Canada's Firan Technology Q1 revenue beats estimates

Overview

• Canada aerospace electronics supplier's Q1 revenue rose 10.3%, beating analyst expectations

• Adjusted net earnings rose 7.4% yr/yr; adjusted EBITDA declined 13%

Outlook

• Company expects deliveries for two classified defence programs to begin in Q3 2026 and beyond

• More deliveries to China’s C919 and DHC-515 programs expected for remainder of 2026

• Company sees strong end market demand and is focused on long-term value creation

Result Drivers

• OPERATIONAL IMPROVEMENTS - Co said revenue growth in Circuits segment was due to operational improvements at several U.S. sites

• RECORD PROFITABILITY AT CALGARY - FTG Aerospace Calgary achieved record profitability in Q1 2026, benefiting from certifications, product sales, and restarted licensing revenues

• FOREIGN EXCHANGE IMPACT - Co said less favourable foreign exchange rates reduced revenue and contributed to lower earnings, especially in Circuits and Aerospace segments

Company press release: ID:nGNXlN6F9

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the aerospace & defense peer group is "buy"

• Wall Street's median 12-month price target for Firan Technology Group Corp is C$22.00, about 3.8% above its April 7 closing price of C$21.20

• The stock recently traded at 29 times the next 12-month earnings vs. a P/E of 16 three months ago

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