Ducommun (DCO) Investor presentation summary

Company overview and strategic direction

• Focused on aerospace, defense, and space markets as a Tier 1 supplier of complex electronics and structural systems.

• VISION 2027 roadmap targets $950M–$1B in net revenues and 18% adjusted EBITDA margin by 2027.

• Strategic acquisitions have expanded engineered product content and aftermarket revenues, aiming for 25% engineered products and 15% aftermarket by 2027.

• Portfolio includes proprietary products in niche segments, with significant sole source positions and growing aftermarket content.

• Limited exposure to tariffs due to a predominantly U.S.-based manufacturing footprint.

Financial performance and growth

• Market capitalization grew from $286M in 2016 to $2.8B in Q2 2026, with enterprise value rising to $3.1B.

• Net revenues increased 57% from $551M in 2016 to $865M in Q2 2026.

• Adjusted EBITDA rose from $55M (10% margin) in 2016 to $148M (17% margin) in Q2 2026.

• Leverage ratio improved from 3.0 in 2016 to 1.6 in Q2 2026.

• Remaining performance obligations (RPO) stand at $1.16B as of Q2 2026.

Business segments and product offerings

• Electronic Systems segment (56% of 2025 revenue) delivers ruggedized electronic and electromechanical products, with a 21% adjusted EBITDA margin.

• Structural Systems segment (44% of 2025 revenue) provides engineered aerostructure components, with a 19% adjusted EBITDA margin.

• Key products include wire harnesses, circuit cards, ammunition handling systems, magnetic seals, and composite structures.

• Major customers include Boeing, Airbus, Lockheed Martin, RTX, Northrop Grumman, and Gulfstream.