electrodynamic technologies, and thermal and sealing solutions.Headquartered in Maumee, Ohio, USA, Dana reported sales of $7.5 billion in 2025. With a history dating to 1904, the company employs 27,000 people in 24 countries across six continents. Learn more at dana.com.DANA INCORPORATEDReconciliation of Net Cash Provided By Operating Activities toAdjusted Free Cash Flow (Unaudited)Three Months Ended(In millions)December 31,20252024Net cash provided by operating activities$ 406$ 302Purchases of property, pl ...

Company Overview - Karman Holdings operates as a specialized provider of mission-critical systems and hardware for the aerospace and defense sector, focusing on high-performance solutions for applications in space, missile defense, and hypersonics [6] - The company reported a market capitalization of $9.1 billion and revenue of $428.2 million for the trailing twelve months (TTM), with a net income of $11.3 million [4] - Karman's latest quarter showed record revenue of $121.8 million, reflecting a 42% year-over-year increase, alongside adjusted EBITDA of $37.7 million and a 31% margin [10] Financial Position - StepStone Group acquired 292,428 shares of Karman Holdings, valued at approximately $21.11 million, making it the fund's second-largest disclosed U.S. equity holding [2][3] - This new position represents 9.9% of StepStone's 13F reportable assets under management [3] - Karman shares were priced at $68.44, more than tripling from the February IPO price of $22 per share [3] Business Strategy and Market Position - Karman generates revenue primarily through the sale of specialized aerospace and defense hardware, including payload protection systems and propulsion solutions, serving government agencies and defense contractors [8] - The company's funded backlog reached a record $758.2 million, up 31% since year-end, providing multi-year revenue coverage across missile defense, hypersonics, and space launch programs [10] - Karman's competitive edge lies in its integrated capabilities in design, manufacturing, and testing, which support advanced aerospace and defense initiatives [6] Investment Perspective - StepStone's investment in Karman highlights a strategy to gain exposure to defense and space spending, focusing on fundamentals rather than short-term market fluctuations [9] - Karman's demand is closely tied to government and defense budgets, making its earnings less sensitive to economic swings but reliant on execution and sustained federal spending [11] - Future returns for Karman will depend on backlog conversion and margin discipline rather than multiple expansion alone [11]