Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2024 | Apr. 30, 2024 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2024 | |
Document Transition Report | false | |
Entity File Number | 1-134 | |
Entity Registrant Name | CURTISS-WRIGHT CORPORATION | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 13-0612970 | |
Entity Address, Address Line One | 130 Harbour Place Drive, Suite 300 | |
Entity Address, City or Town | Davidson, | |
Entity Address, State or Province | NC | |
Entity Address, Postal Zip Code | 28036 | |
City Area Code | 704 | |
Local Phone Number | 869-4600 | |
Title of 12(b) Security | Common Stock | |
Trading Symbol | CW | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Small Business | false | |
Emerging Company | false | |
Entity common stock shares outstanding | 38,298,789 | |
Entity Shell Company | false | |
Entity Central Index Key | 0000026324 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2024 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS (UNAUDITED) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Net Sales | ||
Net sales | $ 713,167 | $ 630,860 |
Cost of sales | ||
Cost of sales | 459,412 | 409,452 |
Gross profit | 253,755 | 221,408 |
Research and development expenses | 22,980 | 22,024 |
Selling expenses | 36,765 | 32,425 |
General and administrative expenses | 94,049 | 88,344 |
Operating income | 99,961 | 78,615 |
Interest expense | (10,570) | (12,944) |
Other income, net | 9,608 | 7,767 |
Earnings before income taxes | 98,999 | 73,438 |
Provision for income taxes | (22,504) | (16,592) |
Net earnings | $ 76,495 | $ 56,846 |
Net earnings per share: | ||
Basic earnings per share (usd per share) | $ 2 | $ 1.48 |
Diluted earnings per share (usd per share) | 1.99 | 1.48 |
Dividends per share | $ 0.20 | $ 0.19 |
Weighted-average shares outstanding: | ||
Basic (shares) | 38,254 | 38,303 |
Diluted (shares) | 38,431 | 38,516 |
Product | ||
Net Sales | ||
Net sales | $ 595,704 | $ 524,881 |
Cost of sales | ||
Cost of sales | 389,477 | 343,757 |
Service | ||
Net Sales | ||
Net sales | 117,463 | 105,979 |
Cost of sales | ||
Cost of sales | $ 69,935 | $ 65,695 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | ||
Statement of Comprehensive Income [Abstract] | |||
Net earnings | $ 76,495 | $ 56,846 | |
Other comprehensive income | |||
Foreign currency translation, net of tax | [1] | (15,579) | 14,666 |
Pension and postretirement adjustments, net of tax | [1] | 547 | (192) |
Other comprehensive income (loss), net of tax | (15,032) | 14,474 | |
Comprehensive income | $ 61,463 | $ 71,320 | |
[1]The tax benefit/(expense) included in both foreign currency translation adjustments and pension and postretirement adjustments for the three months ended March 31, 2024 and 2023 was immaterial. |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Current Assets: | ||
Cash and cash equivalents | $ 338,034 | $ 406,867 |
Receivables, net | 776,662 | 732,678 |
Inventories, net | 553,037 | 510,033 |
Other current assets | 69,483 | 67,502 |
Total current assets | 1,737,216 | 1,717,080 |
Property, plant, and equipment, net | 329,347 | 332,796 |
Goodwill | 1,552,343 | 1,558,826 |
Other intangible assets, net | 542,335 | 557,612 |
Operating Lease, Right-of-Use Asset | 133,846 | 141,435 |
Prepaid pension asset | 267,334 | 261,869 |
Other assets | 49,661 | 51,351 |
Total assets | 4,612,082 | 4,620,969 |
Current liabilities: | ||
Current portion of long-term debt | 90,000 | 0 |
Accounts payable | 233,818 | 243,833 |
Accrued expenses | 158,089 | 188,039 |
Deferred revenue | 297,545 | 303,872 |
Other current liabilities | 78,823 | 70,800 |
Total current liabilities | 858,275 | 806,544 |
Long-term debt | 960,009 | 1,050,362 |
Deferred tax liabilities, net | 128,000 | 132,319 |
Accrued pension and other postretirement benefit costs | 67,446 | 66,875 |
Long-term operating lease liability | 111,981 | 118,611 |
Long-term portion of environmental reserves | 13,439 | 12,784 |
Other liabilities | 92,753 | 105,061 |
Total liabilities | 2,231,903 | 2,292,556 |
Stockholders' Equity | ||
Common stock, $1 par value,100,000,000 shares authorized as of March 31, 2024 and December 31, 2023; 49,187,378 shares issued as of March 31, 2024 and December 31, 2023; outstanding shares were 38,315,999 as of March 31, 2024 and 38,202,754 as of December 31, 2023 | 49,187 | 49,187 |
Additional paid in capital | 133,166 | 140,182 |
Retained earnings | 3,556,572 | 3,487,751 |
Accumulated other comprehensive loss | (228,255) | (213,223) |
Common treasury stock, at cost (10,871,379 shares as of March 31, 2024 and 10,984,624 shares as of December 31, 2023) | (1,130,491) | (1,135,484) |
Total stockholders' equity | 2,380,179 | 2,328,413 |
Total liabilities and stockholders' equity | $ 4,612,082 | $ 4,620,969 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Mar. 31, 2024 | Dec. 31, 2023 |
Statement of Financial Position [Abstract] | ||
Common stock, par value (usd per share) | $ 1 | $ 1 |
Common Stock, Shares Authorized (in shares) | 100,000,000 | 100,000,000 |
Common Stock, Shares, Issued (in shares) | 49,187,378 | 49,187,378 |
Common Stock, Shares, Outstanding (in shares) | 38,315,999 | 38,202,754 |
Treasury Stock, Common, Shares (in shares) | 10,871,379 | 10,984,624 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Cash flows from operating activities: | ||
Net earnings | $ 76,495 | $ 56,846 |
Adjustments to reconcile net earnings to net cash used for operating activities: | ||
Depreciation and amortization | 26,983 | 28,927 |
Loss on sale/disposal of long-lived assets | 21 | 93 |
Deferred income taxes | (2,742) | (2,619) |
Share-based compensation | 4,695 | 5,179 |
Change in operating assets and liabilities, net of businesses acquired: | ||
Receivables, net | (47,742) | 6,114 |
Inventories, net | (45,851) | (42,897) |
Accounts payable and accrued expenses | (34,816) | (85,442) |
Deferred revenue | (5,776) | (8,252) |
Pension and postretirement liabilities, net | (4,733) | (4,946) |
Other current and long-term assets and liabilities | (12,167) | (44,602) |
Net cash used for operating activities | (45,633) | (91,599) |
Cash flows from investing activities: | ||
Proceeds from sale/disposal of long-lived assets | 41 | 224 |
Additions to property, plant, and equipment | (12,055) | (10,661) |
Net cash used for investing activities | (12,014) | (10,437) |
Cash flows from financing activities: | ||
Borrowings under revolving credit facility | 4,879 | 465,025 |
Repayments of Lines of Credit | (4,879) | (286,825) |
Repayments of Senior Debt | 0 | (202,500) |
Repurchases of common stock | (12,190) | (12,386) |
Proceeds from share-based compensation | 5,472 | 5,225 |
Other | (288) | (268) |
Net cash used for financing activities | (7,006) | (31,729) |
Effect of exchange-rate changes on cash | (4,180) | 7,450 |
Net decrease in cash and cash equivalents | (68,833) | (126,315) |
Cash and cash equivalents at beginning of period | 406,867 | 256,974 |
