How did Curtiss-Wright perform in the fourth quarter of 2025?

Q4 2025 sales rose 15% to $947 million (11% organic), reported operating income was $182 million (19.2% margin), and adjusted diluted EPS was $3.79, up 16%. Adjusted operating margin was 19.7%, essentially flat year over year, as favorable absorption was offset by unfavorable product mix in the Aerospace & Industrial and Naval & Power segments.

What is the 2026 outlook for Curtiss-Wright?

Management guides to adjusted sales of $3.71–$3.765 billion (6–8% growth), adjusted operating income of $703–$722 million, an operating margin of 18.9–19.2%, adjusted diluted EPS of $14.70–$15.15 (11–15% growth), and free cash flow of $575–$595 million. Guidance includes about $25 million of higher capex for growth investments.

What is the difference between GAAP and adjusted results?

Adjusted figures exclude first-year purchase accounting costs from acquisitions and restructuring costs. For FY2025, GAAP diluted EPS was $12.87 versus adjusted $13.23, and GAAP operating margin was 18.1% versus adjusted 18.6%. Investors should review the GAAP figures alongside the non-GAAP measures, as the company itself advises.

What are the main risks to the outlook?

The release cites reduced orders, economic downturn, geopolitical risks, evolving tariffs, changes in government spending, competitive pressures, and the company's ability to perform contracts at anticipated cost levels. Ground Defense is expected to decline 4–6% in 2026 due to timing of tactical communications and ground vehicle revenues, and rising R&D and capex investments may pressure margins.

How is Curtiss-Wright returning capital to shareholders?

In FY2025 the company repurchased about 934,000 shares for $465 million, and Q4 buybacks were about $140 million. It declared a quarterly dividend of $0.24 per share ($0.93 for the full year). For 2026, management plans at least $60 million of repurchases, mainly to offset dilution.

CW 8-K: Earnings & Results

01—Abstract

Summary

Summary of the 8-K filed February 12, 2026. Cited figures are marked; the original filing is the authoritative source.

Curtiss-Wright (NYSE: CW) reported record full-year 2025 results and issued 2026 guidance calling for continued growth and margin expansion.

Fourth-quarter sales rose 15% to $947 million^a (11% organic), reported operating margin was 19.2%, and adjusted diluted EPS grew 16% to $3.79. For full-year 2025, sales reached $3.5 billion (up 12%, 9% organic), adjusted operating margin expanded 110 basis points to 18.6%, adjusted diluted EPS rose 21% to $13.23, and free cash flow reached a record $554 million. New orders of $4.1 billion (book-to-bill about 1.2x) and backlog of $4.1 billion (up 18%) provide visibility into 2026.

For 2026, management guides to adjusted sales of $3.71^b–$3.765 billion (6–8% growth), adjusted operating margin of 18.9–19.2% (30–60 bps expansion), adjusted diluted EPS of $14.70–$15.15 (11–15% growth), and free cash flow of $575–$595 million. Guidance includes roughly $25 million of higher capital expenditures to support growth. The company also reaffirmed progress toward its 2024–2026 Investor Day targets, and continued aggressive capital return, with $465 million of full-year 2025 share repurchases and a stated minimum of $60 million of buybacks in 2026.

Investors should note that the figures emphasized in the release are non-GAAP adjusted measures that exclude purchase accounting and restructuring costs; reported GAAP full-year diluted EPS was $12.87^c and GAAP operating margin was 18.1%. Q4 adjusted operating margin was essentially flat year over year at 19.7%, reflecting unfavorable mix in two segments, and General Industrial markets were flat. The 2026 outlook depends on continued Defense and commercial nuclear demand, and the release cites tariffs, geopolitical risk, and government spending changes as key risks.

02—Key points

Key Highlights

Record FY2025 results: sales of $3.5B (up 12%, 9% organic), GAAP diluted EPS of $12.87 and adjusted diluted EPS of $13.23 (up 21%).
Adjusted operating margin expanded 110 bps to 18.6% for FY2025; Q4 adjusted margin was 19.7%, roughly flat year over year.
Record free cash flow of $554M for FY2025 (111% conversion), with Q4 FCF of $315M (up 13%).
Strong order momentum: FY2025 new orders of $4.1B (up 10%), book-to-bill of ~1.2x, and backlog of $4.1B (up 18%).
2026 guidance: adjusted sales of $3.71–$3.765B (6–8%), operating margin of 18.9–19.2%, adjusted diluted EPS of $14.70–$15.15 (11–15%), and FCF of $575–$595M.
Capital returns remain significant: $465M of share repurchases in 2025 and at least $60M planned for 2026, plus a quarterly dividend of $0.24 per share.
Growth drivers include Naval Defense (~27% of sales), Commercial Nuclear/Power & Process (strong SMR and aftermarket demand), and Commercial Aerospace; Ground Defense is guided down 4–6% in 2026 due to timing.

03—Questions

Frequently Asked Questions

How did Curtiss-Wright perform in the fourth quarter of 2025?
Q4 2025 sales rose 15% to $947 million (11% organic), reported operating income was $182 million (19.2% margin), and adjusted diluted EPS was $3.79, up 16%. Adjusted operating margin was 19.7%, essentially flat year over year, as favorable absorption was offset by unfavorable product mix in the Aerospace & Industrial and Naval & Power segments.
What is the 2026 outlook for Curtiss-Wright?
Management guides to adjusted sales of $3.71–$3.765 billion (6–8% growth), adjusted operating income of $703–$722 million, an operating margin of 18.9–19.2%, adjusted diluted EPS of $14.70–$15.15 (11–15% growth), and free cash flow of $575–$595 million. Guidance includes about $25 million of higher capex for growth investments.
What is the difference between GAAP and adjusted results?
Adjusted figures exclude first-year purchase accounting costs from acquisitions and restructuring costs. For FY2025, GAAP diluted EPS was $12.87 versus adjusted $13.23, and GAAP operating margin was 18.1% versus adjusted 18.6%. Investors should review the GAAP figures alongside the non-GAAP measures, as the company itself advises.
What are the main risks to the outlook?
The release cites reduced orders, economic downturn, geopolitical risks, evolving tariffs, changes in government spending, competitive pressures, and the company's ability to perform contracts at anticipated cost levels. Ground Defense is expected to decline 4–6% in 2026 due to timing of tactical communications and ground vehicle revenues, and rising R&D and capex investments may pressure margins.
How is Curtiss-Wright returning capital to shareholders?
In FY2025 the company repurchased about 934,000 shares for $465 million, and Q4 buybacks were about $140 million. It declared a quarterly dividend of $0.24 per share ($0.93 for the full year). For 2026, management plans at least $60 million of repurchases, mainly to offset dilution.

04—Continue

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