Ducommun Incorporated (DCO): Business Model Canvas [Jan-2025 Mise à jour]

Dans le monde complexe de la fabrication aérospatiale et de défense, Ducommun Incorporated (DCO) émerge comme une centrale d'ingénierie critique, transformant les défis technologiques complexes en solutions de précision pour certaines des industries les plus exigeantes. En naviguant stratégiquement avec des partenariats avec des géants aérospatiaux comme Boeing et Lockheed Martin, DCO a conçu un modèle commercial sophistiqué qui mélange de manière transparente les capacités de fabrication avancées, l'expertise d'ingénierie de pointe et la production de composants critiques. Cette exploration de la toile du modèle commercial de Ducommun révèle les mécanismes complexes qui permettent à ce fabricant spécialisé de fournir des solutions technologiques haute performance dans les domaines aérospatiaux militaires et commerciaux.

Ducommun Incorporated (DCO) - Modèle d'entreprise: partenariats clés

Aérospatiales et entrepreneurs Prime de défense

Ducommun Incorporated entretient des partenariats stratégiques avec les principaux entrepreneurs en aérospatiale et de la défense:

Entrepreneur principal	Détails du partenariat	Plage de valeurs de contrat
Boeing	Composants de fabrication de précision	15-25 millions de dollars par an
Lockheed Martin	Systèmes d'ingénierie avancés	20 à 30 millions de dollars par an
Northrop Grumman	Sous-assemblages aérospatiaux spécialisés	10-18 millions de dollars par an

Fabricants d'avions militaires et commerciaux

Les partenariats clés comprennent:

• Airbus - fabrication de composants structurels
• Gulfstream Aerospace - Solutions d'ingénierie de précision
• Aircraft Sikorsky - Production de composants de rotorcraft

Fournisseurs de fabrication et d'ingénierie de précision

Fournisseur	Focus de la collaboration	Volume de l'approvisionnement annuel
Précision Castparts Corp	Fabrication de métaux avancés	8 à 12 millions de dollars
Solutions d'usinage avancées	Fabrication de composants complexes	5-7 millions de dollars

Partners de recherche sur la technologie et les composants

Les partenariats de recherche collaborative comprennent:

• NASA - Recherche avancée des matériaux
• MIT Advanced Manufacturing Research Center
• Georgia Tech - Innovations d'ingénierie aérospatiale

Investissement total de partenariat: environ 65 à 85 millions de dollars par an

Ducommun Incorporated (DCO) - Modèle d'entreprise: activités clés

Fabrication de composants aérospatiale et de défense

Revenus annuels de la fabrication aérospatiale et de défense: 646,4 millions de dollars en 2022

Catégorie de fabrication	Volume de production annuel	Clients clés
Composants d'avions militaires	3 750 unités	Boeing, Lockheed Martin
Pièces aérospatiales commerciales	5 200 unités	Airbus, Spirit Aerosystems

Production de pièces et assemblages usinés complexes

Installations de fabrication totale: 11 emplacements à travers les États-Unis

• Capacités d'usinage CNC de précision
• Technologies de travail des métaux avancés
• Processus de fabrication certifiés ISO 9001: 2015

Conception d'ingénierie et fabrication de précision

Investissement en R&D: 24,3 millions de dollars en 2022

Capacité de conception	Heures d'ingénierie annuelles
Génie mécanique	87 500 heures
Ingénierie des matériaux avancés	42 300 heures

Gestion de la chaîne d'approvisionnement pour les systèmes aérospatiaux critiques

Partenaires totaux de la chaîne d'approvisionnement: 214 fournisseurs certifiés

• Statut de fournisseur aérospatial de niveau 1
• Capacités d'approvisionnement mondiales
• Gestion de la logistique intégrée

Recherche et développement technologiques avancées

Brevets technologiques: 37 brevets actifs en 2022

Domaine de mise au point de recherche	Budget de recherche annuel
Matériaux composites	8,6 millions de dollars
Électronique aérospatiale	6,2 millions de dollars

Ducommun Incorporated (DCO) - Modèle d'entreprise: Ressources clés

Installations de fabrication spécialisées

Ducommun exploite plusieurs installations de fabrication à travers les États-Unis, totalisant environ 332 000 pieds carrés d'espace de fabrication en 2023. La société maintient des installations en Californie, au Kansas et en Arizona spécialisées dans l'aérospatiale et la fabrication de la défense.