Cash and cash equivalents at end of period | $ 338,034 | $ 130,659 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Unaudited) - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock Member | Additional Paid In Capital Member | Retained Earnings Member | Accumulated Other Comprehensive Loss Member | Treasury Stock | |
Beginning Balance at Dec. 31, 2022 | $ 49,187 | $ 134,553 | $ 3,163,491 | $ (258,916) | $ (1,107,101) | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net earnings | $ 56,846 | 56,846 | |||||
Other Comprehensive Income (Loss), Net of Tax | $ 14,474 | 14,474 | |||||
Dividends paid/declared | (7,298) | ||||||
Restricted stock | (13,805) | 13,805 | |||||
Employee Stock Purchase Plan | 1,483 | 3,742 | |||||
Share-based compensation | 4,939 | 240 | |||||
Repurchases of common stock | [1] | (12,386) | |||||
Other | (261) | 261 | |||||
Ending Balance at Mar. 31, 2023 | 49,187 | 126,909 | 3,213,039 | (244,442) | (1,101,439) | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Treasury Stock, Shares, Acquired | 73 | ||||||
Beginning Balance at Dec. 31, 2022 | 49,187 | 134,553 | 3,163,491 | (258,916) | (1,107,101) | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Other Comprehensive Income (Loss), Net of Tax | $ 45,693 | ||||||
Ending Balance at Dec. 31, 2023 | 2,328,413 | 49,187 | 140,182 | 3,487,751 | (213,223) | (1,135,484) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net earnings | 76,495 | 76,495 | |||||
Other Comprehensive Income (Loss), Net of Tax | (15,032) | (15,032) | |||||
Dividends paid/declared | (7,674) | ||||||
Restricted stock | (13,879) | 13,879 | |||||
Employee Stock Purchase Plan | 2,484 | 2,988 | |||||
Share-based compensation | 4,562 | 133 | |||||
Repurchases of common stock | [1] | (12,190) | |||||
Other | (183) | 183 | |||||
Ending Balance at Mar. 31, 2024 | $ 2,380,179 | $ 49,187 | $ 133,166 | $ 3,556,572 | $ (228,255) | $ (1,130,491) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Treasury Stock, Shares, Acquired | 53 | ||||||
[1]For the three months ended March 31, 2024 and March 31, 2023, the Corporation repurchased approximately 53,000 and 73,000 shares, respectively, of its common stock. |
CONDENSED CONSOLIDATED STATEM_5
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Unaudited) (Parenthetical) - shares shares in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Statement of Stockholders' Equity [Abstract] | ||
Treasury Stock, Shares, Acquired | 53 | 73 |
BASIS OF PRESENTATION
BASIS OF PRESENTATION | 3 Months Ended |
Mar. 31, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
BASIS OF PRESENTATION | BASIS OF PRESENTATION Curtiss-Wright Corporation and its subsidiaries ("we," the "Corporation," or the "Company") is a global integrated business that provides highly engineered products, solutions, and services mainly to aerospace & defense (A&D) markets, as well as critical technologies in demanding commercial power, process, and industrial markets. The unaudited condensed consolidated financial statements include the accounts of Curtiss-Wright and its majority-owned subsidiaries. All intercompany transactions and accounts have been eliminated. The unaudited condensed consolidated financial statements of the Corporation have been prepared pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (SEC). Certain information and footnote disclosures normally included in annual financial statements have been condensed or omitted as permitted by such rules and regulations. In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments necessary for a fair presentation of these financial statements. Management is required to make estimates and judgments that affect the reported amount of assets, liabilities, revenue, and expenses and disclosure of contingent assets and liabilities in the accompanying financial statements. Actual results may differ from these estimates. The most significant of these estimates includes the estimate of costs to complete using the over-time revenue recognition accounting method, pension plan and postretirement obligation assumptions, estimates for inventory obsolescence, fair value estimates around assets and assumed liabilities from acquisitions, estimates for the valuation and useful lives of intangible assets, legal reserves, and the estimate of future environmental costs. Changes in estimates of contract sales, costs, and profits are recognized using the cumulative catch-up method of accounting. This method recognizes in the current period the cumulative effect of the changes on current and prior periods. Accordingly, the effect of the changes on future periods of contract performance is recognized as if the revised estimate had been the original estimate. During the three months ended March 31, 2024 and 2023, there were no significant changes in estimated contract costs. In the opinion of management, all adjustments considered necessary for a fair presentation have been reflected in these financial statements. The unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Corporation’s 2023 Annual Report on Form 10-K filed with the SEC. The results of operations for interim periods are not necessarily indicative of trends or of the operating results for a full year. |
REVENUE
REVENUE | 3 Months Ended |
Mar. 31, 2024 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contract with Customer [Text Block] | REVENUE The Corporation recognizes revenue when control of a promised good and/or service is transferred to a customer in an amount that reflects the consideration that the Corporation expects to be entitled to in exchange for that good and/or service. Performance Obligations The Corporation identifies a performance obligation for each promise in a contract to transfer a distinct good or service to the customer. As part of its assessment, the Corporation considers all goods and/or services promised in the contract, regardless of whether they are explicitly stated or implied by customary business practices. The Corporation’s contracts may contain either a single performance obligation, including the promise to transfer individual goods or services that are not separately distinct within the context of the respective contracts, or multiple performance obligations. For contracts with multiple performance obligations, the Corporation allocates the overall transaction price to each performance obligation using standalone selling prices, where available, or utilizes estimates for each distinct good or service in the contract where standalone prices are not available. The Corporation’s performance obligations are satisfied either at a point-in-time or on an over-time basis. Typically, over-time revenue recognition is based on the utilization of an input measure used to measure progress, such as costs incurred to date relative to total estimated costs. If a performance obligation does not qualify for over-time revenue recognition, revenue is then recognized at the point-in-time