Firan Technology Group Corporation ("FTG") Announces Full Year and Fourth Quarter 2025 Financial Results

Executive Summary

• FTG reported record full‑year 2025 revenue of $191.0 M (+18% YoY) and Adjusted EBITDA of $32.7 M (+27%), delivering strong top‑line growth and margin expansion.
• Net debt remained low at $8.3 M (0.3× FY 2025 EBITDA), supported by $11.2 M in government loans, underscoring a solid balance sheet.
• Q4 2025 revenue rose 14.2% to $51.7 M; Adjusted Net Earnings were $3.7 M despite a modest decline in net earnings due to higher intangible amortization from the FLYHT acquisition and FX loss.

Key Details

• Full‑Year 2025 Financial Highlights
• Bookings: $209.9 M (↑14% YoY)
• Backlog: $148.5 M (↑21% YoY, includes FLYHT acquisition)
• Revenue: $191.0 M (↑18% YoY)
• Adjusted EBITDA: $32.7 M (↑27% YoY)
• Adjusted Net Earnings: $13.5 M (↑31% YoY)
• Operating cash flow less lease payments: $13.7 M

• Net Debt: $8.3 M (0.3× trailing‑12‑month EBITDA) – includes $11.2 M government loans

• Q4 2025 Financial Highlights

• Revenue: $51.7 M (↑14.2% QoQ)
• Gross Margin: 30.5% (↑220 bps YoY)
• Adjusted EBITDA: $7.9 M (↑3.9% QoQ)

• Adjusted Net Earnings: $3.7 M (↓$0.2 M YoY) – impacted by $0.3 M higher intangible amortization (FLYHT) and $0.8 M adverse FX change

• Key Financial Metrics – FY 2025 vs FY 2024

• Sales: $191.0 M vs $162.1 M (+17.8%)
• Gross Margin ($): $60.6 M vs $44.2 M (+37.2%)
• Gross Margin (%): 31.73% vs 27.25% (+447 bps)

• Adjusted EPS (Diluted): $0.53 vs $0.43 (+23.3%)

• Key Financial Metrics – Q4 2025 vs Q4 2024

• Sales: $51.66 M vs $45.24 M (+14.2%)
• Gross Margin ($): $15.80 M vs $12.82 M (+23.3%)
• Gross Margin (%): 30.58% vs 28.33% (+225 bps)

• Adjusted EPS (Diluted): $0.14 vs $0.16 (‑12.5%)

• EBITDA Summary

• FY 2025 EBITDA: $31.495 M (↑23.69% YoY)
• Q4 2025 EBITDA: $7.755 M (‑1.50% QoQ)

• Adjusted EBITDA FY 2025: $32.678 M (↑26.66% YoY)

• Operational Highlights

• FTG Circuits qualified for two classified defence programs; deliveries to start in 2026, ramping through 2027.
• Expanded C919 production support and secured cockpit control assembly contract for De Havilland Canadair 515 (first deliveries Q4 2025).

• Post‑acquisition of FLYHT, obtained STCs for AFIRS Edge+™ on Boeing 737 and Airbus A320 families across multiple regions; first AFIRS Edge+™ product delivered to an Asian airline.

• Leadership & Governance

• New CFO appointed (2025).
• EVPs added for Circuits and Aerospace segments; key site leaders hired.

• Russell David, CPA, ICD.D and Christine Forget, ICD.D joined the Board of Directors.

• Conference Call – Live call scheduled for Thursday Feb 19 2026 at 8:30 a.m. ET (dial‑in details provided).

Notable Quotes

“2025 was a transformational year for FTG defined by exceptional operational progress and the achievement of several critical milestones across our long‑term strategic programs.” – Brad Bourne, President & CEO

Materiality Assessment: Material – Positive (full‑year earnings release with significant revenue, profitability, and balance‑sheet improvements).