Consolidated Revenue Growth
Total revenue of $311.3 million in Q1 2026, up 7.8% year-over-year, driven primarily by Engineered Composites program ramps.
Engineered Composites Strong Ramp
Engineered Composites revenue grew to $145.4 million from $114.1 million (+27.5% YoY), reflecting higher volumes across LEAP, 787, F-35 missile systems, CH-53K and defense programs; segment adjusted EBITDA increased to $16.9 million.
Machine Clothing Operational Resilience
Machine Clothing delivered $166 million in revenue and adjusted EBITDA of $43 million with a 25.9% margin; operational teams recovered more lost production from an equipment failure than initially expected and expect to recover remaining lost volume by year-end.
New Contract and Increased Defense Demand
Won a contract with Pratt & Whitney for composite engine components for the Geared Turbofan; customers requested increased production on JASSM and LRASM missiles, driving near-term demand and overtime deployment.
Safety and Delivery Performance Recognition
Engineered Composites was recognized as one of America's safest companies; company highlighted outstanding on-time delivery performance and a strong safety/quality culture.
Improved Cash Performance and Liquidity
Free cash flow net use improved to -$3.6 million (versus -$13.5 million prior year); ended the quarter with $122.6 million cash, $477 million total debt (net debt ~ $354 million) and approximately $446 million of available capital including revolver availability.
Conservative and Clear Near-Term Guidance
Q2 revenue guidance of $335M–$345M and adjusted EPS guidance of $0.70–$0.80; company reiterated disciplined capital allocation and expectations for continued AEC growth and modest sequential MC improvement.
Investment in Innovation and Selective CapEx
R&D spending of $13 million and capex of $9.3 million focused on facility optimization and investments tied to key customer programs, supporting long-term growth initiatives.