FALSE000000806300000080632024-02-282024-02-28

UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): February 28, 2024

ASTRONICS CORPORATION
(Exact name of registrant as specified in its charter)
New York
 0-7087
16-0959303
(State of Other Jurisdiction of Incorporation)(Commission File Number)(I.R.S. Employer Identification No.)
130 Commerce Way
East Aurora, New York
14052
(Address of principal executive offices)
(Zip Code)

Registrant's telephone number, including area code: (716) 805-1599
Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading SymbolName of each exchange on which registered
Common Stock, $.01 par value per shareATRONASDAQ Stock Market
Securities registered pursuant to Section 12(g) of the Act: None
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
☐ Emerging growth company

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐


Item 2.02 Results of Operations and Financial Condition.

On February 28, 2024, Astronics Corporation issued a news release announcing its fourth quarter and full year financial results for 2023. A copy of the press release is attached as Exhibit 99.1.

The information contained herein and in the accompanying exhibit shall not be incorporated by reference into any filing of the registrant, whether made before or after the date hereof, regardless of any general incorporation language in such filing. The information in this report including the exhibit hereto, shall not be deemed to be “filed” for purpose of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section or Sections 11 and 12(a)(2) of the Securities Act of 1933, as amended.

Item 9.01 Financial Statements and Exhibits.

ExhibitDescription
Press Release of Astronics Corporation dated February 28, 2024
104Cover Page Interactive Data File (embedded within the Inline XBRL document)




SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
Astronics Corporation
Dated:
February 28, 2024
By:/s/ David C. Burney
Name:David C. Burney
Executive Vice President and     Chief Financial Officer






