revision of estimated costs to complete a long-term mass transit contract in the Test Systems segment. Selling, general and administrative expenses (“SG&A”) decreased $0.8 million. Litigation-related expenses were down $1.2 million, and the prior-year period included a $6.2 million reserve adjustment to the damage award relating to the patent infringement dispute in the UK. Appeals to the UK damage award are scheduled to be heard in July 2026. These decreases were mostly offset by higher wages and benefits, higher incentive-based compensation expenses driven by increased profitability, and incremental expenses related to the acquired BMA business. R&D was up $1.0 million reflecting the timing of projects. Operating margin expanded 540 basis points and adjusted operating margin2 expanded 180 basis points as a result of higher volume and improved productivity in the Aerospace segment, coupled with savings from the recent Test Systems cost rationalization activities. Interest expense was down $0.8 million, or 25.8%, on lower rates following the September 2025 refinancing activities. Tax benefit in the quarter of $0.8 million was related to a $2.7 million discrete adjustment for the expected benefit of a stock-based compensation deduction, a valuation allowance reversal, and research and development costs expected to be expensed. Tax expense in the prior year period was partially offset by a $1.1 million discrete adjustment to reverse certain federal and state deferred tax liabilities. Consolidated net income of $0.67 per diluted share improved from $0.26 per diluted share in the prior-year period from stronger operating profit, lower interest expense and lower tax. Adjusted EBITDA2 increased 23.3% to $37.9 million, and adjusted EBITDA margin2 expanded 150 basis points to 16.4% of consolidated sales. Record bookings of $290.4 million in the quarter resulted in a book-to-bill ratio of 1.26:1. For the trailing twelve months, bookings totaled $935.1 million and the book-to-bill ratio was 1.05:1. Backlog at the end of the quarter was $734.3 million, the highest in the Company’s history. Aerospace Segment Review (compared with the prior-year period, unless noted otherwise) Aerospace segment sales of $213.8 million increased $22.4 million, or 11.7%. Sales in the Commercial Transport market increased $18.9 million, or 13.7%. Growth was primarily related to increased demand for seat motion and lighting and safety products. General Aviation sales increased $6.2 million, or 40.7%, to $21.4 million due to higher inflight entertainment & connectivity (“IFEC”) product sales to the VVIP market. Military Aircraft sales remained consistent with the prior-year period. Other sales decreased $2.9 million as the Company has wound down its non-core contract manufacturing arrangements. Aerospace segment operating profit of $35.3 million, or 16.5% of sales, improved over the prior-year period reflecting the leverage gained on higher volume, improving production efficiencies, the cumulative catch-up of profit on the MV-75 program based on revised program estimates, and a $7.0 million decrease in litigation-related expenses and legal reserve adjustments related to the UK patent dispute previously discussed. Adjusted Aerospace operating profit2 increased 20.0% to $37.2 million, or 17.4% of sales, a 120-basis point expansion over the comparator quarter. Aerospace bookings were $264.4 million for a book-to-bill ratio of 1.24:1. Record backlog for the Aerospace segment was $651.4 million at quarter end. Mr. Gundermann commented, “Our Aerospace business had a solid first quarter with our second-highest quarterly sales total, trailing only the preceding fourth quarter. Strong sales led to a 16.5% operating margin. Market demand for our products remains strong and we are well positioned to set new records in the coming periods.” Test Systems Segment Review (compared with the prior-year period, unless noted otherwise) Test Systems segment sales of $16.8 million were up $2.2 million from the comparator quarter in 2025. Segment sales in the prior-year period were negatively impacted by a $1.9 million revision of estimated costs to complete a certain long-term mass transit Test contract reducing revenue recognized in the period. Test Systems segment operating profit was $0.4 million, compared with an operating loss of $2.2 million in the first quarter of 2025. Test Systems profitability, while improving, continues to be negatively affected by mix and under absorption of fixed costs at current volume levels. Bookings for the Test Systems segment in the quarter were $26.1 million. The book-to-bill ratio for the quarter was 1.55:1. Backlog for the Test Systems segment was $83.0 million at quarter end. Mr. Gundermann commented, “Results in our Test business continue to confirm that our significant cost-cutting and efficiency actions have been effective, and we expect results to improve significantly as the radio test program for the U.S. Army begins. We understand that a production award is on track to be issued in the coming weeks, with the production phase of the program accelerating in the second half of the year.” Balance Sheet and Liquidity Cash provided by operations in the first quarter of 2026 was $10.6 million, reflecting higher cash earnings offset by higher working capital requirements, including higher inventory levels to support anticipated revenue growth in the coming quarters. Capital expenditures in the quarter were $11.2 million. Elevated capital expenditures reflect necessary catch-up investments on previously deferred spending as well as the consolidation of operations and capacity improvement in a new Seattle facility. The Company expects to be free cash flow positive for the remainder of the year. Long-term debt was relatively unchanged at quarter-end at $334.9 million. The Company had available liquidity of $231.8 million at quarter-end, including $19.1 million in available cash. 2026 Outlook Astronics expects 2026 revenue for the year to be in the range of $970 million to $1 billion, which would surpass the record level sales of 2025. The midpoint of the revised range would be a 14% increase over 2025 sales. Record backlog at the end of the first quarter was $734.3 million, of which approximately 81% is expected to drive revenue over the next twelve months. Mr. Gundermann concluded, “We expect second quarter sales of $245 million to $250 million, which will be a new record for the Company, and we expect our revenue rate in the second half to rise further from there. Demand remains strong for our products and capabilities, and all indications point to a very strong 2026 for our Company.” Planned capital expenditures in 2026 are expected to be in the range of $40 million to $45 million driven largely by costs associated with the Seattle operation consolidation, which will conclude in the second quarter. In addition, the Company is in the early phases of implementing a new global resource planning system. Astronics expects to spend approximately $15 million to $17 million on this project in 2026, excluding reallocated internal operating costs. Approximately $2 million to $3 million of the investment will be incremental operating expense with the remainder to be capitalized and reported as a cash outflow from operations. The total cost of the project over five years, excluding reallocated internal operating expenses, is expected to be approximately $35 million to $40 million of which $25 million is expected to be capitalized. First Quarter 2026 Webcast and Conference Call The Company will host a teleconference today at 4:45 p.m. ET. During the teleconference, management will review the financial and operating results for the period and discuss Astronics’ corporate strategy and outlook. A question-and-answer session will follow. The Astronics conference call can be accessed by calling (201) 493-6784. The listen-only audio webcast can be monitored at investors.astronics.com. To listen to the archived call, dial (412) 317-6671 and enter replay pin number 13759858. The telephonic replay will be available from 8:00 p.m. on the day of the call through Tuesday, May 26, 2026. The webcast replay can be accessed via the investor relations section of the Company’s website where a transcript will also be posted once available. About Astronics Corporation Astronics Corporation (Nasdaq: ATRO) serves the world’s aerospace, defense, and other mission-critical industries with proven innovative technology solutions. Astronics works side-by-side with customers, integrating its array of power, connectivity, lighting, structures, interiors, and test technologies to solve complex challenges. For over 50 years, Astronics has delivered creative, customer-focused solutions with exceptional responsiveness. Today, global airframe manufacturers, airlines, military branches, completion centers, and Fortune 500 companies rely on the collaborative spirit and innovation of Astronics. The Company’s strategy is to increase its value by developing technologies and capabilities that provide innovative solutions to its targeted markets. Safe Harbor Statement This news release contains forward-looking statements as defined by the Securities Exchange Act of 1934. One can identify these forward-looking statements by the use of the words “expect,” “anticipate,” “plan,” “may,” “will,” “estimate,” “feeling” or other similar expressions and include all statements with regard to the Company’s 2026 outlook including the level of activity in coming quarters, the expectation of setting new records in coming periods, the timing of the receipt of production orders for U.S. Army radio test set program, the level of profitability contribution from the Test segment with its onset, and the rate of revenue growth in the second half of 2026. The forward-looking statements also include all statements related to achieving any revenue or profitability expectations, expectations of continued growth, the level of liquidity, the level of cash generation and free cash flow, the level of demand by customers and markets and the amount of expected capital expenditures, the amount of investment in an ERP system, the amount of backlog to be recognized as revenue over the next twelve months, and statements regarding the amount of opportunities available to be executed. Because such statements apply to future events, they are subject to risks and uncertainties that could cause actual results to differ materially from those contemplated by the statements. Important factors that could cause actual results to differ materially from what may be stated here include the trend in growth with passenger power and connectivity on airplanes, the state of the aerospace and defense industries, the market acceptance of newly developed products, internal production capabilities, the timing of orders received, the status of customer certification processes and delivery schedules, the demand for and market acceptance of new or existing aircraft which contain the Company’s products, the impact of regulatory activity and public scrutiny on production rates of a major U.S. aircraft manufacturer, the need for new and advanced test equipment, customer preferences and relationships, the effectiveness of the Company’s supply chain and execution on opportunities, and other factors which are described in filings by Astronics with the Securities and Exchange Commission. Except as required by applicable