Group 1 - TTM Technologies, Inc. (TTMI) has a market capitalization of approximately $7 billion and is recognized as the largest printed circuit board manufacturer [1] - The investment group Beyond the Wall Investing offers a fundamentals-based portfolio and provides insights from institutional investors, along with technical trade alerts [1] - Oakoff Investments, a personal portfolio manager, emphasizes finding a balance between growth and value through proprietary Wall Street information [1]

Core Viewpoint - TTM Technologies (TTMI) has been upgraded to a Zacks Rank 1 (Strong Buy), indicating a positive outlook on its earnings estimates, which is a significant factor influencing stock prices [1][2]. Earnings Estimates and Stock Price Movement - The Zacks rating system is based on the consensus measure of EPS estimates from sell-side analysts, reflecting the changing earnings picture that impacts stock prices [1][2]. - A strong correlation exists between earnings estimate revisions and near-term stock movements, with institutional investors using these estimates to determine fair value [3]. Business Improvement Indicators - The upgrade in TTM's rating signifies an improvement in the company's underlying business, which is expected to drive the stock price higher as investors recognize this trend [4]. Importance of Earnings Estimate Revisions - Tracking earnings estimate revisions is crucial for investment decisions, and the Zacks Rank system effectively utilizes this data to classify stocks [5][6]. - The Zacks Rank system has a proven track record, with Zacks Rank 1 stocks averaging an annual return of +25% since 1988 [6]. Specifics on TTM's Earnings Estimates - For the fiscal year ending December 2025, TTM is projected to earn $2.44 per share, unchanged from the previous year, but the Zacks Consensus Estimate has increased by 5.6% over the past three months [7]. Zacks Rating System Overview - The Zacks rating system maintains a balanced distribution of "buy" and "sell" ratings across its universe of over 4,000 stocks, with only the top 5% receiving a "Strong Buy" rating [8][9]. - TTM's upgrade to Zacks Rank 1 places it in the top 5% of stocks based on estimate revisions, suggesting potential for higher stock movement in the near term [9].

Core Viewpoint - Growth stocks are appealing due to their potential for above-average financial growth, but identifying strong candidates involves navigating inherent risks and volatility [1] Group 1: Company Overview - TTM Technologies (TTMI) is currently highlighted as a promising growth stock, supported by a favorable Growth Score and a top Zacks Rank [2] - The company has a historical EPS growth rate of 14.5%, with projected EPS growth of 37.2% this year, significantly surpassing the industry average of 21.2% [4] Group 2: Financial Metrics - TTM's asset utilization ratio stands at 0.78, indicating that the company generates $0.78 in sales for every dollar in assets, which is higher than the industry average of 0.74 [5] - The company's sales are expected to grow by 18.1% this year, compared to an industry average of 0% [6] Group 3: Earnings Estimates - There has been a positive trend in earnings estimate revisions for TTM, with the Zacks Consensus Estimate for the current year increasing by 1.5% over the past month [8] - TTM has achieved a Growth Score of B and a Zacks Rank 2, indicating its potential as a strong choice for growth investors [10]