Exhibit 99.1
atrocorp_image1a11.jpg
Astronics Corporation • 130 Commerce Way • East Aurora, NY • 14052-2164
For more information, contact:
Company:Investor Relations:
David C. Burney, Chief Financial OfficerDeborah K. Pawlowski, Kei Advisors LLC
Phone: (716) 805-1599, ext. 159Phone: (716) 843-3908
Email: david.burney@astronics.comEmail: dpawlowski@keiadvisors.com
FOR IMMEDIATE RELEASE
Astronics Corporation Reports
2023 Fourth Quarter and Full Year Financial Results
•Sales grew 23.5% to $195.3 million in the quarter and were up 28.8% to $689.2 million for the full year
•Operating income was $7.8 million in the quarter, or 4.0% of sales
•Net income for the quarter was $7.0 million, or $0.20 per diluted share, including a $5.4 million, or $0.16 per diluted share, tax benefit
•Adjusted EBITDA1 was $24.8 million, or 12.7% of sales, a 780 basis point improvement over the fourth quarter of the prior year
•Bookings in the quarter were $183.3 million; 2023 bookings totaled $724.2 million
•Aerospace achieved its eighth consecutive record backlog of $517.2 million
•2024 revenue expected to be approximately $760 million to $795 million
EAST AURORA, NY, February 28, 2024 – Astronics Corporation (Nasdaq: ATRO) (“Astronics” or the “Company”), a leading supplier of advanced technologies and products to the global aerospace, defense and other mission critical industries, today reported financial results for the three and twelve months ended December 31, 2023.
Peter J. Gundermann, Chairman, President and Chief Executive Officer, commented, “We had a very strong close to the year with fourth quarter revenue of $195 million, up 23% over the comparator quarter. This brought total 2023 sales to $689 million, an increase of 29% over 2022. Our financial results demonstrate our improved performance with fourth quarter adjusted EBITDA of $25 million, or 12.7% of sales. The expanded profitability was the result of continued strong demand, an improved supply chain and a more stable and developed team of people. We are encouraged with the momentum in our business and believe we are well positioned to enjoy continued tailwinds as we enter 2024.”
1 Adjusted EBITDA is a Non-GAAP Performance Measure. Please see the attached table for a reconciliation of adjusted EBITDA to GAAP net income.
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Astronics Corporation Reports 2023 Fourth Quarter and Full Year Financial Results
February 28, 2024
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Fourth Quarter Results
Three Months EndedYear Ended
($ in thousands)December 31, 2023December 31, 2022% ChangeDecember 31, 2023December 31, 2022% Change
Sales$195,292 $158,153 23.5 %$689,206 $534,894 28.8 %
Income (loss) from operations$7,782 $(3,167)345.7 %$(6,671)$(30,044)77.8 %
Operating margin %
4.0 %(2.0)%(1.0)%(5.6)%
Net gain on sale of businesses$— $— $3,427 $11,284 
Net income (loss)$6,976 $(6,779)202.9 %$(26,421)$(35,747)26.1 %
Net income (loss) % of sales3.6 %(4.3)%(3.8)%(6.7)%
*Adjusted EBITDA$24,830 $7,800 218.3 %$55,579 $11,307 391.5 %
*Adjusted EBITDA margin %
12.7 %4.9 %8.1 %2.1 %
*Adjusted EBITDA is a Non-GAAP Performance Measure. Please see the attached table for a reconciliation of Adjusted EBITDA to GAAP net income (loss).
Fourth Quarter 2023 Results (compared with the prior-year period, unless noted otherwise)
Consolidated sales were up $37.1 million, or 23.5%. Aerospace sales increased $30.4 million, or 22.0%, driven by increased demand across our range of aerospace product lines. Test Systems sales increased $6.7 million on higher radio test revenue.
Consolidated operating income was $7.8 million, compared with operating loss of $3.2 million in the prior-year period. Improved operating income reflects higher sales volume, partially offset by $4.2 million in non-cash stock bonuses reinstated in the current quarter. The prior-year period operating loss benefited from a $1.5 million gain related to indemnification proceeds received during the quarter associated with a litigation settlement.
Interest expense was $5.9 million in the current period, compared with $3.6 million in the prior-year period, primarily driven by higher interest rates on credit facilities entered into in January 2023. Interest expense included approximately $0.9 million of non-cash amortization of capitalized financing-related fees.
Consolidated net income was $7.0 million, or $0.20 per diluted share, compared with net loss of $6.8 million, or $0.21 per diluted share, in the prior year. Tax benefit in the quarter was $5.4 million compared with a tax benefit of $0.4 million in the prior year.
Consolidated adjusted EBITDA increased to $24.8 million, or 12.7% of consolidated sales, compared with adjusted EBITDA of $7.8 million, or 4.9% of consolidated sales, in the prior-year period primarily as a result of higher sales.
Bookings were $183.3 million in the quarter. For the year, bookings totaled $724.2 million, resulting in a book-to-bill ratio of 1.06:1.
Aerospace Segment Review (refer to sales by market and segment data in accompanying tables)
Aerospace Fourth Quarter 2023 Results (compared with the prior-year period, unless noted otherwise)
Aerospace segment sales increased $30.4 million, or 22.0%, to $168.7 million. The improvement was driven by a 20.8% increase, or $21.3 million, in commercial transport sales. Sales to this market were $124.2 million, or 63.6% of consolidated sales in the quarter, compared with $102.8 million, or 65.0% of consolidated sales in the fourth quarter of 2022. Higher airline spending and increasing OEM build rates drove increased demand.
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Astronics Corporation Reports 2023 Fourth Quarter and Full Year Financial Results
February 28, 2024
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General Aviation sales increased $5.5 million, or 37.8%, to $20.2 million. Military Aircraft sales increased $4.1 million, or 30.9%, to $17.3 million.
Aerospace segment operating profit of $14.3 million, or 8.5% of sales, compares with operating profit of $5.2 million, or 3.8% of sales, in the same period last year. Operating margin expansion reflects the leverage gained on higher volume. Operating profit in the fourth quarter of 2023 was impacted by $2.7 million in non-cash bonuses compared with no bonuses in the prior-year period.
Aerospace bookings were $172.1 million for a book-to-bill ratio of 1.02:1. Backlog for the Aerospace segment was a record $517.2 million at the end of 2023.
Mr. Gundermann commented, “Our Aerospace business continues to accelerate nicely, with revenue up 22% for the quarter and 31% for the year. Operating margins reflected the top line growth at 8.5% for the quarter and 4.1% for the year, significantly ahead of the comparator numbers for 2022. Demand remains strong with total bookings of $664 million in 2023, against sales of $605 million, for a book-to-bill of 1.10, supporting our expectation of continued growth in 2024.”
Test Systems Segment Review (refer to sales by market and segment data in accompanying tables)
Test Systems Fourth Quarter 2023 Results (compared with the prior-year period, unless noted otherwise)
Test Systems segment sales were $26.5 million, up $6.7 million primarily as a result of higher radio test revenue.
Test Systems segment operating loss was $0.2 million, an improvement over operating loss of $4.0 million in the fourth quarter of 2022. The improvement reflects higher sales volume coupled with the benefit of the realignment of staffing in the second quarter of 2023 and a $1.3 million decrease in litigation-related legal expenses. This helped to offset a $0.7 million increase in non-cash bonuses. Test Systems’ operating loss continues to be negatively affected by mix and under absorption of fixed costs due to volume. The Test Systems segment has been investing in significant new development programs which are expected to result in more profitable business in the near future.
