Financial Data and Key Metrics Changes - In Q1, the company reported sales of $15.4 million, with a gross profit of $4.718 million and a gross margin of 3.6%, which is below the desired level of over 30% [10][11] - Adjusted EBITDA was just under $3 million, resulting in an EBITDA margin of 19.2% [11] - The sales estimate for Q1 was set between $15 million and $16 million, with actual results landing in the middle of that range [12] Business Line Data and Key Metrics Changes - Sales of C2B fabric were $1.1 million in Q1, significantly lower than the $4.4 million reported in the previous quarter, which had negatively impacted margins [15] - The company experienced a more balanced production-to-sales ratio in Q1, which positively influenced margins [16] Market Data and Key Metrics Changes - Total shipments in Q1 were 275,000, slightly up from Q4, primarily due to international shipment issues [21] - The impact of tariffs on Q1 was minimal, with costs being less than a few thousand dollars [21] Company Strategy and Development Direction - The company is focusing on expanding its manufacturing capacity to meet increasing demand, particularly in defense and missile programs [81][83] - A new agreement with Aireon to increase C2B fabric manufacturing capacity was highlighted as a strategic move to support growing orders [72] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the growth potential in defense programs, particularly in light of recent geopolitical events [59][61] - The company is preparing for significant increases in production capacity to meet urgent needs for missile defense systems [72][73] Other Important Information - The company has zero long-term debt and reported $65.6 million in cash and marketable securities at the end of Q1, down from $68.8 million at the end of Q4 [53][54] - A share buyback of $2.165 million was executed in Q1, with no purchases anticipated in Q2 [52] Q&A Session Summary Question: Is there anything different about the new LTA with GE Aerospace compared to previous ones? - The new LTA is negotiated with GE Aerospace and involves different engine programs and materials compared to the previous LTA with MRAS [98][99] Question: When will the company feel comfortable providing long-term forecast details? - The company is conducting internal reviews and expects to provide more information by the end of the calendar year when they have more confidence in their plans [101][103]

Financial Data and Key Metrics Changes - Sales for Q4 FY '25 were $60 million, exceeding the previous estimate of $15.5 million to $16.3 million [8][9] - Gross margin was reported at 29.3%, which is considered acceptable despite the challenges faced [8][10] - Adjusted EBITDA for Q4 was within the estimated range of $3.3 million to $3.9 million [10] Business Line Data and Key Metrics Changes - C2B fabric sales accounted for $4.4 million in Q4, which was $500,000 more than predicted [18] - The company produced $420,000 worth of materials using C2B fabric in Q4, contributing significantly to the bottom line [20] Market Data and Key Metrics Changes - The company is focusing on niche military aerospace programs, including radomes and rocket nozzles, which are expected to yield attractive margins [31] - The A320neo family has a backlog of 7,256 aircraft, indicating strong demand despite supply chain issues [38] Company Strategy and Development Direction - The company is ramping up a new manufacturing facility to support increased demand in defense and missile programs, with a capital budget estimated at $35 million [86][92] - There is a strategic emphasis on defense markets due to a lack of new commercial aircraft opportunities [75] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future, citing strong production performance in Q4 and a recovery from previous shortfalls [16][17] - The company is preparing for potential impacts from tariffs but has not yet seen significant effects on operations [70][72] Other Important Information - The company has entered into a new agreement to advance €4.58 million to Aireon for new manufacturing equipment, which will enhance C2B fabric production capacity [59] - A new certification for lightning strike protection material on the PAS 420 engine is expected to generate $500,000 annually starting later this year [60] Q&A Session Summary Question: Will the C2B fabric manufacturing equipment funded by Park be located at Aireon's facility or Park's facility? - The equipment will be located at Aireon's facility, and Aireon will own and operate it [77] Question: Does the Park MRAS LTA provide for any further price increases through '29? - No, except for price increases related to certain raw material costs [78] Question: What is the status of the hypersonic missile program trials? - Trials are progressing well, with materials being built and tested [64]

Financial Data and Key Metrics Changes - Sales for Q4 FY 2025 were $60 million, exceeding the estimated range of $15.5 million to $16.3 million [8][10] - Gross margin was reported at 29.3%, which was higher than expected given the circumstances [8][10] - Adjusted EBITDA for Q4 was within the estimated range of $3.3 million to $3.9 million [10] Business Line Data and Key Metrics Changes - C2B fabric sales accounted for $4.4 million in Q4, which was $500,000 more than predicted [18] - Total sales of C2B fabric for the entire fiscal year 2025 reached $7.5 million [19] - Production exceeded sales in Q4, allowing for a significant positive impact on EBITDA and inventory levels [16][17] Market Data and Key Metrics Changes - The company highlighted its position in niche military aerospace programs, including radomes and hypersonic materials, which are expected to drive future growth [32][76] - The A320neo family backlog remains strong with over 7,256 aircraft orders, although supply chain issues are affecting delivery rates [39] Company Strategy and Development Direction - The company is focusing on expanding its manufacturing capabilities to meet increasing demand, particularly in defense and missile programs [87][89] - A major new expansion of manufacturing facilities is planned, with an estimated capital budget of $35 million [86][94] - The company is also exploring joint ventures in Asia to enhance its manufacturing capabilities [67] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future, citing strong demand in military defense markets and the successful ramp-up of production capabilities [76][87] - The company is committed to maintaining high standards of quality, aiming for a perfect score in supply chain performance [69] - Management acknowledged the challenges posed by supply chain issues but indicated that they have been able to mitigate tariff impacts effectively [72][74] Other Important Information - The company has entered into a new agreement to advance €4.58 million to Aireon for new manufacturing equipment, which will enhance C2B fabric production capacity [59] - The company has a strong history of cash dividends, having paid over $600 million in the last twenty years [83] Q&A Session Summary Question: Will the C2B fabric manufacturing equipment funded by Park be located at Aireon's facility or Park's facility? - The equipment will be located at Aireon's facility, and Aireon will own and operate it [78] Question: Does the Park MRAS LTA provide for any further price increases through 2029? - No, except for price increases related to increases in the cost of certain raw materials [79] Question: What is the status of the hypersonic missile program trials? - Trials are progressing well, with materials being built and tested, and updates expected in about six months [63][65]