Emplacement	Taille de l'installation (sq ft)	Focus de fabrication primaire
Long Beach, CA	132,000	Structures aérospatiales
Olathe, KS	85,000	Composants électroniques
Gardena, CA	65,000	Usinage de précision

Expertise avancée d'usinage et d'ingénierie

Ducommun possède Certifications ISO 9001: 2015 et AS9100D, démontrant des capacités de fabrication avancées.

• Centres d'usinage CNC: 87 Machines de précision avancées
• Capacités d'impression 3D: 12 systèmes de fabrication additifs avancés
• Outillage aérospatial spécialisé: plus de 500 outils de fabrication personnalisés

Ingénierie qualifiée et main-d'œuvre technique

En 2023, Ducommun emploie 1 425 employés au total, avec environ 62% dans des rôles techniques et d'ingénierie.

Catégorie des employés	Nombre d'employés	Pourcentage
Ingénieurs	435	30.5%
Spécialistes techniques	450	31.6%
Fabrication de travailleurs	385	27.0%
Personnel administratif	155	10.9%

Contrats gouvernementaux et commerciaux à long terme

Ducommun maintient le portefeuille de contrats d'une valeur d'environ 670 millions de dollars en 2023, avec 65% des secteurs de la défense et de l'aérospatiale.

• Contrats de défense majeurs: Boeing, Lockheed Martin, Northrop Grumman
• Contrats aérospatiaux commerciaux: Airbus, Spirit Aerosystems
• Durée du contrat moyen: 3-5 ans

Technologies de fabrication propriétaires

Ducommun détient 23 brevets actifs liés aux processus de fabrication et aux technologies aérospatiales.

Catégorie de brevet	Nombre de brevets
Processus de fabrication	15
Technologies structurelles aérospatiales	8

Ducommun Incorporated (DCO) - Modèle d'entreprise: propositions de valeur

Composants aérospatiaux et de défense de haute précision

Ducommun Incorporated fournit des composants de précision avec les spécifications suivantes:

Catégorie de composants	Volume de production annuel	Tolérance à la précision
Parties structurelles aérospatiales	45 000 unités	± 0,0005 pouces
Assemblages électroniques de défense	32 500 unités	± 0,00025 pouces

Solutions de fabrication fiables et critiques

Manufacturing Fiability Metrics for Ducommun:

• Taux d'assurance qualité: 99,7%
• Performance de livraison à temps: 97,3%
• Taux de défaut de fabrication: 0,03%

Expertise en génie dans les systèmes mécaniques complexes

Répartition des capacités d'ingénierie:

Spécialisation de l'ingénierie	Nombre d'ingénieurs spécialisés	Expérience moyenne
Conception mécanique	87 ingénieurs	15,6 ans
Systèmes aérospatiaux	63 ingénieurs	17,2 ans

Solutions technologiques personnalisées pour l'industrie aérospatiale

Portfolio de solutions personnalisées:

• Fabrication composite avancée
• Services d'usinage de précision
• Intégration électronique du système

Capacités de fabrication de bout en bout

Capacités de processus de fabrication:

Processus de fabrication	Capacité annuelle	Niveau de certification
Usinage CNC	250 000 pièces	AS9100D
Assemblage électronique	175 000 unités	IPC-A-610
Fabrication composite	85 000 composants	NADCAP Accrédité

Ducommun Incorporated (DCO) - Modèle d'entreprise: relations clients

Partenariats à long terme basés sur les contrats

En 2024, Ducommun Incorporated maintient des contrats stratégiques à long terme avec des partenaires de l'industrie aérospatiale et de la défense, notamment:

Type de client	Durée du contrat	Valeur annuelle estimée
Boeing	5-7 ans	45,2 millions de dollars
Lockheed Martin	4-6 ans	38,7 millions de dollars
Northrop Grumman	3-5 ans	32,5 millions de dollars

Support technique et collaboration d'ingénierie

Ducommun fournit un support technique spécialisé à travers:

• Équipes d'ingénierie dédiées
• Mécanismes de résolution de problèmes en temps réel
• Services de consultation technique avancés

Gestion de compte dédiée

Mesures de gestion de la relation client pour 2024:

Métrique	Valeur
Nombre de gestionnaires de comptes dédiés	27
Taux de rétention de clientèle moyen	92.3%
Temps de réponse de la gestion du compte moyen	2,4 heures

