Loar Holdings Inc (LOAR) 2025 Q3 法說會逐字稿

Greetings, and welcome to Loar Holdings third-quarter 2025 results conference call. (Operator Instructions) As a reminder, this conference is being recorded.

各位好，歡迎參加 Loar Holdings 2025 年第三季業績電話會議。（操作說明）提醒各位，本次會議正在錄音。

I would now like to turn the conference over to your host Ian McKillop. Thank you. You may begin.

現在我將把會議交給主持人伊恩·麥基洛普。謝謝。你可以開始了。

Thank you, Rob. Good morning, everyone, and as Rob said, welcome to the Loar Holdings Q3 2025 earnings call. Presenting on the call this morning are Loar’s Chief Executive Officer and Executive Co-Chairman Dirkson Charles; Executive Co-Chairman, Brett Milgrim; Treasurer and Chief Financial Officer, Glenn D’Alessandro; as well as myself, Ian McKillop, Director of Investor Relations. Please visit our website at loargroup.com to obtain a slide deck and call replay information.

謝謝你，羅布。各位早安，正如羅布所說，歡迎參加 Loar Holdings 2025 年第三季財報電話會議。今天早上在電話會議上發言的有 Loarâ 的執行長兼執行聯席主席 Dirkson Charles；執行聯席主席 Brett Milgrim；財務主管兼財務長 Glenn Dâ 的 Alessandro；以及我本人，投資者關係總監 Ian McKillop。請造訪我們的網站 loargroup.com 以取得幻燈片和電話會議回放資訊。

Before we begin, we'd like to remind you that statements made during this call, which are not historical in fact are forward-looking statements. For further information about important factors that could cause actual results to differ materially from those expressed or implied in the forward-looking statements, please refer to our latest filings with the SEC available through the Investor Relations section of our website.

在開始之前，我們想提醒各位，本次電話會議中所作的陳述，實際上並非歷史事實，而是前瞻性陳述。有關可能導致實際結果與前瞻性聲明中明示或暗示的結果存在重大差異的重要因素的更多信息，請參閱我們網站投資者關係部分提供的向美國證券交易委員會提交的最新文件。

Also, as a reminder, during the call, we will be referring to adjusted EBITDA, adjusted EBITDA margin, adjusted earnings per share, and free cash flow conversion, each of which is a non-GAAP financial measure. Please see the tables and related footnotes in the earnings release for a presentation of the most directly comparable GAAP measures and applicable reconciliation.

另外，提醒一下，在電話會議期間，我們將提到調整後的 EBITDA、調整後的 EBITDA 利潤率、調整後的每股盈餘和自由現金流轉換率，這些都是非 GAAP 財務指標。請參閱獲利報告中的表格和相關腳註，以了解最直接可比較的 GAAP 指標和適用的調整表。

To begin the prepared remarks this morning, I’ll pass it over to Dirkson.

今天上午，我將把發言權交給迪克森，讓他開始今天的準備發言。

Thanks, Ian. So my mates at Loar and I, we get up every day to create shareholder value over the long term. When we went public, we added a plethora of new partners to join our journey in building our aerospace and defense cash compounder. I got up this morning thinking about one such partner who we know is totally aligned in our approach of building our business over years and decades as opposed to a quarter at a time. He was the one that told us we are boring. I did not name him on the call, so it was interesting when we spoke to him after the call.

謝謝你，伊恩。所以，我和我在 Loar 的夥伴們每天努力工作，都是為了創造長期的股東價值。上市後，我們新增了許多合作夥伴，共同打造我們的航空航太和國防現金複利平台。今天早上我起床後想到了一位合作夥伴，我們知道他在業務發展方面與我們完全一致，我們主張用數年甚至數十年來發展業務，而不是一次只發展一個季度。是他告訴我們我們很無聊。我在通話中沒有提到他的名字，所以通話結束後我們和他交談時，感覺很有趣。

He said, Dirkson, Brett, was I not the one that called you boring first? Of course, the answer is, yes. He then reminded us about the importance of intellectual property. How could we quote him without saying who he was? It is his IP after all. As you all know, we love IP. Here’s the good news: we’re going to be boring today.

他說：“迪克森，布雷特，難道不是我先說你們無聊的嗎？”當然，答案是肯定的。然後他提醒我們知識產權的重要性。我們怎麼能在不說明他是誰的情況下引用他的話呢？畢竟這是他的IP位址。眾所周知，我們熱愛智慧財產權。好消息是：我們今天會很無聊。

We’re going to name the whole of the patent over the adjective that truly describes us. He has been with us since we went public, which is going on two years now, and along the way, he has continued to invest more in us. So before we name him to respect his IP, let’s remind everyone what it means to be boring.

我們將整個專利命名為最能描述我們的那個形容詞。自從我們上市以來，他就一直和我們在一起，到現在已經快兩年了，在此期間，他不斷地加大對我們公司的投資。所以在我們公佈他的名字以尊重他的智慧財產權之前，讓我們先提醒大家甚麼是無聊。

It means, we’re about to tell you that we beat, we’re raising up guidance, but more importantly, we generated strong cash flows. In addition to telling you, we continue to improve our margins while achieving record sales, adjusted EBITDA, and adjusted EBITDA margins during the quarter. We’re then going to give you guidance in 2026 that we’re doing with the Heather rule in mind, given that we do not want to sacrifice Ian, which means we’re only going to tell you what we believe we can meet or beat. I’m going to get started with my remarks, but first let me name the person that called us boring. His name is Steve. Good morning, Steve. Good morning, all. We’re about to be super boring, so here it goes.

