v3.26.3
Segment Information
 6 Months Ended 12 Months Ended
Jun. 30, 2026
Dec. 31, 2025
Segment Reporting [Abstract]    
Segment Information

Note 5. Segment Information

The Company has two reportable segments, Electronic Components and Mechanical Components. The Company’s segment reporting structure is consistent with how the Chief Operating Decision Maker ("CODM") reviews the business, makes investment and resource-allocation decisions, and assesses operating performance.

The Company’s CODM is its Chief Executive Officer. The CODM evaluates the performance of the segments and allocates resources to them based on segment adjusted earnings before interest, taxes, depreciation and amortization adjusted for other non-cash or non-recurring items (“Segment Adjusted EBITDA”) that management believes are not reflective of the Company’s ongoing core operations.

Information on the Company’s two reportable segments, Electronic Components and Mechanical Components, was as follows:

 

 

Three Months Ended June 30, 2026

 

 

Electronic
Components

 

 

Mechanical
Components

 

 

Total

 

Revenue

 

$

214,847

 

 

$

285,881

 

 

$

500,728

 

Segment cost of revenue(1)

 

 

98,753

 

 

 

126,591

 

 

 

225,344

 

Segment selling, general and administrative expenses(2)

 

 

23,127

 

 

 

38,293

 

 

 

61,420

 

Other segment items(3)

 

 

(1,844

)

 

 

(355

)

 

 

(2,199

)

Segment Adjusted EBITDA

 

$

94,811

 

 

$

121,352

 

 

$

216,163

 

 

 

Three Months Ended June 30, 2025

 

 

Electronic
Components

 

 

Mechanical
Components

 

 

Total

 

Revenue

 

$

178,128

 

 

$

222,316

 

 

$

400,444

 

Segment cost of revenue(1)

 

 

81,458

 

 

 

110,060

 

 

 

191,518

 

Segment selling, general and administrative expenses(2)

 

 

23,218

 

 

 

35,622

 

 

 

58,840

 

Other segment items(3)

 

 

(1,150

)

 

 

(2,438

)

 

 

(3,588

)

Segment Adjusted EBITDA

 

$

74,602

 

 

$

79,072

 

 

$

153,674

 

 

 

Six Months Ended June 30, 2026

 

 

Electronic
Components

 

 

Mechanical
Components

 

 

Total

 

Revenue

 

$

416,116

 

 

$

543,470

 

 

$

959,586

 

Segment cost of revenue(1)

 

 

190,710

 

 

 

246,250

 

 

 

436,960

 

Segment selling, general and administrative expenses(2)

 

 

48,169

 

 

 

80,396

 

 

 

128,565

 

Other segment items(3)

 

 

(3,717

)

 

 

(1,326

)

 

 

(5,043

)

Segment Adjusted EBITDA

 

$

180,954

 

 

$

218,150

 

 

$

399,104

 

 

 

 

Six Months Ended June 30, 2025

 

 

Electronic
Components

 

 

Mechanical
Components

 

 

Total

 

Revenue

 

$

347,957

 

 

$

432,566

 

 

$

780,523

 

Segment cost of revenue(1)

 

 

160,516

 

 

 

218,760

 

 

 

379,276

 

Segment selling, general and administrative expenses(2)

 

 

44,297

 

 

 

73,969

 

 

 

118,266

 

Other segment items(3)

 

 

(1,240

)

 

 

(3,578

)

 

 

(4,818

)

Segment Adjusted EBITDA

 

$

144,384

 

 

$

143,415

 

 

$

287,799

 

 

(1)
Represents cost of revenue adjusted to exclude depreciation and amortization.
(2)
Represents selling, general and administrative expenses adjusted to exclude depreciation, transaction and other deal related expenses, acquisition and integration costs, restructuring related costs and non-cash share-based compensation expense.
(3)
Represents miscellaneous income and expense such as foreign currency gains and losses and other income.

