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Air Industries lands $2.6 million Navy contract

Published 01/02/2025, 07:08 AM
AIRI
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While the press release includes forward-looking statements regarding market trends, future revenues, and potential acquisitions, these are subject to risks and uncertainties that could cause actual results to differ materially. The company also uses non-GAAP financial measures like Adjusted EBITDA (currently at $3.23 million) to evaluate its profitability, excluding certain non-cash and nonrecurring items. For a deeper understanding of AIRI's financial position and growth potential, InvestingPro subscribers can access detailed valuation metrics, financial health scores, and expert analysis in our comprehensive Pro Research Report. This contract follows a December 9 announcement of an $11 million deal for similar components, highlighting the company's ongoing role in supporting both new production and maintenance for the Navy's fleet. The company's revenue grew 3.31% over the last twelve months to $53.66 million, though InvestingPro analysis reveals several key factors affecting its financial health. Get access to over 30 additional financial metrics and insights with InvestingPro's comprehensive research report.

The latest contract focuses on aftermarket services for the E-2D Advanced Hawkeye, a critical aircraft for the U.S. Navy's Carrier Battle Groups, performing threat identification and airspace management. According to Air Industries Group CEO Lou Melluzzo, the E-2D continues to be a cornerstone of their business, with expectations to support the aircraft well into the 2040s.

Melluzzo also noted that the company's business development initiatives launched in 2023 are showing positive results, with new business bookings in 2024 surpassing billings. December 2024 alone saw the announcement of three contracts totaling over $45 million, reinforcing the company's confidence in its future prospects.

Air Industries Group, known for producing high-quality components such as landing gears, flight controls, and engine mounts, serves as a key supplier to major aerospace and defense contractors. The company's expertise lies in manufacturing parts essential for mission-critical operations, ensuring the safety of military personnel and civilians.

While the press release includes forward-looking statements regarding market trends, future revenues, and potential acquisitions, these are subject to risks and uncertainties that could cause actual results to differ materially. The company also uses non-GAAP financial measures like Adjusted EBITDA (currently at $3.23 million) to evaluate its profitability, excluding certain non-cash and nonrecurring items. For a deeper understanding of AIRI's financial position and growth potential, InvestingPro subscribers can access detailed valuation metrics, financial health scores, and expert analysis in our comprehensive Pro Research Report.

This announcement is based on a press release statement from Air Industries Group, which provides insights into the company's recent contract wins and its strategic focus on aftermarket services as part of its growth trajectory.

In other recent news, Air Industries Group, a prominent aerospace and defense component manufacturer, has secured a $4 million contract to produce arresting gear components for the F-35 Lightning II fighter aircraft. The production of these components is set to commence in 2025. In the company's recent earnings report, it noted a modest increase in net sales and a significant reduction in net loss year-over-year. The company's backlog has grown by 4%, now exceeding $104 million, indicating potential for future revenue.

Furthermore, Air Industries Group reported a surge in gross profit of 58%, resulting in a gross margin of 15.5%, and an improvement in operating income from a loss to a gain of $67,000. The company reaffirmed its fiscal 2024 guidance, expecting at least $50 million in net sales and improved adjusted EBITDA. Among other recent developments, Air Industries Group secured a significant agreement to service NATO countries and is exploring new markets, including commercial aviation and eVTOL vehicles.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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