Curtiss-Wright Reports First Quarter 2026 Financial Results and Raises Full-Year 2026 Guidance for Sales, Operating Margin, EPS and Free Cash Flow

Curtiss-Wright Corporation (NYSE: CW) today announced its financial results for the first quarter ended March 31, 2026.

First Quarter 2026 Highlights:

• Reported sales of $914 million, up 13%, operating income of $160 million, up 23%, operating margin of 17.5%, and diluted earnings per share (EPS) of $3.46;
• Adjusted operating income of $160 million, up 20%;
• Adjusted operating margin of 17.6%, up 100 basis points;
• Adjusted diluted EPS of $3.48, up 23%; and
• New orders of $1.2 billion, up 16%, reflecting a 1.3x book-to-bill.

Raised Full-Year 2026 Adjusted Financial Outlook:

• Sales guidance increased to new range of 7% to 8% growth (previously 6% to 8%), which continues to reflect growth in the majority of Curtiss-Wright's end markets;
• Operating income guidance increased to new range of 9% to 12% growth (previously 8% to 11%);
• Operating margin guidance range increased to new range of 19.0% to 19.2%, representing an increase of 40 to 60 basis points compared with the prior year;
• Diluted EPS guidance increased to new range of $14.90 to $15.30, now up 13% to 16% (previously $14.70 to $15.15, or 11% to 15%); and
• Free cash flow (FCF) guidance range increased by $5 million to $580 million to $600 million, which continues to reflect greater than 105% FCF conversion.

"Curtiss-Wright delivered strong first quarter 2026 results, exceeding our overall expectations, highlighted by double-digit sales growth in both our total A&D and Commercial end markets, significant operating margin expansion, 23% growth in adjusted diluted EPS, and better-than-expected free cash flow generation," said Lynn M. Bamford, Chair and CEO of Curtiss-Wright Corporation. "We also achieved strong momentum in orders, up 16% year-over-year, which resulted in a 1.3x book-to-bill, underpinned by heightened demand across our defense, commercial nuclear and industrial markets."

"Based upon our overall strong start to the year, we have confidently increased our full-year 2026 guidance ranges for sales, operating income, operating margin, diluted EPS and free cash flow. Additionally, as we successfully execute on our Pivot to Growth strategy, we continue to maintain an efficient balance sheet, with ample liquidity, to support our disciplined capital allocation strategy. Overall, Curtiss-Wright remains strategically aligned with many favorable secular growth trends across our markets and well positioned to deliver long-term profitable growth for our shareholders."

First Quarter 2026 Operating Results

• Sales of $914 million, up $108 million, or 13% compared with the prior year;
• Total Aerospace & Defense (A&D) market sales increased 14%, while total Commercial market sales increased 12%;
• In our A&D markets, we experienced stronger than expected growth in the defense markets, principally driven by higher submarine revenues in naval defense and overall higher sales of actuation equipment, in addition to continued strong OEM sales growth in the commercial aerospace market;
• In our Commercial markets, we experienced strong growth in the power & process market driven by higher sales of commercial nuclear solutions, as well as modest sales growth in the general industrial market; and
• Adjusted operating income of $160 million increased 20%, while Adjusted operating margin increased 100 basis points to 17.6%. This performance was mainly driven by favorable overhead absorption on higher revenues in all three segments, partially offset by unfavorable foreign currency translation.

First Quarter 2026 Segment Performance

Aerospace & Industrial

• Sales of $255 million, up $28 million, or 12%;
• Aerospace defense market revenue growth reflected increased year-over-year sales of sensors products and surface treatment services, as well as higher than anticipated sales of actuation equipment, supporting various domestic and international fighter jet programs;
• Growth in the ground defense market reflected higher sales of electromechanical actuation equipment;
• Commercial aerospace market revenue growth reflected higher OEM sales of actuation equipment, sensors products and surface treatment services on narrowbody and widebody platforms;
• Growth in the general industrial market mainly reflected higher sales of industrial vehicle products serving off-highway vehicle platforms; and
• Adjusted operating income was $39 million, up 24% from the prior year, while Adjusted operating margin increased 150 basis points to 15.4%, driven by favorable absorption on higher revenues and the benefits of the Company's restructuring initiatives, partially offset by unfavorable foreign currency translation.