in which control of the distinct good or service is transferred to the customer, typically based upon the terms of delivery. The following table illustrates the approximate percentage of revenue recognized for performance obligations satisfied over-time versus at a point-in-time for the three months ended March 31, 2024 and 2023: Three Months Ended March 31, 2024 2023 Over-time 49 % 49 % Point-in-time 51 % 51 % Contract backlog represents the remaining performance obligations that have not yet been recognized as revenue. Backlog includes deferred revenue and amounts that will be invoiced and recognized as revenue in future periods. Total backlog was approximately $3.1 billion as of March 31, 2024, of which the Corporation expects to recognize approximatel y 90% as net sales over the next 36 months. The remainder will be recognized thereafter. Disaggregation of Revenue The following table presents the Corporation’s total net sales disaggregated by end market and customer type: Total Net Sales by End Market and Customer Type Three Months Ended March 31, (In thousands) 2024 2023 Aerospace & Defense Aerospace Defense $ 132,074 $ 99,879 Ground Defense 90,760 66,256 Naval Defense 177,647 171,956 Commercial Aerospace 89,775 70,490 Total Aerospace & Defense customers $ 490,256 $ 408,581 Commercial Power & Process $ 124,039 $ 120,339 General Industrial 98,872 101,940 Total Commercial customers $ 222,911 $ 222,279 Total $ 713,167 $ 630,860 Contract Balances Timing of revenue recognition and cash collection may result in billed receivables, unbilled receivables (contract assets), and deferred revenue (contract liabilities) on the Condensed Consolidated Balance Sheet. The Corporation’s contract assets primarily relate to its rights to consideration for work completed but not billed as of the reporting date. Contract assets are transferred to billed receivables when the rights to consideration become unconditional. This is typical in situations where amounts are billed as work progresses in accordance with agreed-upon contractual terms or upon achievement of contractual milestones. The Corporation’s contract liabilities primarily consist of customer advances received prior to revenue being earned. Revenue recognized during the three months ended March 31, 2024 and 2023 included in contract liabilities at the beginning of the respective years was approximately $90 million and $89 million, respectively. Contract assets and contract liabilities are reported in the "Receivables, net" and "Deferred revenue" lines, respectively, within the Condensed Consolidated Balance Sheet. |
RECEIVABLES
RECEIVABLES | 3 Months Ended |
Mar. 31, 2024 | |
Receivables [Abstract] | |
RECEIVABLES | RECEIVABLES Receivables primarily include amounts billed to customers, unbilled charges on long-term contracts consisting of amounts recognized as sales but not billed, and other receivables. Substantially all amounts of unbilled receivables are expected to be billed and collected within one year. An immaterial amount of unbilled receivables are subject to retainage provisions. The amount of claims and unapproved change orders within our receivables balances are immaterial. The composition of receivables is as follows: (In thousands) March 31, 2024 December 31, 2023 Billed receivables: Trade and other receivables $ 446,747 $ 427,830 Unbilled receivables: Recoverable costs and estimated earnings not billed 334,671 309,561 Less: Progress payments applied (230) (687) Net unbilled receivables 334,441 308,874 Less: Allowance for doubtful accounts (4,526) (4,026) Receivables, net $ 776,662 $ 732,678 |
INVENTORIES
INVENTORIES | 3 Months Ended |
Mar. 31, 2024 | |
Inventory, Net [Abstract] | |
INVENTORIES | INVENTORIES Inventoried costs contain amounts relating to long-term contracts and programs with long production cycles, a portion of which will not be realized within one year. Long-term contract inventory includes an immaterial amount of claims or other similar items subject to uncertainty concerning their determination or realization. Inventories are valued at the lower of cost or net realizable value. The composition of inventories is as follows: (In thousands) March 31, 2024 December 31, 2023 Raw materials $ 266,413 $ 239,313 Work-in-process 112,605 103,750 Finished goods 134,211 126,174 Inventoried costs related to U.S. Government and other long-term contracts 40,689 43,255 Inventories, net of reserves 553,918 512,492 Less: Progress payments applied (881) (2,459) Inventories, net $ 553,037 $ 510,033 |
GOODWILL
GOODWILL | 3 Months Ended |
Mar. 31, 2024 | |
Goodwill [Abstract] | |
GOODWILL | GOODWILL The Corporation accounts for acquisitions by assigning the purchase price to acquired tangible and intangible assets and liabilities assumed. Assets acquired and liabilities assumed are recorded at their fair values, and the excess of the purchase price over the amounts assigned is recorded as goodwill. The changes in the carrying amount of goodwill for the three months ended March 31, 2024 are as follows: (In thousands) Aerospace & Industrial Defense Electronics Naval & Power Consolidated December 31, 2023 $ 325,131 $ 710,378 $ 523,317 $ 1,558,826 Foreign currency translation adjustment (734) (4,027) (1,722) (6,483) March 31, 2024 $ 324,397 $ 706,351 $ 521,595 $ 1,552,343 |
OTHER INTANGIBLE ASSETS, NET
OTHER INTANGIBLE ASSETS, NET | 3 Months Ended |
Mar. 31, 2024 | |
Intangible Assets, Net (Excluding Goodwill) [Abstract] | |
OTHER INTANGIBLE ASSETS, NET | OTHER INTANGIBLE ASSETS, NET Intangible assets are generally the result of acquisitions and consist primarily of purchased technology and customer related intangibles. Intangible assets are amortized over useful lives that range between 1 to 20 years. The following tables present the cumulative composition of the Corporation’s intangible assets: March 31, 2024 December 31, 2023 (In thousands) Gross Accumulated Amortization Net Gross Accumulated Amortization Net Technology $ 307,207 $ (198,552) $ 108,655 $ 308,256 $ (195,446) $ 112,810 Customer related intangibles 669,065 (346,171) 322,894 670,966 (339,325) 331,641 Programs (1) 144,000 (43,200) 100,800 144,000 (41,400) 102,600 Other intangible assets 54,042 (44,056) 9,986 54,227 (43,666) 10,561 Total $ 1,174,314 $ (631,979) $ 542,335 $ 1,177,449 $ (619,837) $ 557,612 (1) Programs include values assigned to major programs of acquired businesses and represent the aggregate value associated with the customer relationships, contracts, technology, and trademarks underlying the associated program. Total intangible amortization expense for the three months ended March 31, 2024 was $14 million, as compared to $16 million in the comparable prior year period. The estimated future amortization expense of intangible assets over the next five years is as follows: (In millions) 2024 $ 57 2025 $ 54 2026 $ 53 2027 $ 50 2028 $ 44 |
FAIR VALUE OF FINANCIAL INSTRUM
FAIR VALUE OF FINANCIAL INSTRUMENTS | 3 Months Ended |
