News Details

Curtiss-Wright Reports Third Quarter 2017 Financial Results; Raises Full-Year Sales, Operating Income, Operating Margin, EPS and Free Cash Flow Guidance

October 25, 2017

CHARLOTTE, N.C.--(BUSINESS WIRE)-- Curtiss-Wright Corporation (NYSE: CW) reports financial results for the third quarter and nine months ended September 30, 2017.

Third Quarter 2017 Highlights

  • Diluted earnings per share (EPS) of $1.43, including $0.09 resulting from a lower tax rate, came in ahead of expectations and up 40% compared with the prior year;
  • Net sales of $568 million, up 12%, including 8% organic growth, with higher sales in all end markets;
  • Operating income of $97 million, up 26%;
  • Operating margin of 17.0%, up 190 basis points;
  • New orders of $517 million, up 3%;
  • Backlog of $2.0 billion increased 5% from December 31, 2016; and
  • Free cash flow of $90 million and free cash flow conversion of 140%, as defined in table below.

Full-Year 2017 Business Outlook

  • Increasing sales guidance by $25 million to a new range of $2.21 to $2.25 billion, due to improved outlook in general industrial and defense markets;
  • Increasing operating income guidance by $7 million to a new range of $328 to $336 million, driven by the higher sales outlook and improved profitability in the Power segment;
  • Increasing operating margin guidance by 10 basis points to a new range of 14.8% to 14.9%;
  • Increasing EPS guidance by $0.20 to a new range of $4.65 to $4.75, representing double-digit growth of 11% to 13%, due to strong operational performance as well as a lower tax rate; and
  • Increasing free cash flow guidance by $10 million to a new range of $270 to $290 million.

“Our third quarter results exceeded our expectations driven by strong 12% top-line growth, 8% of which was organic, and improved profitability that generated a 17.0% operating margin and stronger than anticipated EPS of $1.43,” said David C. Adams, Chairman and CEO of Curtiss-Wright Corporation. “We achieved higher sales and operating income growth in each of our segments, driving solid operating margin expansion, particularly in our Commercial/Industrial and Power segments. In addition, our results reflect solid profitability associated with the Teletronics Technology Corporation (TTC) acquisition in the Defense segment, as well as the incremental benefits of our ongoing margin improvement initiatives across the enterprise.”

“As a result of our strong third quarter performance, improved overall sales outlook and higher profitability associated with the AP1000 China Direct program, we are increasing our full-year 2017 guidance for sales, operating income, operating margin and EPS. In addition, as a result of higher net earnings and lower working capital, we are raising our full-year free cash flow guidance by $10 million to a new range of $270 to $290 million. We look forward to continuing to deliver solid profitability and free cash flow to enhance shareholder value.”

 

Third Quarter 2017 Operating Results from Continuing Operations

           
(In thousands) 3Q-2017 3Q-2016 Change
Sales $ 567,901 $ 507,092 12%
Operating income 96,550 76,573 26%
Operating margin 17.0% 15.1% 190 bps
 

Sales

Sales of $568 million in the third quarter increased $61 million, or 12%, compared with the prior year, reflecting a $41 million, or 8%, increase in organic sales, an $18 million, or approximately 4%, contribution from acquisitions, and a $2 million benefit from favorable foreign currency translation.

Higher organic sales were principally driven by improved demand in the Commercial/Industrial segment and higher revenues in the Power segment. Higher Defense segment sales primarily reflect the contribution from our acquisition of TTC.

From an end market perspective, sales to the defense markets increased 13%, while sales to the commercial markets increased 11%, compared with the prior year. Please refer to the accompanying tables for a breakdown of sales by end market.

Operating Income

Operating income in the third quarter was $97 million, an increase of $20 million, or 26%, compared with the prior year, due to strong performance in each of our segments. In the Commercial/Industrial segment, higher operating income was primarily driven by higher industrial revenues and the benefits of our margin improvement initiatives. In the Defense segment, our results primarily reflect solid profitability associated with the TTC acquisition. Finally, in the Power segment, our results reflect a strong improvement in operating income resulting from higher revenues and profitability on the AP1000 China Direct program and higher profitability in the aftermarket business.

