TTM Technologies (TTMI) TD Cowen 46th Annual Aerospace & Defense Conference 2025 summary

Strategic focus and business transformation

• Emphasizes transformation through acquisitions and divestitures, focusing on high-complexity, high-value technology solutions and moving away from volatile, low-complexity markets.

• Maintains a diversified global footprint, with significant investments in Malaysia and expansion in Syracuse, NY, to support the China Plus One strategy and onshoring trends.

• Aerospace and defense (A&D) now represent 45%-46% of net sales, with strong growth driven by defense modernization and advanced electronics.

• Commercial business remains significant, with data center, AI, and networking markets showing robust growth, while automotive is softer.

• Strategic focus on early customer engagement, engineering depth, and global manufacturing capabilities to accelerate time to market.

Aerospace and defense market insights

• A&D bookings reached $1.56 billion in 2024, up $230 million from 2023, with over 82% of 2025 already booked.

• No single program exceeds 6% of A&D revenue, ensuring balanced exposure across major defense programs and customers.

• Growth driven by franchise programs in radar (AESA), surveillance, guidance systems, and microelectronics, with microelectronics outpacing overall growth.

• 90% of A&D revenue is defense-related, with increasing presence in national security and commercial space.

• Direct government business, especially with the DOD, is expanding, supported by acquisitions and foreign military sales opportunities.

Technology and manufacturing investments

• Major investments in Ultra-High-Density Interconnect (uHDI) technology, with a new Syracuse facility set for low-rate production in 2026 and steady state by 2027-2028.

• Penang, Malaysia facility ramping up in 2024-2025, expected to contribute $200 million in annual revenue at full capacity.

• Focus on dual-source capabilities and onshoring advanced manufacturing to meet rising U.S. defense and customer requirements.

• Ongoing consolidation of acquired factories to improve efficiency and speed from engineering to production.

• Investments in AESA radar, Sense and Avoid, and digital radar technologies, with scalable applications in defense and eVTOL markets.