DPC Holdings (DPC) Q2 2026 earnings summary

Executive summary

• Achieved record Q2 2026 revenue of $269 million, up 34% year-over-year, driven by strong Aerospace and IGT demand, with Engine Products up 39% overall, 49% in Europe, and 29% in North America.

• Adjusted EBITDA rose 33% to $48 million (17.8% margin); adjusted net income was $6 million, reversing a prior year loss.

• Net loss widened to $(131) million due to one-time IPO and incentive plan expenses.

• IPO and private placement proceeds improved net cash position to $274 million, repaid major debt, and resulted in an unleveraged balance sheet.

• Signed a fourth strategic customer partnership with an aerospace OEM, supporting a new greenfield superalloy facility in Alabama.

Financial highlights

• Q2 2026 revenue: $269 million (+34% YoY); adjusted EBITDA: $48 million (+33% YoY, 17.8% margin); adjusted net income: $6 million (vs. $(11) million loss prior year); adjusted EPS: $0.05.

• Net loss: $(131) million in Q2, mainly due to IPO and incentive plan expenses.

• Cash and cash equivalents at June 28, 2026: $846 million.

• Adjusted net cash position at $274 million as of June 28, 2026.

• Free cash flow for Q2 2026: $(36.5) million, reflecting elevated capital expenditure.

Outlook and guidance

• Full-year 2026 revenue guidance: $1,000–$1,040 million; adjusted EBITDA: $182–$187 million.

• Adjusted EBITDA margin expected around 19% excluding metal cost inflation pass-through.

• Growth driven by strong demand in Aerospace and IGT, with multi-year contracts, capacity expansions, and OEM order backlogs supporting long-term value creation.

• Margin improvement anticipated through operating leverage and pricing.

• Capital expenditures expected to remain elevated to support capacity expansions and strategic partnerships.