Bookings for the Test Systems segment in the quarter were $11.2 million, for a book-to-bill ratio of 0.42:1 for the quarter. Backlog was $75.0 million at the end of 2023 compared with backlog of $93.7 million at the end of 2022.
Mr. Gundermann commented, “Our Test business ended the year with revenue of $84.4 million, up 14.5% over 2022. The business made significant progress as the year ended towards securing some significant contracts which are expected to result in a step up in volume as we move through 2024.”
Liquidity and Financing
Cash on hand at the end of the quarter was $11.3 million. Capital expenditures in the quarter were $1.6 million. Net debt was $161.2 million.
Cash used by operations was $1.7 million in the fourth quarter of 2023. During the quarter, accounts receivable increased $18.9 million while inventory decreased $10.7 million.
During the quarter, under its at-the-market offering, the Company sold 500,000 shares at an average price of $15.65 per share for net proceeds after offering expenses of $7.6 million.
David Burney, the Company’s Chief Financial Officer, said, “Liquidity continued to be tight during the quarter as investment in net working capital remained at elevated levels driven by higher accounts receivable from the strong fourth quarter sales. We made significant improvement in the second half of 2023 managing our inventory, which had grown significantly in the first half of the year. We are forecasting continuing improvement in inventory turnover and are forecasting cash flow from operations to be strong as we advance through 2024.”
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Astronics Corporation Reports 2023 Fourth Quarter and Full Year Financial Results
February 28, 2024
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He continued, “Our business is operating more smoothly and predictably with each passing quarter. As we are improving, we have reinitiated certain compensation and incentive programs that were suspended since the beginning of the pandemic. These programs normally pay out in cash, but are being paid in stock for now due to our cash position. We will revert to cash payments as liquidity allows.”
2024 Outlook
The Company expects 2024 revenue to be approximately $760 million to $795 million. The midpoint of this range would be a 13% increase over 2023 sales. Sales in the first quarter are expected to be approximately $170 million to $175 million and are projected to build progressively through the year.
Backlog at the end of the fourth quarter was $592.3 million, of which approximately $526.5 million is expected to ship in 2024. This represents about 68% of expected sales in 2024 at the mid-point of the range.
Planned capital expenditures for 2024 are expected to be in the range of $17 million to $22 million.
Peter Gundermann commented, “We expect 2024 will be another solid year of progress for our Company. First quarter sales are expected to be somewhat lighter than the fourth quarter due to customer schedules, but we expect continued strengthening in our top line throughout the rest of the year. Our guided range suggests another year of strong double-digit growth, and the higher volume will have a positive influence on our margins. We look forward to a year that will finally see us rebounding to the revenue level we were at in 2019 before the pandemic struck.”
Fourth Quarter 2023 Webcast and Conference Call
The Company will host a teleconference today at 4:45 p.m. ET. During the teleconference, management will review the financial and operating results for the period and discuss Astronics’ corporate strategy and outlook. A question-and-answer session will follow.
The Astronics conference call can be accessed by calling (412) 317-0518. The listen-only audio webcast can be monitored at investors.astronics.com. To listen to the archived call, dial (412) 317-6671 and enter replay pin number 10185538. The telephonic replay will be available from 8:45 p.m. on the day of the call through Wednesday, March 13, 2024. The webcast replay can be accessed via the investor relations section of the Company’s website where a transcript will also be posted once available.
About Astronics Corporation
Astronics Corporation (Nasdaq: ATRO) serves the world’s aerospace, defense, and other mission-critical industries with proven innovative technology solutions. Astronics works side-by-side with customers, integrating its array of power, connectivity, lighting, structures, interiors, and test technologies to solve complex challenges. For over 50 years, Astronics has delivered creative, customer-focused solutions with exceptional responsiveness. Today, global airframe manufacturers, airlines, military branches, completion centers, and Fortune 500 companies rely on the collaborative spirit and innovation of Astronics. The Company’s strategy is to increase its value by developing technologies and capabilities that provide innovative solutions to its targeted markets.
Safe Harbor Statement
This news release contains forward-looking statements as defined by the Securities Exchange Act of 1934. One can identify these forward-looking statements by the use of the words “expect,” “anticipate,” “plan,” “may,” “will,” “estimate” or other similar expressions and include all statements with regard to achieving any revenue or profitability expectations, the rate of recovery of the commercial aerospace widebody/long haul markets, the improvement in the supply chain, the productivity of manufacturing personnel and efficiency of staff, the effectiveness on profitability of cost reduction efforts, the timing of receipt of task orders or future orders, the continued momentum in the business and favorable tailwinds,
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Astronics Corporation Reports 2023 Fourth Quarter and Full Year Financial Results
February 28, 2024
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and the expectations of demand by customers and markets. Because such statements apply to future events, they are subject to risks and uncertainties that could cause actual results to differ materially from those contemplated by the statements. Important factors that could cause actual results to differ materially from what may be stated here include the impact of global pandemics and related governmental and other actions taken in response, the trend in growth with passenger power and connectivity on airplanes, the state of the aerospace and defense industries, the market acceptance of newly developed products, internal production capabilities, the timing of orders received, the status of customer certification processes and delivery schedules, the demand for and market acceptance of new or existing aircraft which contain the Company’s products, the need for new and advanced test and simulation equipment, customer preferences and relationships, the effectiveness of the Company’s supply chain, and other factors which are described in filings by Astronics with the Securities and Exchange Commission. The Company assumes no obligation to update forward-looking information in this news release whether to reflect changed assumptions, the occurrence of unanticipated events or changes in future operating results, financial conditions or prospects, or otherwise.
FINANCIAL TABLES FOLLOW
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Astronics Corporation Reports 2023 Fourth Quarter and Full Year Financial Results
February 28, 2024
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ASTRONICS CORPORATION
CONSOLIDATED STATEMENT OF OPERATIONS DATA
(Unaudited, $ in thousands except per share data)