Mar. 31, 2024 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE OF FINANCIAL INSTRUMENTS | FAIR VALUE OF FINANCIAL INSTRUMENTS Interest Rate Risks and Related Strategies The Corporation’s primary interest rate exposure results from changes in U.S. dollar interest rates. The Corporation’s policy is to manage interest cost using a mix of fixed and variable rate debt. Debt The estimated fair value amounts were determined by the Corporation using available market information that is primarily based on quoted market prices for the same or similar issuances as of March 31, 2024. Accordingly, all of the Corporation’s debt is valued as a Level 2 financial instrument. The fair values described below may not be indicative of net realizable value or reflective of future fair values. Furthermore, the use of different methodologies to determine the fair value of certain financial instruments could result in a different estimate of fair value at the reporting date. March 31, 2024 December 31, 2023 (In thousands) Carrying Value Estimated Fair Value Carrying Value Estimated Fair Value 3.85% Senior notes due 2025 90,000 88,655 90,000 88,243 4.24% Senior notes due 2026 200,000 194,444 200,000 195,556 4.05% Senior notes due 2028 67,500 64,289 67,500 64,801 4.11% Senior notes due 2028 90,000 85,213 90,000 85,999 3.10% Senior notes due 2030 150,000 130,433 150,000 131,942 3.20% Senior notes due 2032 150,000 125,714 150,000 127,649 4.49% Senior notes due 2032 200,000 184,346 200,000 187,584 4.64% Senior notes due 2034 100,000 91,533 100,000 92,961 Total debt 1,047,500 964,627 1,047,500 974,735 Debt issuance costs, net (1,487) (1,487) (1,541) (1,541) Unamortized interest rate swap proceeds 3,996 3,996 4,403 4,403 Total debt, net $ 1,050,009 $ 967,136 1,050,362 977,597 |
PENSION AND OTHER POSTRETIREMEN
PENSION AND OTHER POSTRETIREMENT BENEFIT PLANS | 3 Months Ended |
Mar. 31, 2024 | |
Retirement Benefits, Description [Abstract] | |
PENSION AND OTHER POSTRETIREMENT BENEFIT PLANS | PENSION PLANS Defined Benefit Pension Plans The following table is a consolidated disclosure of all domestic and foreign defined pension plans as described in the Corporation’s 2023 Annual Report on Form 10-K filed with the SEC. The components of net periodic pension cost/(benefit) were as follows: Three Months Ended March 31, (In thousands) 2024 2023 Service cost $ 4,282 $ 4,127 Interest cost 8,593 8,790 Expected return on plan assets (16,553) (15,820) Amortization of prior service cost (8) (33) Amortization of unrecognized actuarial loss 266 77 Net periodic pension cost/(benefit) $ (3,420) $ (2,859) The Corporation did not make any contributions to the Curtiss-Wright Pension Plan during the three months ended March 31, 2024, and does not expect to do so throughout the remainder of the year. Contributions to the foreign benefit plans are not expected to be material in 2024. Defined Contribution Retirement Plan The Company also maintains a defined contribution plan for all non-union employees who are not currently receiving final or career average pay benefits for its U.S. subsidiaries. The employer contributions include both employer match and non-elective contribution components up to a maximum employer contribution o f 7% of eligible compensation. During the three months ended March 31, 2024 and 2023, the expense relating to the plan was $7.6 million and $6.1 million, respectively. |
EARNINGS PER SHARE
EARNINGS PER SHARE | 3 Months Ended |
Mar. 31, 2024 | |
Earnings Per Share [Abstract] | |
EARNINGS PER SHARE | EARNINGS PER SHARE Diluted earnings per share was computed based on the weighted-average number of shares outstanding plus all potentially dilutive common shares. A reconciliation of basic to diluted shares used in the earnings per share calculation is as follows: Three Months Ended March 31, (In thousands) 2024 2023 Basic weighted-average shares outstanding 38,254 38,303 Dilutive effect of deferred stock compensation 177 213 Diluted weighted-average shares outstanding 38,431 38,516 For the three months ended March 31, 2024 and 2023, approximately 59,000 and 24,000 shares, respectively, issuable under equity-based awards were excluded from the calculation of diluted earnings per share as they were anti-dilutive based on the average stock price during the period. |
SEGMENT INFORMATION
SEGMENT INFORMATION | 3 Months Ended |
Mar. 31, 2024 | |
Segment Reporting [Abstract] | |
SEGMENT INFORMATION | SEGMENT INFORMATION The Corporation’s measure of segment profit or loss is operating income. Interest expense and income taxes are not reported on an operating segment basis as they are not considered in the segments’ performance evaluation by the Corporation’s chief operating decision-maker, its Chief Executive Officer. Net sales and operating income by reportable segment were as follows: Three Months Ended March 31, (In thousands) 2024 2023 Net sales Aerospace & Industrial $ 219,547 $ 203,586 Defense Electronics 212,483 163,070 Naval & Power 282,213 266,814 Less: Intersegment revenues (1,076) (2,610) Total consolidated $ 713,167 $ 630,860 Operating income (expense) Aerospace & Industrial $ 27,466 $ 26,545 Defense Electronics 48,081 23,368 Naval & Power 35,191 37,937 Corporate and other (1) (10,777) (9,235) Total consolidated $ 99,961 $ 78,615 (1) Includes pension and other postretirement benefit expense, certain environmental costs related to remediation at legacy sites, and certain other expenses. Adjustments to reconcile operating income to earnings before income taxes are as follows: Three Months Ended March 31, (In thousands) 2024 2023 Total operating income $ 99,961 $ 78,615 Interest expense 10,570 12,944 Other income, net 9,608 7,767 Earnings before income taxes $ 98,999 $ 73,438 (In thousands) March 31, 2024 December 31, 2023 Identifiable assets Aerospace & Industrial $ 1,080,200 $ 1,077,808 Defense Electronics 1,520,096 1,517,877 Naval & Power 1,543,826 1,496,063 Corporate and Other 467,960 529,221 Total consolidated $ 4,612,082 $ 4,620,969 |
ACCUMULATED OTHER COMPREHENSIVE
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | 3 Months Ended |
Mar. 31, 2024 | |
Stockholders' Equity Note [Abstract] | |
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) The cumulative balance of each component of accumulated other comprehensive income (AOCI), net of tax, is as follows: (In thousands) Foreign currency translation adjustments, net Total pension and postretirement adjustments, net Accumulated other comprehensive income (loss) December 31, 2022 $ (160,807) $ (98,109) $ (258,916) Other comprehensive income (loss) before reclassifications (1) 37,519 8,218 45,737 Amounts reclassified from accumulated other comprehensive loss (1) — (44) (44) Net current period other comprehensive income (loss) 37,519 8,174 45,693 December 31, 2023 $ (123,288) $ (89,935) $ (213,223) Other comprehensive income (loss) before reclassifications (1) (15,579) 744 (14,835) Amounts reclassified from accumulated other comprehensive loss (1) — (197) (197) Net current period other comprehensive income (loss) (15,579) 547 (15,032) March 31, 2024 $ (138,867) $ (89,388) $ (228,255) (1) All amounts are after tax. |