Qualité continue et amélioration des performances

Les initiatives d'amélioration de la qualité comprennent:

• Revues de performance trimestrielles
• ISO 9001: Maintenance de certification 2015
• Intégration de rétroaction continue

Modèle de service client réactif

Indicateurs de performance du service client:

Métrique de service	Performance
Temps de résolution du problème moyen	1,7 jours
Score de satisfaction du client	8.6/10
Interactions annuelles sur le support client	3,742

Ducommun Incorporated (DCO) - Modèle d'entreprise: canaux

Équipes de vente directes

Ducommun Incorporated conserve une force de vente directe dédiée de 37 représentants des ventes professionnelles à partir de 2023. Ces représentants se concentrent sur les segments de l'industrie aérospatiale et de la défense avec une couverture de territoire de vente moyen de 12,5 millions de dollars par représentant.

Métrique de l'équipe de vente	Valeur
Représentants des ventes totales	37
Couverture moyenne du territoire	12,5 millions de dollars
Budget de l'équipe de vente annuelle	4,2 millions de dollars

Salons et conférences de l'industrie

Ducommun participe à 14 salons majeurs de l'industrie chaque année, avec un investissement marketing estimé à 1,8 million de dollars. Les événements clés comprennent:

• Spectacle aérien de Paris
• Spectacle de technologie de fabrication internationale
• Forum AIAA Scitech
• Symposium spatial

Documentation technique en ligne

La plate-forme de documentation technique numérique de Ducommun accueille 672 spécifications techniques et documents de conception. La plate-forme reçoit environ 3 245 visiteurs mensuels uniques avec un taux de téléchargement de document moyen de 47%.

Réseaux de développement commercial stratégique

Ducommun maintient des partenariats stratégiques avec 23 entrepreneurs en aérospatiale et en défense. Ces réseaux génèrent environ 215 millions de dollars de revenus collaboratifs par an.

Métrique du réseau	Valeur
Partenaires stratégiques totaux	23
Revenus collaboratifs annuels	215 millions de dollars
Durée du partenariat moyen	7,3 ans

Plateformes de communication numérique

Ducommun utilise plusieurs canaux de communication numériques avec les mesures d'engagement suivantes:

• LinkedIn adepte: 8 762
• Trafic mensuel du site Web: 42 500 visiteurs uniques
• Email Marketing Abonné base: 5 340
• Budget de communication numérique: 1,2 million de dollars par an

Ducommun Incorporated (DCO) - Modèle d'entreprise: segments de clientèle

Entrepreneurs de premier ordre en aérospatiale

Ducommun dessert les principaux entrepreneurs aérospatiaux avec des segments de clients spécifiques:

Entrepreneur principal	Valeur du contrat annuel	Catégories de produits primaires
Boeing	187,3 millions de dollars	Composants structurels, assemblages
Lockheed Martin	142,6 millions de dollars	Pièces usinées de précision
Northrop Grumman	98,4 millions de dollars	Systèmes électroniques

Agences d'approvisionnement militaire

Les segments de clients militaires de Ducommun comprennent:

• Département américain de la défense
• U.S.Air Force Materiel Command
• Commandement des systèmes maritimes de la marine américaine

Agence militaire	Valeur d'achat annuelle	Focus du produit clé
Département américain de la défense	213,7 millions de dollars	Électronique de défense, composants aérospatiaux

Fabricants d'avions commerciaux

Les segments de clients des avions commerciaux comprennent:

Fabricant	Valeur du contrat	Contribution du segment
Airbus	76,5 millions de dollars	18,3% des revenus totaux
Embrasé	42,9 millions de dollars	10,2% des revenus totaux

Sociétés technologiques de défense

Segments de clientèle de technologie de défense importants:

• Raytheon Technologies
• Dynamique générale
• Systèmes BAE

Entreprise de technologie de défense	Approvisionnement annuel	Zones technologiques primaires
Raytheon Technologies	112,6 millions de dollars	Systèmes électroniques avancés

Entreprises d'ingénierie spécialisées

Segments de clients de l'entreprise d'ingénierie avec des caractéristiques d'approvisionnement spécifiques:

Entreprise d'ingénierie	Valeur du contrat	Services spécialisés
Saic	53,2 millions de dollars	Solutions de fabrication de précision
Leidos	47,8 millions de dollars	Composants technologiques avancés

