Elmet Group reports 35% revenue growth and record defense backlog

Elmet Group Co. reported second-quarter 2026 revenue of $66.4 million, representing a 35.2% increase compared to the same period last year. The company achieved a record order backlog of $131.5 million, a 55% increase year-over-year.

The revenue growth was driven by a combination of organic demand and commodity pricing. Management attributed approximately 55% of the increase to net demand growth across the aerospace, defense, and government sectors, while the remaining 45% resulted from higher prices for tungsten and molybdenum raw materials.

The Critical Materials Components (CMC) division saw gross profit expand by 63.7% to $16.6 million, raising gross margins to 25.0%. This improvement was linked to strategic tungsten sourcing and factory productivity gains. However, the Engineered Microwave Products (EMP) division faced operational challenges in its factory, which negatively impacted segment margins for products serving the defense and semiconductor markets.