# Albany International Q3 2026 Earnings Report

> Albany International reports record Q3 revenue and strategic CH-53K contract renegotiation.
- Title: Albany International Q3 2026 Earnings Report · The Motley Fool
- Summary: Albany International reports record Q3 revenue and strategic CH-53K contract renegotiation. Albany International achieved $349.5 million Q3 revenue with 34%…
- Keywords: albany international, ain, q3 2026, earnings call, ch-53k, engineered composites, machine clothing, ibas award, ceramic matrix composites, leap, aerospace, defense
- Source: The Motley Fool — https://fool.com/earnings/call-transcripts/2026/10/29/albany-international-ain-q3-2026-earnings-call-transcript
- Author: Motley Fool Transcribing
- Published: 2026-10-29T17:55:44+00:00
- Read time: 2 min
- Topics: albany international, ain, q3 2026, earnings call, ch-53k, engineered composites, machine clothing, ibas award, ceramic matrix composites, leap, aerospace, defense
## Q3 Revenue
Albany International reported $349.5 million Q3 revenue, a 34% year-over-year increase driven by engineered composites production ramps and a $12 million contract renegotiation benefit.
## Adjusted EBITDA
Adjusted EBITDA reached $100.1 million with a 28.6% margin, including a $44 million reach-forward loss reversal.
## Adjusted EPS
Adjusted diluted EPS of $1.68 exceeded the company's previously revised output range after strategic review completion.
## Machine Clothing Revenue
Machine clothing revenue decreased to $169.8 million due to customer consolidation and capacity rationalization in the Americas.
## AEC Revenue
AEC revenue reached a record $179.7 million driven by higher production rates on LEAP, Boeing 787, and missile programs.
## CH-53K Impact
CH-53K renegotiation provided $12 million to revenue and $44 million to adjusted EBITDA, improving long-term program economics.
## AEC Margin Target
AEC aims for mid-teens margin by 2027 through increased pricing and volume after contract renegotiations.
## Q4 Revenue Guidance
Q4 revenue guidance is $325 million to $335 million, with engineered composites growth offset by soft machine clothing demand.
## Q4 EPS Guidance
Q4 adjusted EPS guidance is $0.65 to $0.75 per diluted share.
## Free Cash Flow
Free cash flow increased to $36.5 million from $25.7 million last year, aided by contract settlements and tariff refunds.
## Capital Expenditures
Capital expenditures decreased to $12.2 million from $18.3 million last year due to facility optimization.
## Net Debt
Net debt reduced to $343 million through debt repayments as cash position improved.
## Available Capital
Available capital stands at $457 million for future investments, acquisitions, and shareholder returns.
## IBAS Award
IBAS award of $21.2 million supports development of vertically integrated ceramic matrix composites facility.
## Machine Clothing Recovery
Machine clothing operations expect to catch up on volumes by year end after equipment failure.
## Strategic Shift
Company shifted focus from legacy program issues to scaling engineered composites pipeline for growth.
## Key takeaway

Albany International achieved $349.5 million Q3 revenue with 34% year-over-year growth, driven by engineered composites and a $12 million CH-53K contract renegotiation benefit.