Jacob Parsons

Jacob Parsons, on behalf of Jim Ricchiuti, asked about the outlook for the commercial aerospace market in 2026 and the potential for growth within the Connectivity Solutions area. He also inquired about how the book-to-bill ratio varied by market vertical and which areas saw the biggest changes relative to the last quarter.

Answer

Farouq Tuweiq, President and CEO, linked commercial aerospace growth directly to increased build rates from their largest North American OEM customer, which is serviced by both Connectivity and Power A&D. He also noted benefits from MRO cycles due to increased flight activity. Lynn Hutkin, CFO, stated that the full-year book-to-bill ratio was 1.1, strengthening to 1.3 in Q4, with this strength observed across all three product segments.

Jacob Parsons asked about the outlook for the commercial aerospace market in 2026, particularly for the Connectivity Solutions area, and how the book-to-bill ratio varied by market vertical and which areas saw the biggest changes relative to the last quarter.

Answer

Farouq Tuweiq (President and CEO) explained that commercial aerospace revenue growth is directly correlated to increased build rates of their largest North American OEM customer, also noting the MRO (Maintenance, Repair, and Overhaul) element for connectivity. Lynn Hutkin (CFO) stated that the full-year book-to-bill was 1.1, strengthening to 1.3 in Q4, with strength seen across all three product segments, not just one.