這意味著，我們即將告訴大家，我們超額完成了業績目標，我們提高了業績預期，但更重要的是，我們產生了強勁的現金流。除了向您報告之外，我們還繼續提高利潤率，並在本季度實現了創紀錄的銷售額、調整後 EBITDA 和調整後 EBITDA 利潤率。那麼，我們將在 2026 年根據 Heather 規則為您提供指導，因為我們不想犧牲 Ian，這意味著我們只會告訴您我們認為我們可以達到或超越的目標。我即將開始發言，但首先讓我指出是誰說我們很無聊。他的名字叫史蒂夫。早安，史蒂夫。各位早安。接下來我們要講的內容會非常無聊，那就開始吧。

I’m Dirkson, founder, CEO, and Co-Chairman of Loar. As always, we’ll keep our remarks brief, so let’s start by reminding you who we are. Loar is a family of companies with a very simple approach to creating shareholder value. First, we believe that providing our business units with an entrepreneurial and collaborative environment to advance their brands will generate above-market growth rates. Since our inception in 2012 to the end of calendar year 2024, we have grown sales and adjusted EBITDA at a compound annual growth rate of 37% and 45% respectively. Over the long term, we expect to increase sales organically at double-digit percentages, with the last three years, '22, '23, and '24, achieving organic sales growth of 18%, 14%, and 15% respectively, with adjusted EBITDA growing at a faster rate.

我是 Dirkson，Loar 的創辦人、執行長兼聯合主席。像往常一樣，我們的發言會盡量簡短，所以讓我們先來提醒大家我們是誰。Loar 是一家公司集團，創造股東價值的方式非常簡單。首先，我們相信，為各個業務部門提供創業和協作的環境，以提升其品牌，將產生高於市場平均的成長率。自 2012 年成立至 2024 年年底，我們的銷售額和調整後 EBITDA 分別達到了 37% 和 45% 的複合年增長率。從長遠來看，我們預計銷售額將以兩位數百分比實現有機成長，過去三年（2022 年、2023 年和 2024 年）的有機銷售額分別成長了 18%、14% 和 15%，調整後的 EBITDA 成長速度更快。

We execute along four value streams. First, we identified pain points within the aerospace industry. I look to solve those problems through organically launching new products, which we believe over the long term will create 1 to 3 percentage points of top-line growth annually. Over the next two years, we expect that new product growth will be closer to 3% and 1% as we qualify new parts, sell existing products to new customers, and just dive deeper into our mission of solving our customers' pain points. As you all know, we track this pipeline of opportunities monthly. It represents a list of opportunities across our portfolio that are derived from listening to our customers to identify their pain points and determine how we can help.

我們沿著四個價值流執行任務。首先，我們確定了航空航太產業的痛點。我希望透過有機地推出新產品來解決這些問題，我們相信從長遠來看，這將每年帶來 1% 到 3% 的營收成長。在接下來的兩年裡，隨著我們對新零件進行認證、向新客戶銷售現有產品，以及更深入地履行我們解決客戶痛點的使命，我們預計新產品成長率將接近 3% 和 1%。如大家所知，我們會按月追蹤這些商機。它代表了我們產品組合中各種機會的列表，這些機會源於我們傾聽客戶的意見，找出他們的痛點，並確定我們如何提供幫助。

It is created from sharing ideas, best practices, and cost synergies across the group with a high degree of collaboration that we foster across our business units. This list, as you can see, has grown by $100 million since the last call and represents over $600 million in sales over the next five years. As you can see, the beauty of the list is it is a living, breathing entity that continuously grows. We also focus on optimizing the way we manufacture, go to market, and manage to enhance productivity. Each year, we identify initiatives that allow us to continually improve our performance with a focus on one or two major initiatives each year that will improve margins.

它是透過在整個集團內分享想法、最佳實踐和成本協同效應而創建的，這得益於我們在各個業務部門之間的高度協作。如您所見，該名單自上次統計以來已增長了 1 億美元，並代表著未來五年超過 6 億美元的銷售額。如你所見，這份清單的妙處在於它是一個鮮活的、不斷發展的實體。我們也致力於優化生產、上市和管理方式，以提高生產效率。每年，我們都會確定一些能夠持續提升業績的舉措，每年重點關註一到兩項能夠提高利潤率的重大舉措。

Over the next couple of years, we are looking to enhance the way we mine, collect, gather, and utilize data. This means enhancing our management, ERP, and other systems and processes to improve our leverage of data to drive improvement in our cash flows. In addition, across our portfolio of companies, we'll achieve more price than our cost of inflation. Each year, the result is a continuous improvement in margins year over year with, on occasion, temporary dilution as a result of acquiring businesses with diluted margins or incurring costs as a result of being a public company, all of which we have experienced over the years. Regardless of these temporary headwinds, we continue to improve our margins.

在接下來的幾年裡，我們將致力於改進我們挖掘、收集、獲取和利用數據的方式。這意味著要加強我們的管理、ERP 和其他系統和流程，以提高我們對資料的利用，從而改善我們的現金流量。此外，在我們旗下所有公司中，我們將實現高於通貨膨脹成本的價格。每年，利潤率都會逐年持續提高，但偶爾也會因為收購利潤率較低的企業或作為上市公司而產生成本，導致利潤率暫時下降，而這些情況我們多年來都經歷過。儘管面臨這些暫時的不利因素，我們的利潤率仍在持續提高。

Most importantly, we are committed to developing and improving the talent of all our mates because our success is solely a result of their dedication and commitment. To all our mates, thank you so much for your commitment and hard work.