law, the Company assumes no obligation to update forward-looking information in this news release whether to reflect changed assumptions, the occurrence of unanticipated events or changes in future operating results, financial conditions or prospects, or otherwise. Use of Non-GAAP Financial Metrics and Additional Financial Information In addition to reporting financial results in accordance with generally accepted accounting principles, or GAAP, Astronics provides Adjusted Non-GAAP information as additional information for its operating results. References to Adjusted Non-GAAP information are to non-GAAP financial measures. These measures are not required by, in accordance with, or an alternative for, GAAP and may be different from non-GAAP financial measures used by other companies. Astronics management uses these measures for reviewing the financial results of Astronics for budget planning purposes and for making operational and financial decisions. Management believes that providing these non-GAAP financial measures to investors, as a supplement to GAAP financial measures, help investors evaluate Astronics core operating and financial performance and business trends consistent with how management evaluates such performance and trends. FINANCIAL TABLES FOLLOW ASTRONICS CORPORATION CONSOLIDATED STATEMENT OF OPERATIONS DATA (Unaudited, $ in thousands except per share amounts)         Three Months Ended   4/4/2026   3/29/2025 Sales $ 230,619     $ 205,936   Cost of products sold   155,486       145,087   Gross profit   75,133       60,849   Gross margin   32.6 %     29.5 %         Research and development expenses   12,089       11,067   Selling, general and administrative   35,814       36,645   SG&A % of sales   15.5 %     17.8 % Income from operations   27,230       13,137   Operating margin   11.8 %     6.4 %         Other expense (income)   109       (187 ) Interest expense, net   2,336       3,150   Income before tax   24,785       10,174   Income tax (benefit) expense   (755 )     646   Net income $ 25,540     $ 9,528   Net income % of sales   11.1 %     4.6 %         Basic earnings per share: $ 0.71     $ 0.27   Diluted earnings per share:3 $ 0.67     $ 0.26           Weighted average diluted shares outstanding (in thousands)   38,223       42,957   ASTRONICS CORPORATION CONSOLIDATED BALANCE SHEETS ($ in thousands)   (unaudited)       4/4/2026   12/31/2025 ASSETS       Cash and cash equivalents $ 11,867     $ 18,180   Accounts receivable, net of allowance for estimated credit losses   217,024       204,672   Inventories   211,945       196,860   Prepaid expenses and other current assets   27,792       18,027   Total current assets   468,628       437,739   Property, plant and equipment, net of accumulated depreciation   115,481       107,078   Operating right-of-use assets   32,626       32,269   Other assets   13,742       11,316   Intangible assets, net of accumulated amortization   52,320       55,353   Goodwill   64,346       62,923   Total assets $ 747,143     $ 706,678           LIABILITIES AND SHAREHOLDERS’ EQUITY       Current liabilities:       Accounts payable $ 55,873     $ 41,080   Current operating lease liabilities   5,986       5,802   Accrued expenses and other current liabilities   66,183       68,324   Customer advances and deferred revenue   29,666       26,069   Total current liabilities   157,708       141,275   Long-term debt   334,885       334,451   Long-term operating lease liabilities   38,239       38,101   Other liabilities   54,609       52,777   Total liabilities   585,441       566,604   Shareholders’ equity:       Common stock   386       385   Accumulated other comprehensive loss   (5,438 )     (4,410 ) Other shareholders’ equity   166,754       144,099   Total shareholders’ equity   161,702       140,074   Total liabilities and shareholders’ equity $ 747,143     $ 706,678   ASTRONICS CORPORATION CONSOLIDATED CASH FLOWS DATA   Three Months Ended (Unaudited, $ in thousands) 4/4/2026   3/29/2025 Cash flows from operating activities:       Net income $ 25,540     $ 9,528   Adjustments to reconcile net income to cash from operating activities:       Non-cash items:       Depreciation and amortization   5,894       5,588   Amortization of deferred financing fees   607       602   Provisions for non-cash losses on inventory and receivables   1,441       1,728   Equity-based compensation expense   2,556       2,345   Deferred tax expense (benefit)   62       (1,125 ) Operating lease non-cash expense   1,463       1,550   Non-cash litigation provision adjustment   —       6,228   Other   681       (214 ) Cash flows from changes in operating assets and liabilities:       Accounts receivable   (13,420 )     (2,037 ) Inventories   (16,404 )     515   Accounts payable   14,997       2,867   Operating lease liabilities   (1,515 )     (1,071 ) Accrued expenses   (6,655 )     (11,514 ) Income taxes   (982 )     959   Cloud computing implementation costs   (2,370 )     —   Customer advance payments and deferred revenue   3,614       2,776   Supplemental retirement plan liabilities   (181 )     (101 ) Other assets and liabilities   (4,722 )     2,018   Net cash provided by operating activities   10,606       20,642   Cash flows from investing activities:       Capital expenditures   (11,160 )     (2,105 ) Net cash used by investing activities   (11,160 )     (2,105 ) Cash flows from financing activities:       Proceeds from long-term debt   30,000       1,143   Principal payments on long-term debt   (30,000 )     (10,000 ) Financing-related costs   —       (740 ) Stock award activity   (5,441 )     (1,730 ) Other   (60 )     (44 ) Net cash used by financing activities   (5,501 )     (11,371 ) Effect of exchange rates on cash   (258 )     354   (Decrease) increase in cash and cash equivalents and restricted cash   (6,313 )     7,520   Cash and cash equivalents and restricted cash at beginning of period   18,180       18,428   Cash and cash equivalents and restricted cash at end of period $ 11,867     $ 25,948   Supplemental disclosure of cash flow information       Non-cash investing activities:       Capital expenditures in accounts payable $ 425     $ —   Interest paid $ 2,668     $ 2,724   Income taxes refunded, net of payments $ 195     $ 827   ASTRONICS CORPORATION SEGMENT SALES AND PROFIT (Unaudited, $ in thousands)       Three Months Ended   4/4/2026   3/29/2025 Sales       Aerospace $ 213,843     $ 191,388   Less inter-segment   (23 )     (13 ) Total Aerospace   213,820       191,375           Test Systems   16,824       14,592   Less inter-segment   (25 )     (31 ) Total Test Systems   16,799       14,561           Total consolidated sales   230,619       205,936           Segment gross profit and margins       Aerospace   70,693       58,483       33.1 %     30.6 % Test Systems   4,440       2,366       26.4 %     16.2 % Total gross profit   75,133       60,849       32.6 %     29.5 % Segment operating profit and margins       Aerospace   35,332       22,264       16.5 %     11.6 % Test Systems   403       (2,223 )     2.4 %     (15.3 )% Total segment operating profit   35,735       20,041           Interest expense   2,336       3,150   Corporate expenses and other   8,614       6,717   Income before taxes $ 24,785     $ 10,174   Beginning in the current year, the Company reorganized its product line structure to align with changes in internal reporting. Refer to the Supplemental Prior Period Tables within this release for prior-year recast of disaggregation of sales by product line to conform with the updated, current-period presentation. Please refer to the Company’s Quarterly Report on Form 10-Q for the quarter ended April 4, 2026 for additional details. ASTRONICS CORPORATION SALES BY MARKET (Unaudited, $ in thousands)         Three Months Ended 2026 YTD 4/4/2026 3/29/2025 % Change % of Sales Aerospace Segment         Commercial Transport $ 156,419 $ 137,542 13.7 % 67.8 % Military Aircraft   33,502   33,263 0.7 % 14.5 % General Aviation   21,449   15,243 40.7 % 9.3 % Other   2,450   5,327 (54.0 )% 1.1 % Aerospace Total   213,820   191,375 11.7 % 92.7 %           Test Systems Segment         Government & Defense   16,799   14,561 15.4 % 7.3 %           Total Sales $ 230,619 $ 205,936 12.0 %   SALES BY PRODUCT LINE4 (Unaudited, $ in thousands)             Three Months Ended       Recast   2026 YTD 4/4/2026 3/29/2025 % Change % of Sales Aerospace Segment         Inflight Entertainment & Connectivity $ 110,748 $ 103,110 7.4 % 48.1 % Lighting & Safety   52,807   51,957 1.6 % 22.9 % Flight Critical Electrical Power   24,763   21,314 16.2 % 10.7 % Seat Motion   19,879   6,672 197.9 % 8.6 % Other   5,623   8,322 (32.4 )% 2.4 % Aerospace Total   213,820   191,375 11.7 % 92.7 %           Test Systems   16,799   14,561 15.4 % 7.3 %           Total $ 230,619 $ 205,936 12.0 %     ASTRONICS CORPORATION ORDER AND BACKLOG TREND (Unaudited, $ in thousands)                       Q2 2025   Q3 2025   Q4 2025   Q1 2026   Trailing Twelve Months   6/28/2025   9/27/2025   12/31/2025   4/4/2026   4/4/2026 Sales                   Aerospace $ 193,626   $ 192,725   $ 219,593   $ 213,820   $ 819,764 Test Systems   11,052     18,722     20,474     16,799     67,047 Total Sales $ 204,678   $ 211,447   $ 240,067   $ 230,619   $ 886,811 Bookings                   Aerospace $ 150,636   $ 191,859   $ 237,327   $ 264,381   $ 844,203 Test Systems   26,390     18,532     19,902     26,067     90,891 Total Bookings $ 177,026   $ 210,391   $ 257,229   $ 290,448   $ 935,094 Backlog5                   Aerospace $ 570,913   $ 572,459   $ 600,803   $ 651,364     Test Systems   74,454     74,264     73,692     82,960     Total Backlog $ 645,367   $ 646,723   $ 674,495   $ 734,324     N/A Book:Bill Ratio                   Aerospace   0.78     1.00     1.08     1.24     1.03 Test Systems   2.39     0.99     0.97     1.55     1.36 Total Book:Bill   0.86     1.00     1.07     1.26     1.05 ASTRONICS CORPORATION RECONCILIATION OF NET INCOME TO ADJUSTED EBITDA (Unaudited, $ in thousands)           Consolidated   Three Months Ended   4/4/2026   3/29/2025 Net income $ 25,540     $ 9,528   Add back (deduct):       Interest expense   2,336       3,150   Income tax (benefit) expense   (755 )     646   Depreciation and amortization expense   5,894       5,588   Equity-based compensation expense   2,556       2,345   Restructuring-related charges including severance   —       279   ERP implementation consulting expenses   174       —   Legal reserve, settlements and recoveries   —       6,228   Litigation-related legal expenses   1,779       2,975   Acquisition-related expenses   186       —   Warranty reserve   191       —   Adjusted EBITDA $ 37,901     $ 30,739           Sales $ 230,619     $ 205,936   Adjusted EBITDA margin %   16.4 %     14.9 % Adjusted EBITDA is defined as net income before interest expense, income taxes, depreciation, amortization, and other adjustments. Adjusted EBITDA Margin is defined as Adjusted EBITDA divided by sales. Adjusted EBITDA and Adjusted EBITDA Margin are not measures determined in accordance with GAAP and may not be comparable with Adjusted EBITDA and Adjusted EBITDA Margin as used by other companies. Nevertheless, the Company believes that providing non-GAAP financial measures, such as Adjusted EBITDA and Adjusted EBITDA Margin, are important for investors and other readers of the Company’s financial statements. ASTRONICS CORPORATION RECONCILIATION OF OPERATING INCOME