Three Months EndedYear Ended
12/31/202312/31/202212/31/202312/31/2022
Sales1$195,292 $158,153 $689,206 $534,894 
Cost of products sold2155,319 136,643 568,410 463,354 
Gross profit39,973 21,510 120,796 71,540 
Gross margin
20.5 %13.6 %17.5 %13.4 %
Selling, general and administrative332,191 24,677 127,467 101,584 
SG&A % of sales
16.5 %15.6 %18.5 %19.0 %
Income (loss) from operations7,782 (3,167)(6,671)(30,044)
Operating margin
4.0 %(2.0)%(1.0)%(5.6)%
Net gain on sale of business4— — 3,427 11,284 
Other expense (income)5301 431 (261)1,611 
Interest expense, net5,947 3,610 23,328 9,422 
Income (loss) before tax1,534 (7,208)(26,311)(29,793)
Income tax (benefit) expense(5,442)(429)110 5,954 
Net income (loss)$6,976 $(6,779)$(26,421)$(35,747)
Net income (loss) % of sales3.6 %(4.3)%(3.8)%(6.7)%
Basic earnings (loss) per share:$0.20 $(0.21)$(0.80)$(1.11)
Diluted earnings (loss) per share:$0.20 $(0.21)$(0.80)$(1.11)
Weighted average diluted shares
     outstanding (in thousands)
34,512 32,401 33,104 32,164 
Capital expenditures$1,606 $3,392 $7,643 $7,675 
Depreciation and amortization$6,346 $6,872 $26,104 $27,777 