The following table provides a reconciliation of Segment Adjusted EBITDA to Net income (loss) before income taxes for the periods presented:

 

 

Three Months Ended June 30,

 

 

Six Months Ended June 30,

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Segment Adjusted EBITDA

 

$

216,163

 

 

$

153,674

 

 

$

399,104

 

 

$

287,799

 

Less:

 

 

 

 

 

 

 

 

 

 

 

 

Corporate costs

 

 

4,665

 

 

—

 

 

 

12,411

 

 

—

 

Interest expense, net

 

 

39,427

 

 

 

57,356

 

 

 

83,385

 

 

 

125,616

 

Depreciation and amortization

 

 

52,028

 

 

 

49,099

 

 

 

103,556

 

 

 

98,093

 

Acquisition and integration costs

 

 

715

 

 

 

1,214

 

 

 

1,437

 

 

 

19,963

 

Restructuring costs

 

—

 

 

 

738

 

 

 

270

 

 

 

2,475

 

Transaction and other deal related expenses

 

 

1,819

 

 

 

4,074

 

 

 

9,044

 

 

 

4,955

 

Share-based compensation expense(1)

 

 

107,111

 

 

 

2,206

 

 

 

109,591

 

 

 

4,536

 

Other non-recurring adjustments(2)

 

 

11,812

 

 

 

9,901

 

 

 

11,812

 

 

 

9,901

 

Net income (loss) before income taxes

 

$

(1,414

)

 

$

29,086

 

 

$

67,598

 

 

$

22,260

 

 

(1)
Includes $7.5 million for employer taxes related to vested restricted stock units for the three and six months ended June 30, 2026.
(2)
Includes $13.3 million of expense related to the Convertible-Related Tax Receivable Agreement for the three and six months ended June 30, 2026.

Total assets by reportable segment were as follows:

 

 

June 30, 2026

 

 

December 31, 2025

 

Electronic Components

 

$

3,237,022

 

 

$

3,059,230

 

Mechanical Components

 

 

3,615,489

 

 

 

3,537,204

 

Other

 

 

154,141

 

 

—

 

Total assets

 

$

7,006,652

 

 

$

6,596,434

 

 

Capital expenditures by reportable segment were as follows:

 

 

Three Months Ended June 30,

 

 

Six Months Ended June 30,

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Electronic Components

 

$

4,745

 

 

$

2,297

 

 

$

8,695

 

 

$

4,391

 

Mechanical Components

 

 

5,842

 

 

 

10,303

 

 

 

13,595

 

 

 

17,004

 

Total capital expenditures

 

$

10,587

 

 

$

12,600

 

 

$

22,290

 

 

$

21,395

 

 

Note 5. Segment Information

The Company has two reportable segments, Electronic Components and Mechanical Components. The Company’s segment reporting structure is consistent with how the CODM reviews the business, makes investing and resource decisions, and assesses operating performance.

The Electronic Components segment provides specialized, highly engineered electronic components and interconnect solutions, including connectors, cable assemblies, microelectronic packaging, radio frequency and microwave products, power products, sensors, capacitors, and resistors.

The Mechanical Components segment designs and manufactures precision and self-lubricating bearings, seals, springs, gaskets and ducting, and shielding textiles.

The Company’s CODM is its Chief Executive Officer. The CODM evaluates the performance of the segments and allocates resources to them based on segment adjusted earnings before interest, taxes, depreciation and amortization adjusted for other non-cash or non-recurring items (“Segment Adjusted EBITDA”) that management believes are not reflective of the Company’s ongoing core operations. The CODM uses Segment Adjusted EBITDA to evaluate operating performance, review and assess the performance of the management team in connection with employee incentive programs and to prepare its annual budget and financial projections. The Company defines Segment Adjusted EBITDA as earnings before interest, taxes, depreciation and amortization, adjusted for certain non-core, non-operating, non-recurring, or non-cash items, including transaction and other deal related expenses, acquisition and integration costs, restructuring costs for restructuring programs, refinancing costs, and non-cash share-based compensation expenses. In addition, the CODM receives Cost of revenue, Selling, general and administrative expenses, Capital expenditures, and assets of each segment regularly to monitor cash flow and asset needs of each segment.