TO ADJUSTED OPERATING INCOME (Unaudited, $ in thousands)           Consolidated   Three Months Ended   4/4/2026   3/29/2025 Income from operations $ 27,230     $ 13,137   Add back:       Restructuring-related charges including severance   —       279   ERP implementation consulting expenses   174       —   Legal reserve, settlements and recoveries   —       6,228   Litigation-related legal expenses   1,779       2,975   Acquisition-related expenses   186       —   Warranty reserve   191       —   Adjusted operating income $ 29,560     $ 22,619           Sales $ 230,619     $ 205,936           Operating margin   11.8 %     6.4 % Adjusted operating margin   12.8 %     11.0 % Adjusted Operating Income is defined as income from operations as reported, adjusted for certain items. Adjusted Operating Margin is defined as Adjusted Operating Income divided by sales. Adjusted Operating Income and Adjusted Operating Margin are not measures determined in accordance with GAAP and may not be comparable with Adjusted Operating Income and Adjusted Operating Margin as used by other companies. Nevertheless, the Company believes that providing non-GAAP financial measures, such as Adjusted Operating Income and Adjusted Operating Margin, are important for investors and other readers of the Company’s financial statements and assists in understanding the comparison of the current periods’ income from operations to the historical periods’ income from operations and operating margin, as well as facilitates a more meaningful comparison of the Company’s income from operations and operating margin to that of other companies. ASTRONICS CORPORATION RECONCILIATION OF NET INCOME AND DILUTED EARNINGS PER SHARE TO ADJUSTED NET INCOME AND ADJUSTED DILUTED EARNINGS PER SHARE (Unaudited, $ in thousands except per share amounts)           Consolidated   Three Months Ended   4/4/2026   3/29/2025 Net income $ 25,540     $ 9,528   Add back (deduct):       Amortization of intangibles   2,887       2,975   Restructuring-related charges including severance   —       279   ERP implementation consulting expenses   174       —   Legal reserve, settlements and recoveries   —       6,228   Litigation-related legal expenses   1,779       2,975   Acquisition-related expenses   186       —   Warranty reserve   191       —   Normalize tax rate6   (8,256 )     (5,012 ) Adjusted net income $ 22,501     $ 16,973           Weighted average diluted shares outstanding (in thousands)   38,223       42,957                   Diluted earnings per share $ 0.67     $ 0.26   Adjusted diluted earnings per share7 $ 0.59     $ 0.44   Adjusted Net Income and Adjusted Diluted EPS are defined as net income and diluted EPS as reported, adjusted for certain items, including amortization of intangibles, and also adjusted for a normalized tax rate. Adjusted Net Income and Adjusted Diluted EPS are not measures determined in accordance with GAAP and may not be comparable with the measures used by other companies. Nevertheless, the Company believes that providing non-GAAP financial measures, such as Adjusted Net Income and Adjusted Diluted EPS, are important for investors and other readers of the Company’s financial statements and assists in understanding the comparison of the current periods’ net income and diluted EPS to the historical periods’ net income and diluted EPS, as well as facilitates a more meaningful comparison of the Company’s net income and diluted EPS to that of other companies. The Company believes that presenting Adjusted Diluted EPS provides a better understanding of its earnings power inclusive of adjusting for the non-cash amortization of intangible assets, reflecting the Company’s strategy to grow through acquisitions as well as organically. ASTRONICS CORPORATION RECONCILIATION OF SEGMENT OPERATING PROFIT (LOSS) TO ADJUSTED SEGMENT OPERATING PROFIT (LOSS) (Unaudited, $ in thousands)       Three Months Ended   4/4/2026   3/29/2025         Aerospace operating profit $ 35,332     $ 22,264   Restructuring-related charges including severance   —       279   ERP implementation consulting expenses   174       —   Legal reserve, settlements and recoveries   —       6,228   Litigation-related legal expenses   1,511       2,244   Warranty reserve   191       —   Adjusted Aerospace operating profit $ 37,208     $ 31,015           Aerospace sales $ 213,820     $ 191,375           Aerospace margin   16.5 %     11.6 % Adjusted Aerospace margin   17.4 %     16.2 %         Test Systems operating profit (loss) $ 403     $ (2,223 ) Litigation-related legal expenses   48       731   Adjusted Test Systems operating profit (loss) $ 451     $ (1,492 )         Test Systems sales $ 16,799     $ 14,561           Test Systems margin   2.4 %     (15.3 )% Adjusted Test Systems margin   2.7 %     (10.2 )% Adjusted Segment Operating Profit is defined as segment operating profit as reported, adjusted for certain items. Adjusted Segment Margin is defined as Adjusted Segment Operating Profit divided by segment sales. Adjusted Segment Operating Profit and Adjusted Segment Margin are not measures determined in accordance with GAAP and may not be comparable with Adjusted Segment Operating Profit and Adjusted Segment Margin as used by other companies. Nevertheless, the Company believes that providing non-GAAP financial measures, such as Adjusted Segment Operating Profit and Adjusted Segment Margin, are important for investors and other readers of the Company’s financial statements and assists in understanding the comparison of the current periods’ segment operating profit to the historical periods’ segment operating profit and segment margin, as well as facilitates a more meaningful comparison of the Company’s segment operating profit and segment margin to that of other companies. Supplemental Prior Period Tables The following tables provide a prior-year recast of the disaggregation of sales by product line by quarter for the years ending December 31, 2025 and 2024, to conform with the updated, current-period presentation. SALES BY PRODUCT LINE8 (Unaudited, $ in thousands)                 Recast   Three Months Ended Year Ended 2025 YTD   3/29/2025 6/28/2025 9/27/2025 12/31/2025 12/31/2025 % of Sales Aerospace Segment             Inflight Entertainment & Connectivity $ 103,110 $ 105,902 $ 105,780 $ 119,447 $ 434,239 50.4 % Lighting & Safety   51,957   56,100   52,807   55,719   216,583 25.1 % Flight Critical Electrical Power   21,314   15,832   16,747   19,813   73,706 8.5 % Seat Motion   6,672   10,217   11,721   18,632   47,242 5.5 % Other   8,322   5,575   5,670   5,982   25,549 3.0 % Aerospace Total   191,375   193,626   192,725   219,593   797,319 92.5 %             —   Test Systems   14,561   11,052   18,722   20,474   64,809 7.5 %             —   Total $ 205,936 $ 204,678 $ 211,447 $ 240,067 $ 862,128 100.0 %   Recast   Three Months Ended Year Ended 2024 YTD   3/30/2024 6/29/2024 9/28/2024 12/31/2024 12/31/2024 % of Sales Aerospace Segment             Inflight Entertainment & Connectivity $ 89,620 $ 94,065 $ 94,838 $ 105,156 $ 383,679 48.2 % Lighting & Safety   44,067   48,654   48,874   46,760   188,355 23.7 % Flight Critical Electrical Power   14,396   19,045   17,871   17,056   68,368 8.6 % Seat Motion   6,870   7,353   9,416   11,590   35,229 4.4 % Other   8,685   7,826   6,555   7,987   31,053 3.9 % Aerospace Total   163,638   176,943   177,554   188,549   706,684 88.8 %             —   Test Systems   21,436   21,171   26,144   19,991   88,742 11.2 %             —   Total $ 185,074 $ 198,114 $ 203,698 $ 208,540 $ 795,426 100.0 %   1 Adjusted EBITDA, adjusted EBITDA margin, and adjusted segment operating margin are Non-GAAP financial measures. Please see the reconciliation of GAAP to non-GAAP financial measures in the tables that accompany this release.   2 Adjusted operating income, adjusted operating margin, adjusted segment operating profit, adjusted EBITDA, adjusted EBITDA margin, adjusted net income and adjusted diluted earnings per share (“EPS”) are Non-GAAP financial measures. Please see the reconciliation of GAAP to non-GAAP financial measures in the tables that accompany this release.   3 In addition to incremental shares from stock awards, weighted average diluted shares for the quarter ended April 4, 2026 reflects 0.992 million assumed shares underlying the premium on the 0% convertible bonds, to the extent the average stock price for the quarter ($72.38) exceeded the $54.87 conversion price. Note that because of the capped call, there is no effective dilution to shareholders resulting from the 0% convertible bonds unless and until the share price exceeds $83.41. The diluted EPS calculation for the quarter ended April 4, 2026 excludes the effect of the 5.5% Notes because the effect is anti-dilutive. The diluted EPS calculation for the quarter ended March 29, 2025 reflects 7.208 million assumed shares underlying the 5.5% convertible bonds.   4 Inflight Entertainment & Connectivity (“IFEC”) is a combination of the previous Avionics and Systems Certification product lines, as well as cabin power products which were included in the previous Electrical Power & Motion product line. The remainder of the previous Electrical Power & Motion product line is now split into two discrete product lines, Flight Critical Electrical Power and Seat Motion. Lighting and Safety remains consistent and Structures is now reported within Other Aerospace revenue.   5 Aerospace backlog of approximately $2.4 million and $10.6 million was added in the third and fourth quarters of 2025, respectively, in connection with the acquisitions of Envoy Aerospace and Bühler Motor Aviation.   6 Applies a normalized tax rate of 25% to GAAP pre-tax income and non-GAAP adjustments above, which are each pre-tax.   7 In addition to incremental shares from stock awards, weighted average diluted shares for the quarter ended April 4, 2026 reflects 0.992 million assumed shares underlying the premium on the 0% convertible bonds, to the extent the average stock price for the quarter ($72.38) exceeded the $54.87 conversion price. Note that because of the capped call, there is no effective dilution to shareholders resulting from the 0% convertible bonds unless and until the share price exceeds $83.41. The diluted EPS calculation for the quarter ended April 4, 2026 excludes the effect of the 5.5% Notes because the effect is anti-dilutive. The diluted EPS calculation for the quarter ended March 29, 2025 reflects 7.208 million assumed shares underlying the 5.5% convertible bonds.   8 Inflight Entertainment & Connectivity (“IFEC”) is a combination of the previous Avionics and Systems Certification product lines, as well as cabin power products which were included in the previous Electrical Power & Motion product line. The remainder of the previous Electrical Power & Motion product line is now split into two discrete product lines, Flight Critical Electrical Power and Seat Motion. Lighting and Safety remains consistent and Structures is now reported within Other Aerospace revenue.   View source version on businesswire.com: https://www.businesswire.com/news/home/20260512955007/en/ For more information, contact:
Company:
Nancy L. Hedges, Chief Financial Officer
Phone: (716) 805-1599
Email: invest@astronics.com Investor Relations:
Deborah K. Pawlowski, Alliance Advisors LLC
Phone: (716) 843-3908
Email: dpawlowski@allianceadvisors.com Original: Astronics Corporation Reports 12% Sales Growth for First Quarter 2026