1 In the year ended December 31, 2023, $5.8 million was recognized in sales related to the reversal of a deferred revenue liability recorded with a previous acquisition within our Test Systems Segment.
2 In the year ended December 31, 2023, $3.6 million in non-cash inventory reserves were recorded related to the bankruptcy of a non-core contract manufacturing customer included within the Aerospace segment. In the year ended December 31, 2022, $6.0 million of the Aviation Manufacturing Jobs Protection Program grant was recognized as an offset to cost of products sold.
3 Selling, general and administrative expense in the year ended December 31, 2023 includes $7.5 million in non-cash accounts receivable reserves related to the bankruptcy of a non-core contract manufacturing customer included within the Aerospace segment. The year ended December 31, 2022 reflects $4.6 million related to the settlement of a litigation claim, a customer accommodation dispute, and a lease termination settlement. In the fourth quarter of 2022, the Company was indemnified by other parties for approximately $1.5 million related to the settlement of the litigation claim and record the gain as an offset to SG&A in that period.
4 Net gain on sale of business for the year ended December 31, 2023 and 2022 is comprised of the additional gain on the sale of the Company’s former semiconductor test business resulting from the contingent earnout for the 2022 and 2021 calendar year, respectively.
5 Other expense (income) for the year ended December 31, 2023 includes income of $1.8 million associated with the reversal of a liability related to an equity investment, as we are no longer required to make the associated payment.
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Astronics Corporation Reports 2023 Fourth Quarter and Full Year Financial Results
February 28, 2024
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Reconciliation to Non-GAAP Performance Measures
In addition to reporting net income, a U.S. generally accepted accounting principle (“GAAP”) measure, we present Adjusted EBITDA (earnings before interest, income taxes, depreciation and amortization, non-cash equity-based compensation expense, goodwill, intangible and long-lived asset impairment charges, equity investment income or loss, legal reserves, settlements and recoveries, restructuring charges, gains or losses associated with the sale of businesses and grant benefits recorded related to the AMJP program), which is a non-GAAP measure. The Company’s management believes Adjusted EBITDA is an important measure of operating performance because it allows management, investors and others to evaluate and compare the performance of its core operations from period to period by removing the impact of the capital structure (interest), tangible and intangible asset base (depreciation and amortization), taxes, equity-based compensation expense, goodwill, intangible and long-lived asset impairment charges, equity investment income or loss, non-cash reserves related to customer bankruptcy filings, legal reserves, settlements and recoveries, litigation-related expenses, restructuring charges, gains or losses associated with the sale of businesses and grant benefits recorded related to the AMJP program, which is not commensurate with the core activities of the reporting period in which it is included. As such, the Company uses Adjusted EBITDA as a measure of performance when evaluating its business and as a basis for planning and forecasting. Adjusted EBITDA is not a measure of financial performance under GAAP and is not calculated through the application of GAAP. As such, it should not be considered as a substitute for the GAAP measure of net income and, therefore, should not be used in isolation of, but in conjunction with, the GAAP measure. Adjusted EBITDA, as presented, may produce results that vary from the GAAP measure and may not be comparable to a similarly defined non-GAAP measure used by other companies.
ASTRONICS CORPORATION
RECONCILIATION OF NET INCOME (LOSS) TO ADJUSTED EBITDA
(Unaudited, $ in thousands)
Consolidated
Three Months EndedYear Ended
12/31/202312/31/202212/31/202312/31/2022
Net income (loss)$6,976 $(6,779)$(26,421)$(35,747)
Add back (deduct):
Interest expense5,947 3,610 23,328 9,422 
Income tax (benefit) expense(5,442)(429)110 5,954 
Depreciation and amortization expense6,346 6,872 26,104 27,777 
Equity-based compensation expense1,595 1,319 7,198 6,497 
Non-cash stock bonus expense4,249 — 4,249 — 
Equity investment accrued payable write-off— — (1,800)— 
Restructuring-related charges including severance — — 564 199 
Legal reserve, settlements and recoveries— (1,500)(2,532)500 
Customer accommodation settlement— — — 2,100 
Lease termination settlement— — — 450 
Litigation-related legal expenses3,826 3,495 17,850 6,935 
Non-cash 401K contribution accrual1,333 1,212 5,106 4,512 
AMJP grant benefit— — — (6,008)
Net gain on sale of business— — (3,427)(11,284)
Non-cash reserves for customer bankruptcy— — 11,074 — 
Deferred liability recovery— — (5,824)— 
Adjusted EBITDA$24,830 $7,800 $55,579 $11,307 
Sales$195,292 $158,153 $689,206 $534,894 
Adjusted EBITDA margin12.7 %4.9 %8.1 %2.1 %


