Applied Aerospace & Defense Reports Record $1.3 Billion Backlog Amid Supply Chain Delays
Applied Aerospace & Defense (AADX) reported a record contracted backlog of nearly $1.3 billion during its third-quarter 2026 earnings call. While the company faces near-term headwinds, including supply chain bottlenecks in specialty forgings and technical approval delays that have pushed approximately $20 million in rotorcraft revenue into 2027, management maintains a positive long-term outlook driven by surging demand in space launch and precision strike programs. The company is aggressively expanding its manufacturing capabilities to meet rising demand. Specifically, the Long Beach facility is projected to quadruple its satellite propellant tank capacity from 200 units at the end of 2026 to approximately 400 units by 2028. Although facility investments and workforce training are expected to weigh on gross margins in the short term, the record backlog provides significant revenue visibility through 2027.
Tickers: $AADX
Topics: aerospace and defense backlog growth earnings report revenue guidance supply chain constraints