TAT Technologies Ltd. Q3 2026 Earnings Recap

TAT shares rose 22.0% after earnings, as investors rewarded record quarterly revenue and adjusted EBITDA alongside a sharp increase in gross margin. Management also pointed to strong demand, a healthy backlog and continued momentum into Q4 and 2027.

Key Takeaways

• Q3 revenue grew 20.2% year over year to a record $55.6 million; nine-month revenue was up 13.8% to $149.6 million.
• Gross profit rose 48.2% to $17.2 million, with record gross margin of 30.9%; the CEO said profitability grew faster than revenue.
• Adjusted EBITDA was nearly $11 million, a record, though the transcript excerpt provides no year-over-year comparison.
• Growth was supported by APUs, heat exchangers, and trading, leasing and distribution; management cited improved supply-chain conditions and operating efficiency.
• Management expects to finish 2026 on a strong note and sees momentum carrying into 2027, while noting higher oil prices raise concerns about air-travel outlook and airline spending.