SANTA ANA, CA – Ducommun’s electronic systems segment posted third quarter net revenue of $79 million, up 10.3% year-over-year.
The increase is attributed to $7.7 million higher revenue within LaBarge’s military and space end-use markets, as a result of higher demand, which favorably impacted the company’s fixed-wing, missile, and helicopter platforms. In addition, the segment recorded $900,000 higher revenue in the industrial end-use markets, partially offset by $1.3 million lower revenue within the commercial aerospace end-use markets mainly due to continued softness in demand in the business jet market.
Electronic Systems’ segment operating income was $8.2 million, or 10.4% of revenue, for the third quarter, compared to $6.6 million, or 9.2% of revenue, for the comparable quarter in 2016.
The year-over-year increase was primarily due to higher manufacturing volume and lower manufacturing costs as a result of ongoing cost-reduction initiatives, partially offset by unfavorable product mix.