Summary
Curtiss-Wright Corporation's 2012 Form 10-K report details a robust year of strategic growth driven by a strong acquisition strategy. The company successfully integrated eight new businesses, expanding its reach in key markets like defense, aerospace, oil & gas, and power generation. Despite a slight decline in defense revenue due to program wind-downs and budget uncertainties, the company saw significant growth in its commercial aerospace and power generation segments, bolstered by these acquisitions. The company's diversification across its three segments—Flow Control, Controls, and Surface Technologies—provides a resilient business model. Management remains focused on operational efficiency, cost management, and innovation to navigate economic fluctuations and competitive pressures. The report highlights continued investment in research and development and a commitment to returning capital to shareholders through dividends and share repurchases, underscoring a positive outlook for continued financial strength and market leadership.
Financial Highlights
57 data points| Revenue | $1.82B |
| Cost of Revenue | $1.21B |
| Gross Profit | $612.42M |
| R&D Expenses | $54.35M |
| Operating Income | $181.39M |
| Interest Expense | $26.30M |
| Net Income | $113.84M |
| EPS (Basic) | $2.44 |
| EPS (Diluted) | $2.41 |
| Shares Outstanding (Basic) | 46.74M |
| Shares Outstanding (Diluted) | 47.41M |
Key Highlights
- 1Curtiss-Wright reported a 4% increase in total sales to $2.1 billion in 2012, driven by acquisitions and growth in commercial markets, particularly aerospace and power generation.
- 2The company completed eight acquisitions in 2012, enhancing its product portfolio and market presence, with continued strategic focus on acquiring businesses that align with long-term growth.
- 3Defense sector sales saw a 6% decrease, primarily due to winding down of naval and ground defense programs and U.S. defense budget uncertainties, though the company maintains significant content on key platforms.
- 4Operating income decreased by 14% to $161 million, impacted by strike-related costs, restructuring charges, and additional investments in the AP1000 program within the Flow Control segment.
- 5The company’s backlog stood at $1.65 billion at year-end 2012, reflecting continued demand across its diverse end markets.
- 6Curtiss-Wright's proactive management of its capital structure is evident with $880 million in debt outstanding and a $500 million revolving credit facility, demonstrating a solid liquidity position.
- 7The company increased its quarterly dividend by 12.5% in 2012, signaling confidence in its financial performance and commitment to shareholder returns.