Welcome to Senior PLC's 2025 full-year results presentation. And thank you for making the effort to get here. And thanks also go to Deutsche Neumanns for hosting us here at their facility. And a warm welcome to for those of you joining remotely. Before we present our results, can I just address the elephant in the room? I'm sure that everyone saw our announcement last Friday regarding discussions with potential offerers. As you will appreciate, it is not appropriate to comment further here, other than to remind everyone that there can be no certainty that any offer will be made, nor as to the terms on which any firm offer might be made. Please refer to the full statement issued on Friday and restrain yourselves when we get to the Q&A from asking questions that you know we will not be able to answer. In terms of our agenda this morning, I will briefly cover the highlights. Alpna will run through and comment on the results, and then I will give an update on markets, investment proposition, and outlook. 2025 was a pivotal year for senior. We successfully completed the sale of our airstructures business to Sullivan Street Partners on the 31st of December 2025, a crucial element in delivering on our strategy to be a market-leading fluid conveyance and thermal management company supplying highly engineered products and systems. As Alpner will show in a few minutes, we had a strong financial performance with both divisions contributing well and our balance sheet is in great shape. That has allowed us to increase our total dividend to three pence per share, an increase of 25% compared to 2024. Trading in the first two months of 2026 has started well, and the board's expectations are unchanged for 2026. and looking ahead we are on track to achieve the medium term targets we set out last year which again Alpna will demonstrate. So before I talk about markets now Luke I'll hand over to Alpna to take us through the financial results.
Thank you David and good morning everyone. I'm pleased to take you through senior financial results for the 2025 financial year. It has been a year of strong financial performance across the group with continued momentum in both divisions and meaningful progress towards our medium-term financial targets. With that, turning to some of the key financial highlights. Revenue increased to £738 million, up 6% at constant currency. Adjusted operating profit rose 22% at constant FX to £63.6 million. And adjusted operating profit margin expanded by 110 basis points to 8.6% reflecting pricing, volume, increased commercial activity and operational improvements. Adjusted profit before tax was £51.2 million, up 24% at constant currency. and adjusted EPS grew 9% to 9.65 pence, demonstrating strong underlying earnings momentum. I'm pleased to say return on capital employed increased 140 basis points to 13.1% reflecting higher earnings. We also achieved cash conversion of 90%, up 400 basis points on the prior year. We have proposed a total dividend of three pence per share for 2025, an increase of 25% year on year. So this slide covers the revenue bridge. On a reported basis, revenue grew 4% to 738 million, with currency headwinds of roughly 10 million. On a constant currency basis, revenue was up 6%. Looking at divisional performance at constant FX, aerospace revenue increased 10% to £426 million. Civil aerospace revenue increased 9% year over year, largely driven by positive pricing and volume. Defence also had strong growth, up 12%, as we continue to see increased volumes for the F-35, the C-130 and other military programmes, and higher pricing. Revenue from adjusted markets increased 14%, largely driven by demand from the semiconductor equipment market. And in Flexonics, revenue was broadly flat at constant FX. 2025 saw a softening in the North American and European heavy-duty truck market but despite this our land vehicle revenue increased 1.6% with a ramp up of new programs. David will expand on this later. Revenue from power and energy markets decreased by 2%. Higher demand in our downstream oil and gas and nuclear business was offset by lower revenue in upstream oil and gas and other industrial sectors. Moving to the adjusted operating profit bridge. Adjusted operating profit increased 20% despite a modest 1 million FX headwind. Starting with 2024 on the left hand side of £53 million. Aerospace delivered the largest uplift of £12 million, benefiting from increased pricing, volume drop-through, mix and commercial settlements, as well as strong operational execution. Flexonics also contributed positively, supported by strong aftermarket sales in our downstream oil and gas and nuclear business, as well as restructuring initiatives. In addition, the contribution from our China joint venture was significantly higher year over year. Lastly, performance-related incentives associated with the group's improved results were charged through