Defense Electronics

• Sales of $256 million, up $11 million, or 5%;
• Higher revenue in the aerospace defense market was principally driven by increased global sales of embedded computing and avionics equipment, partially offset by the timing of revenues on various helicopter programs;
• Ground defense market revenues were essentially flat, as the benefit of higher sales of turret drive stabilization and ammunition handling systems equipment to various international customers was offset by the timing of tactical communications equipment sales supporting various domestic programs;
• Lower revenue in the naval defense market reflected timing of embedded computing equipment sales supporting various domestic and international programs;
• Commercial aerospace market revenue growth principally reflected higher sales of aerospace instrumentation equipment to OEM customers; and
• Adjusted operating income was $72 million, up 7% from the prior year, while Adjusted operating margin increased 60 basis points to 28.1%, primarily due to favorable absorption on higher revenues, mix of products, and the benefits of the Company's restructuring initiatives, partially offset by higher investment in research and development and unfavorable foreign currency translation.

Naval & Power

• Sales of $402 million, up $69 million, or 21%;
• Revenue growth in the naval defense market was driven by the timing of production on the Virginia-class and Columbia-class submarine programs, in addition to higher sales of aftermarket fleet services as well as aircraft handling systems equipment to international customers;
• Higher revenue in the aerospace defense market reflected increased sales of arresting systems equipment supporting international customers;
• Higher power & process market revenues reflected higher sales of commercial nuclear solutions supporting both the maintenance of existing operating reactors globally, as well as next-generation advanced reactors, as these projects begin to transition from development to the initial prototype stage; and
• Adjusted operating income was $60 million, up 33% from the prior year, while Adjusted operating margin increased 140 basis points to 14.9%, primarily due to favorable absorption on higher revenues, mix of products, and the benefits of the Company's restructuring initiatives, partially offset by higher investment in research and development.

Free Cash Flow

• Free cash flow of ($17) million increased $37 million, principally driven by higher cash earnings and improved working capital.

New Orders and Backlog

• New orders of approximately $1.2 billion increased 16% compared with the prior year, principally reflecting strong demand across our naval defense, commercial nuclear and industrial end markets; and
• Backlog of approximately $4.3 billion, up 5% from December 31, 2025, reflects higher demand across the A&D and Commercial markets.

Share Repurchase and Dividends

• During the first quarter, the Company repurchased 21,865 shares of its common stock for approximately $14 million; and
• The Company declared a quarterly dividend of $0.24 a share.

Full-Year 2026 Guidance

The Company is updating its full-year 2026 Adjusted financial guidance⁽¹⁾ as follows:

A more detailed breakdown of the Company’s 2026 financial guidance by segment and by market, as well as all reconciliations of Reported GAAP amounts to Adjusted non-GAAP amounts, can be found in the accompanying schedules. Historical financial results are available in the Investor Relations section of Curtiss-Wright’s website.

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Conference Call & Webcast Information

The Company will host a conference call to discuss its first quarter 2026 financial results and business outlook at 10:00 a.m. ET on Thursday, May 7, 2026. A live webcast of the call and the accompanying financial presentation, as well as a webcast replay of the call, will be made available on the internet by visiting the Investor Relations section of the Company’s website at www.curtisswright.com.

