Ducommun reported a strong finish to 2025 with record quarterly revenue of $215.8 million and record gross margins. Growth was primarily driven by the military and space segment, particularly in missile platforms, while commercial aerospace saw mixed results due to Boeing 737 MAX headwinds. Despite a GAAP net income increase, operating cash flow was significantly impacted by a one-time litigation settlement.
Net revenue reached a quarterly record of $215.8 million, up 9.4% year-over-year.
Gross margin expanded significantly by 420 basis points to a record 27.7%.
Remaining Performance Obligations (RPO) hit a new record of $1.1 billion with a strong book-to-bill ratio of 1.3x.
Adjusted EBITDA grew 39% year-over-year to $37.9 million, representing 17.5% of revenue.
Ducommun expects continued strength in its missile franchise and a recovery in commercial aerospace in the latter half of 2026.
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