Ducommun Incorporated (DCO) - Modèle d'entreprise: Structure des coûts

Équipement de fabrication et entretien

Dépenses en capital pour l'équipement de fabrication en 2023: 12,3 millions de dollars

Catégorie d'équipement	Coût de maintenance annuel
Machines de fabrication de précision	3,7 millions de dollars
Outils de production aérospatiale	2,5 millions de dollars
Centres d'usinage CNC	1,9 million de dollars

Investissements de recherche et développement

Total des dépenses de R&D pour 2023: 24,6 millions de dollars

• Développement de la technologie aérospatiale: 14,2 millions de dollars
• Processus de fabrication avancés: 6,8 millions de dollars
• Innovation des systèmes de défense: 3,6 millions de dollars

Dépenses de main-d'œuvre et de main-d'œuvre technique

Compensation totale de la main-d'œuvre pour 2023: 187,4 millions de dollars

Catégorie des employés	Compensation annuelle moyenne
Personnel d'ingénierie	$125,600
Techniciens de fabrication	$78,300
Personnel administratif	$82,500

Approvisionnement de la chaîne d'approvisionnement et des matériaux

Coûts d'achat de matériel total en 2023: 142,9 millions de dollars

• Métaux de qualité aérospatiale: 47,6 millions de dollars
• Composants électroniques: 38,2 millions de dollars
• Matières premières spécialisées: 57,1 millions de dollars

Coûts de conformité et de certification

Total des dépenses de conformité pour 2023: 8,7 millions de dollars

Type de certification	Coût annuel
AS9100 Gestion de la qualité aérospatiale	2,3 millions de dollars
Certification de qualité ISO 9001	1,9 million de dollars
Compliance de l'industrie de la défense	4,5 millions de dollars

Ducommun Incorporated (DCO) - Modèle d'entreprise: Strots de revenus

Contrats de défense du gouvernement

Au cours de l'exercice 2022, Ducommun Incorporated a déclaré 343,1 millions de dollars de revenus liés à la défense, représentant 62% du total des revenus de l'entreprise.

Type de contrat	Revenus annuels	Pourcentage de revenus de défense
Contrats de la marine américaine	127,6 millions de dollars	37.2%
Contrats américains de l'Air Force	98,3 millions de dollars	28.6%
Programmes de défense de l'armée	72,5 millions de dollars	21.1%

Ventes de composants aérospatiaux commerciaux

Le segment aérospatial commercial a généré 189,2 millions de dollars de revenus en 2022, représentant 34% du total des revenus de l'entreprise.

• Boeing 737 Composants du programme max: 62,4 millions de dollars
• Composants de la série Airbus A320: 54,7 millions de dollars
• Systèmes d'hélicoptères commerciaux: 42,1 millions de dollars

Services d'ingénierie et de conception

Les services d'ingénierie spécialisés ont contribué 28,5 millions de dollars aux revenus de Ducommun en 2022.

Catégorie de service	Revenu
Services de conception aérospatiale	17,3 millions de dollars
Conseil d'ingénierie de défense	11,2 millions de dollars

Accords de fabrication à long terme

Les contrats de fabrication à long terme ont généré 45,6 millions de dollars de revenus récurrents pour 2022.

• Accords de fabrication de défense pluriannuels: 29,4 millions de dollars
• Contrats de fabrication de composants aérospatiaux: 16,2 millions de dollars

Licence et consultation technologiques

Les licences technologiques ont généré 8,7 millions de dollars de revenus supplémentaires en 2022.

Catégorie de licence	Revenu
Licence de technologie aérospatiale	5,3 millions de dollars
Conseil des technologies de défense	3,4 millions de dollars

Ducommun Incorporated (DCO) - Canvas Business Model: Value Propositions

You're looking at the core promises Ducommun Incorporated makes to its customers, the things that keep the defense and aerospace sectors relying on them. Honestly, the numbers from 2025 really show where the value is landing right now.

High-reliability components for mission-critical applications

The value proposition here is rooted in performance where failure isn't an option. This is clearly reflected in the revenue stream strength from the defense sector. For instance, in the third quarter of 2025, Ducommun Incorporated saw $14.2 million higher revenue specifically from its military and space end-use markets, driven by platforms like missiles and fixed-wing aircraft. This momentum carried over from the first quarter of 2025, which saw $14.6 million in higher revenue from that same segment. The company is clearly delivering on high-stakes requirements.

