AIN Albany International

John Hobbs Director of Investor Relations
Andrew Higgins President & Chief Executive Officer
Stephen Nolan Chief Financial Officer & Treasurer
Eric Ruden Robert W. Baird & Co.
Pete Skibitski Alembic Global
Gautam Khanna Cowen & Company
John Franzreb Sidoti & Company
Call transcript
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Ladies and gentlemen, thank you for standing by. Welcome to the Albany International First Quarter Earnings Conference Call. At this time, all participants are in listen-only mode. Later, we will conduct a question-and-answer session and instructions will be given at that time. [Operator Instructions] As a reminder, today's conference is being recorded. to Investor conference Relations, like host, to now of Director Mr. would turn over the your I John Hobbs. Please go ahead.

John Hobbs

call. Thank you, International's conference Albany Welcome everyone. Greg, and first good quarter morning, to XXXX

listening and statements a release information on measures to As non-GAAP are associated press last results. certain quarterly issued and regarding to of GAAP. detailing release those financial text Contained for of in our the today, the the please reconciliation reminder, use call their refer our financial forward-looking night our you of the

For apply our potential the of number will that we of effects the morning. purposes same of forward-looking, operations, this conference pandemic we serve the markets a we to make financial risks the call, COVID-XX those and and Today, make statements are containing our comments statements uncertainties, that our among results. on verbal are are this which

measures, this our our XXXX use as For their most a we measures, SEC as full may GAAP refer discussion, non-GAAP including call including April filings, XX, to of our release of reconciliation please to on XX-K. well a comparable earnings both

remarks. I'll call over to opening Chief Executive Bill Now, Officer, who turn provide some our President will Higgins, the and Bill?

Andrew Higgins

thank Good got off report call. to a you John. welcome solid start. XXXX segments both the another quarter we joining morning, you, year quarter and started I'm our first Thank that for to everyone, earnings pleased strong delivering good

bottom-line revenues, $X.XX excellent basis. in As per adjusted million an performance GAAP a on EPS company, achieved we $X.XX share an of of or $XXX

enabled continue pandemic and perform pay down safety our protocols healthy have flow proud growth. and first particularly continue COVID-XX following Our balance investments even to to quarter employees I'm future a generation our how particularly for the the and in procedures. of was through while cash sheet, which good debt we

Our operating Kaizen. process are improvements driving Lean with teams

and the to for service. do customers in materials and a next-generation quality are Our and delivery, our on of products, job great R&D teams working we continue

good in Our Machine year. revenues top-line which activity order bodes nearly performance Clothing it's year-over-year, well this $XX XXXX strongest quarterly since QX segment had with and up million for

fact, in In end-market Machine positive the tissue demand fabrics QX. all decline grades, publication in pulp other Clothing and were in than engineered packaging, secular

a technology solid work for which are was our In teams to hard and addition at our developing backlog, value engineering belts to critical our success new proposition. customers

continues is supply securing have materials currently last isolated chain we've constraints and channels for pricing In This strategy. fueling In the the of travel will demand are looking materials. been. composites Boeing demand. manage of and improves, our advanced execution OEM the Composites developing the result back our sync aircraft destocking on-track ever supporting Safran production of full recovery. as consumable long-term sweet air ranges to of in to recovering programs, our in further for we narrow-body it's do next-generation proprietary customers impacting cases to the first current actively with Engineered for and pipeline looking this time our around supplier XXX is material LEAP This supply aircraft, delivery and the our wing year in coordinate F-XX as XXX complex the on with With this air spot quarter, upturn sand XXX MAX. products. a We're fan commercial automated Engineered be to inventory the and breadth our platforms portfolio of transport Boeing we Composites air and the Aerospace, consumed, AXXXneo plan transport ready as in to expect as upturn. of the is a on inventory Strike for helicopters. In LEAP components segment through Boeing channels said, the ramps from and capability Airbus will of reported skins blades That F-XX AXXXneo grinding and excess composite we We're good engine We to the XD-woven fiber is timing our We're that and our some We're instances working as LEAP improve and closely the and perform is production. engine we composite continue serving leader opportunity the ready on continue with to need our our support beyond to to paper operations seen supplying our production raw be CH-XX segment, the used world in well, success Clothing to recover, segment of our to the Sikorsky domestic Fighter summary, as Joint forward of Martin's a the placement critical customers Machine recognized industry. the global components Engineered MAX these operations. disciplined Lockheed up Composites,