最重要的是，我們致力於培養和提升所有團隊成員的才能，因為我們的成功完全歸功於他們的奉獻和投入。致我們所有的夥伴們，非常感謝你們的付出和努力。

I will now turn it over to Brett to walk you through the key characteristics of our portfolio.

現在我將把發言權交給布雷特，讓他為大家介紹我們作品集的關鍵特徵。

Thanks, Dirkson. Everybody I think has seen this slide. We've had it in all our presentations, so I don't want to belabor it, but the reason this slide is in there is really just to remind people that we have a very consistent and very attractive business model, as highlighted by all the boxes on the bottom of the page that we apply all our parts to. And those parts cut across a very broad and very diverse set of end markets, customers, and virtually any platform that you can think of that flies. And the way that ultimately manifests itself is in the strong performance that we've had that is consistent, reliable, and, dare I even say, boring.

謝謝你，德克森。我想大家都看過這張投影片了。我們在所有簡報中都展示過，所以我不想贅述，但這張投影片之所以出現在這裡，實際上只是為了提醒大家，我們擁有一個非常一致且極具吸引力的商業模式，正如頁面底部所有方框所突出顯示的那樣，我們所有的業務都應用在這個方框中。這些零件涵蓋了非常廣泛且非常多樣化的終端市場、客戶，以及你能想到的幾乎所有飛行平台。而最終體現在我們所取得的強勁表現上，這種表現穩定、可靠，甚至可以說有點乏味。

Thank you, Brett. Over the last 13 years, we've brought together a unique set of capabilities and products that are highlighted here. We go to market with more than 20,000 unique products, none of which makes more than 3% of our annual revenue. Whether it's sensors or switches, water purification systems, de-icing technologies, human interface devices, auto throttle systems, or one of our many other products, we are an essential supplier across the aerospace and defense industry. Our customers have come to depend on our highly proprietary products, quality, on-time performance, and engineering capabilities to ensure they are able to maximize their production and aircraft operations.

謝謝你，布雷特。在過去的 13 年裡，我們匯集了一系列獨特的能力和產品，這些能力和產品將在這裡重點介紹。我們向市場推出超過 20,000 種獨特的產品，但沒有一種產品的收入超過我們年收入的 3%。無論是感測器或開關、水淨化系統、除冰技術、人機介面設備、自動節氣門系統，或是我們許多其他的產品，我們都是航空航太和國防工業的重要供應商。我們的客戶一直依賴我們高度專有的產品、品質、準時交付和工程能力，以確保他們能夠最大限度地提高生產和飛機營運效率。

I'll now pass it over to Glenn to walk through the financials.

現在我將把這個任務交給格倫，讓他來分析財務數據。

Thank you, Ian. Good morning, everyone. Let me start by discussing sales by our end markets. This comparison will be on a pro forma basis as if each of our businesses were owned as of the first day of the earliest period presented. This market discussion includes the acquisition of Applied Avionics in Q3 '24 and Beadlight in Q3 '25. We achieved record sales during Q3 '25. In total, our sales increased to $127 million, which is a 15% increase as compared to the prior year. This increase was driven by strong performances in commercial aftermarket, commercial OEM, and defense.

謝謝你，伊恩。各位早安。首先，我想談談我們終端市場的銷售情況。本次比較將以模擬形式進行，假設我們每家企業的所有權都始於所列最早期間的第一天。本次市場討論包括 2024 年第三季對 Applied Avionics 的收購和 2025 年第三季對 Beadlight 的收購。我們在2025年第三季實現了創紀錄的銷售額。我們的銷售額總計成長至 1.27 億美元，比上年成長 15%。這一成長主要得益於商業售後市場、商業OEM和國防領域的強勁表現。

Our commercial aftermarket sales saw an increase of 19% in Q3 '25 versus Q3 '24. This is primarily driven by the continued strength and demand for commercial air travel and an aging commercial fleet. We continue to see strong commercial aftermarket bookings. Our total commercial OEM sales increased by 11% in Q3 '25 as compared to the prior year period. This increase was driven by higher sales across a significant portion of the platforms we supply along with an improving production environment for commercial OEMs. The increase of 70% in our defense sales was primarily due to strong demand across multiple platforms and an increase in market share as a result of new product launches. Defense sales will continue to be lumpy given the nature of the ordering pattern of our end customers for our products.

2025 年第三季度，我們的商業售後市場銷售額比 2024 年第三季成長了 19%。這主要是由於商業航空旅行的持續強勁需求和商業機隊的老化所致。我們持續看到強勁的商業售後市場訂單。2025 年第三季度，我們的商業 OEM 總銷售額比去年同期成長了 11%。這一增長是由我們所供應的大部分平台銷售增加以及商業 OEM 生產環境改善所推動的。我們的國防銷售額成長了 70%，這主要是由於多個平台的強勁需求以及新產品推出後市場份額的增加。鑑於我們終端客戶對我們產品的訂購模式的特殊性，國防銷售將持續出現波動。

Let me recap the financial highlights for the third quarter of '25. Our net organic sales increased 11.1% over the prior-year period. Our gross profit margin for Q3 '25 increased by 380 basis points as compared to the prior-year period. This increase was primarily due to our operating leverage, the execution of our strategic value drivers, as well as a favorable sales mix. Our increase in net income of $19 million in Q3 '25 is primarily due to a tax benefit as a result of the enactment of the One Big Beautiful Bill Act, higher operating income, and lower interest.

