Woodward, Inc. (NASDAQ: WWD) has reported its financial results for fiscal year 2025 and the fourth quarter ending September 30, 2025. The company experienced a record-breaking year with net sales reaching $3.6 billion, a 7% increase from the previous year. Net earnings also soared, reaching $442 million, a 19% increase from the prior year. Adjusted net earnings increased by 12% to $424 million.
Earnings per share (EPS) grew to $7.19, representing a 20% increase from the previous year. Adjusted EPS also saw a significant rise, reaching $6.89, a 13% increase from the prior year. Net cash provided by operating activities increased by 7% to $471 million, while free cash flow reached $340 million, a slight decrease of 1%.
The company's aerospace segment experienced strong growth, with total sales reaching $2.3 billion, a 14% increase from the previous year. Segment earnings for aerospace were $507 million, representing a 31.5% increase from the prior year.
In the industrial segment, sales reached $1.25 billion, a marginal decrease of 3.2% from the previous year. However, segment earnings for industrial were $183 million, with a segment margin of 14.6%.
Woodward's financial position also saw positive changes, with total debt decreasing by 19.5% to $702 million. Additionally, the company's effective income tax rate decreased by 260 basis points to 15.2%.
Looking ahead, Woodward provided guidance for fiscal year 2026, expecting total company sales growth between 7% and 12%, with EPS projected to range from $7.50 to $8.00. The company anticipates free cash flow to be in the range of $300 million to $350 million, with capital expenditures of approximately $290 million.
Following these announcements, the company's shares moved -0.04%, and are now trading at a price of $262.605. Check out the company's full 8-K submission here.