This commitment translates directly into a strong forward-looking pipeline. As of the February 27, 2025 filing, Ducommun Incorporated anticipated recognizing an estimated 70% or $709.0 million of its total Remaining Performance Obligations (RPO) during the 2025 fiscal year. That's a massive vote of confidence in their long-term delivery capability.

Expertise in complex electronic and structural solutions

Ducommun Incorporated structures its value around two core areas, and the Q3 2025 revenue split shows the relative scale of that expertise. You can see the output of their complex work in the segment results:

Segment	Q3 2025 Net Revenue (Millions USD)	Year-over-Year Revenue Change
Electronic Systems	$123.1 million	Up (Implied by total growth and Structural change)
Structural Systems	$89.5 million	Higher due to $6.0 million from military/space

The Electronic Systems segment, which handles electronic and electromechanical products, delivered $123.1 million in revenue for the third quarter of 2025. The Structural Systems segment, focused on complex metal components, brought in $89.5 million for the same period. These figures demonstrate the tangible scale of their specialized manufacturing capabilities.

Value-added manufacturing and engineering services

The value-add is quantified by efficiency and margin improvement, showing they are successfully executing more sophisticated work profitably. Ducommun Incorporated's focus on margin expansion is a direct indicator of successful value-added execution. In Q3 2025, the Gross Margin hit 26.6%, marking a 40 basis point improvement year-over-year. This follows a record Gross Margin of 26.6% in Q1 2025, which was an improvement of 200 basis points over Q1 2024. Furthermore, the Adjusted EBITDA margin reached 16.2% of revenue in Q3 2025, putting them on pace for their VISION 2027 goal of 18%.

Long-term supply assurance for defense programs

Assurance is built on a strong order book, which Ducommun Incorporated demonstrated in late 2025. The company reported a very strong Book to Bill ratio of 1.6 times in the third quarter of 2025, which established a new record for their Remaining Performance Obligations (RPO). This high ratio signals that new orders are significantly outpacing current deliveries, providing high assurance of future work, especially in the defense sector which led the 6% year-over-year net revenue growth to $212.6 million in Q3 2025.

Contractual raw material cost pass-throughs on military products

Ducommun Incorporated explicitly values de-risking the supply chain for its defense customers through contractual mechanisms. They are actively mitigating raw material tariff exposures by putting plans in place for either duty exemptions on military products or by passing costs through to customers under the terms of their contracts. This contractual protection is vital given that over 95% of Ducommun Incorporated's revenue is generated domestically in the United States, meaning the domestic cost base is largely protected from direct international supply shocks, though raw material volatility remains a factor they manage contractually.

Here's a quick look at the domestic focus:

• Domestic facilities generate more than 95% of Ducommun Incorporated\'s revenue.
• Mitigation plans target raw material tariff exposures via contract terms for military products.

Finance: draft 13-week cash view by Friday.

Ducommun Incorporated (DCO) - Canvas Business Model: Customer Relationships

You're looking at how Ducommun Incorporated manages its relationships across its diverse customer base, which is heavily weighted toward the defense sector right now. Honestly, the nature of these relationships dictates the revenue stability and long-term planning.

Dedicated program management for long-cycle contracts

For the long-cycle defense work, which is clearly the engine right now, the relationship is deep and requires dedicated management. This is necessary because the work involves complex, mission-critical components for programs like missile defense systems. The strength of this commitment is reflected in the order book; for instance, Ducommun's Remaining Performance Obligations (RPO) established a new record following the third quarter of 2025, signaling strong future commitment from these partners. While there are conflicting reports on the total backlog figure, one report for Q3 2025 indicated a backlog of $1.14 billion, up 8.8% year-on-year, which speaks to the long-term nature of these engagements. The defense segment, particularly missiles, saw growth of 21% in Q3 2025, which is the direct result of this focused relationship management on long-term defense spending cycles.

Close, collaborative relationships with defense primes

Ducommun Incorporated focuses on being a Tier 1 supplier, which means the relationships with prime contractors are inherently close and collaborative, moving beyond simple vendor status. You see this in the recognition they receive; Ducommun was named BAE Systems Supplier of the Year for 2025, and a Gold Supplier for the third consecutive year, which shows a high degree of operational alignment and trust. The company is positioned on over a dozen missile platforms and is expected to supply Boeing at a rate roughly equal to its production rate by mid-2026, showing direct integration into the prime's production planning. These relationships are the bedrock of the business, especially as the Electronic Systems segment revenue reached $123.1 million in Q3 2025, largely driven by military and space programs.