Operating margin was 17.0%, an increase of 190 basis points over the prior year, reflecting higher revenues and the benefits of our ongoing margin improvement initiatives.

Non-segment Expense

Non-segment expenses decreased by $2 million compared with the prior year, primarily due to lower foreign currency transactional losses and lower pension expense.

Net Earnings

Third quarter net earnings increased 39% compared with the prior year, driven by higher operating income and lower taxes. The effective tax rate for the current quarter was 26.0%, a decrease from 31.0% in the prior year, principally driven by a discrete tax benefit for employee share-based payments and the reversal of certain valuation allowances.

       

Free Cash Flow

 
(In thousands) 3Q-2017 3Q-2016
Net cash provided by operating activities $ 101,375 $ 110,581
Capital expenditures   (11,586 )   (10,394 )
Free cash flow $ 89,789 $ 100,187
 

Free cash flow, defined as cash flow from operations less capital expenditures, was $90 million for the third quarter of 2017, a decrease of $10 million compared with the prior year. Net cash provided by operating activities decreased $9 million to $101 million, as higher cash earnings were more than offset by higher trade receivables on increased sales. Capital expenditures increased by $1 million to $12 million, primarily due to capital investments being made in each of our segments.

New Orders and Backlog

New orders of $517 million in the third quarter increased 3% compared to the prior year, due to increases in all three segments. Backlog of $2.0 billion increased 5% from December 31, 2016, primarily due to increases in the Commercial/Industrial and Defense segments.

Other Items – Share Repurchase

During the third quarter, the Company repurchased 126,880 shares of its common stock for approximately $12 million.

Full-Year 2017 Guidance

The Company is updating its full-year 2017 financial guidance as follows:

       

Prior Guidance

Current Guidance

Total sales $2.19 - $2.23 billion $2.21 - $2.25 billion
Operating income $321 - $329 million $328 - $336 million
Operating margin 14.7% - 14.8% 14.8% - 14.9%
Interest expense $41 - $42 million No change
Tax rate 29.1% 27.8%
Diluted earnings per share $4.45 - $4.55 $4.65 - $4.75
Diluted shares outstanding 44.9 million 44.8 million
Free cash flow $260 - $280 million $270 - $290 million
 

Notes:

  • Full-year 2017 guidance includes the acquisition of TTC, which is expected to contribute $65 million in sales to the Defense segment and to be slightly accretive to operating income and earnings per share, including purchase accounting costs.
  • Full-year 2017 tax rate guidance includes the impact of a discrete tax benefit of $5.4 million from the adoption of ASU 2016-09 Improvements to Employee Share-Based Payment Accounting, which results in a $0.12 increase to our EPS, a $0.03 increase from the first quarter.
  • A more detailed breakdown of the Company’s 2017 guidance by segment and by market can be found in the accompanying schedules.
 

Third Quarter 2017 Segment Performance

           

Commercial/Industrial

 
(In thousands) 3Q-2017 3Q-2016 Change
Sales $ 293,939 $ 275,649 7%
Operating income 46,774 39,067 20%
Operating margin 15.9% 14.2% 170 bps
 

Sales for the third quarter were $294 million, an increase of $18 million, or 7%, over the prior year. Organic sales increased $17 million, or 6%, while favorable foreign currency translation added $1 million, or 1%. Our results primarily reflect higher sales in the general industrial market, due to continued solid demand for industrial vehicle products and improved sales of severe-service valves to the energy markets. In addition, our results reflect an increase in the commercial aerospace market, primarily due to higher sensors and actuation systems sales on narrowbody airplanes and business jets. In the naval defense market, we experienced lower revenues on the Virginia-class submarine program, based on the timing of production.

Operating income in the third quarter was $47 million, an increase of $8 million, or 20%, compared with the prior year, while operating margin increased 170 basis points to 15.9%. The increase in operating income and margin primarily reflects higher sales and improved profitability for industrial vehicle products, sensors and controls products, and surface treatment services, including the benefits of our ongoing margin improvement initiatives.