central costs, largely driving the increase there. We ended 2025 with adjusted operating profit of $63.6 million, an increase of 22% on a constant FX basis. So turning to divisional performance, aerospace had an excellent year. Book to bill increased from 1.17 to 1.21, driven by increasing demand and build rates. At constant FX, revenue was up 10.4%. Adjusted operating profit increased 32.5%, resulting in margin expansion of 190 basis points, reaching 11.4%. The Aerospace Division delivered on a number of fronts, including positive price increases, closing out a number of commercial settlements, as well as achieving operational efficiencies. Demand was strong across civil defence and adjacent markets, with Spencer, a US hydraulic fluid fittings business, delivering outstanding growth of 32% year over year, further demonstrating our ability to integrate value-enhancing bolt-on acquisitions. During the year, the Aerospace Division was awarded new contracts, as well as extensions of existing contracts. For example, we secured a multi-year contract for highly engineered aerospace standard parts from Airbus to be manufactured in Europe, and we were also awarded a three-year contract from an industry-leading distributor for high-pressure hydraulic fittings. Now on to Flexonics, where we delivered a resilient result in softer end market conditions. Book to Bill went from 1.01 to 0.93, given softer conditions in the heavy duty truck market, but also due to higher prior comparative, where we had a large project for expansion joints related to a new catafin plant in India. In addition our aftermarket business in downstream oil and gas tends to have relatively short lead times and therefore order flow can be lumpy. At constant FX revenue increased marginally and adjusted operating margins rose to 11.2% and to 12.1% when including the contribution from our China JV. We benefited from favourable aftermarket mix, particularly in our pathway business, as well as successful execution of restructuring in selected operations across North America and Europe. The China JV performed especially well, with our share of profit rising to £3 million from £1.2 million last year. The Flexonics division was awarded a number of important contracts this year. We were awarded the supply fluid conveyance assemblies for multiple light vehicles across diesel, gasoline and hybrid platforms by a global supplier. In addition, Flexonics was awarded exhaust gas recirculation callers on a new engine type to be used on multiple platforms by a leading global manufacturer of heavy-duty trucks. Slide 10 shows the reconciliation of adjusted operating profit to the statutory reported profit for the period for the continuing business. It also highlights our interest in tax charges. net finance costs increased by 1.3 million due to high interest rates on variable rate debt rate debt and higher average net debt in comparison to the prior year. IFRS 16 interest charge on lease liabilities increased by 0.4 million and we had net finance income from our pension plans of 2.1 million. A tax charge of 11.3 million was recognised on our adjusted profit before tax. We expect the effective tax rate of 20-22% for the full year 2025. In terms of reconciling adjusted profit to statutory profit, we had just under 1.6 million of amortisation, which was non-cash, related to acquisitions. Site relocation costs of 2.4 million for the transfer of manufacturing from our US to our cost-competitive facility in Mexico, as well as costs related to the relocation of our UK Innovation Centre in Wales. We had 7.3 million of pension benefit clarifications. These relate to the UK-defined benefit pension scheme buy-in, which took place in September 2025. As part of the due diligence work undertaken for the buy-in, some historical benefit clarifications were identified. Most of these have already been funded through the pension buy-in process. The remainder will be funded from the £23 million actuarial surplus. We had £5 million of restructuring initiatives, largely related to headcount reductions in flexonics across North America and Europe, as well as a result of softer end market conditions in the heavy-duty truck market. We had £0.8 million related to the fair value change on contingent consideration and other related costs for the Spencer acquisition and a £4.5 million tax benefit on adjusting items. After these adjustments, reported profit for the year was £27.3 million. moving to cash flow generation free cash flow increased 37% year over year to 36 million pounds we can see the key drivers here of adjusted operating profit to free cash flow starting from the left we have our adjusted operating profit of 64 million pounds add back of depreciation and amortization of 29 million and just over 6 million of other items Working capital outflow was £8 million, of which five related to inventory build to support customer