2016 Annual Report

2016 Financial Information

SEGMENT FINANCIAL INFORMATION

Year ended December 31
(Dollars in millions, except percentages; unaudited)

2016

2015

Change

Sales

    Commercial/Industrial $1,118.8 $1,184.8 (6%)
    Defense 466.6 477.4 (2%)
    Power 523.5 543.5 (4%)
TOTAL SALES $2,108.9 $2,205.7 (4%)

Operating Income (Expense)

    Commercial/Industrial $156.5 $171.5 (9%)
    Defense 98.3 98.9 (1%)
    Power 76.5 75.0 2%
TOTAL SEGMENTS $331.3 $345.4 (4%)
CORPORATE & OTHER (23.2) (34.8) 33%
TOTAL OPERATING INCOME $308.1 $310.6 (1%)

Operating Margins

    Commercial/Industrial 14.0% 14.5%  
    Defense 21.1% 20.7%  
    Power 14.6% 13.8%  
SEGMENT MARGINS 15.7% 15.7%  
TOTAL OPERATING MARGINS 14.6% 14.1%  
  • Note: Amounts may not add due to rounding.

HISTORICAL FINANCIAL PERFORMANCE | THREE-YEAR REVIEW

Year ended December 31
(Dollars in millions, except percentages; unaudited)

2016

2015

2014

Performance(1)

Net Sales $2,108.9 $2,205.7 $2,243.1
Operating income $308.1 $310.6 $282.4
Operating margin 14.6% 14.1% 12.6%
Net earnings $189.4 $192.2 $169.9

EARNINGS PER SHARE

    Basic $4.27 $4.12 $3.54
    Diluted $4.20 $4.04 $3.46
Dividends per share $0.52 $0.52 $0.52

YEAR-END FINANCIAL POSITION

Return on invested capital(2) 12.0% 11.5% 10.4%
New orders $2,149.2 $2,585.0 $2,409.2
Backlog $1,950.8 $1,928.7 $1,674.1
Working capital as % of sales(3) 21.0% 25.4% 23.4%
Total assets $3,037.8 $2,989.6 $3,382.4
Total debt $966.3 $953.2 $953.0
Stockholder’s equity $1,291.2 $1,255.4 $1,478.4

OTHER YEAR-END

Cash flow from operations $423.2 $162.5 $331.8
Capital expenditures $46.8 $35.5 $67.1
Free cash flow(4) $376.4 $272.0 $264.7
EBITDA $404.1 $411.4 $401.3
Depreciation & amortization $96.0 $100.8 $118.9
Shares of stock outstanding at December 31 44.2 44.6 47.9
Number of registered shareholders(5) 3,770 4,038 4,321
Number of employees(5) 7,946 8,421 8,911
  • Note: Amounts may not add due to rounding.
  • (1) Reported on a continuing operations basis.
  • (2) Return on invested capital is equal to net operating profit after-tax over two-year average net debt plus equity and excludes equity from discontinued operations.
  • (3) Working capital is equal to accounts receivable plus inventory minus accounts payable, deferred income and deferred development costs.
  • (4) Free cash flow is defined as cash flow from operations less capital expenditures. 2015 adjusted to remove the $145 million contribution to the Company's corporate defined benefit pension plan.
  • (5) Actual number, not in millions.

COMPARISON OF CUMULATIVE FIVE YEAR TOTAL RETURN

Curtiss-Wright Corp

S&P Midcap 400 Index

Russell 2000

Peer Group

  2011 2012 2013 2014 2015 2016
Curtiss-Wright Corp $100 $93.93 $179.74 $205.49 $200.89 $290.19
S&P Midcap 400 Index $100 $117.88 $157.37 $172.74 $168.98 $204.03
Russell 2000 $100 $116.35 $161.52 $169.43 $161.95 $196.45
Peer Group $100 $113.68 $164.65 $181.73 $187.70 $215.75
  • *Assumes $100 invested on December 31, 2011 in stock or index, including reinvestment of dividends.