Financial Performance - Net sales increased by $136.2 million, or 22.1%, to $752.7 million for the quarter ended September 29, 2025, driven by strong demand in aerospace and defense, data center computing, and networking markets [83]. - Gross profit for the quarter increased by $26.8 million to $156.7 million, with a gross margin rate of 20.8%, slightly down from 21.1% in the previous year [85]. - Operating income rose by $20.9 million to $71.9 million for the quarter, with an operating margin rate of 9.6%, up from 8.3% in the prior year [89]. - Total net sales for the three quarters ended September 29, 2025, increased by $340.2 million, or 19.0%, to $2,132.0 million compared to the same period in the previous year [84]. - Total segment sales increased by $137.5 million, or 22.2%, to $756.2 million for the quarter ended September 29, 2025, from $618.7 million for the same quarter in 2024 [99]. - A&D segment sales increased by $57.3 million, or 20.5%, to $336.8 million for the quarter ended September 29, 2025, driven by improved defense spending and strong demand in missiles and munitions [101]. - Commercial segment sales increased by $79.5 million, or 24.1%, to $408.9 million for the quarter ended September 29, 2025, primarily due to strong demand in data center computing driven by generative AI [105]. - RF&S Components segment sales increased by $0.7 million, or 6.8%, to $10.4 million for the quarter ended September 29, 2025, supported by stronger demand across various end markets [109]. - Total operating income increased by $20.9 million to $71.9 million for the quarter ended September 29, 2025, compared to $51.0 million for the same quarter in 2024 [99]. - A&D segment operating income increased by $12.6 million to $52.9 million for the quarter ended September 29, 2025, with an operating margin rate of 15.7% [103]. - Commercial segment operating income increased by $8.9 million to $60.0 million for the quarter ended September 29, 2025, with a margin rate of 14.7% [107]. Tax and Expenses - Total other expense, net decreased by $15.9 million to $10.1 million for the quarter, primarily due to lower unrealized foreign exchange losses [91]. - Income tax expense decreased by $1.9 million to $8.8 million for the quarter, influenced by tax impacts and deductions related to stock-based compensation [93]. - Income tax expense increased by $3.1 million to $21.6 million for the three quarters ended September 29, 2025, compared to $18.5 million for the same period in 2024 [94]. Cash Flow and Capital Expenditures - Cash flow from operating activities was $229.0 million for the first three quarters of 2025, up from $150.8 million in the same period in 2024, primarily due to a $75.6 million increase in net income [115]. - As of September 29, 2025, the company had cash and cash equivalents of approximately $491.1 million, with $199.4 million of available borrowing capacity under revolving credit facilities [118]. - Total capital expenditures for 2025 are expected to be between $265.0 million and $285.0 million, with approximately $54.0 million allocated for the construction of a new plant in Syracuse, New York [119]. - Cash generated from operations and available cash are expected to meet anticipated capital expenditures, debt service, and working capital needs for the next 12 months [123]. Debt and Compliance - As of September 29, 2025, the company had $916.6 million in outstanding debt, including $497.2 million in Senior Notes due 2029 and $337.4 million under the Term Loan Facility [121]. - The company was in compliance with all covenants under the Senior Notes, Term Loan Facility, and ABL Revolving Loans as of September 29, 2025 [122]. - Liabilities associated with supplier finance program obligations amounted to $12.2 million as of September 29, 2025, down from $17.2 million as of December 30, 2024 [124]. - There were no material changes to contractual obligations and commitments since December 30, 2024, impacting liquidity and capital resource needs [125]. Market and Operational Insights - The company announced the acquisition of a 750,000-square-foot facility in Eau Claire, Wisconsin, to enhance advanced technology PCB manufacturing capabilities [74]. - A new advanced technology PCB manufacturing facility is under construction in Syracuse, New York, with volume production expected to commence in the second half of 2026 [75]. - Sales to the ten largest customers accounted for 56% of net sales for the quarter ended September 29, 2025, compared to 54% in the same quarter of the previous year [77]. - The percentage of net sales by end markets for the quarter included 45% aerospace and defense, 23% data center computing, and 14% medical/industrial/instrumentation [78]. - The company experiences seasonal softness in the first and third quarters due to holidays and vacation periods, leading to stronger revenue in the second and fourth quarters [126]. - There have been no material changes to market risks as previously disclosed in the Annual Report for the fiscal year ended December 30, 2024 [128]. Stock Repurchase Program - The 2025 Repurchase Program allows for the repurchase of up to $100.0 million in common stock, with no shares repurchased in the quarter ended September 29, 2025; approximately 0.7 million shares were repurchased for $17.9 million in the previous program [120].