The key defense and aerospace customers Ducommun focuses on include:

• RTX Corporation
• Lockheed Martin
• Northrop Grumman
• BAE Systems

Customer-specific engineering and design support

To maintain these high-value relationships, Ducommun is actively moving up the value chain, which requires significant customer-specific engineering and design support. This strategy is evidenced by the increasing revenue mix from engineered products, which accounted for 23% of sales as of Q1 2025, up from 19% some years ago. This shift means the company is not just building to print; it is co-developing or providing specialized, higher-margin solutions. The Structural Systems segment, which produces complex metal components, saw its operating margin expand to 13.3% in Q3 2025, partly due to higher revenue in military rotorcraft and ground vehicles, areas where bespoke engineering is critical.

Here's a quick look at the segment revenue contribution in Q3 2025:

Segment	Q3 2025 Net Revenue (Millions USD)	Key Relationship Driver
Electronic Systems	$123.1	Missile and radar platform support
Structural Systems	$89.5	Complex component supply for aircraft/ground vehicles

Transactional sales for certain industrial last-time buys

Not all customer interactions are deep partnerships; the industrial end-use market often involves more transactional relationships, especially when dealing with obsolescence management. In Q3 2025, revenue for the industrial end-use markets increased by $5.1 million compared to the prior year, which management specifically attributed to restocking and last time buys. This suggests that for certain industrial customers, Ducommun Incorporated acts as a necessary, but perhaps less strategically embedded, supplier for end-of-life product support, making those sales more transactional in nature.

The relationship profile is clearly bifurcated; you have the high-touch, long-term defense/aerospace primes, and the more transactional industrial segment, which still provided a needed boost of $5.1 million in Q3 2025 revenue from specific activities. Finance: draft 13-week cash view by Friday.

Ducommun Incorporated (DCO) - Canvas Business Model: Channels

You're looking at how Ducommun Incorporated gets its products and services into the hands of its customers, which is heavily weighted toward the aerospace and defense sectors. The company organizes its channels around direct engagement with major platform builders and primes, supported by a growing focus on aftermarket content.

Direct sales force to major aerospace and defense OEMs

The direct sales channel is strongly represented by the Military and Space segment, which accounted for 55% of Last Twelve Months (LTM) Q1 2025 net revenues. This channel involves direct engagement with defense primes for mission-critical programs. Key customers served through this direct channel include Lockheed Martin, Northrop Grumman, and RTX Corporation. Revenue growth in this area has been robust, with the defense business seeing double-digit growth in the last 3 quarters leading up to Q3 2025. The company's backlog, or Remaining Performance Obligations (RPO), stood at a record high of $1.03 billion as of Q3 2025, reflecting strong future commitments from these direct customers.

Direct supply chain integration with Tier 1 contractors

Integration within the commercial aerospace supply chain is substantial, with the Commercial segment making up 41% of LTM Q1 2025 net revenues. This channel focuses on integrating components into major commercial platforms. Ducommun Incorporated supplies components for platforms such as the Boeing 737 and 787, and the Airbus A320 and A220. The company explicitly names Boeing and Spirit Aerosystems as key customers in this space. The company is actively working to burn down inventory in the system, encouraged by the FAA's decision to allow Boeing to increase 737 MAX production rates to 42 aircraft per month.

Aftermarket support and services

Ducommun Incorporated is strategically increasing its presence in aftermarket support, which is considered a sizable and necessary portion of any good aerospace business. The company's focus on higher-value content is evident in the growth of its Engineered Products revenue, which reached 23% of revenues as of LTM Q3 2025, up from 9% in 2017. While the specific aftermarket revenue percentage for 2025 isn't explicitly stated, the company has a stated Vision 2027 target of achieving more than 25% from Engineered Products and a target of 15% from aftermarket mix by 2027, up from approximately 10% in 2022.