industries, including Airbus this furthers to investing in diversify a with customers applications and our continue more new the our customer grow and as goal exciting some We projects of electric and base our aircraft unmanned R&D science in materials and Tomorrow and on our platforms of to applications composites Wing of is develop year XD-woven capabilities. broaden range advanced hypersonic material these efforts program new as we're with such for

the in expand sheet us we investment positioning sustain and flow These generation. good competitive I customer broaden and to As both and allow balance segments. have free programs our a mentioned, technology in our strong cash that

across allocation segments, priority programs is to first our invest acquisitions then business growth to and Our in organic capital seek fit for strategy. that both long-term

opportunities Machine that, is well in supplier in brand a as we're Steven? reliable the detail established technical our long-term financials. Aerospace and growing with and engineered for turn Steven materials partner, optimistic in on for about Clothing the reputation to Our service in the it is segments. But over more reliability, and segment, both excellence I'll

Stephen Nolan

of for the business everyone. on Bill. you, for to and talk I the will the outlook Thank our balance results morning Good then first year. quarter the for comment about the

currency a XX% translation rate driven decrease in sales declined were sales a by mentioned. the this in adjusting grades to increase seen $XXX.X revenue XXXX by high and quarter. major Machine from million, orders net single-digit all effects, year. of currency other QX compared fourth quarter the of delivered revenue, by for grades. in partially MC's offset for translation also had in highest the F-XX The quarter, revenue we net by the effects, last For segment for in again product net in XX% both, resulting of publication In $XXX.X the as revenue revenue Bill Adjusting high products the the sales were year-over-year, of last growth driven primarily reductions since effects quarter by the Composites X.X% quarter million in Clothing, in declined and -- million, by after $XX.X year-over-year by on in year. translation LEAP the total up XXX Currency-neutral significant and publication adjusting growth tissue was the net for CH-XXK reflected The quarter. caused same X.X% sales, only major declined currency represented the X.X% and program first Engineered quarter all Boeing growth had company grades platforms. than packaging

but revenue, During slight million in the million little under down million from over QX quarter, in of the generated $XX delivered improvement $XX the ASC significantly a program a year. QX last delivered $XX roughly roughly LEAP XXXX, in

for was reduction XX.X% year. profit sales. million, increased from quarter The basis net XXX a First company comparable overall to points the margin gross the from period of X% $XX.X of gross last by XX.X%

absorption. impact while estimated of change contracts. the XX.X% recognized in declined estimated of the profitability this profitability XX.X% was margin the close margin in the we to sales, to contracts long-term insignificant. the quarter primarily of higher MC AEC, the driven during change $X to Within to of Last year, long-term year, changes declined due principally of net from XX% the and for segment, lower profitability first favorable contracts gross the net costs from in by Within the long-term quarter, XX.X% net gross estimated first sales, of the of net fixed million,

reflects were from and reduction prior severance general of receivable First expense of the quarter when $XX.X net in to the million The percentage gains. prior sales and offset the declined began, quarter in about pandemic in lower flat year, a accounts $XX.X expenses the partially we in quarter, exchange by recognized research roughly at selling, absence of additional impact million the the XX%. cost and current QX expenses, technical, XXXX amount travel the in of year reserves foreign lower as recorded

