•
Sep 30, 2023

Curtiss-Wright Q3 2023 Earnings Report

Curtiss-Wright reported strong Q3 2023 results, exceeding expectations with adjusted diluted EPS of $2.54, driven by sales growth and operational performance. The company raised full-year 2023 guidance, reflecting confidence in its growth strategy and favorable secular trends.

Key Takeaways

Curtiss-Wright Corporation reported a 15% increase in sales, reaching $724 million, and an adjusted diluted EPS of $2.54 for Q3 2023. New orders increased by 3% to $846 million, resulting in a book-to-bill ratio of 1.2. The company raised its full-year 2023 adjusted financial guidance, with sales expected to grow by 8% to 10%.

Reported sales increased by 15% to $724 million.

Adjusted diluted EPS rose by 23% to $2.54.

New orders grew by 3% to $846 million, with a book-to-bill of 1.2.

Full-year 2023 sales, EPS, and free cash flow guidance were raised.

Total Revenue
$724M
Previous year: $631M
+14.9%
EPS
$2.54
Previous year: $2.07
+22.7%
Operating Margin
18.3%
Previous year: 17.1%
+7.0%
Book-to-Bill
1.2
Previous year: 1.3
-7.7%
New Orders
$846M
Previous year: $818M
+3.4%
Gross Profit
$281M
Previous year: $232M
+21.2%
Cash and Equivalents
$149M
Previous year: $114M
+31.0%
Free Cash Flow
$137M
Previous year: $86M
+59.3%
Total Assets
$4.41B
Previous year: $4.34B
+1.7%

Curtiss-Wright

Curtiss-Wright

Curtiss-Wright Revenue by Segment

Forward Guidance

Curtiss-Wright raised its full-year 2023 adjusted financial guidance, projecting increased sales, operating income, diluted EPS, and free cash flow. The company expects growth in all Aerospace & Defense and Commercial end markets and maintains a strong alignment with favorable secular growth trends.

Positive Outlook

  • Sales are expected to increase by 8% to 10%.
  • Operating income is projected to grow by 8% to 11%.
  • Diluted EPS is anticipated to rise by 11% to 13%, reaching $9.00 to $9.20.
  • Free cash flow is projected to increase to a range of $380 to $400 million.
  • The company continues to execute on its Pivot to Growth strategy.

Challenges Ahead

  • Potential reduction in anticipated orders.
  • Economic downturn affecting business.
  • Changes in the competitive marketplace and customer requirements.
  • Change in government spending.
  • Inability to perform customer contracts at anticipated cost levels.

Revenue & Expenses

Visualization of income flow from segment revenue to net income