Astronics Corporation Announces Fiscal Year 2026 First Quarter Financial Results Conference Call and WebcastApril 28, 2026 4:15 PM
Business Wire
Astronics Corporation (Nasdaq: ATRO), a leading provider of advanced technologies for global aerospace and defense industries, announced that it will release its fiscal year 2026 first quarter financial results after the close of financial markets on Tuesday, May 12, 2026.


The Company will host a conference call and webcast that same day to review its financial and operating results and discuss its corporate strategies and outlook. A question-and-answer session will follow.


First Quarter Fiscal Year 2026 Conference Call


Tuesday, May 12, 2026

4:45 p.m. Eastern Time

Phone: (201) 493-6784

Webcast: investors.astronics.com


A telephonic replay will be available from 8:00 p.m. ET on the day of the call through Tuesday, May 26, 2026. To listen to the archived call, dial (412) 317-6671 and enter replay pin 13759858. The webcast replay can be accessed via the investor relations section of the Company’s website where a transcript will also be posted once available.


ABOUT ASTRONICS CORPORATION


Astronics Corporation (Nasdaq: ATRO) serves the world’s aerospace, defense, and other mission critical industries with proven, innovative technology solutions. Astronics works side-by-side with customers, integrating its array of power, connectivity, lighting, structures, interiors, and test technologies to solve complex challenges. For over 50 years, Astronics has delivered creative, customer-focused solutions with exceptional responsiveness. Today, global airframe manufacturers, airlines, militaries, completion centers and Fortune 500 companies rely on the collaborative spirit and innovation of Astronics. The Company’s strategy is to increase its value by developing technologies and capabilities that provide innovative solutions to its targeted markets.


For more information on Astronics and its solutions, visit Astronics.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20260428117030/en/
For more information, contact:
Company

Nancy L. Hedges, CFO

Astronics Corporation

T: 716.805.1599
Investors

Deborah K. Pawlowski

Alliance Advisors IR

T: 716.843.3908

dpawlowski@allianceadvisors.com


Original: Astronics Corporation Announces Fiscal Year 2026 First Quarter Financial Results Conference Call and Webcast

Astronics Launches Qi2 Wireless Charging Module, Delivering Future-Proof Technology for Modern Aircraft CabinsApril 13, 2026 4:15 PM
Business Wire
New Module Offers MagSafe Compatibility and 25W Power Output for Seamless Device Charging


Astronics Corporation (Nasdaq: ATRO), a leading provider of advanced technologies for global aerospace and defense industries, today announced the debut of its EmPower® Qi21 Wireless Charging Module, a groundbreaking advancement in onboard charging and power technology designed to deliver efficient and reliable wireless charging for today’s passengers and crew.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20260413199857/en/EmPower® Qi2 Wireless Charging Module
Engineered to support the latest Qi-enabled devices, including smartphones, tablets, and other portable electronic devices (PEDs), the Qi2 Wireless Charging Module offers an industry leading 25 watts (25W) of output power, ensuring it meets the demands of current passenger PEDs while seamlessly accommodating future technology advancements. Its MagSafe2 compatibility allows passengers and crew to enjoy reliable magnetic retention and precise device alignment, ensuring maximum charging efficiency.


The Qi2 Module is thoughtfully designed for integration into next-generation aircraft cabins, offering a practical and future-proof solution for passenger seating, galleys, and crew rest areas. The unit’s “proud mounting” design accommodates large smartphone camera lenses while maintaining optimal charging performance and convenience, even as passengers use their devices while charging.


Jon Neal, President of Astronics Advanced Electronic Systems, stated, "The advent of wireless charging technology is reshaping passenger expectations. Airlines seek innovative solutions that not only enhance the onboard experience but also adapt to the technological advancements of tomorrow. The Qi2 Wireless Charging Module builds on the success of our industry leading first generation wireless charging module and reflects Astronics' commitment to delivering cutting-edge solutions, combining reliability, ease of integration, maintenance and passenger-focused features."


Additional Features of the Qi2 Wireless Charging Module Include:



In-use light signals, providing clear indications of charging status



Backward charging compatibility with non-Qi2 Smartphones



Rapid maintenance capabilities, allowing module replacement in under three minutes to minimize downtime and disruptions.



Compliance with DO-160 and major aircraft OEM environmental requirements, ensuring seamless certification and integration processes.



50,000-hour predicted MTBF, ensuring long-lasting reliability in demanding commercial aviation environments.



The Qi2 Wireless Charging Module is lightweight, compact, and built to support the dynamic needs of airlines and seat manufacturers, empowering stakeholders to deliver unmatched passenger comfort and convenience.


To learn more about Astronics’ Qi2 Wireless Charging Module or other cabin power solutions, visit www.astronics.com.


ABOUT ASTRONICS CORPORATION


Astronics Corporation (Nasdaq: ATRO) serves the world’s aerospace, defense, and other mission critical industries with proven, innovative technology solutions. Astronics works side-by-side with customers, integrating its array of power, connectivity, lighting, structures, interiors, and test technologies to solve complex challenges. For over 50 years, Astronics has delivered creative, customer-focused solutions with exceptional responsiveness. Today, global airframe manufacturers, airlines, militaries, completion centers and Fortune 500 companies rely on the collaborative spirit and innovation of Astronics. The Company’s strategy is to increase its value by developing technologies and capabilities that provide innovative solutions to its targeted markets. Additional information on Astronics and its solutions can be found at Astronics.com.



_______________________________



1 Qi2 is a trademark of Wireless Power Consortium








2 MagSafe is a trademark of Apple







 

View source version on businesswire.com: https://www.businesswire.com/news/home/20260413199857/en/
Astronics Media

Dennis Markert

Astronics Corporation

T: 425.895.4374

Email: Dennis.Markert@astronics.com


Investors

Deborah K. Pawlowski

Alliance Advisors LLC

T: 716.843.3908

Email: dpawlowski@allianceadvisors.com


Original: Astronics Launches Qi2 Wireless Charging Module, Delivering Future-Proof Technology for Modern Aircraft Cabins

Astronics Selected to Supply Fuel Tank Access Doors for Boeing 737 MAXMarch 12, 2026 4:15 PM
Business Wire
Award Built on a Long Partnership Across Many Boeing Aircraft Platforms


Astronics Corporation (Nasdaq: ATRO), a leading provider of advanced technologies for global aerospace, defense and other industries, announced today that it has been selected by Boeing to supply fuel tank access doors for the Boeing 737 MAX airplane program.


Nick Stevenson, President at Astronics PECO, commented, “We have a long-standing, valued partnership with Boeing, and we are excited to support the 737 MAX program with the addition of fuel tank access doors to our current offerings.”


The doors will be manufactured in Clackamas, Oregon, where Astronics has designed and manufactured a variety of sophisticated technical products from aircraft passenger service units to environmental controls. Capabilities include complete multi-disciplined design engineering and qualification, as well as highly vertically integrated manufacturing operations providing custom-injection molding, die-casting, CNC machining, NADCAP-accredited bonding/chemical/finishing processes, integrated assembly and testing.


ABOUT ASTRONICS CORPORATION


Astronics Corporation (Nasdaq: ATRO) serves the world’s aerospace, defense, and other mission critical industries with proven, innovative technology solutions. Astronics works side-by-side with customers, integrating its array of power, connectivity, lighting, structures, interiors, and test technologies to solve complex challenges. For over 50 years, Astronics has delivered creative, customer-focused solutions with exceptional responsiveness. Today, global airframe manufacturers, airlines, militaries, completion centers and Fortune 500 companies rely on the collaborative spirit and innovation of Astronics. The Company’s strategy is to increase its value by developing technologies and capabilities that provide innovative solutions to its targeted markets. Additional information on Astronics and its solutions, can be found at Astronics.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20260312153981/en/
Astronics PECO

Nick Stevenson

T: 503.758.3771

nick.stevenson@astronics.com


Investors

Deborah K. Pawlowski, Alliance Advisors LLC

T: 716.843.3908

dpawlowski@allianceadvisors.com


Original: Astronics Selected to Supply Fuel Tank Access Doors for Boeing 737 MAX

Astronics Corporation Reports Strong Fourth Quarter Finish to 2025February 24, 2026 4:15 PM
Business Wire

Fourth quarter sales grew 15.1% to a record $240.1 million driven by record Aerospace sales of $219.6 million, a 16.5% year over year increase



Achieved fourth quarter net income of $29.6 million, or $0.78 per diluted share; adjusted EBITDA1 was $45.7 million, or 19.0% of sales



Aerospace operating margin expanded to 19.0%, bolstered by favorable mix; adjusted Aerospace operating margin1 was 19.8%



Booked $257.2 million in orders; ended 2025 with record backlog of $674.5 million



Solid cash generation with $27.6 million in cash from operations in the quarter and $74.8 million for the year



Maintained 2026 revenue guidance at $950 million to $990 million



Astronics Corporation (Nasdaq: ATRO) (“Astronics” or the “Company”), a leading supplier of advanced technologies and products to the global aerospace, defense, and other mission critical industries, today reported financial results for the three and twelve months ended December 31, 2025. Financial results include the acquisition of Bühler Motor Aviation (“BMA”) on October 13, 2025.


Peter J. Gundermann, Chairman, President and Chief Executive Officer, commented, “We made excellent progress in 2025 and ended the year with a strong fourth quarter. Robust demand across our aerospace markets drove record sales in the quarter. In addition, the acquisition of BMA advanced our market leadership position in seat actuation and other motion systems for aircraft. Our growth is translating well to stronger profitability. Operating margin expanded nicely on higher volumes and was supported as well by pricing initiatives, operating efficiencies and favorable mix. We also generated strong cash flow from operations of $27.6 million in the quarter. We ended 2025 with record backlog, better operating efficiencies, lower cost debt and a solid liquidity position, all of which positions us well for the opportunities we see in 2026.”


Fourth Quarter Results




 






Three Months Ended






 






Year Ended








($ in thousands)






December 31, 2025






December 31, 2024






% Change






 






December 31, 2025






December 31, 2024






% Change








 






 






 






 






 






 






 






 








Sales






$






240,067






 






$






208,540






 






15.1






%






 






$






862,128






 






$






795,426






 






8.4






%








Gross profit






$






79,971






 






$






62,122






 






28.7






%






 






$






258,158






 






$






220,428






 






17.1






%








Gross margin






 






33.3






%






 






29.8






%






 






 






 






29.9






%






 






27.7






%






 








Income from operations






$






35,462






 






$






8,876






 






299.5






%






 






$






76,412






 






$






26,466






 






188.7






%








Operating margin %






 






14.8






%






 






4.3






%






 






 






 






8.9






%






 






3.3






%






 








Loss on settlement of debt






$






—






 






$






3,161






 






 






 






$






32,644






 






$






10,148






 






 








Net income (loss)






$






29,615






 






$






(2,832






)






1,145.7






%






 






$






29,359






 






$






(16,215






)






281.1






%








Net income (loss) %






 






12.3






%






 






(1.4






)%






 






 






 






3.4






%






 






(2.0






)%






 








 






 






 






 






 






 






 






 








Adjusted operating income2






$






38,330






 






$






23,837






 






60.8






%






 






$






105,163






 






$






61,538






 






70.9






%








Adjusted operating margin %2






 






16.0






%






 






11.4






%






 






 






 






12.2






%






 






7.7






%






 








Adjusted net income2






$






28,516






 






$






16,849






 






69.2






%






 






$






78,634






 






$






38,136






 






106.2






%








Adjusted EBITDA2






$






45,673






 






$






31,539






 






44.8






%






 






$






134,538






 






$






96,466






 






39.5






%








Adjusted EBITDA margin %2






 






19.0






%






 






15.1






%






 






 






 






15.6






%






 






12.1






%






 







Fourth Quarter 2025 Results (compared with the prior-year period, unless noted otherwise)


Growth in sales was driven by continued strength in demand for the Aerospace segment primarily from the Commercial Transport market. Aerospace sales increased $31.0 million, or 16.5%, and Test Systems sales increased $0.5 million.


