TAT Technologies (TATT) Investor presentation summary

Strategic positioning and market overview

• Holds leading positions in thermal solutions, APU MRO, and landing gear MRO, with over 60 years of experience and strong OEM partnerships.

• Revenue is primarily driven by commercial aerospace (82%), with North America as the largest market (68%).

• Backlog and long-term agreements reached $580M in Q1-26, with heat exchangers and APU as major contributors.

• Serves 300+ customers, including major OEMs, airlines, and defense contractors.

• Positioned for growth through M&A, new OEM certifications, and expansion in trading and leasing.

Financial performance and trends

• Q1-26 revenue was $41.1M, down 2.4% YoY, with gross profit stable at $10.0M and gross margin up to 24.4%.

• Operating income declined 28.4% YoY to $3.0M, and net income fell 10.8% to $3.4M.

• Adjusted EBITDA for Q1-26 was $4.9M (11.8% margin), down from $5.7M (13.6%) YoY.

• Cash flow from operations remained positive, and the balance sheet showed $40M net cash and a strong equity-to-assets ratio of 0.78.

• Revenue CAGR for 2023-2025 was 25.1%, with gross profit CAGR at 40.1% and net income CAGR at 89.8%.

Product and service line performance

• Thermal solutions revenue grew 11% YoY in 2025, reaching $70.2M, serving both OEM and MRO markets.

• APU services revenue rose 21% YoY in 2025 to $52.2M, supported by strategic agreements and Honeywell partnership.

• Landing gear MRO revenue increased 55% YoY in 2025 to $12.5M, with exclusive and authorized provider status for key platforms.

• Trading and leasing revenue grew 33% YoY in 2025 to $18.4M, leveraging a pool of 29 APUs and broad parts trading.

• Other capabilities, including ECS for defense and turbine component repair, contributed $24.7M in 2025.