           

Defense

 
(In thousands) 3Q-2017 3Q-2016 Change
Sales $ 141,945 $ 113,949 25%
Operating income 33,636 28,822 17%
Operating margin 23.7% 25.3% (160 bps)
 

Sales for the third quarter were $142 million, an increase of $28 million, or 25%, from the prior year. These results primarily reflect an $18 million contribution from the acquisition of TTC, while organic sales increased $10 million, or 8%, and favorable foreign currency translation added nearly $1 million, or 1%. In the aerospace defense market, our results reflect higher sales of data acquisition and flight test equipment from TTC, most notably on the F-35 Joint Strike Fighter program, as well as increased sales to unmanned aerial vehicle (UAV) programs. In the ground defense market, our results reflect higher sales of our turret drive stabilization systems for armored tanks to international customers.

Operating income in the third quarter was $34 million, an increase of $5 million, or 17%, compared with the prior year, while operating margin decreased 160 basis points to 23.7%. Excluding a $6 million, or 20%, benefit from the TTC acquisition, organic operating income was flat on higher sales, mainly due to an unfavorable shift in mix for our defense electronics products. Meanwhile, unfavorable foreign currency translation reduced current quarter operating income by approximately $1 million, or 3%.

           

Power

 
(In thousands) 3Q-2017 3Q-2016 Change
Sales $ 132,017 $ 117,494 12%
Operating income 19,486 14,130 38%
Operating margin 14.8% 12.0% 280 bps
 

Sales for the third quarter were $132 million, an increase of $15 million, or 12%, from the prior year. In the naval defense market, our results reflect higher revenues on the Virginia-class submarine program, based on the timing of production, as well as the new Columbia class submarine program, supporting the ramp-up in development. In the power generation market, our results were primarily driven by higher revenues on the AP1000 China Direct program, as well as solid international aftermarket sales supporting currently operating nuclear reactors, partially offset by reduced domestic sales.

Operating income in the third quarter was $19 million, an increase of $5 million, or 38%, compared with the prior year, while operating margin increased 280 basis points to 14.8%. This performance reflects higher production and profitability on the AP1000 China Direct program, as well as improved profitability in the aftermarket business driven by higher sales and the benefits of our ongoing margin improvement initiatives.

Conference Call & Webcast Information

The Company will host a conference call to discuss third quarter 2017 financial results at 9:00 a.m. EDT on Thursday, October 26, 2017. A live webcast of the call and the accompanying financial presentation, as well as a replay of the call, will be made available on the internet by visiting the Investor Relations section of the Company’s website at www.curtisswright.com.

(Tables to Follow)

 
CURTISS-WRIGHT CORPORATION and SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS (UNAUDITED)
($'s in thousands, except per share data)
               
Three Months Ended Nine Months Ended
September 30, Change September 30, Change
2017 2016 $   % 2017 2016 $   %
Product sales $ 468,073 $ 413,905 $ 54,168 13 % $ 1,351,076 $ 1,244,148 $ 106,928 9 %
Service sales 99,828   93,187   6,641   7 % 308,069   299,218   8,851   3 %
Total net sales 567,901 507,092 60,809 12 % 1,659,145 1,543,366 115,779 8 %
 
Cost of product sales 292,215 261,488 30,727 12 % 878,446 806,092 72,354 9 %
Cost of service sales 64,903   61,128   3,775   6 % 200,371   195,515   4,856   2 %
Total cost of sales 357,118 322,616 34,502 11 % 1,078,817 1,001,607 77,210 8 %
 
Gross profit 210,783 184,476 26,307 14 % 580,328 541,759 38,569 7 %
 
Research and development expenses 14,575 14,071 504 4 % 45,374 44,467 907 2 %
Selling expenses 28,818 26,273 2,545 10 % 86,331 85,025 1,306 2 %
General and administrative expenses 70,840   67,559   3,281   5 % 217,575   210,342   7,233   3 %
 