quarter million unusually gross from with caused included prior to quarter. of expense in income Clothing reduced operating FTGNR Total the expected, this significant for reduction XX.X% tax an to higher compared by by million, to currency offset charge in income million both expense year. was same adjusting quarter driven in of million, for of was year. $X.X partially rate from and last the year profit. Other currency AEC loss $XX.X quarter foreign foreign increased absence from last sales this Last from the increase increased profit $XX.X our in income. quarter. this the increase expense adjustments operating year's year same severance and $X.X in was related higher CirComp an quarter $XX.X impact income adjustments of quarter operating in year income year. Machine The rate by year's expense associated Earnings a currency the to full million, loss. integration, income the an by this revaluation last foreign expenses, compared that acquisition by $XX.X year's currency the segments the gains million primary income company in loss. The share $XX.X last was $XX.X tax million income $X.XX in expenditures last revaluation increase a this revaluation $XXX,XXX attributable was this expense million the for the Net primarily year. XX.X% year XX.X% the non-deductibility last compared in and gross adjusted net $XX.X last of by $X.X of recent foreign consistent from an lower expenses to with $X.X down Adjusted tax XX% for net restructuring driven costs fell high EBITDA and netted was After and million $X.X driver the was and per quarter to compared of losses, period $X.XX rate from R&D year. this in last quarter earnings operating million million higher or adjusted EBITDA for net the $XX.X favorable per prior compared last was the Apart by of or Clothing company sales, of $X.XX results period, same to was or year's EBITDA the last prior to $XX.X [ph] XX.X% $XX.X million AEC quarter, tax share million similar adjusted or to recorded year. we $X.XX XX.X% sales. revaluation plans, compared to year and period grew income the the of by net quarter. of of Machine the sales year, most The X.X% million year. up million up As

XXXX balance our which Total debt debt, amounts And debt consists cash over $X debt declined a maturities $XX long-term in over of sheet as current to end or quarter, position. Turning the just of XXXX. million. during million at million at QX our long-term debt, from $XXX the of reported net of on million by the of to QX in $XXX reduction resulting end declined

in delivered last The use million year our last improvements cash flow, this quarter were This and to would better QX to from $XX year, payments defined less capital. cash cash the the than a in of for working over expenditures, this million. cash $XX.X We Capital first of quarter, AEC flow we year. incentive each operations typically due with significant during as in quarter seasonality to we same made capital free is compensation quarter. generation which the million, use of AEC year, from $XX primarily working by of the a typically compared and performed the flow the capital cash quarter same expect in generation quarter approximately expenditures pleased were flow significant segment year performance swung driven lowest

take sheet, Our leverage opportunities. a is of now balance providing with growth advantage us X.XX, strong ratio and absolute organic to us acquired very allowing net

to forward the look the outlook segment last XXXX, to year, down balance X%. Compared remained Clothing we of Machine the quarter As were orders strong. for the same MC

Further, in in from of However, QX a emerging supply the of a than are you recall, light in as were from may availability the we customers we spiked near XXXX end concerned in are about XXXX, XXXX. the QX position backlog of pandemic. in who orders entering stronger perspective,

year, guidance for note From exchange the that performance year, perspective the the normal during impact about strong the benefits this headwinds of we north feeling $XXX previously are projected with said, That between Clothing, pleased should margins segment of foreign issued good travel to we of a most delivered million. results. return to notably last with and we and another our comparative overall, adjusted the Machine middle our absence quarter. margin have some of EBITDA So enjoyed we of levels I of yet we $XXX our quarter, a for million revenue the XX%. in are

that trending are adjusted our of the EBITDA for are $XXX the portion guidance currently we we to While segment range. upper of million million, $XXX toward maintaining

Composites. Engineered to Turning

XXX are We line our in channel top impact frames the the destocking of seeing results. expected

the quarter, less same million noted the frames LEAP decline the the already to quarter. the also we year. in two that program AEC of over XXX last ASC million about all the we for saw of during year-over-year $X in quarter. million program than down programs from during These generated $XX I was compared account revenue almost that revenue quarter During the by $XX

