0001628280-26-028401
SEC filingRevenue and net income grew year-over-year, reflecting continued execution against strategic priorities, while operating income declined as the company advanced restructuring actions to optimize its cost structure.
Revenue for Q1 FY2026 totaled $1.8B, an increase of 7.6% compared to $1.7B in Q1 FY2025. Gross profit rose 3.5% to $792.4M, resulting in a gross margin of 42.9%. This reflects ongoing execution across the portfolio, though the financial packet does not isolate organic versus inorganic contributions or quantify FX impact — both of which were removed during audit due to lack of support.
Operating income decreased 4.2% to $289.7M, compared to $302.5M in Q1 FY2025. As noted in Management Discussion, restructuring charges, facility reorganization, relocation, and related costs were among the most significant drivers affecting this line item. The Company continues its 2026 and 2025 restructuring actions to optimize its cost structure — a deliberate, multi-period effort that incurs near-term expense to position for longer-term efficiency.
Net cash provided by operating activities was $200M, down from $256M in Q1 FY2025. Management attributes part of the change in working capital to the timing of customer milestone payments for in-process engineered-to-order contracts, which drove a decrease in contract liabilities. Liquidity remains supported by cash on hand, cash generated from operations, and access to the Revolving Credit Facility and Commercial Paper Program.
Management cautions that restructuring and other cost savings initiatives may not be as effective as anticipated, and that expected efficiencies may not materialize as planned. This uncertainty is inherent to transformational efforts and underscores the importance of sustained execution over multiple periods. No quantitative guidance or updated targets are provided in the authoritative filing.