讓我來回顧一下2025年第三季的財務亮點。我們的淨有機銷售額比去年同期成長了 11.1%。2025 年第三季度，我們的毛利率比去年同期增加了 380 個基點。這一成長主要歸功於我們的經營槓桿、策略價值驅動因素的執行以及有利的銷售組合。2025 年第三季淨收入增加 1,900 萬美元，主要原因是《一項偉大的美麗法案》的頒布帶來的稅收優惠、更高的營業收入和更低的利息支出。

Adjusted EBITDA was up $11 million in Q3 '25 versus Q3 '24. Adjusted EBITDA margins were a record 38.7% due to our operating leverage, the execution of our strategic value drivers, and a favorable sales mix. This was partially offset by traditional costs of being a public company, including Sarbanes-Oxley compliance and additional organizational costs to support our reporting, governance, and control needs. We do not see a material increase in these types of costs going forward. We believe the run rate of these costs is fully reflected in our Q3 '25 results.

2025 年第三季調整後 EBITDA 比 2024 年第三季增加了 1,100 萬美元。由於我們的經營槓桿、策略價值驅動因素的執行以及有利的銷售組合，調整後的 EBITDA 利潤率創下 38.7% 的歷史新高。但這部分被上市公司的傳統成本所抵消，包括薩班斯-奧克斯利法案合規成本以及為滿足我們的報告、治理和控制需求而增加的組織成本。我們預期未來這類成本不會有實質成長。我們認為這些成本的運行速度已充分反映在我們 2025 年第三季的業績中。

From 2020 through 2025, we will have increased our EBITDA margins by 710 basis points. We have achieved this growth through with the following: operating leverage, winning new profitable business, executing on productivity initiatives, and value-based pricing. In Q3 '25, our margins grew by 190 basis points from the prior year to a record 38.7%. This was achieved even with the negative impact of costs related to Sarbanes-Oxley from being a public company, as well as the dilution of margins from our most recent acquisition, Beadlight.

從 2020 年到 2025 年，我們的 EBITDA 利潤率將提高 710 個基點。我們透過以下方式實現了這一成長：營運槓桿、贏得新的獲利業務、執行生產力提升計劃以及基於價值的定價。2025 年第三季度，我們的利潤率比去年同期成長了 190 個基點，達到創紀錄的 38.7%。即使受到上市公司薩班斯-奧克斯利法案相關成本的負面影響，以及最近收購 Beadlight 導致利潤率稀釋的影響，我們仍然實現了這一目標。

We are excited to share our most recent view for calendar year '25. This view is in excess of what we told you 13 weeks ago. Our confidence rests in the great strides we have made in executing our value drivers in the first nine months of '25 and the strength of our proprietary portfolio. Primarily, we are ahead of plan on value pricing and productivity initiatives.

我們很高興與大家分享我們對 2025 年日曆年的最新展望。這種觀點與我們13週前告訴你們的觀點有所不同。我們的信心源自於我們在 2025 年前九個月在執行價值驅動因素方面取得的巨大進步以及我們自主產品組合的實力。首先，我們在價值定價和生產力提升方面都超前於計劃。

In addition, we have not seen any material reduction in demand in any of our end markets and expect no meaningful impact on our outlook as a result of the tariff environment. The one end market to note is total commercial aftermarket. Given the strength we have seen in the first nine months of '25, we are increasing our outlook to low double-digit growth from high single-digit growth. Commercial OEM and defense are in line with our prior outlook. We expect these market assumptions, along with our continued execution of our value drivers, will allow us to exceed the following metrics for calendar year 2025 versus our previous outlook.

此外，我們尚未看到任何終端市場需求出現實質下降，預計關稅環境不會對我們的前景產生實質影響。需要注意的最終市場是整個商業售後市場。鑑於 2025 年前九個月的強勁表現，我們將成長預期從個位數高點成長上調至兩位數低點成長。商業OEM和國防領域與我們先前的預期一致。我們預計，這些市場假設，加上我們持續執行價值驅動因素，將使我們能夠在 2025 年日曆年實現以下指標，超過我們先前的預期。

Net sales are up $1 million. Adjusted EBITDA is up $1 million. Net income is up $5 million. Diluted earnings per share is up $0.05. Adjusted earnings per share is up $0.10. We see a further reduction in our interest expense of $1 million. All other assumptions are consistent with our previous outlook.

淨銷售額成長了100萬美元。調整後 EBITDA 增加 100 萬美元。淨收入增加了500萬美元。稀釋後每股收益增加0.05美元。調整後每股收益增加0.10美元。我們預計利息支出將進一步減少100萬美元。其他所有假設均與我們先前的預期一致。

Let me now turn the call back over to Dirkson to share our outlook for '26.

現在我把電話轉回給迪克森，讓他分享我們對 2026 年的展望。

Thanks, Glenn. Look, we are extremely excited to share our initial -- I'll say it again, initial view for calendar year 2026. But as a reminder, we can share such a detailed forecast so early in the year because of the substantial proprietary content of our product and service portfolio combined with our record backlog as of the end of the third quarter of 2025, both of which allow for tremendous visibility into 2026. This view is on a pro forma basis assuming we own all of our business units since the beginning of 2025.