(Tables to Follow)

Use and Definitions of Non-GAAP Financial Information (Unaudited)

The Corporation supplements its financial information determined under U.S. generally accepted accounting principles (GAAP) with certain non-GAAP financial information. Curtiss-Wright believes that these Adjusted (non-GAAP) measures provide investors with improved transparency in order to better measure Curtiss-Wright’s ongoing operating and financial performance and provide more relevant comparisons of our key financial metrics to our peers. These non-GAAP measures should not be considered in isolation or as a substitute for the related GAAP measures, and other companies may define such measures differently. Curtiss-Wright encourages investors to review its financial statements and publicly filed reports in their entirety and not to rely on any single financial measure. Reconciliations of “Reported” GAAP amounts to “Adjusted” non-GAAP amounts are furnished within this release.

The following definitions are provided:

Adjusted Sales, Operating Income, Operating Margin, Net Earnings and Diluted EPS

These Adjusted financials are defined as Reported Operating Income, Operating Margin, Net Earnings and Diluted Earnings per Share under GAAP excluding: (i) the impact of first year purchase accounting costs associated with acquisitions, specifically one-time inventory step-up, backlog amortization, deferred revenue adjustments, transaction costs, and gains/losses on equity securities held for investment purposes; and (ii) costs associated with the Company's 2026 Restructuring Program in the current period and the Company's 2024 Restructuring Program in the prior period, as applicable.

Organic Sales and Organic Operating Income

The Corporation discloses organic sales and organic operating income because the Corporation believes it provides investors with insight as to the Company’s ongoing business performance. Organic sales and organic operating income are defined as sales and operating income, excluding contributions from acquisitions and results of operations from divested businesses or product lines during the last twelve months, costs associated with the Company's 2026 Restructuring Program in the current period and the Company's 2024 Restructuring Program in the prior period, and foreign currency fluctuations.

Free Cash Flow and Free Cash Flow Conversion

The Corporation discloses free cash flow because it measures cash flow available for investing and financing activities. Free cash flow represents cash available to repay outstanding debt, invest in the business, acquire businesses, return capital to shareholders and make other strategic investments. Free cash flow is defined as net cash provided by operating activities less capital expenditures. The Corporation discloses free cash flow conversion because it measures the proportion of net earnings converted into free cash flow and is defined as free cash flow divided by adjusted net earnings.

About Curtiss-Wright Corporation

Curtiss-Wright Corporation (NYSE:CW) is a global integrated business that provides highly engineered products, solutions and services mainly to Aerospace & Defense markets, as well as critical technologies in demanding Commercial Nuclear Power, Process and Industrial markets. We leverage a workforce of approximately 9,100 highly skilled employees who develop, design and build what we believe are the best engineered solutions to the markets we serve. Building on the heritage of Glenn Curtiss and the Wright brothers, Curtiss-Wright has a long tradition of providing innovative solutions through trusted customer relationships. For more information, visit www.curtisswright.com.

Certain statements made in this press release, including statements about future revenue, financial performance guidance, quarterly and annual revenue, net income, operating income growth, future business opportunities, cost saving initiatives, the successful integration of the Company’s acquisitions, and future cash flow from operations, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements present management's expectations, beliefs, plans and objectives regarding future financial performance, and assumptions or judgments concerning such performance. Any discussions contained in this press release, except to the extent that they contain historical facts, are forward-looking and accordingly involve estimates, assumptions, judgments, and uncertainties. Such forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those expressed or implied. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. Such risks and uncertainties include but are not limited to: a reduction in anticipated orders; an economic downturn; geopolitical risks; evolving impacts from tariffs between the U.S. and other countries (including implementation of new tariffs and retaliatory measures); changes in the competitive marketplace and/or customer requirements; a change in government spending; an inability to perform customer contracts at anticipated cost levels; and other factors that generally affect the business of aerospace, defense contracting, electronics, marine, and industrial companies. Such factors are detailed in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2025, and subsequent reports filed with the Securities and Exchange Commission.

This press release and additional information are available at www.curtisswright.com.

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Jim Ryan
(704) 869-4621
Jim.Ryan@curtisswright.com