Core Insights - Firan Technology Group (FTG) reported a record year in fiscal 2025, with significant increases in revenue, EBITDA, and earnings, driven by both organic growth and acquisitions, particularly the FLYHT acquisition [8][6][4] Financial Performance - Revenue rose to CAD 191 million, an 18% increase from 2024, with adjusted EBITDA at CAD 32.7 million, up 27% from CAD 25.8 million, and adjusted net earnings at CAD 13.5 million, up 31% from the prior year [6] - Gross margin improved to CAD 60.6 million, or 31.7% of sales, compared to 27.3% in 2024, attributed to scale benefits, operational improvements, and favorable foreign exchange [5] - Bookings reached CAD 209.9 million, up 14% from 2024, with a backlog of CAD 148.5 million, up 21% year over year [7] Segment Performance - The Circuits segment saw a 6% year-over-year sales increase, primarily organic, with strong growth in the joint venture in China [2] - The Aerospace segment experienced a 43% year-over-year sales increase, with approximately 90% attributed to the FLYHT acquisition, and significant ramp-ups in C919 shipments and assemblies for Boeing and Airbus [3] Customer and Geographic Insights - Customer concentration improved, with the top five customers accounting for 51.7% of total revenue in 2025, down from 58.4% in 2024 [1] - Sales to U.S.-based customers decreased to 69.9% in 2025 from 78.3% in 2024, while sales outside the U.S. grew significantly, with 46% in Asia, 140% in Europe, and 35% in Canada [9] Acquisition and Integration - The integration of the FLYHT acquisition is progressing, with supplemental type certificates obtained for various aircraft models, and the transition to in-house production is underway [11] - FTG Aerospace Calgary was renamed following a legal amalgamation, with plans to seek a pre-ruling from the Canada Revenue Agency regarding tax losses [12] Future Outlook - FTG entered fiscal 2026 with a record backlog, with approximately 80% expected to convert to revenue in 2026, and strong new business activity in aerospace and defense [14] - The company plans to open an aerospace facility in Hyderabad, India, in 2026, with a total investment of about CAD 2 million [16] - FTG is also looking to increase activity with Airbus and expand its footprint in Europe, driven by rising NATO defense spending and reduced tariff risks [15]