Revenue

3 Months Ended

Mar. 31, 2026

Revenue from Contract with Customer [Abstract]

Revenue

Note 10 – Revenue

The Company’s revenues are generated primarily from its manufacturing services, which entails the sale of manufactured products built to customer specifications. The Company also generates revenue from design, development and engineering services, in addition to the sale of other inventory.

Revenue is measured based on the consideration specified in a contract with a customer. The Company recognizes revenue when it satisfies a performance obligation by transferring control over a manufactured product to a customer. The Company’s contracts with customers are generally short-term in nature. Customers are generally billed when the product is shipped or as services are performed. Under the majority of the Company’s manufacturing contracts with customers, the customer controls all of the work-in-progress as products are being built. Revenues under these contracts are recognized progressively based on the cost-to-cost method. For other manufacturing contracts, the customer does not take control of the product until it is completed. Under these contracts, the Company recognizes revenue upon transfer of control of the product to the customer, which is generally when goods are shipped. Revenue from design, development and engineering services is recognized over time as the services are performed. The Company assumes no significant obligations after shipment as it typically warrants workmanship only. Therefore, warranty provisions are generally not significant.

If the Company records revenue, but does not issue an invoice, a contract asset is recognized. The contract asset is transferred to trade accounts receivable when the entitlement to payment becomes unconditional.

Taxes assessed by governmental authorities that are imposed on and concurrent with a specific revenue-producing transaction and collected by the Company from a customer, are excluded from revenue.

Shipping and handling costs associated with outbound freight after control over a product has transferred to a customer are accounted for as fulfillment costs and are included in cost of sales.

Disaggregation of Revenue

The following tables provide a summary of the Company’s revenue disaggregated by market sector and a reconciliation of the disaggregated revenue to the Company’s revenue by reportable operating segment:

	Three Months Ended March 31, 2026
(in thousands)	Americas		Asia		Europe		Total
Market sector:
Semi-Cap	$	43,385	$	119,607	$	27,673	$	190,665
Industrial		21,727		87,303		24,258		133,288
A&D		95,732		9,979		14,068		119,779
Medical		77,412		36,588		14,476		128,476
AC&C		63,344		41,728		—		105,072
External revenue		301,600		295,205		80,475		677,280
Elimination of intersegment sales		9,695		7,916		2,813		20,424
Segment revenue	$	311,295	$	303,121	$	83,288	$	697,704

	Three Months Ended March 31, 2025
(in thousands)	Americas		Asia		Europe		Total
Market sector:
Semi-Cap	$	44,082	$	124,242	$	26,743	$	195,067
Industrial		27,887		79,251		29,609		136,747
A&D		103,508		3,628		14,720		121,856
Medical		54,486		36,319		12,832		103,637
AC&C		44,163		30,294		—		74,457
External revenue		274,126		273,734		83,904		631,764
Elimination of intersegment sales		10,152		10,305		2,375		22,832
Segment revenue	$	284,278	$	284,039	$	86,279	$	654,596

The timing of revenue recognition, billings and cash collections results in billed accounts receivable, contract assets and advance payments from customers. During the three months ended March 31, 2026 and 2025, 88.9% and 86.3%, respectively, of the Company’s revenue was recognized as products and services that were transferred over time.

Contract assets primarily relate to the Company’s right to consideration for work completed but not billed to the customer as of period end. Contract asset balances are transferred to trade accounts receivable when the rights become unconditional.

A summary of activity related to the Company’s contract assets follows:

	Three Months Ended March 31,
(in thousands)	2026			2025
Balance as of the beginning of the year	$	182,870		$	167,578
Revenue recognized		601,943			545,545
Amounts collected or invoiced		(593,879	)		(541,135	)
Balance as of the end of the period	$	190,934		$	171,988

As of March 31, 2026 and December 31, 2025, the Company had $111.0 million and $115.5 million, respectively, in advance payments from customers. Of those amounts, $95.5 million and $97.0 million, respectively, were customer deposits and prepayments of inventory and $15.5 million and $18.5 million, respectively, were related to the contractual timing of payments. The advance payments are not considered a significant financing component because they are used to meet working capital demands of a contract, offset inventory risks and protect the Company from the failure of other parties to fulfill obligations under a contract.