Ducommun Reports $786.6 Million Revenue and $31.5 Million Net Income for Fiscal Year 2024

Ducommun Incorporated reported a net revenue of $786.6 million for the fiscal year ending December 31, 2024, marking a 3.9% increase from $756.9 million in 2023. The company achieved a net income of $31.5 million, or $2.10 per diluted share, compared to $15.9 million, or $1.14 per diluted share, in the previous year. The increase in profitability was attributed to a higher gross profit margin of 25.1%, up from 21.6% in 2023, driven by a favorable product mix and strategic pricing actions. Adjusted EBITDA also rose to $116.6 million, representing 14.8% of net revenues, compared to $101.5 million, or 13.4% of net revenues, in 2023.

The company experienced significant changes in its revenue streams, particularly in the commercial aerospace sector, which saw an increase of $23.8 million due to growth in Airbus and business jet platforms. Conversely, revenues from the industrial end-use markets decreased by $10.4 million as Ducommun focused on pruning non-core business segments. The military and space end-use markets contributed $16.1 million in additional revenue, reflecting higher rates on selected platforms.

Strategically, Ducommun completed the acquisition of BLR Aerospace in April 2023 for $115 million, enhancing its capabilities in aerodynamic systems for both commercial and military aircraft. This acquisition aligns with the company's growth strategy to diversify its product offerings and expand its customer base. The company also reported a backlog of $1.06 billion as of December 31, 2024, an increase from $993.6 million in the previous year, primarily driven by military and space contracts.

Operationally, Ducommun's workforce consisted of 2,180 employees as of year-end 2024, with 268 employees under a collective bargaining agreement expiring in April 2025. The company emphasized its commitment to employee safety and well-being, investing in infrastructure to improve safety protocols. Looking ahead, Ducommun anticipates capital expenditures of $23 million to $25 million in 2025, primarily to support growth in existing programs and new contract awards. The company remains focused on leveraging its capabilities to navigate the cyclical nature of the aerospace and defense markets while addressing potential risks associated with government spending and supply chain disruptions.