Gross profit increased $17.8 million to $80.0 million, or 33.3% of sales, a 350 basis point expansion over gross margin of 29.8% in the comparator quarter. Margin expansion was driven by higher volume, favorable mix, pricing actions including some true up pricing recovery, improved productivity, and the benefit of Test Systems’ restructuring initiatives. This more than offset a $2.9 million increase in tariff expense.


In the fourth quarter of 2025, selling, general and administrative expenses (“SG&A”) decreased $7.3 million primarily from a $9.0 million reduction in legal reserves and litigation-related expenses, somewhat offset by SG&A associated with the acquired BMA business and higher legal and accounting expenses related to the acquisition. R&D was $1.4 million lower reflecting the timing of projects.


Higher gross profit and reduced SG&A resulted in operating margin of 14.8% compared with 4.3% in the prior-year period. Adjusted operating margin2 expanded 450 basis points.


Interest expense was down $0.8 million, or 18.5%, on lower rates following 2025 refinancing activities. The fourth quarter included $0.6 million in expense related to the write-off of deferred financing fees related to two exiting revolving credit facility lenders, classified within interest expense.


Tax expense in the quarter was $2.6 million compared with $3.4 million in the prior-year period, mostly because of a valuation allowance reversal associated with research and development costs that are expected to be expensed for tax purposes in the current year under the One Big Beautiful Bill Act.


Consolidated net income of $0.78 per diluted share improved from a net loss of $0.08 per diluted share in the prior-year period due to stronger operating profit and lower interest expense. Adjusted diluted earnings per share2 increased $0.29 per diluted share, or 62.5%, to $0.75 per diluted share. Adjusted EBITDA2 increased 44.8% to $45.7 million, and adjusted EBITDA margin2 expanded 390 basis points to 19.0% of consolidated sales.


Bookings were up 31.3% to $257.2 million in the quarter. For the year, bookings grew 14.4% to $924.4 million with a book-to-bill ratio of 1.07:1. Backlog at the end of the quarter was $674.5 million, the highest recorded in Company’s history.


Aerospace Segment Review (compared with the prior-year period, unless noted otherwise)


Record Aerospace segment sales of $219.6 million were up $31.0 million, or 16.5%. Sales in the Commercial Transport market grew $26.1 million, or 18.5%. Growth was primarily related to increased demand by airlines for cabin power, seat motion, lighting and safety and system certification products and services, partially offset by lower demand for avionics products. Military Aircraft sales increased $3.6 million, or 14.5%, to $28.0 million, driven by pricing initiatives, increased demand for lighting and safety products, and continued progress on MV-75 engineering efforts. General Aviation sales were up $4.6 million, or 26.0%, to $22.3 million due to higher inflight entertainment & connectivity (“IFEC”) product sales to the VVIP market. Other sales were down $3.2 million as the Company has wound down its non-core contract manufacturing arrangements.


Aerospace segment operating profit of $41.7 million, or 19.0% of sales, measurably improved over the prior-year period reflecting the leverage gained on higher volume, favorable mix, pricing initiatives, and improving production efficiencies. The quarter also benefitted from a $9.3 million decrease in litigation-related reserves and expenses. Adjusted Aerospace operating profit2 increased 44.1% to $43.6 million, or 19.8% of sales, a 380-basis point expansion over the comparator quarter.


Aerospace bookings were up 30.1% to $237.3 million for a book-to-bill ratio of 1.08:1. Backlog for the Aerospace segment was $600.8 million at the end of 2025 which was an 11.8% increase over backlog at the end of 2024 and a 5.0% increase over the trailing third quarter.


Mr. Gundermann commented, “Our Aerospace business had a strong fourth quarter with record sales that led to a 19.0% operating margin, surpassing our near-term margin target and a testament to its potential. In addition to higher volume, profitability benefitted from a favorable mix within our VVIP market as well as with some recovery related to pricing initiatives. We have very strong tailwinds supporting our Aerospace business that we believe will continue to drive strong results in 2026 and beyond.”


Test Systems Segment Review (compared with the prior-year period, unless noted otherwise)


Test Systems segment sales were $20.5 million, up $0.5 million from the comparator quarter in 2024.


Test Systems segment operating profit was $1.1 million compared with slightly below break-even in the fourth quarter of 2024. The comparator quarter included $1.4 million in expenses related to simplification and restructuring activities which contributed to the profit improvement at this sales level. Test Systems continued to be negatively affected by mix and under absorption of fixed costs at current volume levels.


Bookings for the Test Systems segment in the quarter were $19.9 million, for a book-to-bill ratio of 0.97:1 for the quarter. Backlog was $73.7 million at the end of 2025.


Mr. Gundermann commented, “Our Test business generated operating profit on relatively low sales, which demonstrates the significant cost-cutting initiatives we have implemented across the business. We expect its level of profitability will meaningfully improve once production for the U.S. Army radio test program begins. At this time, we believe we will receive production orders for that program early in the second quarter or soon thereafter.”


Balance Sheet and Liquidity


Cash provided by operations in the fourth quarter of 2025 was $27.6 million, reflecting higher cash earnings, offset by higher working capital requirements associated with increased order volume. Capital expenditures in the quarter were $11.8 million and $31.7 million for the full year. Elevated capital expenditures in 2025 reflect the investments made on previously deferred spending as well as the consolidation of operations in a new Seattle facility.


Long-term debt, net of cash, increased $168.2 million to $324.8 million at the end of 2025 compared with $156.6 million. Debt was higher due to the refinancing actions that resulted in the repurchase of 80% of the $165 million 5.5% convertible bonds. The refinancing was accomplished through the issue of $225 million of 0% convertible bonds and included the purchase of a capped call.


On October 22, 2025, the Company entered into a new $300 million senior secured, cash flow-based revolving credit facility (the “New Revolver”) which matures in October 2030. The New Revolver includes a $100 million accordion feature which can be incrementally expanded if maximum leverage requirements are met.


The Company had available liquidity of $230.9 million including $18.2 million in cash at the end of 2025.


2026 Outlook


The Company expects 2026 revenue to be approximately $950 million to $990 million. The midpoint of this range would be a 13% increase over 2025 sales. The Company expects first quarter revenue to be approximately $220 million to $230 million, up 9% at the midpoint of the range over the prior-year period.


Backlog at December 31, 2025 was a record $674.5 million, of which approximately 79% is expected to be recognized as revenue over the next twelve months. Planned capital expenditures in 2026 are expected to be in the range of $40 million to $50 million and include the remaining costs associated with the Seattle operation consolidation. In addition, the Company plans to invest approximately $14 million to $18 million in 2026 for the implementation of a global enterprise resource planning system. The investment will be reported as a cash outflow from operations, rather than as a capital expenditure.


Mr. Gundermann concluded, “We expect 2026 will be another very strong year with double digit growth, weighted slightly toward the second half. Our future is very bright. We have a long runway of opportunities on which to execute and are very excited about 2026 and beyond. We are also striving to consistently deliver high-teens operating margins for the consolidated business which should be realizable with the expected improvement with the Test business. In all, we expect we will continue to create more value for our customers, shareholders and the Astronics team.”


Fourth Quarter 2025 Webcast and Conference Call


The Company will host a teleconference today at 4:45 p.m. ET. During the teleconference, management will review the financial and operating results for the period and discuss Astronics’ corporate strategy and outlook. A question-and-answer session will follow.


The Astronics conference call can be accessed by calling (201) 493-6784. The listen-only audio webcast can be monitored at investors.astronics.com. To listen to the archived call, dial (412) 317-6671 and enter replay pin number 13758335. The telephonic replay will be available from 8:00 p.m. on the day of the call through Tuesday, March 10, 2026. The webcast replay can be accessed via the investor relations section of the Company’s website where a transcript will also be posted once available.


About Astronics Corporation


Astronics Corporation (Nasdaq: ATRO) serves the world’s aerospace, defense, and other mission-critical industries with proven innovative technology solutions. Astronics works side-by-side with customers, integrating its array of power, connectivity, lighting, structures, interiors, and test technologies to solve complex challenges. For over 50 years, Astronics has delivered creative, customer-focused solutions with exceptional responsiveness. Today, global airframe manufacturers, airlines, military branches, completion centers, and Fortune 500 companies rely on the collaborative spirit and innovation of Astronics. The Company’s strategy is to increase its value by developing technologies and capabilities that provide innovative solutions to its targeted markets.


Safe Harbor Statement


This news release contains forward-looking statements as defined by the Securities Exchange Act of 1934. One can identify these forward-looking statements by the use of the words “expect,” “anticipate,” “plan,” “may,” “will,” “estimate,” “feeling” or other similar expressions and include all statements with regard to the Company’s 2026 and first quarter revenue outlook, the amount of revenue in the second half of 2026, the ability to deliver high-teens operating margins for the consolidated business, the amount of capital expenditures for 2026 as well as the amount of investment in an ERP system, the amount of backlog to be recognized as revenue over the next twelve months, the strength and length of time associated with tailwinds for the Aerospace segment, the timing of the receipt of production orders for U.S. Army radio test set program and the level of profitability contribution from the Test segment with its onset, the amount of opportunities available to be executed, the ability to achieve high-teen operating margins on a consolidated basis consistently, and statements regarding the strategy of the Company and its outlook. Forward-looking statements also include all statements related to achieving any revenue or profitability expectations, expectations of continued growth, the level of liquidity, the level of cash generation, the level of demand by customers and markets and the amount of expected capital expenditures. Because such statements apply to future events, they are subject to risks and uncertainties that could cause actual results to differ materially from those contemplated by the statements. Important factors that could cause actual results to differ materially from what may be stated here include the trend in growth with passenger power and connectivity on airplanes, the state of the aerospace and defense industries, the market acceptance of newly developed products, internal production capabilities, the timing of orders received, the status of customer certification processes and delivery schedules, the demand for and market acceptance of new or existing aircraft which contain the Company’s products, the impact of regulatory activity and public scrutiny on production rates of a major U.S. aircraft manufacturer, the need for new and advanced test equipment, customer preferences and relationships, the effectiveness of the Company’s supply chain, and other factors which are described in filings by Astronics with the Securities and Exchange Commission. Except as required by applicable law, the Company assumes no obligation to update forward-looking information in this news release whether to reflect changed assumptions, the occurrence of unanticipated events or changes in future operating results, financial conditions or prospects, or otherwise.


Use of Non-GAAP Financial Metrics and Additional Financial Information


In addition to reporting financial results in accordance with generally accepted accounting principles, or GAAP, Astronics provides Adjusted Non-GAAP information as additional information for its operating results. References to Adjusted Non-GAAP information are to non-GAAP financial measures. These measures are not required by, in accordance with, or an alternative for, GAAP and may be different from non-GAAP financial measures used by other companies. Astronics management uses these measures for reviewing the financial results of Astronics for budget planning purposes and for making operational and financial decisions. Management believes that providing these non-GAAP financial measures to investors, as a supplement to GAAP financial measures, help investors evaluate Astronics core operating and financial performance and business trends consistent with how management evaluates such performance and trends.


