CPI Aerostructures, Inc

CPI Aerostructures Inc. builds structural aircraft parts and related assemblies for both military and commercial aviation programs. The company works as a prime contractor to the U.S. Department of Defense and as a Tier 1 or Tier 2 supplier to major aerospace OEMs and defense contractors. Its work spans aircraft structural assemblies, reconnaissance and tactical pod structures, engine air inlets, fuel panel systems, and complex welded products. CPI Aero also provides engineering, program management, supply chain management, kitting, assembly operations, and MRO support around these build-to-print and build-to-spec programs. The business is heavily tied to long-term contract awards, program timing, and customer funding decisions, which makes backlog and execution discipline central to performance.

0,4 %

15,2 %

−1,2 %

−14,6 %

1.89

1.85

— CPI Aerostructures, Inc
%
Military aerostructures65% Structural parts, pods, and modification kits sold into U.S. defense programs and subcontracted military platforms.
Commercial aerostructures20% Engine inlet assemblies and other structural components supplied to commercial aircraft programs.
Aerosystems and specialty structures10% Reconnaissance pod structures, fuel panel systems, and other specialized aerospace assemblies.
MRO and support services5% Maintenance, repair, overhaul, engineering, kitting, and program management services tied to customer programs.

CPI Aero sells primarily to the U.S. Department of Defense, especially the U.S. Air Force, through prime contract and...

  • U.S. Department of Defense / U.S. Air Forceprimary

    Buys structural kits, pods, and modification hardware for military aircraft programs because CPI Aero can execute specialized defense work under contract.

  • Major aerospace and defense contractorsprimary

    Buys subcontracted aerostructures and aerosystems components such as pods, inlets, and structural assemblies to support larger platform programs.

  • Commercial aircraft OEMssecondary

    Buys engine inlet assemblies and related structural components for commercial aircraft platforms, especially Embraer programs.

  • MRO and aftermarket customerssecondary

    Buys maintenance, repair, overhaul, and support services for installed aircraft structures and assemblies.

CPI Aero is a U.S.-based business with operations and revenue concentrated in the United States, where most defense and...

  • Headquartered and primarily operating in the United States
  • Revenue is driven mainly by U.S. defense and U.S.-based aerospace programs
  • Commercial work is tied to aircraft platforms sold globally but produced through U.S. supply chains
  • Exposure is concentrated in domestic procurement cycles rather than broad country diversification
  • U.S. inflation, labor, and supply chain conditions affect cost execution
  • Defense program funding in the United States is a key demand driver

CPI Aero’s near-term strategy is centered on stabilizing execution across its defense and commercial programs while...

01
Backlog conversion and program executionshort-term

The company depends on converting funded and unfunded backlog into shipments and billings, so execution quality directly affects revenue and cash flow.

02
Liquidity preservation and covenant managementshort-term

Borrowing availability has been constrained, so the company needs to protect cash and maintain lender waivers and amendments.

03
Portfolio shift toward higher-value aerospace nichesmedium-term

Specialized pods, inlets, and structural assemblies can support differentiation and customer stickiness versus commoditized fabrication work.

CPI Aero faces meaningful concentration risk because a large share of its business is tied to a small number of defense...

high

Program termination and contract adjustment risk

The A-10 Main Landing Gear Pods termination and related unfavorable adjustments show that individual programs can materially reduce revenue and profit.

Scope
A-10 program and similar long-term defense contracts
Materiality
high
high

Liquidity and refinancing risk

The company has no current availability under its revolving credit facility and has relied on waivers and amendments to maintain flexibility.

Scope
Credit facility and working capital funding
Materiality
high
medium

Fixed-price cost overrun risk

Inflation, labor, and material cost increases can erode margins when contracts are priced in advance.

Scope
Defense and commercial build-to-print contracts
Materiality
high
medium

Customer concentration and procurement timing

Revenue depends on a limited set of OEMs and defense customers, so award timing and funding decisions can create volatility.

Scope
Raytheon, L3Harris, Lockheed Martin, USAF
Materiality
high
Revenue recognition on long-term contracts
Can materially affect quarterly revenue, gross profit, and contract assets
Contract assets and unbilled receivables
Affects working capital and operating cash flow
Program termination and adjustment accounting
Can cause sudden changes in revenue and profitability
Cost estimates on fixed-price contracts
Affects gross margin and earnings volatility

: 11/08/2026