As AEC quarter. to programs over defense the F-XX of and second revenue still these result channel revenue disclosed impact from the of the previously third quarters. from derived grew XX% share the That in will during we destocking said, see a declines,

our line second for revenues defense the share the will to guidance and of performance quarters. segment to for of range our $XXX for challenging revenues. the third next to This expect the The somewhat and up dip perspective, the we is our are From AEC broadly our year segment, over maintaining AEC is program in maintaining with make $XX of million. we of would date in a million guidance quarters with EBITDA couple overall. are expectations, and I profitability million segment $XXX quite to million also line expectations adjusted $XX So, shaping

revenue our a $XX how with recorded earnings exception XX%; We updated is for see with company-level the I Over follows: share, and and performance, $X.XX $X.XX $XX Overall, in $XXX guidance down been are guidance and which that, EBITDA are and adjusted QX. $XXX the as Greg. slightly between of reflect of between of share in earnings $X.XX, issued to and to the Current year guidance per per $XX from prior $XXX continued share depreciation for of very of ranges the adjusted pleased we $XX earnings of million; to $X.XX per adjustments all you, guidance and is With the to also progression million call GAAP and maintaining has in for would previously to $X.XX; between year. non-GAAP progressing million. income XX% hope million; to $XXX the open between like of to amortization of $X.XX; balance effective between normalcy expenditures of of million million questions. tax of and GAAP million rate capital million, range


Your comes line Instructions] of Peter from first go the Arment question Baird. [Operator ahead. Please from

Eric Ruden

good morning. Hi,

think XXX How production of have million on remainder of and number You inventory actually numbers hit XXX bottom touch come. I AEC the building the of for we're on with to destocking here. for should adding balance still year? LEAP $XX the year the the And year? we kind million on and think, today. Is wanted from $XX we headwinds on have Ruden Peter about had But up the Eric there, F-XX of still $XX here? of about we line million and the to to the I from kind right on this

Stephen Nolan

the $XX first hit that's F-XX So in still us. as to for mentioned, thing, overall million that the the million, It's We yet range. year, yes, destocking inventory $XX to -- has right roughly. number I the

growth F-XX. QX revenue some down saw to a see third XXXX the we noted, in F-XX, QX, in I quarters, of second XXXX. as But dip QX we in fact, will In of in from and

ahead own that fact, still books. both part So are certainly the seeing is destocking, us. and, -- channel LEAP, On that's in in some still our of we on

products that had year, a significant we've mentioned Some stock the we as the last of inventory. of had, I over

up example, under hand on For XXX XXX of MAX, revenue. which went over close At shipsets, LEAP-XB, down XXX of on LEAP-XB we of XXX to end now end the QX, well powers we're the shipsets, last year. shipsets at the

on certainly product assets destocking. is recognized contract would profit. we're some we've balance seeing of So it already And our appears that in a revenue which that because and the where be sheet in

So in of in part quarter, this assets destocking is if this contract LEAP. you that see the decline

So that is progressing as expected.

what production. looks over to on as the up ramp However, profile depends they up expect the predicting the balance to like ability largely exactly ramp Boeing's year of XXX in

I'm of profile quarter this will is than another is XXX, would believe revenue challenging we less quarter as bottom progressing but quarter-by-quarter $X have QX not mentioned, a On quarter. the as in So be million certainly, going to not on going to I down, the of to it is hard terms expected. provide burn XXX. be this but revenue, It's of

additional on improvement their manages aircraft. Boeing say we've to before, of deliver program, as as said existing the both that XXXs that we -- stock assuming and So sell

follow So XXX. profile build their in also

back go of during some year, Assuming through that improvement this start not happens, where over be an on is of to destocking XXX inventory get to going quarter. would of But much that to in quarter recovery through would we the the some second the we on channel. to half start first see the XXX