FINANCIAL TABLES FOLLOW




ASTRONICS CORPORATION








CONSOLIDATED STATEMENT OF OPERATIONS DATA








(Unaudited, $ in thousands except per share data)








 






 






 






 








 






Three Months Ended






 






Year Ended








 






12/31/2025






12/31/2024






 






12/31/2025






12/31/2024








Sales






$






240,067






 






$






208,540






 






 






$






862,128






 






$






795,426






 








Cost of products sold






 






160,096






 






 






146,418






 






 






 






603,970






 






 






574,998






 








Gross profit3






 






79,971






 






 






62,122






 






 






 






258,158






 






 






220,428






 








Gross margin






 






33.3






%






 






29.8






%






 






 






29.9






%






 






27.7






%








 






 






 






 






 






 








Research and development expenses






 






10,626






 






 






12,068






 






 






 






43,475






 






 






52,086






 








Selling, general and administrative






 






33,883






 






 






41,178






 






 






 






138,271






 






 






141,876






 








SG&A % of sales






 






14.1






%






 






19.7






%






 






 






16.0






%






 






17.8






%








Income from operations






 






35,462






 






 






8,876






 






 






 






76,412






 






 






26,466






 








Operating margin






 






14.8






%






 






4.3






%






 






 






8.9






%






 






3.3






%








 






 






 






 






 






 








Loss on settlement of debt






 






—






 






 






3,161






 






 






 






32,644






 






 






10,148






 








Other (income) expense






 






(176






)






 






973






 






 






 






(738






)






 






2,187






 








Interest expense, net






 






3,394






 






 






4,166






 






 






 






12,561






 






 






21,998






 








Income (loss) before tax






 






32,244






 






 






576






 






 






 






31,945






 






 






(7,867






)








Income tax expense






 






2,629






 






 






3,408






 






 






 






2,586






 






 






8,348






 








Net income (loss)






$






29,615






 






$






(2,832






)






 






$






29,359






 






$






(16,215






)








Net income (loss) %






 






12.3






%






 






(1.4






)%






 






 






3.4






%






 






(2.0






)%








 






 






 






 






 






 








Basic earnings (loss) per share:






$






0.83






 






$






(0.08






)






 






$






0.83






 






$






(0.46






)








 






 






 






 






 






 








Convertible notes interest expense, net






 






358






 






 






—






 






 






 






—






 






 






—






 








Net income (loss) - diluted






$






29,973






 






$






(2,832






)






 






$






29,359






 






$






(16,215






)








 






 






 






 






 






 








Diluted earnings (loss) per share:






$






0.78






 






$






(0.08






)






 






$






0.81






 






$






(0.46






)








 






 






 






 






 






 








Weighted average diluted shares outstanding (in thousands)4






 






38,481






 






 






35,255






 






 






 






36,463






 






 






35,037






 




















 




ASTRONICS CORPORATION








CONSOLIDATED BALANCE SHEETS








($ in thousands)








 






(unaudited)






 






 








 






12/31/2025






 






12/31/2024








ASSETS






 






 






 








Current assets:






 






 






 








Cash and cash equivalents






$






18,180






 






 






$






9,285






 








Restricted cash






 






—






 






 






 






9,143






 








Accounts receivable, net of allowance of estimated credit losses






 






204,672






 






 






 






191,446






 








Inventories






 






196,860






 






 






 






199,741






 








Prepaid and other current assets






 






18,027






 






 






 






16,557






 








Total current assets






 






437,739






 






 






 






426,172






 








Property, plant and equipment, net of accumulated depreciation






 






107,078






 






 






 






80,687






 








Operating right-of-use assets






 






32,269






 






 






 






23,609






 








Other assets






 






11,316






 






 






 






7,763






 








Intangible assets, net of accumulated amortization






 






55,353






 






 






 






52,477






 








Goodwill






 






62,923






 






 






 






58,056






 








Total assets






$






706,678






 






 






$






648,764






 








 






 






 






 








LIABILITIES AND SHAREHOLDERS’ EQUITY






 






 






 








Current liabilities:






 






 






 








Accounts payable






$






41,080






 






 






$






42,960






 








Current operating lease liabilities






 






5,802






 






 






 






4,697






 








Accrued expenses and other current liabilities






 






68,324






 






 






 






81,004






 








Customer advances and deferred revenue






 






26,069






 






 






 






27,491






 








Total current liabilities






 






141,275






 






 






 






156,152






 








Long-term debt






 






334,451






 






 






 






168,669






 








Long-term operating lease liabilities






 






38,101






 






 






 






20,508






 








Other liabilities






 






52,777






 






 






 






47,338






 








Total liabilities






 






566,604






 






 






 






392,667






 








Shareholders’ equity:






 






 






 








Common stock






 






385






 






 






 






380






 








Accumulated other comprehensive loss






 






(4,410






)






 






 






(3,863






)








Other shareholders’ equity






 






144,099






 






 






 






259,580






 








Total shareholders’ equity






 






140,074






 






 






 






256,097






 








Total liabilities and shareholders’ equity






$






706,678






 






 






$






648,764






 














 




ASTRONICS CORPORATION








CONSOLIDATED CASH FLOWS DATA








 






Year Ended








(Unaudited, $ in thousands)






December 31, 2025






 






December 31, 2024








Cash flows from operating activities:






 






 






 








Net income (loss)






$






29,359






 






 






$






(16,215






)








Adjustments to reconcile net income (loss) to cash from operating activities:






 






 






 








Non-cash items:






 






 






 








Depreciation and amortization






 






21,838






 






 






 






24,466






 








Amortization of deferred financing fees






 






3,036






 






 






 






3,194






 








Provisions for non-cash losses on inventory and receivables






 






10,011






 






 






 






13,782






 








Equity-based compensation expense






 






6,799






 






 






 






8,571






 








Deferred tax benefit






 






(1,362






)






 






 






(20






)








Loss on settlement of debt






 






32,644






 






 






 






10,148






 








Operating lease non-cash expense






 






6,162






 






 






 






5,175






 








Simplification initiative-related non-cash charges






 






6,229






 






 






 






—






 








Non-cash 401K contribution and quarterly bonus accrual






 






—






 






 






 






3,454






 








Non-cash litigation provision adjustment






 






—






 






 






 






4,468






 








Other






 






(418






)






 






 






5,807






 








Cash flows from changes in operating assets and liabilities:






 






 






 








Accounts receivable






 






(8,102






)






 






 






(21,983






)








Inventories






 






(4,435






)






 






 






(21,551






)








Accounts payable






 






(3,114






)






 






 






(17,693






)








Accrued expenses






 






(15,027






)






 






 






21,987






 








Income taxes






 






(7,938






)






 






 






4,498






 








Operating lease liabilities






 






(4,573






)






 






 






(5,125






)








Tenant improvement allowance refund






 






8,138






 






 






 






—






 








Cloud computing implementation costs






 






(1,117






)






 






 






—






 








Customer advanced payments and deferred revenue






 






(4,189






)






 






 






5,693






 








Supplemental retirement plan liabilities






 






(716






)






 






 






(410






)








Other assets and liabilities






 






1,570






 






 






 






2,320






 








Net cash provided by operating activities






 






74,795






 






 






 






30,566






 








Cash flows from investing activities:






 






 






 








Capital expenditures






 






(31,673






)






 






 






(8,428






)








Acquisition of businesses, net of cash acquired






 






(22,075






)






 






 






—






 








Net cash used by investing activities






 






(53,748






)






 






 






(8,428






)








Cash flows from financing activities:






 






 






 








Proceeds from long-term debt






 






186,143






 






 






 






377,392






 








Principal payments on long-term debt






 






(111,143






)






 






 






(374,890






)








Proceeds from issuance of convertible debt






 






225,000






 






 






 






—






 








Partial repurchase of 2030 notes






 






(285,752






)






 






 






—






 








Payments for capped call transactions






 






(26,888






)






 






 






—






 








Financing-related costs






 






(10,366






)






 






 






(12,150






)








Financing settlement costs






 






—






 






 






 






(4,496






)








Stock award activity






 






753






 






 






 






(241






)








Other






 






(141






)






 






 






(145






)








Net cash used by financing activities






 






(22,394






)






 






 






(14,530






)








Effect of exchange rates on cash






 






1,099






 






 






 






(493






)








(Decrease) increase in cash and cash equivalents and restricted cash






 






(248






)






 






 






7,115






 








Cash and cash equivalents and restricted cash at beginning of year






 






18,428






 






 






 






11,313






 








Cash and cash equivalents and restricted cash at end of year






$






18,180






 






 






$






18,428






 








Supplemental disclosure of cash flow information






 






 






 








Interest paid






$






10,056






 






 






$






19,238






 








Income taxes paid, net of refunds






$






11,605






 






 






$






3,537






 








Non-cash investing activities:






 






 






 








Capital expenditures in accounts payable






$






2,025






 






 






$






—






 










 




ASTRONICS CORPORATION








SEGMENT SALES AND PROFIT








(Unaudited, $ in thousands)








 






 






 






 






 






 








 






Three Months Ended







Year Ended








 






12/31/2025






12/31/2024






 






12/31/2025






12/31/2024








Sales






 






 






 






 






 








Aerospace






$






219,593






 






$






188,559






 






 






$






797,353






 






$






706,746






 








Less inter-segment






 






—






 






 






(10






)






 






 






(34






)






 






(62






)








Total Aerospace






 






219,593






 






 






188,549






 






 






 






797,319






 






 






706,684






 








 






 






 






 






 






 








Test Systems






 






20,558






 






 






20,084






 






 






 






65,243






 






 






88,874






 








Less inter-segment






 






(84






)






 






(93






)






 






 






(434






)






 






(132






)








Total Test Systems






 






20,474






 






 






19,991






 






 






 






64,809






 






 






88,742






 








 






 






 






 






 






 








Total consolidated sales






 






240,067






 






 






208,540






 






 






 






862,128






 






 






795,426






 








 






 






 






 






 






 








Segment gross profit and margins5






 






 






 






 






 








Aerospace






 






74,604






 






 






55,909






 






 






 






248,440






 






 






204,126






 








 






 






34.0






%






 






29.7






%






 






 






31.2






%






 






28.9






%








Test Systems






 






5,367






 






 






6,213






 






 






 






9,718






 






 






16,302






 








 






 






26.2






%






 






31.1






%






 






 






15.0






%






 






18.4






%








Total gross profit






 






79,971






 






 






62,122






 






 






 






258,158






 






 






220,428






 








 






 






 






 






 






 








Segment operating profit and margins






 






