Curtiss-Wright raises 2026 profit forecast as Q3 sales rise 10%
Curtiss-Wright raised its 2026 adjusted EPS forecast to $15.40 to $15.60. Q3 adjusted EPS of $3.94 was above the $3.87 consensus estimate; revenue of $952.59 million was below the $963.14 million estimate.
Key takeaways
- Curtiss-Wright (CW) raised its 2026 adjusted EPS forecast to $15.40 to $15.60 from $15.10 to $15.40. Third-quarter sales rose 10% to $953 million, with adjusted EPS of $3.94, above the $3.87 consensus estimate. Kevin Rayment will become president and chief executive on Jan. 1, 2027.
Curtiss-Wright (CW) raised its full-year 2026 forecast after third-quarter sales rose 10%. Shares were little changed at 10:12 a.m. ET, from a $452.13 close.
Here's how the company did:
- Revenue: $952.59 million vs. $869.17 million a year earlier, below the $963.14 million estimate
- Adjusted EPS: $3.94 vs. $3.40 a year earlier, against the $3.87 consensus estimate
- Reported diluted EPS: $3.77 vs. $3.31 a year earlier
- Adjusted operating income: $189.29 million vs. $170.37 million a year earlier
2026 guidance
Adjusted EPS forecast raised to $15.40 to $15.60, from $15.10 to $15.40 on Aug. 6. Expected growth widened to 16% to 18% from 2025.
| Metric | Previous | Current |
|---|---|---|
| Sales growth | 8% to 9% | 8% to 10% |
| Operating income growth | 11% to 13% | 12% to 14% |
| Diluted EPS (adjusted) | $15.10 to $15.40 | $15.40 to $15.60 |
| Free cash flow | $585 million to $605 million | $595 million to $615 million |
Segment results
Aerospace & Industrial sales were $282 million, up 14%. Adjusted operating margin rose 80 basis points to 19.4%.
Defense Electronics sales were $259 million, up 2%. Adjusted operating income fell 5% to $70 million, and the margin fell 220 basis points to 27.0% on unfavorable product mix.
Naval & Power sales were $412 million, up 12%. Adjusted operating income rose 25% to $76 million.
Cash and capital returns
Free cash flow was $157 million, down $19 million on higher capital investments and higher tax payments.
Repurchased about 538,000 shares for about $352 million in the third quarter. Expects to buy back $460 million of shares in 2026, close to last year's $466 million.
The board authorized an additional $510 million in September, bringing the total available authorization to $700 million. Expects $600 million of open authorization entering 2027.
Quarterly dividend declared at 26 cents a share, up from 24 cents a year earlier.
Kevin Rayment, executive vice president and chief operating officer, will become president and chief executive effective Jan. 1, 2027. Gary A. Ogilby, senior vice president and corporate controller, was named interim chief financial officer effective Oct. 6, 2026.