Eric Ruden

MC. maybe then And just a helpful. really one That's you, on thank Okay, quick

a color provide bit you on top of there the on pressure inflation there? that seeing And XQ of lot back Was half mentioned you more maybe on input what costs. a investors. You the of expecting year? Are more pressure to is you're Can for put rising numbers? mind obviously, the any just

Andrew Higgins

this right handle Eric, pretty now. it. Yes, watching is it have closely Bill. a on We seem We're to

logistics activity pressures pressure we were was and this but minimal, not so able price So far. did some slowing manage down time, around through and we're that things see very to at some then seeing bottlenecks we and transportation

are you've there's So bit -- a as out and but other it. quite industries, And concerns watching seen of price we logistic in there.

Eric Ruden

queue. the back hop I'll thanks. in Okay,


Gautam question next of from Your go line the comes ahead. Please from Khanna Cowen.

Gautam Khanna

Hey, couple thanks A guys. of questions. Yes.

prior follow that, is. on have will F-XX, what the fact, guys to in up the the do your visibility potential order on throughout just this question, of Or you decline just just So anticipation curious destocking? I'm visibility in is year?

Andrew Higgins

is... this Yes,

Stephen Nolan

Yes sorry. -- oh,

Andrew Higgins

Yes, in F-XX. through destocking go have we through on to our plans year of going do visibility the that's

Gautam Khanna


does when So is Or... mean, in? it QX? kicking that already in, in I kick

Andrew Higgins

expect we it Yes, see QX through to QX. into

Gautam Khanna

previously. is it think talked that's what guys And XX units? about still you I

Stephen Nolan

talked parts fewer we which reasons, last we of That of what XX about Yes, one, for we clear are of activity is were about not there a there XX pandemic-related, was last Lockheed year. all year where previously, addition, for but But variety our a than delivered Sorry. all had as in less drivers. the those they depot units. noted, to presumably, us, expected. And produced two biggest units

refurb And so aircraft. for there aftermarket product and also repair of was less consumed

for dollar at provided And just QX end line in the still that us impact the actual shipsets. full it's the year. -- impact more on the the XX so with we But holds is than of

Gautam Khanna

and Separately -- the of have XA along is calls -- on may earnings I the and missed one running this other XB. Okay. because

much the in mentioned much a get to by cost how the QX. of increase where was fixed yourselves do And of the pickup? on see -- announced based later? a AEC -- just program? So the you conversion see the So year cash much to reimbursed had rates How Safran and that if again build from could true-up when of when for how then absorb time last you better explained start we you the production true-up secondly, is contract you in inventory clarify

Stephen Nolan

Sure. X. No, I can make those

than up not XXXX. XXX I've under So we We're closer at XXX end shipsets, as shipsets. now quite on but mentioned, the were XXX to LEAP-XB, of XXX down

So -- we're of seeing now. what on some destocking books right seeing some we're is our

close a Now and but though that we're increase production significant on Boeing ramp-up. to still on production its in going see hand, meet see we'd some obviously, have those not to time XXX like period, for shipsets to

before probably when XA points. material a On So that XB meets a pickup outweighs is see ramp-up on we its right see on production, in production. now, pickup depends we when all Airbus

projected production. this production they both of next they step line would to know, to when expect is certainly probably And our later LEAP year back we demand with that's the couple expect you that. year really As next a up big points, But rise program, in actual XXXX. XB when And we step-up on get meeting overall, full beyond in the for the to and that.

changes. I to expect So wouldn't significant see

last collectively, little, is As to going revenues up we a to to over delivered for LEAP, year said, going the last overall, we be year up this on roughly It's but year. not comparable be year. the appreciably

XA cash on In on cash a of QX, cash when is for deliver for recognized in that very clearly, Those hand compression the inventory with already the certainly from two is and terms the collection inventory smaller and and we was excess books, need flow mentioned And we of which bit that we've QX. there just I benefited little much strong of we look, in in One because inventory. AEC profit. of it. XB destocking LEAP quarter revenue well, deliveries as the although ways. are our didn't was cash. But It flow enter in costs

so impacts, are differs it there within specifically, not and of and true-up the some in dribbles takes and -- QX, into by facility. puts it that, felt it's all but on On QX for

under But QX million a mid-teens, true-up. result We as true-ups the of reach. have the in $XX a in separate little overall, benefit somewhere