 






 






 






 








Aerospace






 






41,734






 






 






16,778






 






 






 






113,204






 






 






62,406






 








 






 






19.0






%






 






8.9






%






 






 






14.2






%






 






8.8






%








Test Systems






 






1,102






 






 






(49






)






 






 






(7,845






)






 






(8,477






)








 






 






5.4






%






 






(0.2






)%






 






 






(12.1






)%






 






(9.6






)%








Total segment operating profit






 






42,836






 






 






16,729






 






 






 






105,359






 






 






53,929






 








 






 






 






 






 






 








 






 






 






 






 






 








Loss on settlement of debt






 






—






 






 






3,161






 






 






 






32,644






 






 






10,148






 








Interest expense






 






3,394






 






 






4,166






 






 






 






12,561






 






 






21,998






 








Corporate expenses and other






 






7,198






 






 






8,826






 






 






 






28,209






 






 






29,650






 








Income (loss) before taxes






$






32,244






 






$






576






 






 






$






31,945






 






$






(7,867






)




















 




ASTRONICS CORPORATION








SALES BY MARKET








(Unaudited, $ in thousands)








 






 






 






 






 








 






Three Months Ended







Year Ended






2025 YTD




% of Sales








 






12/31/2025






12/31/2024






% change







12/31/2025






12/31/2024






% change








Aerospace Segment






 






 






 






 






 






 






 






 








Commercial Transport






$






166,977






$






140,893






18.5






%






 






$






599,301






$






524,572






14.2






%






69.5






%








Military Aircraft






 






28,026






 






24,474






14.5






%






 






 






116,276






 






88,019






32.1






%






13.5






%








General Aviation






 






22,302






 






17,701






26.0






%






 






 






69,834






 






74,344






(6.1






)%






8.1






%








Other






 






2,288






 






5,481






(58.3






)%






 






 






11,908






 






19,749






(39.7






)%






1.4






%








Aerospace Total






 






219,593






 






188,549






16.5






%






 






 






797,319






 






706,684






12.8






%






92.5






%








 






 






 






 






 






 






 






 






 








Test Systems Segment






 






 






 






 






 






 






 






 








Government & Defense






 






20,474






 






19,991






2.4






%






 






 






64,809






 






88,742






(27.0






)%






7.5






%








 






 






 






 






 






 






 






 






 








Total Sales






$






240,067






$






208,540






15.1






%






 






$






862,128






$






795,426






8.4






%






 









SALES BY PRODUCT LINE








(Unaudited, $ in thousands)








 






 






 






 






 








 






Three Months Ended







Year Ended






2025 YTD




% of Sales








 






12/31/2025






12/31/2024






% change







12/31/2025






12/31/2024






% change








Aerospace Segment






 






 






 






 






 






 






 






 








Electrical Power & Motion






$






113,841






$






95,124






19.7






%






 






$






410,382






$






359,043






14.3






%






47.6






%








Lighting & Safety






 






54,573






 






44,241






23.4






%






 






 






208,897






 






179,403






16.4






%






24.2






%








Avionics






 






31,970






 






36,467






(12.3






)%






 






 






123,422






 






120,183






2.7






%






14.3






%








Systems Certification






 






13,227






 






4,731






179.6






%






 






 






29,069






 






17,003






71.0






%






3.4






%








Structures






 






3,694






 






2,505






47.5






%






 






 






13,641






 






11,303






20.7






%






1.6






%








Other






 






2,288






 






5,481






(58.3






)%






 






 






11,908






 






19,749






(39.7






)%






1.4






%








Aerospace Total






 






219,593






 






188,549






16.5






%






 






 






797,319






 






706,684






12.8






%






92.5






%








 






 






 






 






 






 






 






 






 








Test Systems Segment






 






20,474






 






19,991






2.4






%






 






 






64,809






 






88,742






(27.0






)%






7.5






%








 






 






 






 






 






 






 






 






 








Total Sales






$






240,067






$






208,540






15.1






%






 






$






862,128






$






795,426






8.4






%






 





















 




ASTRONICS CORPORATION








ORDER AND BACKLOG TREND








(Unaudited, $ in thousands)








 






 




Q1




2025






 




Q2




2025






 




Q3




2025






 




Q4




2025






Trailing Twelve




Months








 






3/29/2025






6/28/2025






9/27/2025






12/31/2025






12/31/2025








Sales






 






 






 






 






 








Aerospace






$






191,375






$






193,626






$






192,725






$






219,593






$






797,319








Test Systems






 






14,561






 






11,052






 






18,722






 






20,474






 






64,809








Total Sales






$






205,936






$






204,678






$






211,447






$






240,067






$






862,128








 






 






 






 






 






 








Bookings






 






 






 






 






 








Aerospace






$






267,715






$






150,636






$






191,859






$






237,327






$






847,537








Test Systems






 






12,011






 






26,390






 






18,532






 






19,902






 






76,835








Total Bookings






$






279,726






$






177,026






$






210,391






$






257,229






$






924,372








 






 






 






 






 






 








Backlog 6






 






 






 






 






 








Aerospace






$






613,903






$






570,913






$






572,459






$






600,803






 








Test Systems






 






59,116






 






74,454






 






74,264






 






73,692






 








Total Backlog






$






673,019






$






645,367






$






646,723






$






674,495






 






N/A








 






 






 






 






 






 








Book:Bill Ratio






 






 






 






 






 








Aerospace






 






1.40






 






0.78






 






1.00






 






1.08






 






1.06








Test Systems






 






0.82






 






2.39






 






0.99






 






0.97






 






1.19








Total Book:Bill






 






1.36






 






0.86






 






1.00






 






1.07






 






1.07

















 




ASTRONICS CORPORATION








RECONCILIATION OF NET INCOME (LOSS) TO ADJUSTED EBITDA








(Unaudited, $ in thousands)








 






 






 






 






 






 






 






 








 






Consolidated








 






Three Months Ended






 






Year Ended








 






12/31/2025






 






12/31/2024






 






12/31/2025






 






12/31/2024








Net income (loss)






$






29,615






 






 






$






(2,832






)






 






$






29,359






 






 






$






(16,215






)








Add back:






 






 






 






 






 






 






 








Interest expense






 






3,394






 






 






 






4,166






 






 






 






12,561






 






 






 






21,998






 








Income tax expense






 






2,629






 






 






 






3,408






 






 






 






2,586






 






 






 






8,348






 








Depreciation and amortization expense






 






5,709






 






 






 






5,894






 






 






 






21,838






 






 






 






24,466






 








Equity-based compensation expense






 






1,458






 






 






 






2,157






 






 






 






6,799






 






 






 






8,571






 








Early retirement penalty waiver






 






—






 






 






 






624






 






 






 






—






 






 






 






624






 








Non-cash 401K contribution and quarterly bonus accrual






 






—






 






 






 






—






 






 






 






—






 






 






 






3,454






 








Simplification and restructuring initiatives






 






—






 






 






 






1,411






 






 






 






6,867






 






 






 






2,444






 








Legal reserve, settlements and recoveries






 






—






 






 






 






4,762






 






 






 






9,732






 






 






 






4,430






 








Litigation-related legal expenses






 






1,875






 






 






 






6,066






 






 






 






8,873






 






 






 






19,746






 








Acquisition-related expenses






 






586






 






 






 






—






 






 






 






1,833






 






 






 






—






 








Loss on settlement of debt






 






—






 






 






 






3,161






 






 






 






32,644






 






 






 






10,148






 








Non-cash reserves for customer bankruptcy






 






—






 






 






 






1,032






 






 






 






—






 






 






 






3,235






 








Warranty reserve






 






407






 






 






 






1,690






 






 






 






1,446






 






 






 






5,217






 








Adjusted EBITDA






$






45,673






 






 






$






31,539






 






 






$






134,538






 






 






$






96,466






 








 






 






 






 






 






 






 






 








Sales






$






240,067






 






 






$






208,540






 






 






$






862,128






 






 






$






795,426






 








Adjusted EBITDA margin %






 






19.0






%






 






 






15.1






%






 






 






15.6






%






 






 






12.1






%







Adjusted EBITDA is defined as net income before interest expense, income taxes, depreciation, amortization, and other adjustments. Adjusted EBITDA Margin is defined as Adjusted EBITDA divided by sales. Adjusted EBITDA and Adjusted EBITDA Margin are not measures determined in accordance with GAAP and may not be comparable with Adjusted EBITDA and Adjusted EBITDA Margin as used by other companies. Nevertheless, the Company believes that providing non-GAAP financial measures, such as Adjusted EBITDA and Adjusted EBITDA Margin, are important for investors and other readers of the Company’s financial statements.




ASTRONICS CORPORATION








RECONCILIATION OF OPERATING INCOME TO ADJUSTED OPERATING INCOME








(Unaudited, $ in thousands)








 






 






 






 






 






 






 






 








 






Consolidated








 






Three Months Ended






 






Year Ended








 






12/31/2025






 






12/31/2024






 






12/31/2025






 






12/31/2024








Income from operations






$






35,462






 






 






$






8,876






 






 






$






76,412






 






 






$






26,466






 








Add back:






 






 






 






 






 






 






 








Simplification and restructuring initiatives






 






—






 






 






 






1,411






 






 






 






6,867






 






 






 






2,444






 








Legal reserve, settlements and recoveries






 






—






 






 






 






4,762






 






 






 






9,732






 






 






 






4,430






 








Litigation-related legal expenses






 






1,875






 






 






 






6,066






 






 






 






8,873






 






 






 






19,746






 








Acquisition-related expenses






 






586






 






 






 






—






 






 






 






1,833






 






 






 






—






 








Non-cash reserves for customer bankruptcy






 






—






 






 






 






1,032






 






 






 






—






 






 






 






3,235






 








Warranty reserve






 






407






 






 






 






1,690






 






 






 






1,446






 






 






 






5,217






 








Adjusted operating income






$






38,330






 






 






$






23,837






 






 






$






105,163






 






 






$






61,538






 








 






 






 






 






 






 






 






 








Sales






$






240,067






 






 






$






208,540






 






 






$






862,128






 






 






$






795,426






 








 






 






 






 






 






 






 






 








Operating margin






 






14.8






%






 






 






4.3






%






 






 






8.9






%






 






 






3.3






%








Adjusted operating margin






 






16.0






%






 






 






11.4






%






 






 






12.2






%






 






 






7.7






%







Adjusted Operating Income is defined as income from operations as reported, adjusted for certain items. Adjusted Operating Margin is defined as Adjusted Operating Income divided by sales. Adjusted Operating Income and Adjusted Operating Margin are not measures determined in accordance with GAAP and may not be comparable with Adjusted Operating Income and Adjusted Operating Margin as used by other companies. Nevertheless, the Company believes that providing non-GAAP financial measures, such as Adjusted Operating Income and Adjusted Operating Margin, are important for investors and other readers of the Company’s financial statements and assists in understanding the comparison of the current quarter’s and current year’s income from operations to the historical periods’ income from operations and operating margin, as well as facilitates a more meaningful comparison of the Company’s income from operations and operating margin to that of other companies.