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Astronics Corporation Reports 2023 Fourth Quarter and Full Year Financial Results
February 28, 2024
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ASTRONICS CORPORATION
CONSOLIDATED BALANCE SHEET DATA
($ in thousands)
(unaudited)
12/31/202312/31/2022
ASSETS
Cash and cash equivalents$4,756 $13,778 
Restricted cash6,557 — 
Accounts receivable and uncompleted contracts172,108 147,790 
Inventories191,801 187,983 
Other current assets14,560 15,743 
Property, plant and equipment, net85,436 90,658 
Other long-term assets34,944 21,633 
Intangible assets, net65,420 79,277 
Goodwill58,210 58,169 
Total assets$633,792 $615,031 
LIABILITIES AND SHAREHOLDERS' EQUITY
Current maturities of long-term debt$8,996 $4,500 
Accounts payable and accrued expenses112,309 114,545 
Customer advances and deferred revenue22,029 32,567 
Long-term debt159,237 159,500 
Other liabilities81,703 63,999 
Shareholders' equity249,518 239,920 
Total liabilities and shareholders' equity$633,792 $615,031 

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Astronics Corporation Reports 2023 Fourth Quarter and Full Year Financial Results
February 28, 2024
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ASTRONICS CORPORATION
CONSOLIDATED CASH FLOWS DATA
Year Ended
(Unaudited, $ in thousands)December 31, 2023December 31, 2022
Cash flows from operating activities:
Net loss$(26,421)$(35,747)
Adjustments to reconcile net loss to cash flows from operating activities:
Non-cash items:
Depreciation and amortization26,104 27,777 
Amortization of deferred financing fees3,023 — 
Provisions for non-cash losses on inventory and receivables16,003 3,415 
Equity-based compensation expense7,198 6,497 
Deferred tax expense146 19 
Operating lease non-cash expense5,088 6,028 
Non-cash accrued 401K contribution5,106 4,512 
Non-cash accrued stock bonus expense4,249 — 
Net gain on sale of business, before taxes(3,427)(11,284)
Non-cash litigation provision adjustment(1,305)500 
Non-cash deferred liability recovery(5,824)— 
Other1,913 3,086 
Changes in operating assets and liabilities providing (using) cash:
Accounts receivable(31,872)(41,646)
Inventories(13,283)(34,058)
Accounts payable(4,495)27,843 
Accrued expenses4,634 1,193 
Income taxes(1,949)16,134 
Customer advanced payments and deferred revenue(4,835)5,264 
Operating lease liabilities(4,880)(7,295)
Supplemental retirement plan liabilities(408)(405)
Other assets and liabilities1,285 (145)
Net cash used by operating activities(23,950)(28,312)
Cash flows from investing activities:
Proceeds from sales of businesses and assets3,537 22,061 
Capital expenditures(7,643)(7,675)
Net cash (used) provided by investing activities(4,106)14,386 
Cash flows from financing activities:
Proceeds from long-term debt139,732 125,825 
Principal payments on long-term debt(131,233)(124,825)
Stock award and employee stock purchase plan (“ESPP”) activity2,476 97 
Proceeds from at-the-market (“ATM”) stock sales21,269 — 
Finance lease principal payments(47)(93)
Debt acquisition costs(6,762)(2,416)
Net cash provided (used) by financing activities25,435 (1,412)
Effect of exchange rates on cash156 (641)
Decrease in cash and cash equivalents and restricted cash(2,465)(15,979)
Cash and cash equivalents and restricted cash at beginning of year13,778 29,757 
Cash and cash equivalents and restricted cash at end of year$11,313 $13,778 
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Astronics Corporation Reports 2023 Fourth Quarter and Full Year Financial Results
February 28, 2024
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ASTRONICS CORPORATION
SEGMENT DATA
(Unaudited, $ in thousands)
Three Months EndedYear Ended
12/31/202312/31/202212/31/202312/31/2022
Sales
Aerospace$168,784 $138,335 $605,001 $461,206 
Less Inter-segment(37)— (171)(10)
Total Aerospace168,747 138,335 604,830 461,196 
Test Systems126,545 19,818 84,376 73,717 
Less Inter-segment— — — (19)
Total Test Systems26,545 19,818 84,376 73,698 
Total consolidated sales195,292 158,153 689,206 534,894 
Segment operating profit (loss) and margins
Aerospace214,287 5,202 24,629 (1,883)
8.5 %3.8 %4.1 %(0.4)%
Test Systems1
(224)(3,993)(8,745)(8,118)
(0.8)%(20.1)%(10.4)%(11.0)%
Total segment operating profit (loss)14,063 1,209 15,884 (10,001)
Net gain on sale of business— — 3,427 11,284 
Interest expense5,947 3,610 23,328 9,422 
Corporate expenses and other36,582 4,807 22,294 21,654 
Income (loss) before taxes$1,534 $(7,208)$(26,311)$(29,793)





