Core Viewpoint - CTS Corporation has appointed Pratik Trivedi as Chief Operating Officer (COO), effective December 5, 2025, to enhance its growth strategy [1][2]. Company Overview - CTS Corporation (NYSE: CTS) is a prominent designer and manufacturer of products that Sense, Connect, and Move, with operations in North America, Europe, and Asia [2]. - The company produces sensors, actuators, and electronic components, serving markets such as aerospace/defense, industrial, medical, and transportation [2]. Leadership Appointment - Pratik Trivedi, currently Senior Vice President at CTS, has a strong background from previous leadership roles at Eaton Corporation and Cummins Inc. [1]. - Kieran O'Sullivan, Chairman and CEO of CTS, expressed confidence in Trivedi's ability to lead and deliver results, emphasizing the importance of his leadership in executing the company's growth strategy [2].

Financial Data and Key Metrics Changes - Total revenues for Q3 2025 were $14.2 million, a 7.2% increase from $13.2 million in Q3 2024, driven by strong growth in avionics, space, and industrial product shipments [5] - Gross margins for Q3 2025 were 44.3%, down from 47.8% in Q3 2024, primarily due to product mix and higher tariff-related costs [5] - Net income for Q3 2025 was $1.8 million, or $0.63 per diluted share, compared to $2.3 million, or $0.81 per diluted share in Q3 2024, affected by a reversal of a deferred tax asset and lower gross margins [6] - Adjusted EBITDA for Q3 2025 was $3.2 million, slightly down from $3.3 million in the prior year's September quarter [6] - Backlog as of September 30, 2025, was $58.8 million, a 48% increase from $39.8 million on September 30, 2024, and a 24.5% increase from $47.2 million at the end of 2024 [7] Business Line Data and Key Metrics Changes - The company reported continued strength in defense-related orders, with growth also seen in avionics, space, and industrial sectors [4][5] - Specific growth in industrials was noted in test and measurement, oil and gas, and telecom markets, with recent revenues driven by test and measurement [17] Market Data and Key Metrics Changes - The company is experiencing robust demand across aerospace and defense programs, with significant orders from major aircraft manufacturers like Boeing and Airbus [18] - The company is involved in over 40 programs of record, many of which are sole-source programs, indicating a strong market position in defense spending [8] Company Strategy and Development Direction - The company is focusing on moving into more program business, which constitutes the majority of its aerospace and defense revenue [8] - Strategic investments in research and development are being made to enhance engineering capabilities and drive revenue growth [16] - The company is innovating with new products, such as internally compensated oscillators, which are smaller and in high demand [10] Management's Comments on Operating Environment and Future Outlook - Management anticipates continued growth in defense spending, particularly in electronic warfare and radar systems, with expectations to double revenue in these areas next year [8] - The company is adapting to tariff challenges, which are expected to impact gross margins by 1-1.5% of revenue, and is implementing strategies to mitigate these costs [19][20] Other Important Information - The company announced a dividend of warrants that are exercisable through December 11, 2025, with a strike price of $4,750 per share [7] - Upcoming presentations at various investor conferences were mentioned, indicating ongoing engagement with the investment community [11] Q&A Session Summary Question: Specific areas of increased R&D spending - Management is focusing on hiring design engineers to enhance engineering capabilities, which is crucial for driving revenue [16] Question: Main programs in industrials - Key areas include test and measurement, oil and gas, and telecom, with recent growth driven by test and measurement revenues [17] Question: Spending in avionics for Q4 - Orders from major aircraft manufacturers are increasing, with a significant contract for commercial aircraft contributing to growth [18] Question: Strategies to combat tariffs - The company is examining material sourcing and working with customers to enact tariff relief clauses for defense products [19][20] Question: Update on Indiana Microelectronics Partnership - The partnership aims to integrate tunable products and scale production, with potential for large contracts in the future [26][28] Question: Update on Connectivity Partners - No investment has been made by the company yet, but Connectivity Partners is working on building a backlog of opportunities [30]