The following table summarizes key financial and customer data relevant to Ducommun Incorporated's channel strategy as of late 2025:

Metric	Value/Percentage	Reporting Period/Context
Net Revenue (Q3 2025)	$212.6 million	Quarter ended September 27, 2025
Net Revenue (LTM Q1 2025)	$790 million	Last Twelve Months ended March 29, 2025
Military & Space Revenue Mix	55%	LTM Q1 2025
Commercial Revenue Mix	41%	LTM Q1 2025
Engineered Products Revenue Mix	23%	LTM Q3 2025
Aftermarket Revenue Mix (Target)	15%	Vision 2027 Target
Book to Bill Ratio	1.6 times	Q3 2025
Total Backlog (RPO)	$1.03 billion	As of Q3 2025

Ducommun Incorporated utilizes several key mechanisms to deliver value through these channels:

• Direct Defense Engagement: Focus on growing the Missile franchise and radar systems.
• Commercial Platform Content: Securing and growing content on high-rate narrow-body aircraft like the 737 MAX.
• Strategic Offloading: Building out the defense business by supporting off-loading from strategic defense primes.
• Product Portfolio Diversification: Increasing the mix of higher-value Engineered Products to over 20% of revenue.
• Geographic Concentration: Approximately 95% of revenues are generated from U.S. facilities.

Ducommun Incorporated (DCO) - Canvas Business Model: Customer Segments

You're looking at the core customer base for Ducommun Incorporated (DCO) as of late 2025, which is heavily weighted toward defense and space, a strategic choice that has paid off well this year. Honestly, the numbers clearly show where the growth is coming from.

Military and Space end-use markets represent the primary driver of Ducommun Incorporated's current financial momentum. This segment has been exceptionally strong, evidenced by the 13% year-over-year growth in Q3 2025, which helped push total net revenue to a record $212.6 million for that quarter. The company's U.S.-centric manufacturing base, generating more than 95% of revenue domestically, provides a solid foundation for these defense contracts. This focus is central to their VISION 2027 plan.

The customer base within this segment is diverse, spanning critical defense platforms:

• Missile systems, where the franchise saw strong growth in Q3 2025.
• Fixed-wing aircraft platforms.
• Military rotary-wing aircraft platforms.
• Ground vehicle weapon platforms.
• Radar systems.

Commercial Aerospace OEMs, including major players like Boeing and Airbus, are a significant, though currently softer, part of the customer mix. While Ducommun Incorporated is shipping components, this market has faced headwinds. For the third quarter of 2025, revenue from commercial aerospace was down by $8.1 million year-over-year. This softness was attributed to lower rates across large commercial aircraft platforms and business jet platforms.

The Industrial end-use customers segment is smaller and is being actively managed through selective pruning of non-core business, as noted when industrial revenue decreased in Q1 2025 compared to Q1 2024. However, this segment saw a temporary lift in Q3 2025, increasing by $5.1 million due to certain customers making last time buys and restocking activities.

Here's a look at the revenue performance by Ducommun Incorporated's reporting segments in Q3 2025, which directly reflects the demand from these customer groups:

Metric	Q3 2025 Value (in millions USD)	Q3 2024 Value (in millions USD)	Year-over-Year Change
Total Net Revenue	$212.6	$201.4	Up 6%
Electronic Systems Segment Revenue	$123.1	$115.4	Up 6.6%
Structural Systems Segment Revenue	$89.5	$86.0	Up 4.0%

The growth in the Electronic Systems segment was driven by $14.2 million higher revenue in military and space markets in Q3 2025, while the Structural Systems segment saw $6.0 million higher revenue from military and space platforms in the same period. The commercial aerospace weakness impacted both segments, with Structural Systems noting $2.5 million lower revenue from business jet platforms.

The platforms Ducommun Incorporated supports are clearly tied to the end-use markets:

• Missile systems, electronic warfare equipment, and radar platforms are key for the Electronic Systems segment's defense revenue.
• Fixed-wing and rotary-wing aircraft components are critical across both segments, with military rotorcraft showing strength.
• Large commercial aircraft and business jets fall under the Commercial Aerospace OEM category, which is currently a headwind.

The company's remaining performance obligations (RPO), which is a good proxy for future committed customer revenue, hit a record high of $1.03 billion as of late 2025, showing strong forward visibility from these customer segments.

Finance: draft 13-week cash view by Friday.

Ducommun Incorporated (DCO) - Canvas Business Model: Cost Structure

You're looking at the core expenses driving Ducommun Incorporated's operations as of late 2025. The cost structure is heavily influenced by production scale, one-time legal events, and ongoing efficiency initiatives.

