Overview
Avionic solutions provider's fiscal Q1 revenue rose 36.5%, beating analyst expectations
Adjusted EPS for fiscal Q1 beat analyst expectations
Company completed integration of F-16 component production into Exton facility
Outlook
Company expects improved manufacturing efficiencies from F-16 production integration
Innovative Solutions & Support maintains long-term revenue target of $250 mln
Company anticipates ramp in defense-related revenue in fiscal 2026
Result Drivers
COMMERCIAL AVIATION DEMAND - Revenue growth driven by increased demand in commercial aviation aftermarket and services
F-16 PRODUCTION INTEGRATION - Integration of F-16 component production into Exton facility completed, expected to improve efficiencies
CASH FLOW IMPROVEMENT - Significant increase in free cash flow due to capital-light business model and disciplined financial management
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q1 Sales | Beat | $21.80 mln | $18.55 mln (5 Analysts) |
Q1 Adjusted EPS | Beat | $0.25 | $0.10 (3 Analysts) |
Q1 EPS | $0.22 | ||
Q1 Net Income | $4.10 mln | ||
Q1 Gross Profit | $11.90 mln | ||
Q1 Orders | $19 mln |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the aerospace & defense peer group is "buy"
Wall Street's median 12-month price target for Innovative Solutions and Support Inc is $24.00, about 26.4% above its February 11 closing price of $18.98
The stock recently traded at 27 times the next 12-month earnings vs. a P/E of 13 three months ago
Press Release: ID:nBw99hNPFa
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)