Woodward, Inc. (NASDAQ: WWD) has announced plans to wind down its on-highway natural gas truck business in China as part of its strategy to sharpen the focus of its industrial segment and optimize its product portfolio.
The decision to wind down the China on-highway business comes after the company's long evaluation of its future, including considering full or partial divestiture. Despite efforts to sell the business over multiple years, no viable offers have materialized. The wind-down will involve the closure of a small manufacturing facility in China supporting the business, along with a limited number of sales, engineering, and product support staff.
In fiscal year 2025, Woodward achieved record sales and earnings, driven by strong and sustained results across both its industrial and aerospace segments. The company noted that the China on-highway business has not significantly contributed to its overall financial performance on a consistent basis.
Woodward is the global leader in the design, manufacture, and service of energy conversion and control solutions for the aerospace and industrial equipment markets. The company is headquartered in Fort Collins, Colorado, USA.
No specific financial metrics or changes since the last period were provided in the press release. The market has reacted to these announcements by moving the company's shares -0.79% to a price of $311.38. For the full picture, make sure to review Woodward's 8-K report.