demand, and the balance being a movement in receivables of £14 million and payables of £10 million. Working capital was circa 14% of sales in 2025, partly driven by the timing of customer collections at the year end. For 2026, we currently expect it to be 18% of sales to support customer demand, predominantly in aerospace. CapEx of £32 million equates to 1.5 times depreciation, excluding the impact of IFRS 16 depreciation. For 2026, CapEx is expected to be lower at 1.3 times as we continue to support growth in both divisions. operating cash flow amounted to 57 million we paid interest of 14 million and tax of 7.5 million giving us 36 million pounds of free cash flow our 2025 performance reflects higher profits strong working capital discipline and capex investment to support growth we remain focused on maintaining excellent cash generation as a core enabler of investment, shareholder returns and balance sheet strength. So what does that mean in terms of net debt? Well, net debt, including IFRS 16 leases, reduced significantly to £117 million at the year end, a reduction of over £110 million. Strong free cash flow proceeds from the aerostructures disposal and disciplined capital allocation contributed to this outcome. You see the opening net debt balance of £230 million on the left-hand side, the free cash flow I talked about of £36 million. We then see £3 million of free cash outflow for discontinued operations, dividends paid of £10 million, share purchases for the Employee Benefit Trust of £7.4 million, joint venture dividends received of 1 million, proceeds from the disposal of aerostructures and Spencer Aerospace contingent consideration of 108 million, as well as other items of 12 million, predominantly leases, and finally FX giving us our closing position of 117 million pounds. Leverage ended the year at 0.9 times, placing us in a strong financial position as we moved into 2026. Moving on to our financing position, which remains strong. We had 294 million of committed facilities diversified across US private placement notes and bank credit facilities during the year. We issued a new private placement note of 40 million US dollars. We repaid US private placement maturities totaling 60 million US dollars and 27 million pounds and in January 2026 we repaid the 30 million pound term loan used as a bridge to the aero structure's disposal. Our balance sheet is strong, liquid and well structured with ample headroom to support growth and discipline capital deployment. So our 2025 performance demonstrates clear progress towards our medium term financial targets across margin, cash conversion and return on capital employed. Group operating profit margin of 8.6% continues to trend upwards. Aerospace margin reached 11.4%, progressing towards our mid-teens target. Flexonic's margin of 11.2%, excluding the JV, sits well within our expected 10% to 12% range. We said we would achieve at least 10%, even in a down year. And 2025 was a test for this, given the softer conditions in the heavy-duty truck market. If we include the JV, the margin was 12.1%, which exceeds the range. Return on capital employed of 13.1%, steadily advancing towards the 15% to 20%. Cash conversion exceeded the 85% target, delivering 90% in 2025. As you can see, we remain firmly on track to deliver against these targets. We underpin the targets with a strong balance sheet. We were comfortably within our target leverage of 0.5 times to 1.5 times. Our leverage was at 0.9 times at the year end of 2025. Revenue growth of 6% at constant FX in 2025 was in line with our expectation of mid-single-digit organic revenue growth through the cycle. Now turning to slide 15, capital allocation. Our capital allocation framework remains unchanged, disciplined, returns-focused, and aligned with shareholder value creation. In 2025, we invested £32.6 million in CapEx to support business growth. This equated to 1.5 times. We expect this to trend down to 1.3 times in 2026, and our medium-term expectation continues to be 1.1 times. We invested 2.1% of revenue in research and development in 2025, consistent with our 2-3% of revenue target. Dividends of $12.3 million reflects our progressive dividend policy. We are proposing a total dividend of 3 pence per share in 2025, which is a 25% increase on the prior year and equates to an earnings cover of 3.2 times. As stated previously, leverage remains comfortably within our target range. We continue to explore value-accreative bolt-on M&A aligned with our core capabilities. Finally, in view of the 2.4 announcement last week, we have postponed the start of the £40 million share buyback programme, which had been due to commence following publication of the full-year results. This will be kept under review, and we will make a further announcement as necessary. And with that, I will hand back to David, who will take us through the markets and strategy section.