謝謝你，格倫。聽著，我們非常興奮地與大家分享我們對 2026 年日曆年的初步展望——我再說一遍，是初步展望。但要提醒的是，我們之所以能在年初就分享如此詳細的預測，是因為我們產品和服務組合中擁有大量的專有內容，再加上截至 2025 年第三季末我們創紀錄的積壓訂單，這兩點都使得我們對 2026 年的前景有極大的了解。這個觀點是基於我們自 2025 年初以來擁有所有業務部門的假設而得出的。

With that said, we expect commercial OEM and aftermarket growth will be low double digits in 2026. With strong backlogs at the commercial aircraft producers, including Boeing, Airbus, Embraer, Gulfstream, Cirrus, and Diamond, just to name a few of the manufacturers that we have content on, we see another year of double-digit growth. With regard to our assumptions about monthly production rates for the Boeing 737 MAX and A220 family of aircraft, we have assumed that monthly production will average 38 and 54 during 2026, respectively. This is between a 15% to 20% reduction from the OEM skyline projections that they all talk about. This is how we adjust for any supply chain challenges and de-stocking, which is an inevitable part of the complicated ecosystem of making parts for aircraft, so let's [meet and exceed]

也就是說，我們預計到 2026 年，商業 OEM 和售後市場的成長將達到兩位數的低點。包括波音、空中巴士、巴西航空工業公司、灣流、西銳和鑽石飛機公司在內的商用飛機製造商（僅舉幾例我們有內容報告的製造商）都擁有強勁的訂單積壓，我們預計又一年將實現兩位數成長。關於波音 737 MAX 和 A220 系列飛機的月產量，我們假設 2026 年的月平均產量分別為 38 架和 54 架。這比他們常說的 OEM 天際線預測減少了 15% 到 20%。這就是我們應對供應鏈挑戰和去庫存的方式，去庫存是飛機零件製造這個複雜生態系統中不可避免的一部分，所以讓我們…[達到並超越]

Commercial aftermarket growth again will be driven by the continuing cycle of growth rate of air travel combined with an older in-service fleet as OEM production continues to not meet demand for aircraft. It is noteworthy that the average age of the passenger fleet worldwide is a record 14-plus years currently. Given that airlines have learned to affordably maintain aircraft for longer combined years, we expect that with the production of aircraft not covering retirements plus secular growth, the aftermarket will stay strong for quite a period of time.

商業售後市場的成長將再次受到航空旅行成長率持續成長以及機隊老化（因為原始設備製造商的生產持續無法滿足飛機需求）的推動。值得注意的是，目前全球客運車輛的平均車齡已超過 14 年，創歷史新高。鑑於航空公司已經學會了以較低的成本延長飛機的使用壽命，我們預計，由於飛機產量不足以彌補退役數量加上長期增長，售後市場將在相當長的一段時間內保持強勁。

We also see strength in general aviation with Q3 2025 departures setting a record at over 1 million. How do we say it, we love the aftermarket. While our defense end markets will be up mid-single digits as we come off a fantastic year of growth, as we've always said, growth in the defense end market will be choppy, so up, down, up, down over the long term. Lots of cash is how we think about it. These market assumptions, along with our continued execution of our value drivers, will allow us to meet or exceed the following for calendar year 2026.

我們也看到通用航空領域表現強勁，2025 年第三季離港航班數量將創下超過 100 萬架次的紀錄。怎麼說呢，我們熱愛汽車後市場。雖然我們的國防終端市場在經歷了輝煌的成長年之後將實現個位數中段的成長，但正如我們一直所說，國防終端市場的成長將會是波動不定的，從長遠來看，將會經歷漲跌起伏。我們當時的想法是：一大筆錢。這些市場假設，加上我們持續執行價值驅動因素，將使我們能夠在 2026 年達到或超過以下目標。

Net sales between $540 million and $550 million, adjusted EBITDA between $209 million and $214 million, adjusted EBITDA margin of approximately 39%, once again demonstrating our ability to continually improve margins. Net income between $80 million and $85 million, adjusted EPS between $0.98 and $1.03 per share. In addition, we expect capital expenditures of approximately $17 million, full-year interest expense $25 million, and effective tax rate will be approximately 25%.

淨銷售額在 5.4 億美元至 5.5 億美元之間，調整後 EBITDA 在 2.09 億美元至 2.14 億美元之間，調整後 EBITDA 利潤率約為 39%，再次證明了我們不斷提高利潤率的能力。淨利潤在 8,000 萬美元至 8,500 萬美元之間，調整後每股收益在 0.98 美元至 1.03 美元之間。此外，我們預計資本支出約為 1700 萬美元，全年利息支出為 2,500 萬美元，實際稅率約為 25%。

Depreciation and amortization of $50 million, non-cash stock-based comp of $17 million which affect a fully diluted share count of 97 million shares. Please note that all of the amounts I have just outlined for you relating to calendar year 2026 performance assume no additional acquisitions and does not include the previously announced pending acquisition of LMB Fans & Motors. However, as we have noted previously, our drumbeat is to complete one or two acquisitions each year, but we just cannot predict the timing of such acquisition.

折舊和攤提 5000 萬美元，非現金股票補償 1700 萬美元，影響完全稀釋後的股份數量 9700 萬股。請注意，我剛剛向您概述的與 2026 年日曆年業績相關的所有金額均假設沒有額外的收購，並且不包括先前宣布的待決收購 LMB Fans & Motors。然而，正如我們之前提到的，我們的目標是每年完成一到兩項收購，但我們無法預測此類收購的時機。

One last metric I will share related to calendar year 2026. We expect operating cash flow minus capital expenditures to be greater than 125% of our net income, assuming no additional acquisitions.

