Astronics Corporation has reported financial results for the fourth quarter of 2024. Fourth quarter sales increased 6.8% to US$208.5 million, while sales for the full year of 2024 were up 15.4% to US$795.4 million. Growth in sales were driven by the Aerospace segment due to continued strength in demand primarily from the Commercial Transport market. Consolidated net loss for the fourth quarter was US$2.8 million, compared with net income of US$7.0 million in the prior-year period. Adjusted net income increased US$10.3 million to US$16.8 million. Adjusted EBITDA increased 27% to US$31.5 million and was 15.1% of consolidated sales, primarily as a result of increased profitability from higher sales.
Aerospace segment sales of US$188.5 million increased by US$19.8 million, or 11.7% in the fourth quarter. Growth was driven by a 13.5% rise, or US$16.7 million, in Commercial Transport sales, primarily due to increased demand for cabin power and inflight entertainment & connectivity (IFEC) products within the Electrical Power & Motion and Avionics product groups. This was partially offset by lower sales of commercial lighting and safety products due to the Boeing strike.
Military Aircraft sales rose by US$7.2 million, or 41.6%, to US$24.5 million, driven by higher demand for Lighting & Safety products and progress on the FLRAA programme. General Aviation sales decreased by US$2.5 million, or 12.3%, to US$17.7 million.
Aerospace segment operating profit reached US$16.8 million, or 8.9% of sales, despite a US$4.8 million adjustment in legal reserves related to the previously discussed UK judgement, US$3.0 million in litigation-related legal expenses, US$1.7 million in warranty expenses linked to field modifications, and a non-cash reserve of US$1.0 million associated with a customer bankruptcy. Adjusted Aerospace operating profit stood at US$30.2 million, or 16.0% of sales, reflecting gains from higher volume and improved production efficiencies.
Aerospace bookings were US$182.5 million, with a book-to-bill ratio of 0.97:1. The Aerospace segment's backlog stood at US$537.6 million at the end of 2024.
“Our Aerospace business continues to accelerate nicely, with consistent double-digit growth in revenue. Operating margin expansion validates the strong operating leverage of the business while 16.0% adjusted operating profit margin demonstrates solid progress towards our mid-teens target level. Demand remains strong with total bookings for the year of US$733 million for a book-to-bill of 1.04, supporting our expectation of continued growth in 2025,” said Peter J. Gundermann, Chairman, President and Chief Executive Officer.