Core Insights - TTM Technologies, Inc. announced that two team members received prestigious awards from the Global Electronics Association for their contributions to the electronics manufacturing sector [1][2]. Group 1: Awards and Recognition - Meising Ho, Vice President of Commercial Technology, received the IPC ASSC Outstanding Service Award [2]. - Richard Xie, Vice President of Human Resources, Asia Pacific, was awarded the IPC AESC Outstanding Service Award [2]. - These awards recognize significant contributions to advancing industry standards and education in the electronics manufacturing sector across Asia [2]. Group 2: Company Commitment - Doug Soder, Executive Vice President and President of the Commercial Sector, expressed pride in the honorees, highlighting their dedication as a reflection of TTM's commitment to leadership and excellence in the electronics industry [3]. - The recognition of these individuals underscores TTM's ongoing commitment to shaping the future of the electronics industry [3]. Group 3: Event Information - The IPC CEMAC is an annual gathering of electronic industry professionals for knowledge-sharing and discussions on industry trends [3].

Group 1 - The article does not provide any specific content related to a company or industry [1]

Core Viewpoint - TTM Technologies (TTMI) reported quarterly earnings of $0.67 per share, exceeding the Zacks Consensus Estimate of $0.61 per share, and showing a significant increase from $0.41 per share a year ago, indicating strong performance in the printed circuit board sector [1][2]. Financial Performance - The company achieved revenues of $752.74 million for the quarter ended September 2025, surpassing the Zacks Consensus Estimate by 5.63% and reflecting a year-over-year increase from $616.54 million [2]. - TTM has consistently outperformed consensus EPS estimates over the last four quarters, with an earnings surprise of +9.84% in the latest report and +11.54% in the previous quarter [1][2]. Stock Performance - TTM shares have increased approximately 139.2% since the beginning of the year, significantly outperforming the S&P 500's gain of 17.2% [3]. - The stock currently holds a Zacks Rank 2 (Buy), indicating expectations for continued outperformance in the near future [6]. Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.63, with projected revenues of $726.44 million, and for the current fiscal year, the estimates are $2.32 EPS on $2.82 billion in revenues [7]. - The trend of estimate revisions for TTM has been favorable leading up to the earnings release, suggesting positive sentiment among analysts [6]. Industry Context - TTM operates within the Zacks Electronics - Miscellaneous Components industry, which is currently ranked in the top 13% of over 250 Zacks industries, indicating a strong industry outlook [8]. - The performance of TTM's stock may also be influenced by the overall industry trends, as research indicates that the top 50% of Zacks-ranked industries outperform the bottom 50% by more than 2 to 1 [8].

Financial Data and Key Metrics Changes - TTM Technologies reported net sales of $752.7 million for Q3 2025, a 22% increase year-on-year from $616.5 million in Q3 2024 [16] - The adjusted EBITDA margin was 16.1%, slightly down from 16.3% in the same quarter last year [9][21] - Non-GAAP EPS reached $0.67, compared to $0.55 in Q3 2024 [20][21] - Cash flows from operations were $141.8 million, or 18.8% of sales, bringing year-to-date cash flow to $229 million, or 10.7% of sales [9][21] Business Line Data and Key Metrics Changes - Aerospace and defense sales accounted for 45% of total sales, with a 20% year-on-year growth to $336.8 million [11][16] - Data center computing represented 23% of sales, growing 44% year-on-year, driven by demand for GenAI applications [12][13] - Medical, industrial, and instrumentation sales grew 22% year-on-year, representing 14% of total sales [13] - Automotive sales declined to 11% of total sales, primarily due to inventory adjustments [14] Market Data and Key Metrics Changes - Approximately 80% of total sales were related to aerospace and defense and AI-driven markets [8] - The book-to-bill ratio was 1.15 for Q3 2025, indicating strong order intake relative to shipments [15] - The 90-day backlog was $610.4 million, up from $534.5 million in Q3 2024 [14] Company Strategy and Development Direction - The company aims to move up the value chain into complex modules and subsystems for high-reliability markets [4][5] - TTM is focused on expanding its manufacturing capabilities in Penang and Syracuse, with plans for a second facility in Penang [10][11] - The strategic review is ongoing, with plans to be presented to the board for approval next month [5] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in continued demand strength across key markets, particularly in aerospace and defense and AI [9][10] - The company does not expect significant short-term impacts from tariffs due to its diversified supplier base [9] - Future sales growth is anticipated, particularly in the aerospace and defense sector, with a solid program backlog [12] Other Important Information - The company is participating in several upcoming conferences to engage with investors [23] - The effective tax rate for Q3 2025 was 15%, compared to 10.6% in the same quarter last year [19] Q&A Session Summary Question: Visibility in the data center market and capacity to meet demand - Management indicated visibility extends six to nine months and capacity is well balanced between North America and Asia [25][26] Question: Margin headwinds in Penang - The impact on margins was about 195 basis points in Q3, expected to be around 160 basis points in Q4 [27][30] Question: PCB manufacturing capacity share globally - TTM is the number one player in the U.S. and ranks about six or seven globally, with a strong position in the data center segment [35][36] Question: Background of the new CEO and future metrics - The new CEO emphasized growth, maintaining healthy gross margins, and strong cash generation as key metrics for the company [40][44]