最後，我要分享一個與 2026 年相關的指標。我們預計，在沒有額外收購的情況下，營運現金流減去資本支出將超過淨收入的 125%。

With that, operator, let's open up the line for questions.

好了，接線員，我們現在開始接受提問。

(Operator Instructions)

（操作說明）

Kristine Liwag, Morgan Stanley.

克莉絲汀‧利瓦格，摩根士丹利。

Congratulations on your record margin in the quarter despite the two headwinds that you called out, including the dilution from the recent deal. I guess, can you provide more color now on what the operating and integration playbook looks like 30, 60, 90 days after a deal? Are there some heuristics operationally that you could call out? And where do you usually find low-hanging fruit?

恭喜你們在本季取得了創紀錄的利潤率，儘管你們指出了兩個不利因素，包括最近交易帶來的股權稀釋。我想，您能否更詳細地介紹一下交易完成後 30 天、60 天、90 天的營運和整合方案？在操作層面上，您能否提出一些經驗法則？那麼，你通常在哪裡能找到唾手可得的成果呢？

It varies by the business that we acquire, right? Some businesses require, I will put it this way, a lot of hand-holding. Others just require strategic direction. Specifically to Beadlight, our recent acquisition, great business, great team, great leader in Gina. It's more about, in this case, the first 30, 60 days, which is always the case. Let's just start there. It's listen and observe first. We don't believe that we're smarter than the folks that have been running the business for years, so we listen, watch, and learn first and help wherever they come to us initially.

這取決於我們收購的是哪家企業，對吧？這麼說吧，有些企業需要大量的指導和幫助。另一些人則只需要策略指導。具體來說，我們最近收購的 Beadlight 是一家很棒的公司，擁有很棒的團隊，還有一位很棒的領導者 Gina。在這種情況下，更重要的是最初的 30 天、60 天，這種情況一直是如此。我們就從這裡開始吧。首先要傾聽和觀察。我們不認為自己比那些經營這家企業多年的人更聰明，所以我們先傾聽、觀察和學習，然後在他們最初來找我們的時候提供幫助。

In Beadlight’s case, it is more about top-line synergies, right? We have embedded Beadlight with our SCHROTH business, so Gina actually reports to the President at SCHROTH to incorporate the outreach to customers in a synergistic way. SCHROTH, as you know, makes seat belts and restraints, but effectively the same customers that Beadlight is selling to. So in the case of Beadlight, it's more about the synergy, the customers, and focusing in that manner, which we have started but really have a tremendous runway ahead of us in terms of opportunity.

就 Beadlight 而言，更重要的是提升整體業績，對吧？我們已將 Beadlight 融入到我們的 SCHROTH 業務中，因此 Gina 實際上向 SCHROTH 總裁匯報工作，以便以協同的方式拓展客戶。如您所知，SCHROTH 生產安全帶和約束裝置，但實際上與 Beadlight 的客戶群相同。所以對於 Beadlight 來說，更重要的是協同效應、客戶以及以這種方式進行專注，我們已經開始了，但就機會而言，我們還有巨大的發展空間。

Great, that makes sense. And then with your commercial aerospace OEM outlook for next year, Dirkson, can you provide some color regarding the underlying production rates that underpin those assumptions?

太好了，這說得通。那麼，迪克森，對於您明年對商用航空航天OEM的展望，您能否詳細說明一下支撐這些假設的潛在生產力？

Yeah, I think what I outlined was the production numbers that we are dealing with, 38 and 54. That is Boeing and Airbus respectively. That is what we are looking at now. I will tell you that varies tremendously by (inaudible) That's the net, net, net of everything that we have seen and touched across the group. So we can have a track liner at one number, and we can have a water purification system at another number just driven by what is in the pipeline, what customers are expecting. Those types of things. But on average, we are looking at 38 for the MAX and 54 for the A320 family.

是的，我想我概述的是我們正在處理的生產數字，38 和 54。分別是波音公司和空中巴士公司。這就是我們現在正在關注的問題。我要告訴你，這因人而異（聽不清楚）。這是我們在整個小組中看到和接觸到的所有事情的最終結果。因此，我們可以根據管道中的內容和客戶的期望，將軌道襯砌系統的數量定為一個數字，將水淨化系統的數量定為另一個數字。諸如此類的事情。但平均而言，MAX 系列飛機的產量為 38 架，A320 系列飛機的產量為 54 架。

And for the wide bodies, too?

寬體機也一樣嗎？

For the wide bodies, I'll say it this way. The discount isn't as great. I think we discounted the 15% to 20% on the narrow body. On the wide bodies versus skyline about 10%. And just keep in mind, the way we think about it is really going back to our rule of engagement when we give guidance, which is (inaudible)

對於寬體車身，我這樣說吧。折扣力度並不算大。我認為我們對窄體車型打了 15% 到 20% 的折扣。寬體機與天際線相比大約高出 10%。請記住，我們思考這個問題的方式實際上要追溯到我們提供指導時的基本原則，那就是：（聽不清楚）

We want to make sure, especially at this early stage. I mean, we are in November predicting what is going to happen to the end of 2026, which is 13-plus months away. We just want to be conservative.

我們希望確保這一點，尤其是在這個早期階段。我的意思是，現在是 11 月，我們正在預測 2026 年底會發生什麼，而距離 2026 年底還有 13 個多月的時間。我們只想保持保守。

Sheila Kahyaoglu, Jefferies.

