Results
Second Quarter 2026 Highlights:
Reported sales of $924 million, up 5%, operating income of $179 million, operating margin of 19.3%, and diluted earnings per share (EPS) of $4.07;
Adjusted operating income of $179 million, up 12%;
Adjusted operating margin of 19.4%, up 110 basis points;
Adjusted diluted EPS of $3.72, up 15%;
New orders of $1.1 billion, up 8%, reflecting a 1.16x book-to-bill; and
Free cash flow (FCF) of $160 million, generating 116% FCF conversion.
Outlook
Raised Full-Year 2026 Adjusted Financial Outlook:Guidance raised
5Sales increased to new range of 8% to 9% growth (previously 7% to 8%), reflecting growth in the majority of Curtiss-Wright's end markets;Guidance raised
6Operating income increased to new range of 11% to 13% growth (previously 9% to 12% );Guidance raised
4Operating margin increased to new range of 19.1% to 19.3% (previously 19.0% to 19.2%), representing an increase of 50 to 70 basis points compared with the prior year;Guidance raised
1Diluted EPS increased to new range of $15.10 to $15.40 , now up 14% to 16% (previously $14.90 to $15.30 , up 13% to 16%); andGuidance raised
3FCF increased by $5 million to new range of $585 to $605 million, which continues to reflect greater than 105% FCF conversion.Guidance raised
Management commentary
7"Curtiss-Wright delivered strong second quarter results, highlighted by m id-single digit revenue growth , operating margin expansion in all three segments, mid-teens growth in Adjusted diluted EPS, and better-than-expected free cash flow generation , " said Lynn M. Bamford, Chair and CEO of Curtiss-Wright Corporation.Guidance raised
"The momentum continues to build in our order book, underscored by record demand for our defense electronics products.
2Overall, we experienced strong order growth in both our A&D and Commercial markets, as total orders increased 8% year-over-year and resulted in an overall book-to-bill of 1.16x ."Guidance raised
Outlook
" Based on our strong first-half execution and our outlook for the remainder of the year, we are confidently raising our full-year outlook for sales, operating income, operating margin, diluted EPS and free cash flow.Guidance raised
Curtiss-Wright remains strategically aligned with many favorable secular trends and embedded growth vectors a cross our A&D and Commercial markets.
Overall, the team is successfully executing on our Pivot to Growth strategy, which will enable us to continue to deliver significant long-term profitable growth for Curtiss-Wright stakeholders."
Curtiss-Wright Corporation, Page 2Guidance raised
Results
Second Quarter 2026 Operating Results
Sales of $924 million increased 5% compared with the prior year period;
Total Aerospace & Defense (A&D) market sales increased 6%, while total Commercial market sales increased 5%;
In our A&D mark ets, we experienced solid growth in the defense markets, principally driven by higher naval defense revenues, overall higher sales of electromechanical actuation equipment and continued strong OEM sales growth in the commercial aerospace market;
In our Commercial markets, we experienced solid growth in the power & process market mainly driven by higher sales of commercial nuclear solutions, as well as modest sales growth in the general industrial market reflecting high er sales of industrial vehicle products ; and
Adjusted operating income of $179 million increased 12%, while Adjusted operating margin increased 110 basis points to 19.4%.
This performance was driven by favorable absorption on higher revenues, favorable mix in the Aerospace & Industrial and Defense Electronics segments, and t he benefits of the Company's restructuring initiatives, partially offset by higher investment in research and development.
Second Quarter 2026 Segment Performance
Aerospace & Industrial
Sales of $268 million, up $29 million, or 12% ;
Growth in our defense markets reflected increased sales of sensors products and actuation equipment supporting various domestic and international fighter jet programs, in addition to 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 both narrowbody and widebody platforms;
Growth in the general industrial market reflected the benefit of high er sales of industrial vehicle products principally serving off -highway vehicle platforms; and
Adjusted operating income was $49 million, up 25% from the prior year, while Adjusted operating margin increased 180 basis points to 18.4%, driven by 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.
8Sales of $246 million, down $7 million, or 3%;
Higher revenue in the aerospace defense market was principally driven by increased sales of embedded computing equipment on various domestic fighter jet and unmanned aerial vehicle (UAV) programs, partially offset by lower sales on various helicopter programs;
Lower ground defense market revenues reflected the timing of tactical communications equipment sales, partially offset by higher sales of turret drive stabilization and radar systems equipment to various international customers; and
Adjusted operating income was $69 million, up 1% from the prior year, while Adjusted operating margin increased 120 basis points to 28.0%, reflecting favorable mix of embedded computing revenues and the benefits of the Company's cost containment initiatives, which more than offset higher investment in research and development.
Sales of $410 million, up $26 million , or 7%;
Revenue growth in the naval defense market was principally driven by timing of revenues on the Virginia-class submarine program and higher aftermarket revenue supporting naval shipyards;
Power & process market revenues primarily reflected higher sales of commercial nuclear solutions supporting next-generation advanced reactors, as these projects continue to transition from development into the initial prototype stage, as well as higher government nuclear revenues; and
Ad justed operating income was $71 million, up 12% from the prior year, while adjusted operating margin increased 80 basis points to 17.3% , primarily due to favorable absorption on higher revenues.
Free Cash Flow
Free cash flow of $160 million increased $43 million, principally driven by higher cash earnings, lower working capital, and lower tax payments .
New Orders and Backlog
New orders of $1.1 billion increased 8% compared with the prior year, driven by record demand for our defense electronics products.
In our A&D markets, we experienced strong growth in aerospace and ground defense, as well as continued strong demand for commercial aerospace products, while our Commercial markets reflected solid demand for commercial nuclear, process and industrial products; and
Backlog of $4.5 billion, up 10% from December 31, 2025, reflecting strong demand across the A&D and Commercial markets.
Capital return
Share Repurchase and Dividends
During the second quarter, the Company repurchased 20,105 shares of its common stock for approximately $15 million;
In May 2026, the Company's Board of Directors authorized an 8% increase in the quarterly dividend, from twenty-four cents ($0.24) per share to twenty-six cents ($0.26) per share, which represented the 10th consecutive year that Curtiss-Wright has increased its dividend; and
During the second quarter, the Company declared a quarterly dividend of $0.26 a share.
Curtiss-Wright Corporation, Page 7
Outlook
Full-Year 2026 Guidance
The Company is updating its full-year 2026 Adjusted financial guidance (1) as follows:
($ in millions, except EPS)2026 Adjusted Non-GAAP Guidance (Prior)2026 Adjusted Non-GAAP Guidance (Current)Change vs 2025 Adjusted (Current)
Total Sales$3,740 - $3,795$3,768 - $3,8138 - 9%
Operating Income$712 - $729$720 - $73611 - 13%
Operating Margin19.0% - 19.2%19.1% - 19.3%50 - 70 bps
Diluted EPS$14.90 - $15.30$15.10 - $15.4014 - 16%
Free Cash Flow (2)$580 - $600$585 - $6056 - 9%
(2) 2026 Free Cash Flow guidance includes higher capital expenditures supporting growth and efficiency, reflecting a year-over-year increase of approximately $25 million compared with 2025 results.
Results
Organic Sales and Organic Operating Income
Curtiss-Wright Corporation, Page 16
Free Cash Flow and Free Cash Flow Conversion
Curtiss-Wright Corporation, Page 17
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