Astronics (ATRO) Q1 2026 Earnings Transcript

Motley Fool Transcribing, The Motley Fool

Wed, May 13, 2026 astatine 10:11 AM CDT 33 min read

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Date

Tuesday, May 12, 2026 astatine 4:45 p.m. ET

Call participants

• President and Chief Executive Officer — Peter Gundermann

• Chief Financial Officer — Nancy Hedges

Full Conference Call Transcript

Peter Gundermann: Thanks, Debbie, and hello, everybody. Welcome to the call. We're present to speech astir our archetypal 4th results and our outlook for the remainder of the year. Nancy and I volition bash our accustomed backmost and distant and past unfastened up the lines for questions. In summary, the archetypal quarter, we consciousness was a beardown commencement to the twelvemonth for Astronics. Revenue of $230 cardinal was astatine the precocious extremity of our guided scope and our 2nd highest quarterly full ever, 2nd lone to the erstwhile quarter, the 4th fourth of 2025.

The beardown volume, combined with a scope of betterment initiatives we person enactment successful spot crossed the concern resulted successful coagulated borderline betterment compared to the twelvemonth agone quarter. I'll permission it to Nancy to speech done the details, but I volition constituent retired that our adjusted EBITDA borderline of 16.4% compared to 14.9% successful the comparator 4th shows continued betterment successful this important metric. I besides privation to telephone attraction to our bookings, which were connected the precocious extremity of $290 cardinal successful the 4th for a book-to-bill of 1.26. The bookings full was an all-time record.

And adjacent though we had a beardown shipping quarter, resulted successful a backlog of $734 cardinal astatine the extremity of the quarter, which is different all-time record. We telephone attraction to our bookings due to the fact that it is simply a starring indicator of wherever our concern volition beryllium going successful the adjacent to midterm. Bookings tin surely beryllium lumpy quarter-to-quarter, but the wide trend, say, implicit a rolling 4-quarter play is telling. Further, the beardown booking show successful the archetypal 4th was not the effect of immoderate ample oregon antithetic orders that boosted the total. Rather, it was driven by increasing lawsuit request crossed our business, demonstrating beardown marketplace conditions for our afloat scope of products.

Our beardown commencement to 2026 has caused america to summation our expectations for the remainder of the year. We're expanding our gross guidance to the scope of $970 cardinal to $1 billion, up from the archetypal scope of $950 cardinal to $990 million. The midpoint of the caller scope would beryllium a 14% summation implicit 2025 sales. The precocious extremity of the range, which is surely possible, would beryllium an summation of 16%. This is each assumed to beryllium integrated growth. As an aside, due to the fact that I cognize we volition get questions, we person seen nary interaction from the existent slate of planetary geopolitical confrontations connected our business, and I'm peculiarly referring to the Iran war.