CONTINGENCIES AND COMMITMENTS
CONTINGENCIES AND COMMITMENTS | 3 Months Ended |
Mar. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
CONTINGENCIES AND COMMITMENTS | CONTINGENCIES AND COMMITMENTS From time to time, the Corporation is involved in legal proceedings that are incidental to the operation of its business. Some of these proceedings allege damages relating to asbestos and environmental exposures, intellectual property matters, copyright infringement, personal injury claims, employment and employee benefit matters, government contract issues, commercial or contractual disputes, and acquisitions or divestitures. The Corporation continues to defend vigorously against all claims. Although the ultimate outcome of any legal matter cannot be predicted with certainty, based on present information, including assessment of the merits of the particular claim, as well as current accruals and insurance coverage, the Corporation does not believe that the disposition of any of these matters, individually or in the aggregate, will have a material adverse effect on its condensed consolidated financial condition, results of operations, and cash flows. Legal Proceedings The Corporation has been named in a number of lawsuits that allege injury from exposure to asbestos. To date, the Corporation has not been found liable for or paid any material sum of money in settlement in any asbestos-related case. The Corporation believes its minimal use of asbestos in its past operations as well as its acquired businesses’ operations and the relatively non-friable condition of asbestos in its historical products makes it unlikely that it will face material liability in any asbestos litigation, whether individually or in the aggregate. The Corporation maintains insurance coverage and indemnification agreements for these potential liabilities and believes adequate coverage exists to cover any unanticipated asbestos liability. Letters of Credit and Other Financial Arrangements The Corporation enters into standby letters of credit agreements and guarantees with financial institutions and customers primarily relating to guarantees of repayment, future performance on certain contracts to provide products and services, and to secure advance payments from certain international customers. As of March 31, 2024 and December 31, 2023, there were $19 million and $20 million of stand-by letters of credit outstanding, respectively. As of both March 31, 2024 and December 31, 2023, there were $16 million of bank guarantees outstanding. In addition, the Corporation is required to provide the Nuclear Regulatory Commission financial assurance demonstrating its ability to cover the cost of decommissioning its Cheswick, Pennsylvania facility upon closure, though the Corporation does not intend to close this facility. The Corporation has provided this financial assurance in the form of a $35 million surety bond. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 3 Months Ended |
Mar. 31, 2024 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | 13 . SUBSEQUENT EVENTS On April 1, 2024, the Corporation completed the acquisition of WSC, Inc. for approximately $34 million in cash. WSC is a provider of simulation technology that supports the design, commissioning, and reliable operation of commercial nuclear power generation and process plants. For the year ended December 31, 2023, WSC generated sales of approximately $15 million. The acquired business will operate within the Naval & Power segment. |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Pay vs Performance Disclosure | ||
Net earnings | $ 76,495 | $ 56,846 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Mar. 31, 2024 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
BASIS OF PRESENTATION (Policies
BASIS OF PRESENTATION (Policies) | 3 Months Ended |
Mar. 31, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis Of Accounting | BASIS OF PRESENTATION Curtiss-Wright Corporation and its subsidiaries ("we," the "Corporation," or the "Company") is a global integrated business that provides highly engineered products, solutions, and services mainly to aerospace & defense (A&D) markets, as well as critical technologies in demanding commercial power, process, and industrial markets. The unaudited condensed consolidated financial statements include the accounts of Curtiss-Wright and its majority-owned subsidiaries. All intercompany transactions and accounts have been eliminated. The unaudited condensed consolidated financial statements of the Corporation have been prepared pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (SEC). Certain information and footnote disclosures normally included in annual financial statements have been condensed or omitted as permitted by such rules and regulations. In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments necessary for a fair presentation of these financial statements. Management is required to make estimates and judgments that affect the reported amount of assets, liabilities, revenue, and expenses and disclosure of contingent assets and liabilities in the accompanying financial statements. Actual results may differ from these estimates. The most significant of these estimates includes the estimate of costs to complete using the over-time revenue recognition accounting method, pension plan and postretirement obligation assumptions, estimates for inventory obsolescence, fair value estimates around assets and assumed liabilities from acquisitions, estimates for the valuation and useful lives of intangible assets, legal reserves, and the estimate of future environmental costs. Changes in estimates of contract sales, costs, and profits are recognized using the cumulative catch-up method of accounting. This method recognizes in the current period the cumulative effect of the changes on current and prior periods. Accordingly, the effect of the changes on future periods of contract performance is recognized as if the revised estimate had been the original estimate. During the three months ended March 31, 2024 and 2023, there were no significant changes in estimated contract costs. In the opinion of management, all adjustments considered necessary for a fair presentation have been reflected in these financial statements. The unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Corporation’s 2023 Annual Report on Form 10-K filed with the SEC. The results of operations for interim periods are not necessarily indicative of trends or of the operating results for a full year. |
REVENUE (Tables)