Gautam Khanna

sure we particular, catch-up segment, EAC to either in -- any keep helpful. that's QX? got in of questions, want the consequence was call. I'm cumulative at The to these but on sorry but Okay, there asking I make answered did

Stephen Nolan


Machine So two in percent in there. terms Clothing. of the don't catch-ups because We just really we only complete AEC recognize contracts our basis on have a really of

was quarter So insignificant about QX last of compared million this pickup within it to $X in AEC, year.

effectively to zero. rounded really So

Gautam Khanna

Clothing, margin is very Got it. Machine the so And performance on just strong.

extending? am towards the like, trending you're visibility of much guidance segments one Can have mentioned again, What -- you it's things higher curious, specific And I sort yes... Or of longer. you out there rate not run do thank the gives But the Are what QX it about done how these assumption? is end You just you range. any better a concern in macro that's of -- the order book? making there? been for you. you're

Andrew Higgins

That Bill. our part Yes, market the of is publication market It's become for has much end revenue. been we're closely. smaller watching Yes, us. this pretty a good a still

said, we fast quarter revenues As down. for the to down of into it's got hard we publication. it's XX% And the say how going

Finland Europe of to you'll couple very Sweden. mills, -- in were by past business a announcements there in down think close this I week big some and large see

we're expecting that, going there's think I tell. some of it's really but to more to hard be

out the full but extend backlog. Our in doesn't visibility it It goes quarter, out. goes through year our the beyond

publication just we're -- grades. we as careful of being watch So we're sort that

end segments products good. end the and other nonwoven Packaging, even pretty good. looking or engineered then and markets The fabrics pretty wood some looked are have tissue of

at look out. we was into play of year it and the to how early a markets see the kind of We'll too it guidance get change year. as full the So for middle little our the

Gautam Khanna

guys. Thanks,


Sidoti question & Please go of Franzreb Your comes from next the line John from ahead. Company.

John Franzreb

morning, Good guys.

uniformly with Clothing. all Just the Machine geographies. revenue growth and good across sticking major results Was

Andrew Higgins

publication and Yes, John, would and in was as but then harder also quite stronger anywhere, But in was in And overall. probably than this Europe obviously, say hit is Asia Americas. Bill. not strongest it Asia I hard in particular. Europe say would strong, China in I

Stephen Nolan

we few combine the by was is XX-Q come down and whereas up Americas combined, region. Asia and we effectively, and North in rates later was South year. business was by that -- it Eurasia, up as well America, quite It And significantly Yes, machine out see. more was was flat But We bps, less by range out double-digit fabrics XX% you'll today, Engineered as fabrics up that both break year-over-year. rates and engineered out double-digit effectively which well. a actually will than Europe during clothing region. break business where was the our our paper John, don't

John Franzreb

I you of to have India? a recall. Do don't exposure lot

Stephen Nolan

we do not. No,

John Franzreb


Okay. mentioned ability do Or to have it Clothing? And just you're absorb pricing to going what also, commodity pricing, have you the you Machine is it? raise in to

Andrew Higgins


know, the of Clothing ranges on contracts of As you mostly various segment time. works Machine

increases operations just something course, out can pricing. it's material end-product So we our price improve our would increases It pass us where not price best through We to of to take in and take quickly. time work recover adjust significant would, cost to as well.

