Investor Presentation 2023 slide image

Investor Presentation 2023

2023 FINANCIAL GUIDANCE (As of November 1, 2023) Updated (in blue) 2023E Adjusted 2023E Adjusted ($ in millions) (Prior) (Current) Change vs 2022 Adjusted Key Drivers Aerospace & Industrial $865-885 $873-888 4% -6% Defense Electronics $755-775 $775-790 12%-14% Naval & Power $1,110 1,130 $1,117 1,137 8%-10% Total Sales $2,730 - 2,790 $2,765 -2,815 8%-10% Aerospace & Industrial Margin $145-150 16.7% - 16.9% $146-150 16.7% -16.9% Defense Electronics Margin $174-180 23.0% - 23.2% $182 188 23.5% -23.7% 6% -9% 20-40 bps 18%-21% 110-130 bps ☐ $195-200 17.5% -17.7% $476-490 17.4% -17.6% Naval & Power Margin Corporate and Other Total Op. Income CW Margin CURTISS- WRIGHT ($37-40) Note: 2022 results included partial year sales contribution from engineered arresting systems acquisition. $192-197 17.1% 17.3% ($41) $480-494 17.4% -17.6% ~Flat 8% -11% 10-30 bps 0% - 3% (130 - 150 bps) Strong demand in Commercial Aerospace and solid growth in General Industrial, partially offset by reduced Defense (timing of programs) Strong Defense market growth driven by record backlog and supply chain improvement ▪ Higher Ground Defense (tactical communications) and Aerospace/Naval Defense (embedded computing) MSD Naval Defense growth driven by Columbia-class and Virginia-class submarine programs HSD growth in Commercial Nuclear excluding wind down on CAP1000 program; LDD in Process Strong contribution from arresting systems acquisition Organic Sales of 7% - 9%, driven by growth in all end markets ▪ Favorable absorption on Comm'l Aerospace and General Industrial sales, part. offset by timing in Defense Benefit of ongoing commercial and operational excellence initiatives Strong absorption on higher A&D revenues Favorable absorption on higher organic sales (Defense, Commercial Nuclear and Process) ■ Solid contribution from arresting systems acquisition; Expected to be in-line with overall CW operating margin Profitability offset by wind down on CAP1000 program, naval contract adjustments and shift to development contracts (subsea pump) ▪ Lower YOY pension offset by higher FX Delivering Operating Margin expansion while continuing to grow engineering spend Q3 2023 Earnings Presentation 28
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