REVENUE (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The following table illustrates the approximate percentage of revenue recognized for performance obligations satisfied over-time versus at a point-in-time for the three months ended March 31, 2024 and 2023: Three Months Ended March 31, 2024 2023 Over-time 49 % 49 % Point-in-time 51 % 51 % The following table presents the Corporation’s total net sales disaggregated by end market and customer type: Total Net Sales by End Market and Customer Type Three Months Ended March 31, (In thousands) 2024 2023 Aerospace & Defense Aerospace Defense $ 132,074 $ 99,879 Ground Defense 90,760 66,256 Naval Defense 177,647 171,956 Commercial Aerospace 89,775 70,490 Total Aerospace & Defense customers $ 490,256 $ 408,581 Commercial Power & Process $ 124,039 $ 120,339 General Industrial 98,872 101,940 Total Commercial customers $ 222,911 $ 222,279 Total $ 713,167 $ 630,860 |
RECEIVABLES (Table)
RECEIVABLES (Table) | 3 Months Ended |
Mar. 31, 2024 | |
Receivables [Abstract] | |
Schedule Of Accounts Notes Loans And Financing Receivable | The composition of receivables is as follows: (In thousands) March 31, 2024 December 31, 2023 Billed receivables: Trade and other receivables $ 446,747 $ 427,830 Unbilled receivables: Recoverable costs and estimated earnings not billed 334,671 309,561 Less: Progress payments applied (230) (687) Net unbilled receivables 334,441 308,874 Less: Allowance for doubtful accounts (4,526) (4,026) Receivables, net $ 776,662 $ 732,678 |
INVENTORIES (Table)
INVENTORIES (Table) | 3 Months Ended |
Mar. 31, 2024 | |
Inventory, Net [Abstract] | |
Schedule Of Inventory | The composition of inventories is as follows: (In thousands) March 31, 2024 December 31, 2023 Raw materials $ 266,413 $ 239,313 Work-in-process 112,605 103,750 Finished goods 134,211 126,174 Inventoried costs related to U.S. Government and other long-term contracts 40,689 43,255 Inventories, net of reserves 553,918 512,492 Less: Progress payments applied (881) (2,459) Inventories, net $ 553,037 $ 510,033 |
GOODWILL (Table)
GOODWILL (Table) | 3 Months Ended |
Mar. 31, 2024 | |
Goodwill [Abstract] | |
Schedule Of Goodwill | The changes in the carrying amount of goodwill for the three months ended March 31, 2024 are as follows: (In thousands) Aerospace & Industrial Defense Electronics Naval & Power Consolidated December 31, 2023 $ 325,131 $ 710,378 $ 523,317 $ 1,558,826 Foreign currency translation adjustment (734) (4,027) (1,722) (6,483) March 31, 2024 $ 324,397 $ 706,351 $ 521,595 $ 1,552,343 |
OTHER INTANGIBLE ASSETS, NET (T
OTHER INTANGIBLE ASSETS, NET (Table) | 3 Months Ended |
Mar. 31, 2024 | |
Intangible Assets, Net (Excluding Goodwill) [Abstract] | |
Schedule Of Intangible Assets By Major Class | The following tables present the cumulative composition of the Corporation’s intangible assets: March 31, 2024 December 31, 2023 (In thousands) Gross Accumulated Amortization Net Gross Accumulated Amortization Net Technology $ 307,207 $ (198,552) $ 108,655 $ 308,256 $ (195,446) $ 112,810 Customer related intangibles 669,065 (346,171) 322,894 670,966 (339,325) 331,641 Programs (1) 144,000 (43,200) 100,800 144,000 (41,400) 102,600 Other intangible assets 54,042 (44,056) 9,986 54,227 (43,666) 10,561 Total $ 1,174,314 $ (631,979) $ 542,335 $ 1,177,449 $ (619,837) $ 557,612 (1) |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense | The estimated future amortization expense of intangible assets over the next five years is as follows: (In millions) 2024 $ 57 2025 $ 54 2026 $ 53 2027 $ 50 2028 $ 44 |
FAIR VALUE OF FINANCIAL INSTR_2
FAIR VALUE OF FINANCIAL INSTRUMENTS (Table) | 3 Months Ended |
Mar. 31, 2024 | |
Fair Value Disclosures [Abstract] | |
Schedule of Carrying Values and Estimated Fair Values of Debt Instruments [Table Text Block] | March 31, 2024 December 31, 2023 (In thousands) Carrying Value Estimated Fair Value Carrying Value Estimated Fair Value 3.85% Senior notes due 2025 90,000 88,655 90,000 88,243 4.24% Senior notes due 2026 200,000 194,444 200,000 195,556 4.05% Senior notes due 2028 67,500 64,289 67,500 64,801 4.11% Senior notes due 2028 90,000 85,213 90,000 85,999 3.10% Senior notes due 2030 150,000 130,433 150,000 131,942 3.20% Senior notes due 2032 150,000 125,714 150,000 127,649 4.49% Senior notes due 2032 200,000 184,346 200,000 187,584 4.64% Senior notes due 2034 100,000 91,533 100,000 92,961 Total debt 1,047,500 964,627 1,047,500 974,735 Debt issuance costs, net (1,487) (1,487) (1,541) (1,541) Unamortized interest rate swap proceeds 3,996 3,996 4,403 4,403 Total debt, net $ 1,050,009 $ 967,136 1,050,362 977,597 |
PENSION AND OTHER POSTRETIREM_2
PENSION AND OTHER POSTRETIREMENT BENEFIT PLANS (Table) | 3 Months Ended |
Mar. 31, 2024 | |
Retirement Benefits, Description [Abstract] | |
Schedule Of Defined Benefit Plans Disclosures | The components of net periodic pension cost/(benefit) were as follows: Three Months Ended March 31, (In thousands) 2024 2023 Service cost $ 4,282 $ 4,127 Interest cost 8,593 8,790 Expected return on plan assets (16,553) (15,820) Amortization of prior service cost (8) (33) Amortization of unrecognized actuarial loss 266 77 Net periodic pension cost/(benefit) $ (3,420) $ (2,859) |
EARNINGS PER SHARE (Table)
EARNINGS PER SHARE (Table) | 3 Months Ended |
Mar. 31, 2024 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share Reconciliation | A reconciliation of basic to diluted shares used in the earnings per share calculation is as follows: Three Months Ended March 31, (In thousands) 2024 2023 Basic weighted-average shares outstanding 38,254 38,303 Dilutive effect of deferred stock compensation 177 213 Diluted weighted-average shares outstanding 38,431 38,516 |
SEGMENT INFORMATION (Table)
SEGMENT INFORMATION (Table) | 3 Months Ended |
Mar. 31, 2024 | |
Segment Reporting [Abstract] | |
Schedule Of Segment Reporting Information By Segment | Net sales and operating income by reportable segment were as follows: Three Months Ended March 31, (In thousands) 2024 2023 Net sales Aerospace & Industrial $ 219,547 $ 203,586 Defense Electronics 212,483 163,070 Naval & Power 282,213 266,814 Less: Intersegment revenues (1,076) (2,610) Total consolidated $ 713,167 $ 630,860 Operating income (expense) Aerospace & Industrial $ 27,466 $ 26,545 Defense Electronics 48,081 23,368 Naval & Power 35,191 37,937 Corporate and other (1) (10,777) (9,235) Total consolidated $ 99,961 $ 78,615 (1) Includes pension and other postretirement benefit expense, certain environmental costs related to remediation at legacy sites, and certain other expenses. |
Reconciliation of Operating Profit (Loss) from Segments to Consolidated | Adjustments to reconcile operating income to earnings before income taxes are as follows: Three Months Ended March 31, (In thousands) 2024 2023 Total operating income $ 99,961 $ 78,615 Interest expense 10,570 12,944 Other income, net 9,608 7,767 Earnings before income taxes $ 98,999 $ 73,438 |
Reconciliation Of Assets From Segment To Consolidated | (In thousands) March 31, 2024 December 31, 2023 Identifiable assets Aerospace & Industrial $ 1,080,200 $ 1,077,808 Defense Electronics 1,520,096 1,517,877 Naval & Power 1,543,826 1,496,063 Corporate and Other 467,960 529,221 Total consolidated $ 4,612,082 $ 4,620,969 |