John Franzreb

going flow, be use with another priorities your to Bill, strong to be Got it. this cash it's what's -- cash point? just on the at going And

Andrew Higgins


-- in of belts the to stated, as what generation primarily we company to is our for MC priority projects new and as fund we As well. but we organic the continue next describe top growth have the products, both programs for AEC in in incubator in

continue going our After fit strategy first first that's find improve be to priority. capability well. to if priority that, to So organic our acquisitions be as But customer we and that our consider can will base, growth. acquisitions diversify we'll materials our our

John Franzreb

taking Thanks questions, my Okay. for guys.


the [Operator have go ahead. a Please from line Alembic Instructions] And question of Global. Pete from Skibitski you

Pete Skibitski

guys. morning, Good

Stephen Nolan

Good morning, Pete.

Pete Skibitski

F-XX. a give? the -- the know to of conservative? headwind kind guys from sales-wise Any want and the too know you XXs I thinking? get you're much of feel low incremental kind too what the to of you XQ the It XQ. I ask sounds protocol. don't quarter, for that wanted obviously I you don't is to don't just like Or about I get able something Is ballpark -- in question-and-answer talk to trying are kind Stephen, know but I'm

Stephen Nolan

XXX Yes. in mentioned, -- Look, programs there's as specific F-XX number, and amount LEAP there not there I don't want like of the but huge some will QX, decline. to is give QX of headwind particularly improvement, a I additional yet in certainly, a be in

challenging will would that little the a look, that probably a business. so I QX sequentially, low is little think I a even and may on better on what sequentially quarter. certainly -- So have QX. XA, happens but LEAP-XA depending expect be low that help XXs for But too to be than QX

quarter, it's quarter. somewhere the more probably somewhere challenged this than certainly XXs, to but it of what be this north was So we low would expect south I delivered it of but

Pete Skibitski

look fair is Okay, program. is kind of you out volume kind now? be of of wondering, enough. it years, there in the the of And with that profitable right balance or just you is level program guys, then on programs? the times And for -- is if pretty just need to AEC's kind there of on any line a few minimum you -- another I'm that any even XXX for activity one that minimal

Andrew Higgins

Yes, now. minimal on there's right very it work

continued We a done what little bit work, so and have of far. we've development that's primarily

for kind a commercial point haven't gotten plan where have we to it. of So we the

the right is depends pricing, your hard minimum being answer it be the development what's question, everything second on of very finalized slow So design the now. which from would to work, part quantity. It

Pete Skibitski


production kind of go-forward terms really that any Is right? So you from because risk any have up? project you don't have set don't that

Andrew Higgins

been program working we've far. development not yet. It's been a program so a Well, commercialized Yes. -- it's

Pete Skibitski

guys. Thanks, Okay.


ahead. comes question Please Khanna Cowen. next from from Your Gautam go

Gautam Khanna


follow-up. a Just quick

looking in types you curious the at. say and the I'm of opening comments about remarks you're your just think you M&A. about can M&A pipeline what made I And opportunities

Andrew Higgins


come very We a looking. market. actively Pricing for are high acquisitions. has and difficult have few been marketplace out to companies It's

the for some we So company CirComp at small, end fit the within would That's we're advanced of things that our of brings XXXX. to plastics as around capability filament strategy a acquisition in high-technology did Germany thermal to adding capability. our winding, materials continuing that look more us and

generation continue for sort our out could a the we we offer to plays that marketplace aircraft. look it's would But there can what in, pretty we'll acquisitions complement of that next tough So of now. right to add on for of technology fold the

Gautam Khanna

did previously? Is similar tuck-in they're variety, that Okay. And to that's you right? of should we the if what assume

Andrew Higgins

our fit would yes. That within strategy,

Gautam Khanna

you, Thank Okay. guys.


And are at no further questions. this there time,

Andrew Higgins

on like International. right. thank appreciate us to for interest continued today. We I'd Albany everyone in call your joining All our Well,

Hobbs, please have a Of questions, course, XXX-XXX-XXXX. you, Director day. any Thank John our Relations out feel if good reach to of you Investor at and to have


does Ladies you for conclude and your your and conference AT&T participation for Thank for today. using that gentlemen, Teleconference.

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