Thank you, Alpna. So let's turn our attention to markets. So in 2025, Aerospace represented 58% of the group's revenues, and Flexonics was 42%. And as Alpna has mentioned, aerospace division sales grew 10% on a constant currency basis and Flexonics grew marginally despite softer land vehicle markets. Aerospace and defence is now 48% of the group, with civil aerospace being around two-thirds of that and defence one-third, which represents a good growth opportunity. Sales to adjacent markets from our airspace business was 10% in the full year, with revenues from semiconductor equipment customers increasing. Our businesses facing into land vehicle at 25% of group revenues and power and energy 17% continued to perform well against a mixed market backdrop. Civil airspace was 32% of groups' revenue in 2025. This includes both large commercial, regional and business jet sectors. Growth in the end market, measured in revenue pasture kilometres, or RPKs, was healthy at around 5%. And we expect long-term civil airspace market growth of 3% to 4%, driven by the growing middle classes in Asia, as well as fleet modernisation and aircraft replacement. We have very good positions on all single-isle and wide-body platforms, as well as most regional and large business jet programmes. In 2025, our civil airspace sales grew 10% at constant FX, driven by improved pricing and higher build rates. Both Airbus and Boeing have record order books, with single aisle and wide-body rates set to increase further this year and beyond, which will drive further growth for Senior. You'll beware that many countries are committing to higher defence spending. Senior has good content on key US and European military aircraft platforms. In 2025, our defence sales grew strongly, 12% year on year. And that was driven by higher sales to C-130, F-35 and strong military aftermarket demand. Turning now to Flexonics, we had a strong performance in 2025 relative to end markets. In land vehicles, the new contracts we have won over the last couple of years reached peak production, which is why our passenger vehicle sales growth is 31% year over year compared to market growth of just 1%. And while truck markets were slower in 2025 compared to 2024, particularly in the second half of the year, we did outperform the market in North America with our sales down 18% where the market declined 25%. Our European truck sales reduced by 1% in line with the market. ACT research are expecting truck markets to continue to be weak in the first half of 26 before starting to recover in the second half of the year. In power and energy, a really strong performance at our pathway business in Texas led to strong downstream oil and gas and nuclear sales, while upstream oil and gas sales continued to be subdued as we continue to reduce our exposure to commoditized products. At last year's Capital Markets event in March and at our half-year results presentation in August, we went through our fluid conveyance and thermal management strategy in detail. I won't repeat everything we discussed then, but we have included relevant material in the appendices to enable more detailed discussions on a one-to-one basis. We believe we have a compelling investment proposition. With a century of relevant experience, we can genuinely claim to be experts in fluid conveyance and thermal management. We have truly differentiated products with rich background and foreground intellectual property coupled with expert design and manufacturing know-how. We operate in attractive and structurally resilient end markets and are well positioned to take advantage of that over the medium term. And we have long-lasting relationships with our customers and are trusted by them to deliver excellent products and to respond with agility when they need our support. Our senior operating system is driving operational excellence and efficiency across the group. And our global footprint, with a strong presence in our home markets and world-class facilities in cost-competitive countries, is a real advantage. And finally, as these 2025 results have demonstrated, our financial strength with improved performance, strong cash flow generation, and low leverage supports investment and shareholder returns. So let me finish by talking about the outlook for senior. Trading in the first two months of 2026 has started well, and the board's expectations are unchanged for 2026. In aerospace, growth in civil aircraft build rates and increased demand across its other markets is expected to drive further good progress in 2026 and beyond. Flexonics' expectations for 2026 are unchanged, with robust double-digit margins being maintained when including the JV, notwithstanding the softer conditions in certain end markets. looking ahead we're confident of delivering enhanced shareholder value as we execute on our strategy and continue to strengthen our financial performance in line with our medium term financial targets so with that we'll open the floor for any questions which then I will be delighted to answer any questions yes Tom good good morning everyone uh Thomas
just two questions if i may first one on the flexonics headcount reductions uh i think you said that was relating to mainly the class 8 heavy truck activities as and when that activity picks up again how much of that headcount do you think will come back in um how much is temporary versus permanent kind of take out and then the second one is just on m a pipeline how active of what sort of valuations are you seeing anything interesting in the first one thanks for that Tom in terms of flexonics headcount so what we've said is look we took five million of cost out in 2025 it predominantly related to flexonics in terms of savings we have about four million of savings in
2026 and it really depends on if and when that market comes back as in terms of timing as to how much of that cost comes back but some of it was structural costs that was taken out and some of it was temporary costs that was taken out so it was a bit of both.
Yeah and I think on the M&A side look we've got Nigel Major our VP of strategy here with us today So Michael, sorry, Nigel, Michael, Nigel, you know, maintains a really good and healthy pipeline. We've been quite focused on that for some time. And when you, you know, I went through our capital allocation policy, which looks at both returning cash to shareholders when it's sensible to do so, but also looking at bolt-on accretive M&A. So I think in the appendix, you'll see our acquisition heat map where we lay out those areas that we're most interested in. but you know I think the Spencer acquisition has been a great success there's a lot of growth yet to come from that acquisition and everything else that sort of encouraged within the business such as working with our colleagues in Ameta and France to develop their range of products with help from Spencer so you know that's a that's kind of a typical type of acquisition we do really looking at products in the airspace or industrial markets that are bespoke that have got high design content that have decent margins good returns on capital and really
facing into sort of the attractive markets we're currently facing into so think of it as bolt-on accrued of airmen a that we'd be most interested in not rushing out to do anything but certainly we maintain an active pipeline hi rich morning it's richard patient i'd stolen the mic so just three from me please just on aerospace and obviously really strong margin performance in 2025 i think back to the capital markets that you spoke about pricing being obviously half of that and 80 percent covered with long-term agreements at that point has that progressed at all and that side on the second one um strong performance in the joint venture in china um is there anything exceptional in that that we should be aware of um and then And just on the third point, Semicon, obviously a very strong outlook and strong performance you've had this year. Could you just remind us of the lead times in that business for you, please?