ACCUMULATED OTHER COMPREHENSI_2
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Table) | 3 Months Ended |
Mar. 31, 2024 | |
Stockholders' Equity Note [Abstract] | |
Schedule of Comprehensive Income (Loss) | The cumulative balance of each component of accumulated other comprehensive income (AOCI), net of tax, is as follows: (In thousands) Foreign currency translation adjustments, net Total pension and postretirement adjustments, net Accumulated other comprehensive income (loss) December 31, 2022 $ (160,807) $ (98,109) $ (258,916) Other comprehensive income (loss) before reclassifications (1) 37,519 8,218 45,737 Amounts reclassified from accumulated other comprehensive loss (1) — (44) (44) Net current period other comprehensive income (loss) 37,519 8,174 45,693 December 31, 2023 $ (123,288) $ (89,935) $ (213,223) Other comprehensive income (loss) before reclassifications (1) (15,579) 744 (14,835) Amounts reclassified from accumulated other comprehensive loss (1) — (197) (197) Net current period other comprehensive income (loss) (15,579) 547 (15,032) March 31, 2024 $ (138,867) $ (89,388) $ (228,255) (1) All amounts are after tax. |
REVENUE DISAGGREGATION OF REVEN
REVENUE DISAGGREGATION OF REVENUE (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Disaggregation of Revenue [Line Items] | ||
Net sales | $ 713,167 | $ 630,860 |
Aerospace & Defense | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 490,256 | 408,581 |
Commercial [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 222,911 | 222,279 |
Aerospace Defense [Member] | Aerospace & Defense | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 132,074 | 99,879 |
Ground Defense [Member] | Aerospace & Defense | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 90,760 | 66,256 |
Naval Defense [Member] | Aerospace & Defense | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 177,647 | 171,956 |
Commercial Aerospace [Member] | Aerospace & Defense | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 89,775 | 70,490 |
Power &Process [Member] | Commercial [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 124,039 | 120,339 |
General Industrial [Member] | Commercial [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | $ 98,872 | $ 101,940 |
Transferred over Time [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Net Sales, Net, Percent | 49% | 49% |
Transferred at Point in Time [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Net Sales, Net, Percent | 51% | 51% |
REVENUE ADDITIONAL DETAILS (Det
REVENUE ADDITIONAL DETAILS (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Revenue from Contract with Customer [Abstract] | ||
Revenue, Remaining Performance Obligation, Amount | $ 3,100 | |
Revenue, Remaining Performance Obligation, Percentage | 90% | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Explanation | 36 months | |
Contract with Customer, Liability, Revenue Recognized | $ 90 | $ 89 |
RECEIVABLES (Detail)
RECEIVABLES (Detail) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Billed receivables: | ||
Trade and other receivables | $ 446,747 | $ 427,830 |
Unbilled receivables: | ||
Recoverable costs and estimated earnings not billed | 334,671 | 309,561 |
Contract Receivable, Progress Payment Offset | (230) | (687) |
Net unbilled receivables | 334,441 | 308,874 |
Less: Allowance for doubtful accounts | (4,526) | (4,026) |
Receivables, net | $ 776,662 | $ 732,678 |
INVENTORIES (Detail)
INVENTORIES (Detail) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Inventory, Net [Abstract] | ||
Inventory, Raw Materials, Net of Reserves | $ 266,413 | $ 239,313 |
Inventory, Work in Process, Net of Reserves | 112,605 | 103,750 |
Inventory, Finished Goods, Net of Reserves | 134,211 | 126,174 |
Inventory For Long-term Contracts Or Programs, Net Of Reserves | 40,689 | 43,255 |
Inventories, Net of Reserves | 553,918 | 512,492 |
Progress Payments Netted Against Inventory for Long-term Contracts or Programs | (881) | (2,459) |
Inventories, net | $ 553,037 | $ 510,033 |
GOODWILL (Detail)
GOODWILL (Detail) $ in Thousands | 3 Months Ended |
Mar. 31, 2024 USD ($) | |
Goodwill [Roll Forward] | |
December 31, 2023 | $ 1,558,826 |
Foreign currency translation adjustment | (6,483) |
March 31, 2024 | 1,552,343 |
Aerospace & Industrial | |
Goodwill [Roll Forward] | |
December 31, 2023 | 325,131 |
Foreign currency translation adjustment | (734) |
March 31, 2024 | 324,397 |
Defense Electronics | |
Goodwill [Roll Forward] | |
December 31, 2023 | 710,378 |
Foreign currency translation adjustment | (4,027) |
March 31, 2024 | 706,351 |
Naval & Power | |
Goodwill [Roll Forward] | |
December 31, 2023 | 523,317 |
Foreign currency translation adjustment | (1,722) |
March 31, 2024 | $ 521,595 |
OTHER INTANGIBLE ASSETS, NET (D
OTHER INTANGIBLE ASSETS, NET (Detail) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Finite Lived Intangible Assets [Line Items] | ||
Gross | $ 1,174,314 | $ 1,177,449 |
Accumulated Amortization | (631,979) | (619,837) |
Net | 542,335 | 557,612 |
Technology [Member] | ||
Finite Lived Intangible Assets [Line Items] | ||
Gross | 307,207 | 308,256 |
Accumulated Amortization | (198,552) | (195,446) |
Net | 108,655 | 112,810 |
Customer Relationships [Member] | ||
Finite Lived Intangible Assets [Line Items] | ||
Gross | 669,065 | 670,966 |
Accumulated Amortization | (346,171) | (339,325) |
Net | 322,894 | 331,641 |
Contract and Program Intangible Assets [Member] | ||
Finite Lived Intangible Assets [Line Items] | ||
Gross | 144,000 | 144,000 |
Accumulated Amortization | (43,200) | (41,400) |
Net | 100,800 | 102,600 |
Other Intangible Assets [Member] | ||
Finite Lived Intangible Assets [Line Items] | ||
Gross | 54,042 | 54,227 |
Accumulated Amortization | (44,056) | (43,666) |
Net | $ 9,986 | $ 10,561 |
OTHER INTANGIBLE ASSETS, NET (N
OTHER INTANGIBLE ASSETS, NET (Narrative) (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Finite Lived Intangible Assets [Line Items] | ||
Amortization expense | $ 14 | $ 16 |
Future amortization expense in remainder of fiscal year | 57 | |
Future amortization expense in year one | 54 | |
Future amortization expense in year two | 53 | |
Future amortization expense in year three | 50 | |
Future amortization expense in year four | $ 44 |
FAIR VALUE OF FINANCIAL INSTR_3
FAIR VALUE OF FINANCIAL INSTRUMENTS (Debt) (Detail) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Carrying Value | $ 1,050,009 | $ 1,050,362 |
Estimated Fair Value | 967,136 | 977,597 |
Long-term Debt, Gross | 1,047,500 | 1,047,500 |
Debt Issuance Costs, Net | (1,487) | (1,541) |
Deferred Gain (Loss) on Discontinuation of Interest Rate Fair Value Hedge | 3,996 | 4,403 |
3.85% Senior notes due 2025 [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Carrying Value | 90,000 | 90,000 |
Estimated Fair Value | $ 88,655 | 88,243 |
