Woodward (WWD) quarter:Q4 year:2025 Financial Results Summary
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Woodward, Inc. (WWD) Q4 2025 Financial Results Summary
On November 24, 2025, Woodward, Inc. (NASDAQ: WWD) reported its financial results for the fiscal year 2025 and the fourth quarter, which ended on September 30, 2025.
Fourth Quarter and Fiscal Year 2025 Overview
- Net Sales
- Q4 2025: $995 million, +16% compared to $855 million in Q4 2024
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Fiscal Year 2025: $3.6 billion, +7% compared to $3.3 billion in FY 2024
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Net Earnings
- Q4 2025: $138 million, +66% compared to $83 million in Q4 2024
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Fiscal Year 2025: $442 million, +19% compared to $373 million in FY 2024
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Adjusted Net Earnings
- Q4 2025: $129 million, +49% compared to $86 million in Q4 2024
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Fiscal Year 2025: $424 million, +12% compared to $379 million in FY 2024
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Earnings Per Share (EPS)
- Q4 2025: $2.23, +64% compared to $1.36 in Q4 2024
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Fiscal Year 2025: $7.19, +20% compared to $6.01 in FY 2024
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Adjusted EPS
- Q4 2025: $2.09, +48% compared to $1.41 in Q4 2024
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Fiscal Year 2025: $6.89, +13% compared to $6.11 in FY 2024
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Cash Flow
- Net cash provided by operating activities in Q4 2025: $233 million, +65% versus $142 million in Q4 2024
- Free cash flow in Q4 2025: $181 million, +54% versus $118 million in Q4 2024; with a slight decrease of -1% in fiscal 2025 at $340 million compared to $343 million in FY 2024
Key Metrics
- Effective Income Tax Rate
- Q4 2025: 13.9%, down 410 basis points from 18.0% in Q4 2024
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Fiscal Year 2025: 15.2%, down 260 basis points from 17.8% in FY 2024
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Segment Results
- Aerospace
- Q4 Sales: $661 million, +19.6% compared to $553 million in Q4 2024
- Segment Earnings: $162 million, +52.3% compared to $106 million in Q4 2024
- Segment Margin: 24.4%, up 520 basis points from Q4 2024
- Industrial
- Q4 Sales: $334 million, +10.6% compared to $302 million in Q4 2024
- Segment Earnings: $49 million, +28.2% compared to $38 million in Q4 2024
- Segment Margin: 14.6%, up 200 basis points from Q4 2024
Shareholder Returns
- Dividends Paid
- Q4 2025: $17 million, +13.2% compared to $15 million in Q4 2024
- Fiscal Year 2025: $65 million, +11.5% compared to $58 million in FY 2024
- Dividends per Share: $0.28, up from $0.25 in the previous year
- Share Repurchases
- Q4 2025: $49 million spent on share repurchases, compared to $86 million in Q4 2024
- Fiscal Year 2025: $173 million spent on share repurchases, down from $391 million in FY 2024
Fiscal Year 2026 Guidance
- Woodward anticipates continued growth with:
- Total Sales Growth: 7% – 12%
- EPS Guidance: $7.50 – $8.00
- Free Cash Flow Guidance: $300 – $350 million
- Capital Expenditures: Approximately $290 million
- Effective Tax Rate: Around 22%
Conclusion
Woodward, Inc. showcased impressive financial results for Q4 2025 and the entire fiscal year, reflecting robust growth driven by strong demand across its Aerospace and Industrial sectors. Guidance for fiscal year 2026 indicates continued confidence in sales growth and operational performance. As a testament to its financial health, the company remains committed to returning value to shareholders through dividends and share repurchases.
| Net sales | 2025 | 2024 | 2025 | 2024 |
|---|---|---|---|---|
| 995,264 | 854,488 | 3,567,064 | 3,324,249 | |
| Costs and expenses: | ||||
| Cost of goods sold | 717,864 | 646,733 | 2,610,772 | 2,447,770 |
| Selling, general, and administrative expenses | 87,582 | 77,729 | 329,823 | 307,499 |
| Research and development costs | 39,043 | 34,689 | 147,568 | 140,676 |
| Interest expense | 10,225 | 13,477 | 45,689 | 47,959 |
| Interest income | (953) | (1,964) | (4,189) | (6,458) |
| Other income, net | (18,255) | (17,707) | (84,010) | (67,168) |
| Total costs and expenses | 835,506 | 752,957 | 3,045,653 | 2,870,278 |
| Earnings before income taxes | 159,758 | 101,531 | 521,411 | 453,971 |
| Income tax expense | 22,135 | 18,235 | 79,300 | 81,000 |
| Net earnings | 137,623 | 83,296 | 442,111 | 372,971 |
| Earnings per share amounts: | ||||
| Basic earnings per share | 2.30 | 1.40 | 7.42 | 6.21 |
| Diluted earnings per share | 2.23 | 1.36 | 7.19 | 6.01 |
| Weighted average common shares outstanding: | ||||
| Basic | 59,921 | 59,437 | 59,563 | 60,076 |
| Diluted | 61,720 | 61,385 | 61,464 | 62,084 |
| Cash dividends paid per share | 0.28 | 0.25 | 1.09 | 0.97 |
| Assets | 2025 | 2024 |
|---|---|---|
| Current assets: | ||
| Cash and cash equivalents | 327,431 | 282,270 |
| Accounts receivable | 831,116 | 770,066 |
| Inventories | 654,608 | 609,092 |
| Income taxes receivable | 1,553 | 22,016 |
| Other current assets | 69,706 | 60,167 |
| Total current assets | 1,884,414 | 1,743,611 |
| Property, plant, and equipment, net | 986,623 | 940,715 |
| Goodwill | 832,288 | 806,643 |
| Intangible assets, net | 428,080 | 440,419 |
| Deferred income tax assets | 118,711 | 84,392 |
| Other assets | 380,027 | 353,135 |
| Total assets | 4,630,143 | 4,368,915 |
| Liabilities and stockholders’ equity | ||
| Current liabilities: | ||
| Short-term debt | 122,300 | 217,000 |
| Current portion of long-term debt | 122,934 | 85,719 |
| Accounts payable | 289,417 | 287,457 |
| Income taxes payable | 59,655 | 40,692 |
| Accrued liabilities | 313,083 | 292,642 |
| Total current liabilities | 907,389 | 923,510 |
| Long-term debt, less current portion | 456,968 | 569,751 |
| Deferred income tax liabilities | 107,669 | 121,858 |
| Other liabilities | 591,727 | 577,380 |
| Total liabilities | 2,063,753 | 2,192,499 |
| Stockholders’ equity | 2,566,390 | 2,176,416 |
| Total liabilities and stockholders’ equity | 4,630,143 | 4,368,915 |