Information on the Company’s two reportable segments, Electronic Components and Mechanical Components, was as follows:

 

 

Year Ended December 31, 2025

 

 

Electronic
Components

 

 

Mechanical
Components

 

 

Total

 

Revenue

 

$

704,997

 

 

$

886,023

 

 

$

1,591,020

 

Segment cost of revenue(1)

 

 

335,217

 

 

 

437,067

 

 

 

772,284

 

Segment selling, general and administrative expenses(2)

 

 

97,868

 

 

 

155,499

 

 

 

253,367

 

Other segment items(3)

 

 

(3,083

)

 

 

(2,852

)

 

 

(5,935

)

Segment Adjusted EBITDA

 

$

274,995

 

 

$

296,309

 

 

$

571,304

 

 

 

Year Ended December 31, 2024

 

 

Electronic
Components

 

 

Mechanical
Components

 

 

Total

 

Revenue

 

$

360,515

 

 

$

382,477

 

 

$

742,992

 

Segment cost of revenue(1)

 

 

173,413

 

 

 

195,500

 

 

 

368,913

 

Segment selling, general and administrative expenses(2)

 

 

59,058

 

 

 

72,310

 

 

 

131,368

 

Other segment items(3)

 

 

(1,000

)

 

 

(288

)

 

 

(1,288

)

Segment Adjusted EBITDA

 

$

129,044

 

 

$

114,955

 

 

$

243,999

 

 

 

Year Ended December 31, 2023

 

 

Electronic
Components

 

 

Mechanical
Components

 

 

Total

 

Revenue

 

$

229,842

 

 

$

194,653

 

 

$

424,495

 

Segment cost of revenue(1)

 

 

116,112

 

 

 

103,767

 

 

 

219,879

 

Segment selling, general and administrative expenses(2)

 

 

47,897

 

 

 

32,386

 

 

 

80,283

 

Other segment items(3)

 

 

(211

)

 

 

(634

)

 

 

(845

)

Segment Adjusted EBITDA

 

$

66,044

 

 

$

59,134

 

 

$

125,178

 

 

(1)
Represents cost of revenue adjusted to exclude depreciation and amortization.
(2)
Represents selling, general and administrative expenses adjusted to exclude depreciation, transaction and other deal related expenses, acquisition and integration costs, restructuring related costs and non-cash share-based compensation expense.
(3)
Represents other income and expense adjustments that are non-recurring, non-operational, or not reflective of core performance, such as loss on disposal of assets, commercial commitments or legal settlements, income from transition services agreements and non-operational pension impacts.

The following table provides a reconciliation of Segment Adjusted EBITDA to Net income (loss) before income taxes for the periods presented:

 

 

Year Ended December 31,

 

 

2025

 

 

2024

 

 

2023

 

Segment Adjusted EBITDA

 

$

571,304

 

 

$

243,999

 

 

$

125,178

 

Interest expense, net

 

 

220,316

 

 

 

161,052

 

 

 

124,496

 

Depreciation and amortization

 

 

200,111

 

 

 

96,303

 

 

 

65,324

 

Acquisition and integration costs

 

 

23,313

 

 

 

25,788

 

 

 

2,900

 

Restructuring costs

 

 

3,772

 

 

 

14,108

 

 

 

1,402

 

Transaction and other deal related expenses

 

 

12,695

 

 

 

3,054

 

 

 

643

 

Share-based compensation expense

 

 

27,259

 

 

 

406

 

 

 

—

 

Refinancing costs

 

 

—

 

 

 

335

 

 

 

190

 

Other non-recurring adjustments

 

 

21,524

 

 

 

(4,047

)

 

 

(447

)

Net income (loss) before income taxes

 

$

62,314

 

 

$

(53,000

)

 

$

(69,330

)

 

Total assets by reportable segment were as follows:

 

 

December 31,

 

 

2025

 

 

2024

 

Electronic Components

 

$

3,059,230

 

 

$

2,995,245

 

Mechanical Components

 

 

3,537,204

 

 

 

3,322,345

 

Total assets

 

$

6,596,434

 

 

$

6,317,590

 

 

Capital expenditures by reportable segment were as follows:

 

 

Year Ended December 31,

 

 

2025

 

 

2024

 

 

2023

 

Electronic Components

 

$

11,247

 

 

$

12,595

 

 

$

7,035

 

Mechanical Components

 

 

31,178

 

 

 

16,294

 

 

 

5,467

 

Total capital expenditures

 

$

42,425

 

 

$

28,889

 

 

$

12,502

 

 

Geographic Information

Long-lived assets consist of Property, plant and equipment, net and Operating lease right-of-use assets, net. Long-lived assets by geographic area were as follows:

 

 

December 31,

 

 

2025

 

 

2024

 

North America

 

$

384,469

 

 

$

370,825

 

Europe

 

 

73,343

 

 

 

81,223

 

All other

 

 

4,768

 

 

 

5,427

 

Total long-lived assets

 

$

462,580

 

 

$

457,475