Financial Performance - Net sales for Q3 2025 were $752.7 million, a 22% increase compared to $616.5 million in Q3 2024[4] - GAAP net income for Q3 2025 was $53.1 million, or $0.50 per diluted share, up from $14.3 million, or $0.14 per diluted share in Q3 2024[4] - Adjusted EBITDA for Q3 2025 was $120.9 million, representing 16.1% of net sales, compared to $100.6 million, or 16.3% of net sales in Q3 2024[5] - Non-GAAP net income for Q3 2025 reached $71.0 million, or $0.67 per diluted share, a quarterly record high, compared to $56.8 million, or $0.55 per diluted share in Q3 2024[5] - Non-GAAP net income for the first three quarters of 2025 was $184.149 million, significantly higher than $126.091 million in the same period of 2024, marking a 46% increase[24] - Non-GAAP earnings per diluted share for Q3 2025 was $0.67, compared to $0.55 in Q3 2024, indicating a 21.8% rise[24] Cash Flow and Efficiency - Cash flow from operations was $141.8 million, or 18.8% of net sales, indicating strong operational efficiency[7] - Free cash flow for Q3 2025 was $42.570 million, compared to $24.231 million in Q3 2024, showing a 76% increase[24] - Operating cash flow for the first three quarters of 2025 was $228.952 million, compared to $150.840 million in the same period of 2024, representing a 51.7% increase[24] Sales and Market Growth - The company reported double-digit year-on-year revenue growth in Medical, Industrial and Instrumentation, and Aerospace and Defense end markets[6] - Aerospace and Defense segment net sales increased to $336.8 million from $279.5 million year-on-year[23] - For Q4 2025, the company estimates net sales to be between $730 million and $770 million, with non-GAAP net income projected to be between $0.64 and $0.70 per diluted share[8] Profitability Metrics - Gross margin for Q3 2025 was 20.8%, slightly down from 21.1% in Q3 2024, while operating margin improved to 9.6% from 8.3%[22] - GAAP gross profit for Q3 2025 was $156.736 million, up from $129.888 million in Q3 2024, representing a 20.6% increase[24] - Non-GAAP gross profit for Q3 2025 reached $162.016 million, compared to $135.734 million in Q3 2024, reflecting a 19.4% growth[24] - Non-GAAP gross margin for Q3 2025 was 21.5%, slightly down from 22.0% in Q3 2024[24] Capital Expenditures - Capital expenditures for Q3 2025 were $99.233 million, significantly higher than $40.859 million in Q3 2024, indicating a 143% increase[24] Adjustments and Revisions - The company has revised prior year results to exclude the impact of unrealized (gain) loss on foreign exchange from non-GAAP net income and adjusted EBITDA[25]

Q3 2025 Quarterly Earnings Results October 29, 2025 Disclaimers Forward-Looking Statements This communication may contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including statements related to the future business outlook, events, and expected performance of TTM Technologies, Inc. ("TTM", "we" or the "Company"). The words "anticipate," "believe," "plan," "forecast," "foresee," "estimate," "project," "expect," "seek," "target," "intend," "goal" ...