Core Viewpoint - CTS Corporation has appointed Kimberly Banks MacKay to its Board of Directors, effective November 5, 2025, enhancing its governance and strategic capabilities [1][3]. Group 1: Appointment Details - Kimberly Banks MacKay brings over 30 years of experience in multinational companies and currently serves as SVP, General Counsel, and Corporate Secretary at West Pharmaceutical Services, Inc. [2] - MacKay will be a member of the Nominating, Governance and Sustainability Committee, as well as the Technology and Transactions Committee [1]. Group 2: Company Background - CTS Corporation is a leading designer and manufacturer of products that "Sense, Connect, and Move," with operations in North America, Europe, and Asia [4]. - The company provides engineered products to key markets including aerospace/defense, industrial, medical, and transportation [4]. Group 3: Leadership Perspective - Kieran O'Sullivan, Chairman, President, and CEO of CTS, expressed that MacKay's extensive experience in healthcare and global business leadership will be a valuable addition to the board [3].

Company Participation - CTS Corporation will participate in the 17th Annual Southwest IDEAS Conference on November 20, 2025, at The Westin Las Colinas in Dallas, TX [1] - The presentation by CTS is scheduled to begin at 4:00 PM Central Time [1] Webcast Information - A live webcast of the event can be accessed through a provided link or from the Investors section of the CTS Corporation website [2] - The webcast will be available for replay on the conference website for one year following the presentation [2] Company Overview - CTS Corporation is a leading designer and manufacturer of products that Sense, Connect, and Move [3] - The company manufactures sensors, actuators, and electronic components in North America, Europe, and Asia, serving markets such as aerospace/defense, industrial, medical, and transportation [3]

Company Overview - Littelfuse, Inc. is a global manufacturer of electronic components, modules, and relays serving various industries [1] - The company operates through three reportable segments: Electronics, Transportation, and Industrial [1] - Littelfuse has a market capitalization of approximately $6.2 billion and employs around 16,000 people [1] Analyst Background - The author has a master's degree in Analytics from Northwestern University and a bachelor's degree in Accounting [1] - The author has over 10 years of experience in the investment field, starting as an analyst and advancing to a management role [1] - Dividend investing is a personal interest of the author, who aims to share insights with the Seeking Alpha community [1]

Group 1: Earnings Performance - Wesco International reported quarterly earnings of $3.39 per share, exceeding the Zacks Consensus Estimate of $3.31 per share, and up from $3.21 per share a year ago [1] - The earnings surprise for the quarter was +2.42%, while the previous quarter saw a surprise of -0.9% with actual earnings of $2.21 per share against an expectation of $2.23 [2] - The company achieved revenues of $5.9 billion for the quarter, surpassing the Zacks Consensus Estimate by 1.99%, compared to $5.48 billion in the same quarter last year [3] Group 2: Stock Performance and Outlook - Wesco International's shares have increased approximately 17.6% since the beginning of the year, outperforming the S&P 500's gain of 8.2% [4] - The current consensus EPS estimate for the upcoming quarter is $3.83 on revenues of $5.73 billion, and for the current fiscal year, it is $12.96 on revenues of $22.53 billion [8] - The estimate revisions trend for Wesco International was unfavorable prior to the earnings release, resulting in a Zacks Rank 4 (Sell) for the stock, indicating expected underperformance in the near future [7] Group 3: Industry Context - The Electronics - Parts Distribution industry, to which Wesco International belongs, is currently ranked in the bottom 13% of over 250 Zacks industries, suggesting potential challenges ahead [9] - Another company in the same industry, Avnet, is expected to report a significant year-over-year earnings decline of -41% for the quarter ended June 2025, with revenues projected to decrease by 3.6% [10][11]