1 In the year ended December 31, 2023, $5.8 million was recognized in sales related to the reversal of a deferred revenue liability recorded with a previous acquisition within our Test Systems segment, which also benefits operating loss for the period. Absent that benefit, Test Systems operating profit loss was $14.6 million.
2 Aerospace segment operating profit in the year ended December 31, 2023 includes reserves for $11.1 million in accounts receivable and inventory related to the bankruptcy filing of a non-core contract manufacturing customer classified within the Aerospace segment. In the year ended December 31, 2022, $6.0 million of the Aviation Manufacturing Jobs Protection Program grant was recognized as an offset to the cost of products sold in the Aerospace segment.
3 Corporate expenses and other for the year ended December 31, 2023 includes income of $1.8 million associated with the reversal of a liability related to an equity investment, as we will no longer be required to make the associated payment.
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Astronics Corporation Reports 2023 Fourth Quarter and Full Year Financial Results
February 28, 2024
Page 11    
ASTRONICS CORPORATION
SALES BY MARKET
(Unaudited, $ in thousands)
Three Months EndedYear Ended
2023 YTD
12/31/202312/31/2022% change12/31/202312/31/2022% change% of Sales
Aerospace Segment
Commercial Transport
$124,183 $102,843 20.8  %$432,199 $314,564 37.4  %62.8  %
Military Aircraft17,282 13,198 30.9  %61,617 54,534 13.0  %8.9  %
General Aviation20,186 14,647 37.8  %80,842 63,395 27.5  %11.7  %
Other
7,096 7,647 (7.2) %30,172 28,703 5.1  %4.4  %
Aerospace Total168,747 138,335 22.0  %604,830 461,196 31.1  %87.8  %
Test Systems Segment1
Government & Defense26,545 19,818 33.9  %84,376 73,698 14.5  %12.2  %
Total Sales$195,292 $158,153 23.5  %$689,206 $534,894 28.8  %
SALES BY PRODUCT LINE
(Unaudited, $ in thousands)
Three Months EndedYear Ended
2023 YTD
12/31/202312/31/2022% change12/31/202312/31/2022% change% of Sales
Aerospace Segment
Electrical Power & Motion
$82,337 $54,689 50.6  %$268,049 $187,446 43.0  %39.0  %
Lighting & Safety
40,467 34,008 19.0  %157,434 124,347 26.6  %22.8  %
Avionics
30,106 29,781 1.1  %113,117 97,234 16.3  %16.4  %
Systems Certification
6,423 10,566 (39.2) %26,255 17,222 52.5  %3.8  %
Structures
2,318 1,644 41.0  %9,803 6,244 57.0  %1.4  %
Other
7,096 7,647 (7.2) %30,172 28,703 5.1  %4.4  %
Aerospace Total168,747 138,335 22.0  %604,830 461,196 31.1  %87.8  %
Test Systems Segment1
26,545 19,818 33.9  %84,376 73,698 14.5  %12.2  %
Total Sales$195,292 $158,153 23.5  %$689,206 $534,894 28.8  %