Debt Instrument, Interest Rate, Stated Percentage | 3.85% | |
4.24% Senior notes due 2026 [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Carrying Value | $ 200,000 | 200,000 |
Estimated Fair Value | $ 194,444 | 195,556 |
Debt Instrument, Interest Rate, Stated Percentage | 4.24% | |
4.05% Senior notes due 2028 [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Carrying Value | $ 67,500 | 67,500 |
Estimated Fair Value | $ 64,289 | 64,801 |
Debt Instrument, Interest Rate, Stated Percentage | 4.05% | |
4.11% Senior Notes [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Carrying Value | $ 90,000 | 90,000 |
Estimated Fair Value | $ 85,213 | 85,999 |
Debt Instrument, Interest Rate, Stated Percentage | 4.11% | |
3.10% Senior Notes [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Carrying Value | $ 150,000 | 150,000 |
Estimated Fair Value | $ 130,433 | 131,942 |
Debt Instrument, Interest Rate, Stated Percentage | 3.10% | |
3.20% Senior Notes [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Carrying Value | $ 150,000 | 150,000 |
Estimated Fair Value | $ 125,714 | 127,649 |
Debt Instrument, Interest Rate, Stated Percentage | 3.20% | |
4.49% Senior Notes [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Carrying Value | $ 200,000 | 200,000 |
Estimated Fair Value | $ 184,346 | 187,584 |
Debt Instrument, Interest Rate, Stated Percentage | 4.49% | |
4.64% Senior Notes [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Carrying Value | $ 100,000 | 100,000 |
Estimated Fair Value | $ 91,533 | 92,961 |
Debt Instrument, Interest Rate, Stated Percentage | 4.64% | |
Long-term Debt, gross [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Estimated Fair Value | $ 964,627 | $ 974,735 |
PENSION AND OTHER POSTRETIREM_3
PENSION AND OTHER POSTRETIREMENT BENEFIT PLANS (Detail) - Pension Plans Defined Benefit [Member] - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost | $ 4,282 | $ 4,127 |
Interest cost | 8,593 | 8,790 |
Expected return on plan assets | (16,553) | (15,820) |
Amortization of prior service cost | (8) | (33) |
Amortization of unrecognized actuarial loss | 266 | 77 |
Defined Benefit Plan, Net Periodic Benefit Cost (Credit), Total | $ (3,420) | $ (2,859) |
PENSION AND OTHER POSTRETIREM_4
PENSION AND OTHER POSTRETIREMENT BENEFIT PLANS (Additional) (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Defined Contribution Plan Disclosure [Line Items] | ||
Defined Contribution Plan, Employer Contribution, Percentage, Maximum | 7% | |
Defined Contribution Plan, Cost | $ 7.6 | $ 6.1 |
EARNINGS PER SHARE (Detail)
EARNINGS PER SHARE (Detail) - shares shares in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Earnings Per Share Reconciliation [Abstract] | ||
Basic weighted-average shares outstanding (shares) | 38,254 | 38,303 |
Incremental Common Shares Attributable to Dilutive Effect of Share-based Payment Arrangements | 177 | 213 |
Diluted weighted-average shares outstanding (shares) | 38,431 | 38,516 |
EARNINGS PER SHARE EARNINGS PER
EARNINGS PER SHARE EARNINGS PER SHARE (Anti-dilutive) (Details) - shares | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 59,000 | 24,000 |
SEGMENT INFORMATION (Detail)
SEGMENT INFORMATION (Detail) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Segment Reporting Information [Line Items] | |||
Net sales | $ 713,167 | $ 630,860 | |
Operating income (expense) | 99,961 | 78,615 | |
Identifiable assets | 4,612,082 | $ 4,620,969 | |
Intersegment Eliminations [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | (1,076) | (2,610) | |
Operating Segments | Aerospace & Industrial | |||
Segment Reporting Information [Line Items] | |||
Net sales | 219,547 | 203,586 | |
Operating income (expense) | 27,466 | 26,545 | |
Identifiable assets | 1,080,200 | 1,077,808 | |
Operating Segments | Defense Electronics | |||
Segment Reporting Information [Line Items] | |||
Net sales | 212,483 | 163,070 | |
Operating income (expense) | 48,081 | 23,368 | |
Identifiable assets | 1,520,096 | 1,517,877 | |
Operating Segments | Naval & Power | |||
Segment Reporting Information [Line Items] | |||
Net sales | 282,213 | 266,814 | |
Operating income (expense) | 35,191 | 37,937 | |
Identifiable assets | 1,543,826 | 1,496,063 | |
Operating Segments | Corporate and Other | |||
Segment Reporting Information [Line Items] | |||
Operating income (expense) | (10,777) | $ (9,235) | |
Identifiable assets | $ 467,960 | $ 529,221 |
SEGMENT INFORMATION (Reconcilia
SEGMENT INFORMATION (Reconciliation) (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Segment Reporting [Abstract] | ||
Total operating income | $ 99,961 | $ 78,615 |
Interest expense | (10,570) | (12,944) |
Other income, net | 9,608 | 7,767 |
Earnings before income taxes | $ 98,999 | $ 73,438 |
ACCUMULATED OTHER COMPREHENSI_3
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | |||
Beginning balance | $ (213,223) | $ (258,916) | $ (258,916) |
Other comprehensive income (loss) before reclassifications | (14,835) | 45,737 | |
Amounts reclassified from accumulated other comprehensive loss | (197) | (44) | |
Other comprehensive income (loss), net of tax | (15,032) | 14,474 | 45,693 |
Ending balance | (228,255) | (213,223) | |
Foreign Currency Translation Adjustments, Net [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | |||
Beginning balance | (123,288) | (160,807) | (160,807) |
Other comprehensive income (loss) before reclassifications | (15,579) | 37,519 | |
Amounts reclassified from accumulated other comprehensive loss | 0 | 0 | |
Other comprehensive income (loss), net of tax | (15,579) | 37,519 | |
Ending balance | (138,867) | (123,288) | |
Total Pension and Postretirment Adjustments, Net [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | |||
Beginning balance | (89,935) | $ (98,109) | (98,109) |
Other comprehensive income (loss) before reclassifications | 744 | 8,218 | |
Amounts reclassified from accumulated other comprehensive loss | (197) | (44) | |
Other comprehensive income (loss), net of tax | 547 | 8,174 | |
Ending balance | $ (89,388) | $ (89,935) |
CONTINGENCIES AND COMMITMENTS (
CONTINGENCIES AND COMMITMENTS (Detail) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Standby Letters Of Credit | ||
Loss Contingencies [Line Items] | ||
Letters of credit, outstanding | $ 19 | $ 20 |
FinancialStandbyLetterOfCreditMember | ||
Loss Contingencies [Line Items] | ||
Letters of credit, outstanding | 16 | |
Surety Bond | ||
Loss Contingencies [Line Items] | ||
Surety bond outstanding | $ 35 |
SUBSEQUENT EVENTS (Details)
SUBSEQUENT EVENTS (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Apr. 01, 2024 | Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Subsequent Event [Line Items] | ||||
Net sales | $ 713,167 | $ 630,860 | ||
WSC, Inc. | ||||
Subsequent Event [Line Items] | ||||
Net sales | $ 15,000 | |||
WSC, Inc. | Subsequent Event [Member] | ||||
Subsequent Event [Line Items] | ||||
Business Combination, Consideration Transferred | $ 34,000 |