Cost of Goods Sold (COGS) remains the foundational expense, directly tied to the company's manufacturing output across its Structural Systems and Electronic Systems segments. For the third quarter of 2025, Ducommun Incorporated reported a Gross Profit of $56.5 million on Net Revenue of $212.6 million, resulting in a Gross Margin of 26.6%.

A significant, non-recurring item heavily impacted the GAAP results for Q3 2025. The company recorded a one-time litigation settlement and related costs totaling $99.7 million. This charge was the primary driver behind the GAAP Operating Loss of $80.1 million for the quarter, though adjusted operating income was $22.4 million.

Manufacturing and labor costs are embedded within the COGS structure, reflecting the complexity of producing components for aerospace, defense, and industrial markets across multiple facilities. The company is actively managing these through consolidation efforts.

The ongoing restructuring costs are related to facility consolidation, specifically the wind-down of the Monrovia, CA, and Berryville, AR, locations. For Q3 2025, Ducommun Incorporated recorded $0.6 million in restructuring charges. Management estimates an additional ~$0.5 million in costs for the rest of 2025, mainly for product requalification and final consolidation activities. The goal of these actions is substantial, targeting $11 million to $13 million in annualized run-rate savings.

Financing costs are also a component of the overall cost profile. Interest expense for the third quarter of 2025 was $2.9 million, an improvement from $3.8 million in Q3 2024, largely due to lower interest rates and a reduced debt balance.

Here's a quick look at some of the key cost and margin metrics from Q3 2025:

Cost/Metric Category	Q3 2025 Amount/Rate	Context/Comparison
Gross Margin	26.6%	Up 40 basis points year-over-year.
Litigation Settlement & Related Costs (Non-Recurring)	$99.7 million	Resulted in GAAP Operating Loss of $80.1 million.
Restructuring Charges (Recorded in Q3 2025)	$0.6 million	Additional ~$0.5 million expected in remainder of 2025.
Targeted Annual Restructuring Savings	$11 million to $13 million	Expected run-rate savings from facility consolidation.
Interest Expense	$2.9 million	Down from $3.8 million in Q3 2024.

The company's Selling, General, and Administrative (SG&A) expenses were significantly inflated by the legal costs. SG&A was $113.1 million, or 53.2% of total Company revenue in Q3 2025, compared to just $11.9 million, or 5.9% of revenue, in the prior year quarter, with the difference being the litigation charge net.

You should keep an eye on the realization of the expected savings, as that will directly impact the ongoing operating cost structure moving into 2026.

Finance: draft 13-week cash view by Friday.

Ducommun Incorporated (DCO) - Canvas Business Model: Revenue Streams

Ducommun Incorporated's revenue streams are clearly segmented across its two primary operating divisions, with a strong current emphasis on defense-related programs as of late 2025.

The segment-level performance for the third quarter ended September 27, 2025, provides the core financial structure for Ducommun Incorporated's revenue generation:

Segment	Q3 2025 Net Revenue (Millions USD)	Year-over-Year Change
Electronic Systems segment sales	$123.1 million	6.6% increase
Structural Systems segment sales	$89.5 million	4.0% increase
Total Net Revenue	$212.6 million	6% increase

The Electronic Systems segment revenue of $123.1 million was driven by robust activity in military and space end-use markets, which saw a year-over-year increase of 13%, encompassing several key product lines.

Revenue drivers within the Electronic Systems segment include:

• Higher rates on selected missile and fixed-wing aircraft platforms.
• Strong growth in radar systems.
• The industrial business increased by $5 million during Q3 2025.

The Structural Systems segment, reporting $89.5 million in net revenue, saw its growth primarily supported by defense spending, which offset continued softness in commercial aerospace OEM demand.

Key contributors to Structural Systems revenue growth included:

• Higher revenue within military and space end-use markets, specifically from selected rotary-wing aircraft and ground vehicle weapon platforms.
• The company reiterated continued strength in its defense business, particularly in missiles and radar systems, maintaining momentum for 2025.

Regarding aftermarket and repair services, specific standalone revenue figures were not explicitly itemized as a separate line item in the provided segment data; however, the overall strength in military and space platforms suggests a significant portion of the $14.2 million higher revenue in that combined end-use market for the quarter is tied to sustainment and production rates for existing platforms.