Ducommun Electronic Systems Posts Q4 Net Revenue Down 14.5%
LOS ANGELES – Ducommun’s Electronic Systems segment reported net revenue for the fourth quarter of $81.7 million, down 14.5% year-over-year.
The firm attributes this lower net revenue to a $17.5 million decrease in industrial revenue; $1.5 million decrease in military and space revenue, and $5.1 million increase in commercial aerospace revenue.
Adjusted EBITDA for the quarter ended Dec. 31 was $12.8 million, or 15.7% of revenue, compared to $11.3 million, or 11.8% of revenue, in the comparable quarter in 2015. Electronic Systems’ operating income was $9.2 million, or 11.3% of revenue, compared to an operating loss of $27 million for the fourth quarter of 2015.
Ducommun’s total net revenue for the fourth quarter was $142.5 million, a decrease of 9% year-over-year. Net income was $2.8 million, compared to a net loss of $65.2 million in the same period of 2015. Operating income was $9 million, or 6.3% of revenue, compared to an operating loss of $88.6 million for the comparable period the previous year. During the fourth quarter, the company generated $15.8 million in cash from operations, compared to $11.6 million in 2015.
“Ducommun again posted improved operating results and excellent cash flow during the quarter, paying down an additional $10 million in debt before year end,” said Stephen G. Oswald, president and CEO. “For 2016 as a whole, we eliminated $75 million of indebtedness, and our backlog rose to $600 million due to recent commercial aerospace awards, leaving us very well positioned for 2017 and beyond.”