1 Test Systems sales in the year ended December 31, 2023 included a $5.8 million reversal of a deferred revenue liability recorded with a previous acquisition.
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Astronics Corporation Reports 2023 Fourth Quarter and Full Year Financial Results
February 28, 2024
Page 12    
ASTRONICS CORPORATION
ORDER AND BACKLOG TREND
(Unaudited, $ in thousands)
  
Q1
2023
  
Q2
2023
  
Q3
2023
  
Q4
2023
Trailing Twelve
Months
4/1/20237/1/20239/30/202312/31/202312/31/2023
Sales
Aerospace$135,597 $158,382 $142,104 $168,747 $604,830 
Test Systems120,941 16,072 20,818 26,545 84,376 
Total Sales1
$156,538 $174,454 $162,922 $195,292 $689,206 
Bookings
Aerospace$150,096 $188,800 $153,272 $172,106 $664,274 
Test Systems7,740 18,252 22,724 11,176 59,892 
Total Bookings$157,836 $207,052 $175,996 $183,282 $724,166 
Backlog
Aerospace2$472,295 $502,713 $513,881 $517,240 
Test Systems86,319 88,499 90,405 75,036 
Total Backlog$558,614 $591,212 $604,286 $592,276 N/A
Book:Bill Ratio
Aerospace1.111.191.081.021.10
Test Systems1
0.511.141.090.420.76
Total Book:Bill1
1.051.191.080.941.06

a8ksegmentsalesbookingsq423.jpg
1 In the first quarter of 2023, Test Systems and Total sales include the $5.8 million reversal of a deferred revenue liability. The book:bill ratios have been calculated excluding the impact of that transaction.
2 In November of 2023, a non-core contract manufacturing customer reported within the Aerospace segment declared bankruptcy, and as a result, Aerospace and Total Backlog was reduced by $19.9 million in all periods affected. In the bar chart presented, Aerospace and Total Bookings was reduced by $2.6 million and $17.2 million in second and third quarters of 2021, respectively.
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v3.24.0.1
Document and Entity Information Document
Feb. 28, 2024
Cover [Abstract]  
Document Type 8-K
Document Period End Date Feb. 28, 2024
Entity Registrant Name ASTRONICS CORPORATION
Entity Central Index Key 0000008063
Amendment Flag false
Entity Incorporation, State or Country Code NY
Entity File Number 0-7087
Entity Tax Identification Number 16-0959303
Entity Address, Address Line One 130 Commerce Way
Entity Address, City or Town East Aurora
Entity Address, State or Province NY
Entity Address, Postal Zip Code 14052
City Area Code 716
Local Phone Number 805-1599
Title of 12(b) Security Common Stock, $.01 par value per share
Trading Symbol ATRO
Security Exchange Name NASDAQ
Written Communications false
Soliciting Material false
Pre-commencement Tender Offer false
Pre-commencement Issuer Tender Offer false
Entity Emerging Growth Company false
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