ATS Corp.'s shares slumped after the Canadian factory automation systems company reported a pullback in its order backlog.

The shares were down 22% to C$30.50 on Thursday, for a year-to-date drop of 19%.

ATS was squeezed in the latest quarter by the timing on some customer deals, which will influence the mix and volume of revenue growth in fiscal 2027 and temporarily reduce its backlog of orders available for near-term work. Achieving modest organic revenue growth in 2027 will depend on stronger order bookings activity over the balance of this year, it said.

ATS swung to a loss of 300,000 Canadian dollars (US$214,000) in its fiscal first quarter from income of C$24.3 million a year earlier. Revenue fell 5.8% in the three months to June 28 to C$693.7 million.

The company said order bookings for the quarter stood at C$656 million, down from C$693 million in the same period last year. The order backlog at the end of the quarter stood at C$1.89 billion, 8.7% lower than at the end of June.