### Overall ConclusionThis quarter's results exceeded expectations, primarily driven by the SAO segment's operating margin reaching a record high of 37.8%, which propelled overall profitability to new heights.

### Key Data- Operating revenue of $206.9 million, up 37% year-over-year- SAO segment operating margin of 37.8%, expanding for the 18th consecutive quarter- Adjusted free cash flow of $155 million, full-year total of $362.3 million

### Business ProgressSales in the aerospace and defense market grew 17% year-over-year, hitting a record high, with demand accelerating across engines, fasteners, and structural components. However, some structural customers remain cautious in placing orders. The medical market grew 5% sequentially, marking its first rebound of the year. The industrial and consumer market increased 19% sequentially, driven by semiconductor demand. The company emphasized that its capacity expansion project (Brownfield) is progressing on budget, with production expected to commence in early fiscal 2028 and incremental profit contributions anticipated in fiscal 2029.

### Guidance and OutlookQ1 fiscal 2027 operating revenue guidance is $195 million to $200 million, with full-year guidance of $850 million to $880 million (up 21% to 25% year-over-year). The fiscal 2029 target is $1.2 billion to $1.3 billion. Management explicitly stated this is not a peak in profitability and suggested the guidance represents a "floor."

### Risk/Highlight SignalsPositive signals: Management repeatedly emphasized "we are not betting on ourselves" and noted that structural customer orders are below actual demand, indicating significant room for future acceleration. Negative signals: The medical market is still down 30% year-over-year, with a recovery pace slower than expected.