Sheila Kahyaoglu，傑富瑞集團。

Congrats on a great quarter. Maybe if I could ask on the same line as Kristine but just focusing on defense. Your defense growth has been superb this year and your guidance is for about 5%. Why the deceleration? And maybe can you talk about what's driving the decel, whether domestic or international?

恭喜你本季表現出色。也許我可以和克莉絲汀在同一條線上提問，但只專注於防守方面。今年你的國防發展非常出色，你的指導方針約為 5%。為什麼會減速？您能否談談造成這種減速的原因，無論是國內的還是國際的？

First of all, I will describe it this way, lessons learned from doing this for three decades. And when you have a defense market that one year is up, as we have this year, some of 16% and 20%, it usually is time for it to be rationalized, right? It should be a mid-single-digit growth rate on the defense side, but I will give you a little bit of specifics.

首先，我會這樣描述：這是我三十年來做這件事所學到的經驗教訓。當國防市場一年的時間過去，就像今年一樣，部分市場成長了 16% 到 20%，通常就應該進行合理化調整了，對吧？防守方面的成長率應該在個位數中段，但我會給你一些具體細節。

Ground vehicles were strong in 2025. I will tell you as we put together a budget, which was a month or so ago now, we looked at terms of our product in ground vehicles, and we said to ourselves that that should slow down. We did not have the backlog at the time to support it.

2025年地面車輛市場表現強勁。我得告訴你們，大約一個月前，我們在製定預算時，我們審視了我們地面車輛產品的條款，我們當時就決定，這部分業務應該放緩。當時我們沒有足夠的訂單來支持它。

What I would tell you today, Sheila, is if we were building that forecast today, I would probably come up with a different result. But since that time, we have seen improved bookings for ground vehicle products.

希拉，我今天想告訴你的是，如果我們今天來做這個預測，我可能會得到不同的結果。但自那時以來，我們看到地面車輛產品的預訂量有所改善。

Okay, got it. So just normalization of the market and being conservative. Cool. And then, Dirksen, at the beginning, you gave some introductory comments that the new product growth now could be 3% versus your, I think, 1% to 3% historically. Can you talk about some of the areas where you are making particular headway, whether it is the end market, a certain OEM, or is it a synergy with Beadlight as you pointed to? Where are you seeing that new product growth coming from?

好的，明白了。所以，關鍵在於市場正常化和保守行事。涼爽的。然後，迪爾克森，在開頭，你發表了一些介紹性評論，指出新產品的成長現在可能達到 3%，而你過去的歷史成長率，我認為是 1% 到 3%。您能否談談您在哪些領域取得了特別進展，例如終端市場、某個 OEM 廠商，或者像您提到的那樣與 Beadlight 產生協同效應？您認為新產品成長的動力來自哪裡？

So this one is a little sensitive because you're not the only one listening, and I don't want to share information that would make it harder to compete in the market, get people focus. But I know there are two things that we talk about quite a bit. Happy to share. Because these are two of the reasons why it is improving, and we do see it.

所以這個問題有點敏感，因為不只是你在聽，我不想分享任何會讓我們更難在市場上競爭、分散人們注意力的資訊。但我知道有兩件事我們常常談到。樂意分享。因為這是它正在改善的兩個原因，而我們確實看到了這種改善。

So one is on brakes. We are getting certification on PMA brake applications. We've gotten five done this year, most of those within the last three to four months and in the pipeline, but for the government shutting down, we're probably a little bit ahead. We have another four or so certifications to get. That's one of the reasons we're going to see higher growth rates over the next couple of years because we're now getting into that business. So that I can talk to.

所以其中一人踩了煞車。我們正在獲得PMA煞車應用認證。今年我們已經完成了五個項目，其中大部分是在過去三、四個月內完成的，還有一些正在籌備中。但由於政府停擺，我們可能稍微領先了一點。我們還需要再獲得四項左右的認證。這就是為什麼未來幾年我們將看到更高的成長率的原因之一，因為我們現在正進入這個行業。這樣我就可以和他們交談了。

The other one I can speak to is, as we think about -- So that one's aftermarket. I'll give you one that's OE. As we think about the cockpit door barrier, I think we have told folks that we got that certified this year and started producing in May, and on the Airbus platform, we're going to see more of that content growth next year and in the years to come because we are exclusive on the majority of the Airbus narrowbody aircraft. Those two alone would get us, as I said, I didn't say 3%. I said closer to 3% than 1%.

我還可以談談另一個方面，正如我們所想——所以那是售後市場。我會給你一個原廠配件。當我們考慮駕駛艙門隔板時，我想我們已經告訴大家，我們今年獲得了認證，並在 5 月開始生產。在空中巴士平台上，我們將在明年和未來幾年看到更多此類產品的成長，因為我們是大多數空中巴士窄體飛機的獨家供應商。光是這兩個人就能帶給我們3%，正如我所說，我沒說3%。我說的是接近 3% 而不是 1%。

Those two alone gets us closer to 3% than 1%.

光是這兩項就能讓我們更接近 3% 而不是 1%。

Got it. Okay, great. Thank you so much. And also, as Steve said, I do not know why anybody would listen to a boring call like this, so you could share with us all you want. Thank you.

知道了。好的，太好了。太感謝了。而且，正如史蒂夫所說，我不知道為什麼有人會聽這種無聊的電話，所以你可以和我們分享你想分享的所有內容。謝謝。

Ken Herbert, RBC Capital Markets.

Ken Herbert，加拿大皇家銀行資本市場。

Maybe just to start, you did nudge up slightly the aftermarket expectations for this year. I am curious if you can talk about what is specifically driving it or how we should think about volume versus price in the aftermarket growth this year?

