The stock, which closed at $59.27 earlier in the day, tumbled to $55 as investors reacted to the earnings miss. The company’s performance marks a significant shift from the same period last year, when it posted earnings of 33 cents per share compared to the current loss of 50 cents per share.

Chief Executive Tom McClelland remains optimistic about stabilizing margins, pinning recovery efforts on the existing backlog and government-backed funding initiatives. To streamline operations, the company recently transitioned to a high-rate production partner intended to improve output consistency and manufacturing efficiency across its product lines.