Ducommun (DUM) Q3 2026 Earnings Report

The call was strongly positive overall. Record revenue, bookings, backlog, gross margin, adjusted EBITDA margin, cash generation, commercial aerospace growth, defense program momentum, and progress toward Vision 2027 and Vision 2032 significantly outweighed the temporary defense revenue decline, modest adjusted margin and EPS pressure, and timing-related uncertainties around framework orders.

Ducommun refined its 2026 revenue guidance to a range of $885 million to $890 million, which is “A mid to single high digit revenue growth” for the full year, and expects continued growth especially in commercial aerospace in the fourth quarter; Vision 2032 targets include engineered products at least 40% of revenue, total revenue in the range of $1.6 billion to $1.7 billion, and adjusted EBITDA margins to 23% of revenue, while the Vision 2027 adjusted EBITDA goal is 18% in 2027. Orders under the 7 year missile framework agreements are expected to start converting into purchase orders starting late Q1 and Q2 of next year, with production on PAC-3, AMRAAM, Standard Missile 3, Standard Missile 6, and Tomahawk expected to grow several fold; Boeing is working to stabilize at 47 MAXes a month on the way to 52 in the second half of next year, and commercial aerospace growth is expected to be good, “Maybe not 20%-plus,” with significant double digit price increases for Airbus products starting in January.