ASTRONICS CORPORATION








RECONCILIATION OF NET INCOME AND DILUTED EARNINGS PER SHARE








TO ADJUSTED NET INCOME AND ADJUSTED DILUTED EARNINGS PER SHARE








(Unaudited, $ in thousands, except per share amounts)








 






 






 






 






 






 






 






 








 






Consolidated








 






Three Months Ended






 






Year Ended








 






12/31/2025






 






12/31/2024






 






12/31/2025






 






12/31/2024








Net income (loss)






$






29,615






 






 






$






(2,832






)






 






$






29,359






 






 






$






(16,215






)








 






 






 






 






 






 






 






 








Add back (deduct):






 






 






 






 






 






 






 








Amortization of intangibles






 






2,909






 






 






 






3,143






 






 






 






11,505






 






 






 






12,871






 








Simplification and restructuring initiatives






 






—






 






 






 






1,411






 






 






 






6,867






 






 






 






2,444






 








Early retirement penalty waiver






 






—






 






 






 






624






 






 






 






—






 






 






 






624






 








Legal reserve, settlements and recoveries






 






—






 






 






 






4,762






 






 






 






9,732






 






 






 






4,430






 








Litigation-related legal expenses






 






1,875






 






 






 






6,066






 






 






 






8,873






 






 






 






19,746






 








Acquisition-related expenses






 






586






 






 






 






—






 






 






 






1,833






 






 






 






—






 








Loss on settlement of debt






 






—






 






 






 






3,161






 






 






 






32,644






 






 






 






10,148






 








Non-cash reserves for customer bankruptcy






 






—






 






 






 






1,032






 






 






 






—






 






 






 






3,235






 








Warranty reserve






 






407






 






 






 






1,690






 






 






 






1,446






 






 






 






5,217






 








Normalize tax rate7






 






(6,876






)






 






 






(2,208






)






 






 






(23,625






)






 






 






(4,364






)








Adjusted net income






$






28,516






 






 






$






16,849






 






 






$






78,634






 






 






$






38,136






 








 






 






 






 






 






 






 






 








Convertible notes interest, net






 






358






 






 






 






590






 






 






 






5,409






 






 






 






590






 








Adjusted net income - diluted






$






28,874






 






 






$






17,439






 






 






$






84,043






 






 






$






38,726






 








 






 






 






 






 






 






 






 








Weighted average diluted shares outstanding (in thousands)8






 






38,481






 






 






 






35,255






 






 






 






36,463






 






 






 






35,037






 








Adjusted weighted average diluted shares outstanding (in thousands)8






 






38,481






 






 






 






37,779






 






 






 






41,903






 






 






 






36,022






 








 






 






 






 






 






 






 






 








Diluted earnings (loss) per share






$






0.78






 






 






$






(0.08






)






 






$






0.81






 






 






$






(0.46






)








Adjusted diluted earnings per share9






$






0.75






 






 






$






0.46






 






 






$






2.01






 






 






$






1.08






 







Adjusted Net Income and Adjusted Diluted EPS are defined as net income and diluted EPS as reported, adjusted for certain items, including amortization of intangibles, and also adjusted for a normalized tax rate. Adjusted Net Income and Adjusted Diluted EPS are not measures determined in accordance with GAAP and may not be comparable with the measures used by other companies. Nevertheless, the Company believes that providing non-GAAP financial measures, such as Adjusted Net Income and Adjusted Diluted EPS, are important for investors and other readers of the Company’s financial statements and assists in understanding the comparison of the current quarter’s and current year’s net income and diluted EPS to the historical periods’ net income and diluted EPS, as well as facilitates a more meaningful comparison of the Company’s net income and diluted EPS to that of other companies. The Company believes that presenting Adjusted Diluted EPS provides a better understanding of its earnings power inclusive of adjusting for the non-cash amortization of intangible assets, reflecting the Company’s strategy to grow through acquisitions as well as organically.




ASTRONICS CORPORATION








RECONCILIATION OF SEGMENT OPERATING PROFIT TO ADJUSTED SEGMENT OPERATING PROFIT








(Unaudited, $ in thousands)








 






 






 








 






Three Months Ended






 






Year Ended








 






12/31/2025






 






12/31/2024






 






12/31/2025






 






12/31/2024








 






 






 






 






 






 






 






 








Aerospace operating profit






$






41,734






 






 






$






16,778






 






 






$






113,204






 






 






$






62,406






 








Simplification and restructuring initiatives






 






—






 






 






 






—






 






 






 






6,508






 






 






 






237






 








Legal reserve, settlements and recoveries






 






—






 






 






 






4,762






 






 






 






9,732






 






 






 






4,430






 








Litigation-related legal expenses






 






1,409






 






 






 






5,966






 






 






 






7,311






 






 






 






19,127






 








Non-cash reserves for customer bankruptcy






 






—






 






 






 






1,032






 






 






 






—






 






 






 






3,235






 








Warranty reserve






 






407






 






 






 






1,690






 






 






 






1,446






 






 






 






5,217






 








Adjusted Aerospace operating profit






$






43,550






 






 






$






30,228






 






 






$






138,201






 






 






$






94,652






 








 






 






 






 






 






 






 






 








Aerospace sales






$






219,593






 






 






$






188,549






 






 






$






797,319






 






 






$






706,684






 








 






 






 






 






 






 






 






 








Aerospace margin






 






19.0






%






 






 






8.9






%






 






 






14.2






%






 






 






8.8






%








Adjusted Aerospace margin






 






19.8






%






 






 






16.0






%






 






 






17.3






%






 






 






13.4






%








 






 






 






 






 






 






 






 








Test Systems operating profit (loss)






$






1,102






 






 






$






(49






)






 






$






(7,845






)






 






$






(8,477






)








Simplification and restructuring initiatives






 






—






 






 






 






1,411






 






 






 






359






 






 






 






2,207






 








Litigation-related legal expenses






 






186






 






 






 






100






 






 






 






994






 






 






 






619






 








Adjusted Test Systems operating profit (loss)






$






1,288






 






 






$






1,462






 






 






$






(6,492






)






 






$






(5,651






)








 






 






 






 






 






 






 






 








Test Systems sales






$






20,474






 






 






$






19,991






 






 






$






64,809






 






 






$






88,742






 








 






 






 






 






 






 






 






 








Test Systems margin






 






5.4






%






 






 






(0.2






)%






 






 






(12.1






)%






 






 






(9.6






)%








Adjusted Test Systems margin






 






6.3






%






 






 






7.3






%






 






 






(10.0






)%






 






 






(6.4






)%







Adjusted Segment Operating Profit is defined as segment operating profit as reported, adjusted for certain items. Adjusted Segment Margin is defined as Adjusted Segment Operating Profit divided by segment sales. Adjusted Segment Operating Profit and Adjusted Segment Margin are not measures determined in accordance with GAAP and may not be comparable with Adjusted Segment Operating Profit and Adjusted Segment Margin as used by other companies. Nevertheless, the Company believes that providing non-GAAP financial measures, such as Adjusted Segment Operating Profit and Adjusted Segment Margin, are important for investors and other readers of the Company’s financial statements and assists in understanding the comparison of the current quarter’s and current year’s segment operating profit to the historical periods’ segment operating profit and segment margin, as well as facilitates a more meaningful comparison of the Company’s segment operating profit and segment margin to that of other companies.




 


1 Adjusted EBITDA, adjusted EBITDA margin, and adjusted segment operating margin are Non-GAAP financial measures. Please see the reconciliation of GAAP to non-GAAP financial measures in the tables that accompany this release.






2 Adjusted operating income, adjusted operating margin, adjusted segment operating profit, adjusted segment operating margin, adjusted EBITDA, adjusted EBITDA margin, adjusted net income and adjusted diluted earnings per share (“EPS”) are Non-GAAP financial measures. Please see the reconciliation of GAAP to non-GAAP financial measures in the tables that accompany this release.











3 During the first quarter of 2025, the Company changed its financial statement presentation of research and development costs. These costs were previously included within Cost of Products Sold and were a factor in arriving at Gross Profit. The prior period amounts for Cost of Product Sold and Gross Profit have been adjusted from their original presentation for comparability purposes.











4 In addition to incremental shares from stock awards, weighted average diluted shares for the quarter ended December 31, 2025 reflects 1.442 million shares underlying the remaining 5.5% convertible bonds. For the year ended December 31, 2025, the diluted EPS calculation excludes the effect of the 5.5% Notes because the effect is anti-dilutive.











No weighted average diluted shares were associated with the 0% convertible bonds because the average share price for both the quarter and year ended December 31, 2025 was below the $54.87 stated conversion price. Note that because of the capped call, there is no effective dilution to shareholders unless and until the share price exceeds $83.41.











5 During the first quarter of 2025, the Company changed its financial statement presentation of research and development costs. These costs were previously included within Cost of Products Sold and were a factor in arriving at Gross Profit. The prior period amounts for Cost of Product Sold and Gross Profit have been adjusted from their original presentation for comparability purposes.











6 Aerospace backlog of approximately $2.4 million and $10.6 million was added in the third and fourth quarters of 2025, respectively, in connection with the acquisitions of Envoy Aerospace and Bühler Motor Aviation.











7 Applies a normalized tax rate of 25% to GAAP pre-tax income and non-GAAP adjustments above, which are each pre-tax.











8 In addition to incremental shares from stock awards, weighted average diluted shares for the quarter ended December 31, 2025 reflects 1.442 million shares underlying the remaining 5.5% convertible bonds. For the year ended December 31, 2025, the diluted EPS calculation excludes the effect of the 5.5% Notes because the effect is anti-dilutive.











No weighted average diluted shares were associated with the 0% convertible bonds because the average share price for both the quarter and year ended December 31, 2025 was below the $54.87 stated conversion price. Note that because of the capped call, there is no effective dilution to shareholders unless and until the share price exceeds $83.41.











9 Net income for purposes of calculating adjusted diluted earnings per share includes addback of interest expense on the 5.5% convertible notes, net of income taxes, as required under the if-converted method.







 

View source version on businesswire.com: https://www.businesswire.com/news/home/20260224562769/en/
For more information, contact:

Company:

Nancy L. Hedges, Chief Financial Officer

Phone: (716) 805-1599

Email: nancy.hedges@astronics.com


Investor Relations:

Deborah K. Pawlowski, Alliance Advisors LLC

Phone: (716) 843-3908

Email: dpawlowski@allianceadvisors.com


Original: Astronics Corporation Reports Strong Fourth Quarter Finish to 2025