Yeah. So on the pricing side, yeah, well-remembered, Rich. Those three elements to the margin progression up to the mid-teens were roughly half it coming from pricing, a quarter from operational efficiency and a quarter from volume. we made good price good progress on pricing last year some of the pricing we'd already done cut in last year some of it cuts in next year as well so we've got you know one big negotiation left to do that we're in the midst of and we would anticipate that concluding this year and that's the bulk of the long-term agreements you know we've got a lot of purchase order to purchase order business spot business so that gets priced as it goes along and then you know on an ongoing basis we'll have contracts coming up for renewal so but you know we've got a very good approach to pricing now look it's fair we always look for win-win solutions with our customers but we're absolutely on track to achieve our objectives from a pricing perspective and that gives us half of that margin improvement. So it's in good place. On the JV in China, yeah, it's a good fund business. And our joint venture partner PPM works very closely with us. They're primarily focused on the land vehicle business. A lot of it is passenger vehicle, but they also do truck business. Cummins were in China almost before any other Western company, and they asked us to set up this facility long before I joined the company and it's kind of been bubbling under but it's really now holding its own so some fantastic products one of the products they made last year that helped I didn't know but in the steering column you have a little bellow so if you hit the steering wheel in a crash the bellows absorbs the impact and allows it to fold so we won all that business because the previous supplier for our customer wasn't performing very well and our team in China developed prototypes, qualified it in record time, and that led to all of the business being awarded to us. So that was one of the reasons why we did really well last year and will continue to But that's just one example. And in fact, this particular customer now wants us to build the same product in a joint venture facility in Mexico for all the North American business. So a really good example of how we've been able to progress business there. So they're good, cost-competitive location, but really great at engineering as well. Will I keep going? Semiconductor. Yeah, semiconductor, strong demand. Our main customer is LAM Research out of our Metabels facility. LAM have been doing well. We've been doing well. The product, from a standing start, it's probably, you know, four to six months. but because we've got ongoing forecast orders you know the actual cycle time through the factory is nearer six weeks so you know we get pretty good forecasts from lamb you know we monitor what's happening in the industry more generally so we can respond quite quickly if the demand goes up if that was where your question was going yeah andrew there's a mic here that's coming uh thanks very much uh it's andrew humphrey at peel hunts um just just a couple if i may want to follow up on on richard's question on the
aerospace you've obviously highlighted you know pricing volume mix commercial settlements all being pretty strong positive drivers in 25 contributing to that result pricing you've obviously talked about you know the agreements continuing to come through there this year and next um volume it feels like is in a pretty good place given the reporting that we're seeing everywhere um i wanted to ask a commercial settlements i guess you can't model those but i wanted to ask about mix in the light of your comment on spot business rather than contract business it does feel like kind of volumes have picked up maybe a little bit ahead of what we were
expecting does that mean sort of more spot business for you and does that tend to be positive for margin and yeah let me pause there I've got a couple more yeah I think the thing from a volume perspective so yeah worth reminding what I said in the presentation there if you look at our airspace business now that we have sold structures you were about a third large commercial aircraft a third original and bizjet and a third defense so slightly different growth characteristics in those three sectors but they were all strong last year in fact and we did see you know good military aftermarket business last year and we see that sort of continuing at the moment so that's one of the things that that helps otherwise I think our growth was where we thought it would be coming through on the on the civil side with those rate increases we'd expect that to to continue um so far that the demand signals we're seeing from boeing and airbus are what we would expect great thanks maybe on flexonics then as well um for things there obviously you know we had the act numbers back around q3 indicating like challenges ahead for 26 i think you talked a lot about that i wonder we're now sort of nearly six months down the road
from there I wonder how the early signs that you're seeing with customers compare to that view from from back in October November time and then you know also on Flexonics on the oil and gas side clearly it's kind of early days given events over the weekend but it also feels like a few parts of the market have been positioning for disruption in the Middle East for a few weeks now I wonder what early indications you're seeing from customers there?
