Key Points – ATS reported fiscal 2026 revenue and adjusted earnings from operations up about 11%, but fourth-quarter bookings fell 18% year over year as the prior period included several large enterprise orders. – The company is undertaking a major restructuring of its…
ansportation operations, including moving away from large automotive projects and embedding services into business units, with the goal of improving margins, cash flow and capital efficiency. – Management guided for modest fiscal 2027 revenue growth and expects adjusted earnings from operations margins to improve by 50 to 75 basis points, supported by restructuring savings and a stronger mix of higher-margin recurring revenue. – These 2 Stocks Help Put an Industrial Spin on AI ATS (NYSE:ATS) reported higher fiscal 2026 revenue and adjusted earnings from operations, while outlining a series of restructuring actions aimed at improving margins, cash generation and capital efficiency heading into fiscal 2027. Chief Executive Officer Doug Wright said full-year revenue and adjusted earnings from operations each grew by approximately 11%, reflecting “solid execution across the platform.” In the fourth quarter, adjusted revenue rose more than 3% from the prior year, while order bookings declined 18%, which management attributed to several large enterprise orders in the prior-year period
Wright, who joined ATS in January, said his focus is on converting the company’s engineering and automation capabilities into stronger financial performance. He cited margin improvement, free cash flow generation, a higher mix of aftermarket revenue, stronger commercial execution, innovation and better asset utilization as priorities. Transportation Operations to Be Repositioned Management said ATS is consolidating businesses previously involved in transportation and shifting capacity toward other areas.
Wright said ATS is moving away from large-scale automotive projects and repositioning related capabilities into…