10-Q

Quarterly report

✓ VerifiedDucommun reported Q2 2026 net revenues of $224.5 million and net income of $20.4 million, or $1.31 per diluted share, while still reporting a material weakness in internal control over financial reporting.

Filed Aug 6, 2026 · 06:11 ET

Summary

Net revenues for the three months ended July 4, 2026 were $224.5 million, compared to $200.8 million for the three months ended June 28, 2025.
Net income was $20.4 million, or 9.1% of net revenues, or $1.31 per diluted share, and Adjusted EBITDA was $38.4 million, or 17.1% of net revenues.
The company restated prior financial statements after identifying an error in the timing of stock-based compensation expense recognition tied to April 2024 changes to retirement provisions in award agreements.
Management concluded disclosure controls were not effective as of July 4, 2026 due to a material weakness in internal control over financial reporting.
During the quarter, excess incentive compensation of $5.0 million was recovered from Affected Individuals, comprising $4.0 million in Common Stock and $1.0 million in cash.
Total consolidated remaining performance obligations were $1,158,925 thousand at July 4, 2026, up from $1,106,040 thousand at December 31, 2025.

Key facts

Q2 net revenues: $224.5 million
From the filing for Q2 net revenues
“Net revenues for the three months ended July 4, 2026 were $224.5 million, compared to $200.8 million for the three months ended June 28, 2025.”
Q2 net income and EPS: $20.4 million, $1.31 per diluted share
From the filing for Q2 net income and EPS
“Net income of $20.4 million, or 9.1% of net revenues, or $1.31 per diluted share”
Q2 Adjusted EBITDA: $38.4 million
From the filing for Q2 Adjusted EBITDA
“Adjusted EBITDA of $38.4 million, or 17.1% of net revenues”
Six-month net revenues: $433.5 million
From the filing for Six-month net revenues
“Net revenues for the six months ended July 4, 2026 were $433.5 million, compared to $393.3 million for the six months ended June 28, 2025.”
Six-month net income: $30.3 million, $1.95 per diluted share
From the filing for Six-month net income
“were $30.3 million, or 7.0% of revenues, or $1.95 per diluted share”
Compensation clawback: $5.0 million
From the filing for Compensation clawback
“excess compensation related to such awards was recovered from the Affected Individuals subject to the policy in the form of cash or returned Company common stock ("Common Stock"), in an aggregate amount of $ 5.0 million”
Control conclusion: disclosure controls were not effective
From the filing for Control conclusion
“due to the material weakness in our internal control over financial reporting described below, our disclosure controls and procedures were not effective”
Total debt: $277.5 million
From the filing for Total debt
“Total debt, including long-term portion $ 277.5 $ 305.0”

Why it mattersDucommun posted higher revenue and earnings across its aerospace and defense segments while continuing to operate under a restatement and an unremediated material weakness. Military and space RPO of $722,743 thousand reflects its defense backlog.

Filed: Aug 6, 2026
Accepted: 2026-08-06 10:11Z
Period: Jul 4, 2026
Accession no.: 0001628280-26-053776
Size: 8.8 MB
Index: Filing index

Summary

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