Core Insights - CTS Corporation reported a second quarter 2025 sales of $135 million, representing a 4% year-over-year increase, with sales to diversified end markets rising by 13% and a 6% decrease in transportation end market sales [10][2] - The company achieved an adjusted EBITDA margin of 23.0%, up from 21.7% in the same quarter of 2024, indicating solid profitability [10][2] - CTS maintains its 2025 sales guidance in the range of $520-$550 million and adjusted diluted EPS between $2.20-$2.35, assuming current market conditions persist [3] Financial Performance - Net income for the second quarter was $19 million, or 14% of sales, an increase from $15 million, or 11% of sales, in Q2 2024 [10] - Diluted EPS rose to $0.62 from $0.48 in the prior year, while adjusted diluted EPS increased to $0.57 from $0.54 [10] - Operating cash flow improved to $28 million compared to $20 million in Q2 2024 [10] Market Focus - The company emphasizes diversification as a strategic priority, focusing on organic growth and acquisitions to enhance its market position [2] - The diversified end markets include industrial, aerospace & defense, and medical sectors, previously referred to as the "non-transportation" market [8][2] Guidance and Future Outlook - CTS Corporation's guidance reflects confidence in maintaining sales growth and profitability amid current market conditions [3] - The company is committed to optimizing its operations and integrating acquisitions to drive future growth [2]

Core Viewpoint - CTS Corporation is set to release its second quarter 2025 earnings on July 24, 2025, at 8:00 a.m. (ET) [1] Group 1: Earnings Release Information - The earnings release for the second quarter 2025 will occur on July 24, 2025, at approximately 8:00 a.m. (ET) [1] - A conference call to discuss the results is scheduled for the same day at 10:00 a.m. (ET) [2] - Dial-in numbers for the conference call include +1-833-470-1428 (Toll-Free) and +1-404-975-4839 (Local) for U.S. callers [2] Group 2: Webcast and Archiving - A live audio webcast of the conference call will be available on the Investors section of the CTS Corporation website [3] - The webcast will be archived for one year for future access [3] Group 3: Company Overview - CTS Corporation is a leading designer and manufacturer of products that Sense, Connect, and Move [4] - The company produces sensors, actuators, and electronic components across North America, Europe, and Asia [4] - CTS serves various markets including aerospace/defense, industrial, medical, and transportation [4]

Company Announcement - CTS Corporation has appointed Mark Pacioni as Chief Legal & Administrative Officer and Corporate Secretary, effective July 1, 2025 [1] - Mark Pacioni previously served as Chief Legal Officer and Secretary of CareerBuilder, LLC and has held senior legal roles at Boeing, Molex, and Knowles [2] Leadership Insight - CTS Chairman and CEO, Kieran O'Sullivan, expressed confidence in Mark Pacioni's ability to contribute to the company's future success and global strategy [3] Company Overview - CTS is a leading designer and manufacturer of products that Sense, Connect, and Move, with operations in North America, Europe, and Asia [3] - The company provides engineered products to various markets including aerospace/defense, industrial, medical, telecommunications/IT, and transportation [3]

Group 1 - Toyota Industries Corp. shares fell by as much as 13% following Toyota Group's announcement of a 4.7 trillion yen ($33 billion) deal to take the company private, with a tender offer of $26 billion at 16,300 yen per share, significantly lower than the previous closing price of 18,400 yen [1] - The deal involves the creation of a new holding company, with Toyota Fudosan investing approximately 180 billion yen, Akio Toyoda investing 1 billion yen, and Toyota Motor investing around 700 billion yen in non-voting preferred shares, alongside loans from major banks [2] - This transaction reflects a broader trend in Japan where companies are under pressure to reduce long-standing cross-shareholding arrangements, as urged by the Financial Services Agency [3] Group 2 - Akio Toyoda's investment is seen as symbolic, aimed at enhancing unity within the Toyota group, although it does not provide him full control over Toyota Industries [4] - In April, Toyota indicated it was considering a potential $42 billion buyout of Toyota Industries, exploring various investment options, including partial investment [5] - A special committee engaged in negotiations to secure a better deal, but the final offer of 16,300 yen was below the midpoint of the valuation range provided by independent financial advisers, and requests for an improved offer were declined [6] Group 3 - Toyota Industries, the founding company of Toyota Motor, manufactures a diverse range of products, including forklifts, engines, electronic components, and stamping dies [7]