CPI Aerostructures Inc., citing the timing of delivery orders for its aircraft assemblies, Tuesday reported lower sales and profits in the first quarter.
Revenue fell 9.1 percent to $19.9 million compared to the 2014 period, the Edgewood aerospace manufacturer reported, and net income declined to $928,120, or 11 cents per diluted share, compared to $1.7 million, or 20 cents per diluted share.
"Our first quarter 2015 results were in line with our expectations for 2015 as a whole, with performance for the second half of the year expected to be much stronger than the first half due to the timing of delivery orders associated with several recently announced major programs," chief executive Douglas McCrosson said in a statement.
A decline in revenue from military contracts was offset in part by growth in contracts from commercial aviation companies, including Honda and Embraer, he said. Commercial aviation revenue climbed to $9.2 million versus $7.2 million in the year-ago quarter.
McCrosson said that three recent defense program awards are expected to buoy revenue: a potential $53.5 million contract from the Defense Logistics Agency for structural wing components and logistical support for F-16 aircraft maintenance; a potential $49 million contract to provide structural modification kits for the T-38 Pacer Classic II jet trainer, and an $86.1 million deal with Northrop Grumman Corp. for outer wing panel kits.