或許首先，你的確稍微提高了今年售後市場的預期。我很想知道您能否具體談談是什麼因素推動了今年的售後市場成長，或者我們應該如何看待銷售與價格之間的關係？

It is all across our products. I cannot think of any one that stood out in terms of driving the aftermarket growth change, so it is really across all the products. And it is volume-driven, not price. I guess, I will put it this way, when we put together a guide, as we always do, we think of it in such a way that makes sure that we'll meet or exceed. I think you know that.

它貫穿我們所有產品。我想不出有哪一款產品在推動售後市場成長方面表現突出，所以這實際上是所有產品共同作用的結果。而且是由銷量驅動，而不是價格驅動。我想，這麼說吧，當我們編寫指南時，就像我們一直以來所做的那樣，我們會確保指南能夠達到甚至超越預期。我想你知道的。

So it actually was not surprising to us that it is low-double-digit growth, just like we are starting out this year thinking it is low double-digit growth. Commercial aftermarket, I got to tell you, is extremely, extremely strong. I know some folks we talk to worry about it slowing down. I got to tell you, Ken, I don't see it. So going back to your question, volume-driven, not price, and it's across all of our product offering.

所以，它實現兩位數低成長其實並沒有讓我們感到意外，就像我們今年年初就預期它會實現兩位數低成長一樣。我必須告訴你，商業售後市場非常非常強大。我知道我們交談過的一些人擔心經濟成長放緩。肯，說實話，我沒看出來。所以回到你的問題，銷售量才是驅動因素，而不是價格，而且這適用於我們所有的產品。

And as we think about the initial outlook for 2026, again sort of up low double, similar contributions as we think about the volume and price mix in '26 on the aftermarket. And then under that, I guess, as we think about '26, are you seeing any acceleration or deceleration underpinning that by end market from '25 to '26?

當我們展望 2026 年的初步前景時，同樣預期會有兩倍以上的成長，與 2026 年售後市場的數量和價格組合類似。那麼，在展望 2026 年時，您是否看到 2025 年到 2026 年終端市場出現了任何加速或減速的趨勢？

No, I don't see anything. I guess I should say it this way. So across all the end markets, I see this. I see over the last three years or so that as we think about the mix of what drove growth, I would put it in this way: volume, price, and then new business. That is probably the last three years. The next two or three years, I would rank it this way: new business, volume, and then price. So to answer your question, I don't see any slowdown on volume, I don't see any risk in terms of any long-term destocking.

不，我什麼也沒看到。我想我應該這樣說。因此，在所有終端市場中，我看到了這種情況。在過去三年左右的時間裡，當我們思考推動成長的各種因素時，我會這樣概括：銷售、價格，然後是新業務。那大概是指過去三年。接下來兩三年，我會這樣排序：新業務、銷量，然後是價格。所以回答你的問題，我沒有看到銷售放緩，也沒有看到任何長期去庫存的風險。

Now, with that said, I know we are talking about '26, but it does remind me, as we think about -- I hate guiding for 13 weeks, which is what you guys force us to do when we get to this point in the year, and we are talking about the end of 2025. I will tell you, Ken, I am seeing more noise from customers -- by the way, we love them, from customers in terms of cosmetically managing their balance sheet and managing working capital, and there is a lot of push-pull within the system as to the timing of deliveries.

話雖如此，我知道我們現在說的是 2026 年，但這確實讓我想起，當我們思考的時候——我討厭連續 13 週做嚮導，而你們每年這個時候都會強迫我們這樣做，而我們現在說的是 2025 年底。肯，我得告訴你，我看到客戶（順便說一句，我們很喜歡他們）在表面上管理資產負債表和管理營運資金方面提出了更多意見，而且在交貨時間方面，系統內部存在很多拉鋸戰。

It's all timing. It's all proprietary products, all those things. I would say that about 2025. But in terms of 2026, fairly strong across all the end markets. We talked about military, just trying to normalize what we think about what 2026 should look like.

一切都取決於時機。都是專有產品，諸如此類。我估計大概在2025年左右。但就 2026 年而言，所有終端市場都相當強勁。我們討論了軍事問題，只是想讓大家對 2026 年應該是什麼樣子有一個統一的看法。

Great. Thanks, Dirkson. I appreciate all the detail.

偉大的。謝謝你，迪克森。我很欣賞您提供的所有細節。

Is that the last question, operator?

操作員，這是最後一個問題嗎？

Yes, it is. Would you like to do your closing comment?

是的。您想做總結發言嗎？

Yeah. I can close it up real quick. First of all, a big thank you to everyone that has taken the time to hear our story again today. Believe me when I say we continue to be excited about building our aerospace cash compounder. We call it Loar. Looking forward to speaking to you all again in late February 2026, just to give you a date this time.

是的。我可以很快把它關上。首先，非常感謝今天再次抽出時間聆聽我們故事的各位。請相信我，我們對打造航空航太現金增值平台仍充滿熱情。我們稱它為 Loar。期待在 2026 年 2 月下旬再次與大家見面，這次希望能給大家一個確切的日期。

Thank you very much. And by the way, thank you, everyone, for calling in on time. Love you guys. Thank you.

非常感謝。順便說一句，謝謝大家準時來電。愛你們。謝謝。

This concludes today’s conference. You may disconnect your lines at this time, and we thank you for your participation.

今天的會議到此結束。現在您可以斷開線路了，感謝您的配合。