Okay, so on the heavy-duty truck side, first of all, so ACT are currently predicting a 3% growth in 2026, but that's really a game of two halves. If you look at year on year, it's significantly down in the first half of the year, with the recovery starting in the second half of the year. So we'd like to be a bit further into the year before we called what we really think is going to happen that would be great you know if we do get that strong recovery coming the second half of the year but it's off a pretty low compare to remember so so far our expectations are unchanged but we're monitoring that very carefully for anything that might change so first half down and we're expecting the second half to be up a bit let's hope it improves it might improve we'll see and then oil and gas gosh it really is a bit early to be answering that one about the disruption by current events. I think for us what's important is more downstream oil and gas. We've really moved away from we had one business that supplied parts that used a certain top of drill bits for downhole drilling and we've really moved away from that because the product was quite commoditised, a lot of it had been offshored. It's not that important to us now. So what is important is industrial process control, downstream oil and gas, the huge expansion and joints that go into refineries and so on. That's predominantly all aftermarket business. So as long as people are running catafin plants, refining, running nuclear plants, and then power and energy, then we'll continue to be a good aftermarket from that. What we don't have this year is the big anchor project we had, end of 24, start of 25, for the Government Authority of India Limited, which was a new catafin plant. So this year, it's really all that repairs, spares, emergency call-outs, et cetera. So it's quite short-cycle business. So far, so good on that front.
Finally, on FX, I think 131 for FY25, clearly kind of more of a headwind this year.
Any additional actions that we're taking to accommodate that? um in in terms of fx i mean if i look at where our earnings are at i mean two-thirds of our business is in the u.s and so yeah that you know there would potentially be an fx headwind 2026 um and yeah so i mean we are looking to make sure that's baked into our pricing that we are taking the right actions locally to to do that i mean and it's mainly a translation risk in terms of how we transact in our businesses. It tends to be local for local.
Any more questions? Alex, no questions today?
I can see them on the top of your tongue.
Good to put me on the spot. Alex, I'm Pamela Libram. If I ask a couple of quick questions, firstly, on the working capital absorption out now, you showed that there was good progress there to 13.5% and indicated we should see that going back up to 18% in FY26. How should we think about the range for the medium term? Where should that sit?
So, I mean, it will probably be somewhere in between, Alex. So, in terms of 25, the working capital was impacted by some, you know, by collectibles that happen at the year end in terms of customer receipts. um at the moment you know we we think it'll be about 18 for fy26 we hope we'll come in better than that but that's where it's standing today um and then in terms of the medium term you know we hope to get that down get that down over the next three years um we're making good progress against that but at the same time you know we are seeing that demand come through in aerospace so we will we will need to support to ramp that to support that ramp up um my drive is business very hard
on their inventory as you can imagine no definitely um and then just one other question um in terms of aerospace i mean we've kind of picked apart the margin and the benefits there already in a lot of detail but is there any further information you can give us on how much the benefit from contract settlements was in FY25 when we're thinking FY26 it could be a headwind if there's a non-repeat um yeah there was a few million there I think what we talked about was insurance settlement in the first half year that was three million pounds I think we said that um so but I will say there's always one else yeah I mean we do push the businesses you know at the year end in terms
of closing out any customer negotiations and getting things settled as does any business and the team did a great job in 2025 of doing that and as david said that there's always that you have that every year in any business um so it's we don't we don't disclose the exact amount but it but it was yeah um it was a good number yeah perfect and that's baked into our guidance as well yeah that's baked in perfect thank you okay any last questions yes tom Thomas Rans again from Berenberg one follow up, just on your comment around military aftermarket being strong we always think of senior as an OE
kind of not an aftermarket kind of play what was driving that within military and are there any other opportunities elsewhere, I was always thinking no but these things look possible so the percentage now is slightly higher because the aftermarket we do have is within our fluid conveyance businesses so businesses like SSP in California, Metabels in Boston and have decent military aftermarket. C-130, for example, I think many C-130s are flying there. And we do get aftermarket associated with that for our international customers, as well as our US domestic customers. So there's always an ongoing level. And at the moment, that was increasing last year. And we see that continuing to be strong. oh I yes I think I think we're always pursuing more opportunities to increase that after marking as part of our growth strategy for sure okay thank you very much everybody I really appreciate you taking the time to come this morning look forward to following up with you thank you
