AAR

Net leverage was approximately 2.03x at fiscal year-end 2026, within management’s target. Long-term debt totaled about 894 million, including 700 million senior notes due 2029 and 200 million drawn on an 825 million revolver. Interest expense was 72 million in FY2026 vs adjusted EBITDA of 401 million, implying solid coverage.

Year-end cash and cash equivalents were 84 million, and the company raised 273.9 million via an equity offering in FY2026 to preserve flexibility. Working capital intensity remained elevated with inventory at 979 million, which restrained FY2026 cash from operations to 99 million and FCF to roughly 62 million after 37 million capex.