ELKHART, IN – CTS Corp. reported fourth-quarter net earnings rose 2.7% to $7.7 million on a 1% hike in revenues to $173.5 million.

Revenues were boosted by a 17% increase in EMS sales to the defense/aerospace, medical and communications markets, the company said. Components and Sensors sales increased 5%, primarily for automotive products. Sales were partially offset by weakness in electronic component demand and lower component sales for handset applications, CTS reported.

The company’s 2006 revenue of $655.6 million increased 6% over 2005. Net earnings were up 16.3% to $24.2 million.

For the year, EMS sales increased 6% year-over-year, primarily as a result of growth in defense/aerospace and medical markets and higher demand for communications infrastructure products, said CTS. Components and Sensors sales increased 7% year-over-year with automotive product revenues growing 13%. Sales into infrastructure applications grew more than 20%.