Core Insights - Elbit Systems reported quarterly earnings of $3.35 per share, exceeding the Zacks Consensus Estimate of $2.75 per share, and showing an increase from $2.21 per share a year ago, resulting in an earnings surprise of +21.82% [1] - The company posted revenues of $1.92 billion for the quarter ended September 2025, which was 3.66% below the Zacks Consensus Estimate, but an increase from $1.72 billion year-over-year [2] - Elbit shares have appreciated approximately 95% since the beginning of the year, significantly outperforming the S&P 500's gain of 13.4% [3] Earnings Outlook - The future performance of Elbit's stock will largely depend on management's commentary during the earnings call and the company's earnings outlook [4] - The current consensus EPS estimate for the upcoming quarter is $3.02 on revenues of $2.08 billion, and for the current fiscal year, it is $11.83 on revenues of $7.95 billion [7] Industry Context - The Aerospace - Defense Equipment industry, to which Elbit belongs, is currently ranked in the bottom 44% of over 250 Zacks industries, indicating potential challenges ahead [8] - Moog, another company in the same industry, is expected to report quarterly earnings of $2.24 per share, reflecting a year-over-year change of +3.7%, with revenues projected at $964.02 million, up 5.1% from the previous year [9]

Omni Lite Industries Canada Conference Call Summary Company Overview - **Company Name**: Omni Lite Industries Canada Inc. - **Market Capitalization**: $20 million USD - **Shares Outstanding**: 15 million - **Annual Revenue Rate**: Approximately $15 million - **Stock Symbols**: OML on TSXV and OLNCF on OTC - **Core Business**: Manufacturer of precision aerospace and defense components, consolidator of aerospace and defense technologies [2][3] Key Developments - **Acquisitions**: - Acquired Monsite Corp in 2018, expanding into defense electronics [2] - Acquired DPCast in 2022, adding investment casting technology [3] - Acquired ECOMP in 2025, a distribution channel for specialized defense electronics [3] - **Technological Milestones**: - Qualified complete fastener system components for Boeing and Airbus in 2024 [3] - Developed a gallium nitride (GaN) switch driver with applications in air defense [3] Investment Thesis - **Three Pillars**: 1. Positioning in a robust aerospace and defense industry [3] 2. Leverageable platform for operational efficiency [3] 3. Scalable platform through acquisitions [3] Market Dynamics - **Commercial Air Transport**: - Rebounded beyond pre-COVID levels, indicating strong demand for air travel [4] - Despite challenges like the 737 Max crashes and COVID-19, the outlook remains positive [5] - **Defense Market**: - Growth potential exists in well-funded niches aligned with security and threat deterrence [5] - The manufacturing landscape is dominated by large manufacturers facing skilled labor shortages [6] Business Model - Focus on qualifying products for long-term programs, leading to recurring revenue streams [7][8] - Approximately 70% of revenue from aerospace and defense, with a balanced mix between commercial aerospace and defense [10][11] - Targeting precision components with limited competition to ensure higher margins [9] Acquisition Strategy - Targeting companies with $2 million to $10 million in revenue and $1 million to $5 million in EBITDA [12] - Ideal targets are those with strong reputations but lacking in business systems for profitability [13] - Aiming for a 25% EBITDA target and a 15% return on invested capital (ROIC) for acquisitions [13] Growth Projections - Targeting to double revenue every three to four years [14] - Anticipated growth from recent bookings, including a $5.5 million booking in Q1 [19] - New product wins expected to translate into significant revenue within 12 to 18 months [21] Challenges and Lessons Learned - The DPCast acquisition highlighted the risks of long-term pricing agreements that limit pricing flexibility [22][23] - Ongoing efforts to improve profitability and operational efficiency post-acquisition [24] Geographic and Market Considerations - The company is geographically diversified, with operations strategically located near customers [25] - Tariffs have a minimal impact on operations, manageable through commodity coding [26] Conclusion - Omni Lite Industries is well-positioned in the aerospace and defense sectors, with a clear strategy for growth through acquisitions and operational efficiencies. The company is focused on niche markets with high margins and is actively pursuing new opportunities to enhance its revenue streams.

Core Insights - Teledyne Technologies has raised its profit forecast for 2025, indicating confidence in ongoing demand for its defense electronics and military drones [1] Company Summary - The company is focusing on the defense sector, particularly in electronics and drone technology, which are expected to drive revenue growth [1] Industry Summary - The defense electronics and military drone markets are projected to experience sustained demand, contributing to the positive outlook for companies like Teledyne Technologies [1]

Core Insights - Kratos (KTOS) reported quarterly earnings of $0.11 per share, exceeding the Zacks Consensus Estimate of $0.09 per share, but down from $0.14 per share a year ago, representing an earnings surprise of +22.22% [1] - The company achieved revenues of $351.5 million for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 14.58% and up from $300.1 million year-over-year [2] - Kratos shares have increased approximately 123.4% year-to-date, significantly outperforming the S&P 500's gain of 7.9% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.12 on revenues of $327.1 million, and for the current fiscal year, it is $0.49 on revenues of $1.29 billion [7] - The estimate revisions trend for Kratos was mixed prior to the earnings release, resulting in a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market [6] Industry Context - The Aerospace - Defense Equipment industry, to which Kratos belongs, is currently ranked in the top 41% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [8] - Elbit Systems (ESLT), another company in the same industry, is expected to report quarterly earnings of $2.57 per share, reflecting a year-over-year increase of +23.6%, with revenues anticipated to be $1.89 billion, up 16.2% from the previous year [9][10]

2 INVESTOR PRESENTATION | JUNE 2025 1 3 6 NN Markets(b) Sales by Geography(b) 5 7 8 9 10 (a) | Moody's | Baa2 | | --- | --- | | S&P | BBB | | Fitch | BBB | 12 Defense Electronics Surveillance Systems Unmanned Air and Land Vehicles Commercial Aircraft Avionics Bio-MEMS Endoscopy Sensors Ophthalmology Radiotherapy X-Ray Detection Space-based Imaging Radiation-hardened Electronics Satellite Communication Subsystems Semiconductor Development Environmental Testing Network Analyzers Laboratory Instruments Offshor ...