View printer-friendly versionHaving established a strong foundation for continued growth, Oswald unveiled VISION 2032, which aims to accelerate innovation and efficiencies in the American aerospace and defense supply chain.
“Ducommun has contributed to some of the most important technologies in aerospace and defense,” said Oswald. "With our strong position in defense, improvement in commercial aerospace, and expanding portfolio of proprietary engineered products, we are well positioned not just to drive substantial shareholder value through 2032, but to reinforce the strengths and resilience of American aerospace and defense.”
Coming out of the Covid pandemic, Ducommun set ambitious business targets for revenue growth and margin expansion in VISION 2027 (announced in
Delivering on VISION 2027 Objectives
At Investor Day, Oswald highlighted significant progress toward its VISION 2027 goals, confirming that the Company remains on track to meet or exceed all three core financial targets set in 2022:
- Revenue: Reaching ~$950M+ by 2027.
- Profitability: Expanding Adjusted EBITDA margins to ~18%.
- Engineered Products Mix: Increasing higher-margin
Engineered Products (EP) to ~25% of total revenue.
These achievements have significant real-world implications: strengthening frontline military technologies and supporting commercial aviation safety as a
Over the last four years, Ducommun’s market capitalization has increased from
Unveiling the VISION 2032 Growth Roadmap
Building on this solid foundation, Ducommun announced its VISION 2032 plan, which sets a combination of ambitious strategic catalysts and long-term financial goals to power the Company’s upward trajectory:
- M&A Strategy: Capitalizing on Equity Valuation Growth and Balance Sheet Strength, Ducommun is increasing its acquisition range by up to 3–5x, pursuing acquisition targets in the
$300M to$500M range while continuing to pursue bolt-on acquisitions as well. - Defense Franchise Expansion: The company projects a mid-teens compound annual growth rate (CAGR) through 2032 for its core missile and radar franchise.
- Commercial Aerospace Rebound: Ducommun is positioned to capture commercial aerospace volume recovery across major narrowbody platforms with minimal required capital expenditure.
- Proprietary
Engineered Products : Continued organic investment in proprietary technologies will reinforce value pricing power and competitive differentiation.
Several analysts in attendance at Investor Day commented positively on Ducommun’s performance and long-term growth strategy. Analysts from Citi stated that Ducommun “surpassed both our and consensus expectations.” RBC highlighted the company’s “impressive set of 2032 targets.” Goldman Sachs, meanwhile, noted: “DCO has unique positions on growth verticals with A&D (missile, aero OE, aftermarket), multiple company-specific margin drivers, and an acquisition platform, all under the umbrella of company transformation . . . we are Buy rated on the stock.”
The full Investor Day presentation is available on Ducommun’s Investor Relations site.
About Ducommun Incorporated
Ducommun Incorporated delivers value-added innovative products, aftermarket and manufacturing solutions to customers in the aerospace, defense and space markets and aspires to contribute to the advancement of those industries. Founded in 1849, the Company specializes in two core areas — Electronic Systems and Structural Systems — to produce complex products and components for commercial aircraft platforms and mission-critical military and space programs. For more information, visit Ducommun.com.
Forward-Looking Statements
This press release includes "forward looking statements" within the meaning of the federal securities laws relating to Ducommun Incorporated, including statements relating to Ducommun’s expectations relating to the Company's VISION 2027 Strategy and its progress towards the financial goals stated therein, including but not limited to those relating to revenues, profitability and our Engineered Products’ mix; our acquisition strategy, the expected compound annual growth rate and expansion of the Company’s defense portfolio, the ability to capture volume through the commercial aerospace recovery, our expected investment in proprietary technologies to reinforce value pricing power and competitive differentiation, expectations relating to expanding production capacity and ability to drive shareholder value, all under our VISION 2032 game plan for investors , and similar expressions that concern Ducommun’s intentions or beliefs about future occurrences, expectations, or results. Forward-looking statements are subject to risks, uncertainties and other factors that may change over time and may cause actual results to differ materially from those that are expected. It is very difficult to predict the effect of known factors, and Ducommun cannot anticipate all factors that could affect actual results that may be important to an investor. All forward-looking information should be evaluated in the context of these risks, uncertainties and other factors, including those factors disclosed under “Risk Factors” in Ducommun’s reports filed with the SEC, including the Company’s Quarterly Reports on Form 10-Q, Annual Reports on Form 10-K, and Current Reports on Form 8-K. The forward-looking statements included in this press release are made only as of the date of this press release, and Ducommun does not undertake any obligation to (and expressly disclaims any such obligation to) update the forward-looking statements to reflect subsequent events or circumstances.
Contacts
Suman Mookerji, Senior Vice President and Chief Financial Officer
657.335.3665, SMookerji@ducommun.com
