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**【Key Takeaways】**
- **Revenue Recovery**: Q1 FY26 marks first year-over-year organic growth (3%) driven by project wins in Aerospace, Energy, and Transportation.
- **Power Generation Growth**: $250M TAM for gas turbines and backup power systems, targeting 10%+ CAGR to support AI data centers.
- **Tungsten Pricing Strategy**: Implemented surcharges to offset 20%+ cost increases, with peak price advantage in Q3 and neutral impact by Q4.
- **Cost Efficiency**: $8M Q1 restructuring savings toward $35M annual target, supporting 15.3% EBITDA margin.
- **FY26 Outlook**: Raised sales guidance to $2.1B-$2.17B (1%-3% growth) and EPS $1.35-$1.65, driven by pricing actions and market recovery.

**【CEO Summary Section】**
- **Revenue Growth**: Q1 FY26 organic revenue increased 3%, marking the first year-over-year growth in 2 years, driven by project wins in Aerospace, Energy, and Transportation.
- **Project Wins**: Secured key wins in Power Generation (e.g., backup generators for AI data centers) and Aerospace (high-precision tooling for military components), positioning for long-term secular growth.
- **Cost Management**: Realized $8M in restructuring savings, with plans to achieve $35M annually by reducing employment costs and consolidating operations.
- **Tungsten Pricing**: Implemented surcharges to offset 20%+ year-over-year tungsten cost increases, maintaining gross margin stability.
- **End Market Outlook**: Modest improvement in Transportation (IHS estimates up 100bps to -1.5%), while Aerospace benefits from supply chain recovery and OEM production increases.

**【CFO Financial Commentary】**
- **Top Line**: Q1 sales $512M (3% YoY), beating prior guidance due to better-than-expected volume across all end markets.
- **Profitability**: Adjusted EBITDA margin 15.3% (vs. 14.3% prior year), driven by price/tariff surcharges and restructuring savings.
- **EPS**: Adjusted EPS $0.34 (vs. $0.29 prior year), with FY26 outlook raised to $1.35-$1.65 due to pricing actions and market improvements.
- **Cash Flow**: Q1 free cash flow negative $5M (vs. $21M prior year) due to higher tungsten inventory investments.
- **Guidance**: FY26 sales $2.1B-$2.17B (1%-3% growth), with 7% price/tariff tailwind and 2% FX benefit.

**【Q&A Key Highlights】**
- **Power Generation TAM**: CEO highlights $250M TAM for gas turbines and backup power systems, expecting 10%+ CAGR driven by AI data center demand.
- **Tungsten Dynamics**: CFO notes Q3 will see peak price/raw material favorability, with neutral impact by Q4 if tungsten prices stabilize.
- **Share Gain Strategy**: CEO attributes wins to innovative solutions, commercial excellence, and operational reliability, mitigating risk of customers switching to non-tungsten alternatives.
- **General Engineering**: Modest improvement in Americas (IPI recovery) offset by EMEA weakness, with FY26 outlook flat to +1%.
- **Tariff Management**: Dynamic surcharge adjustments to reflect changing trade policies, with long-term strategy to embed costs into permanent pricing.

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