Operating income 96,550 76,573 19,977 26 % 231,048 201,925 29,123 14 %
 
Interest expense 10,457 10,488 (31 ) 0 % 31,584 30,694 890 3 %
Other income, net 321   483   (162 ) NM 823   818   5   NM
 
Earnings before income taxes 86,414 66,568 19,846 30 % 200,287 172,049 28,238 16 %
Provision for income taxes (22,470 ) (20,636 ) (1,834 ) 9 % (53,146 ) (53,335 ) 189   0 %
Net earnings $ 63,944   $ 45,932   $ 18,012   39 % $ 147,141   $ 118,714   $ 28,427   24 %
 
Net earnings per share:
Basic earnings per share $ 1.45 $ 1.04 $ 3.33 $ 2.67
Diluted earnings per share $ 1.43 $ 1.02 $ 3.29 $ 2.63
 
Dividends per share $ 0.15 $ 0.13 $ 0.41 $ 0.39
 
Weighted average shares outstanding:
Basic 44,137 44,323 44,196 44,457
Diluted 44,686 44,997 44,782 45,128
 
NM- not meaningful
 

 
CURTISS-WRIGHT CORPORATION and SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)
($'s in thousands, except par value)
       
September 30, December 31, %
2017 2016 Change
Assets
Current assets:
Cash and cash equivalents $ 432,191 $ 553,848 (22 %)
Receivables, net 515,966 463,062 11 %
Inventories, net 397,270 366,974 8 %
Other current assets 43,852   30,927   42 %
Total current assets 1,389,279   1,414,811   (2 %)
Property, plant, and equipment, net 387,699 388,903 0 %
Goodwill 1,089,781 951,057 15 %
Other intangible assets, net 338,957 271,461 25 %
Other assets 15,508   11,549   34 %
Total assets $ 3,221,224   $ 3,037,781   6 %
 
Liabilities
Current liabilities:
Current portion of long-term and short-term debt $ 150,408 $ 150,668 0 %
Accounts payable 150,751 177,911 (15 %)
Accrued expenses 131,357 130,239 1 %
Income taxes payable 9,988 18,274 (45 %)
Deferred revenue 189,788 170,143 12 %
Other current liabilities 36,946   28,027   32 %
Total current liabilities 669,238   675,262   (1 %)
Long-term debt 814,400 815,630 0 %
Deferred tax liabilities, net 57,918 49,722 16 %
Accrued pension and other postretirement benefit costs 101,827 107,151 (5 %)
Long-term portion of environmental reserves 14,956 14,024 7 %
Other liabilities 88,409   84,801   4 %
Total liabilities 1,746,748   1,746,590   0 %
 
Stockholders' equity
Common stock, $1 par value 49,187 49,187 0 %
Additional paid in capital 123,573 129,483 (5 %)
Retained earnings 1,883,185 1,754,907 7 %
Accumulated other comprehensive loss (217,488 ) (291,756 ) 25 %
Less: cost of treasury stock (363,981 ) (350,630 ) (4 %)
Total stockholders' equity 1,474,476   1,291,191   14 %
   
Total liabilities and stockholders' equity $ 3,221,224   $ 3,037,781   6 %
 

 
CURTISS-WRIGHT CORPORATION and SUBSIDIARIES
SEGMENT INFORMATION (UNAUDITED)
($'s in thousands)
           
Three Months Ended Nine Months Ended
September 30, September 30,
% %
2017 2016 Change 2017 2016 Change

Sales:

Commercial/Industrial $ 293,939 $ 275,649 7 % $ 864,360 $ 840,422 3 %
Defense 141,945 113,949 25 % 382,968 333,301 15 %
Power 132,017   117,494   12 % 411,817   369,643   11 %
 
Total sales $ 567,901 $ 507,092 12 % $ 1,659,145 $ 1,543,366 8 %
 

Operating income (expense):

Commercial/Industrial $ 46,774 $ 39,067 20 % $ 121,088 $ 108,076 12 %
Defense 33,636 28,822 17 % 65,978 64,276 3 %
Power 19,486   14,130   38 % 60,896   44,872   36 %
 
Total segments $ 99,896 $ 82,019 22 % $ 247,962 $ 217,224 14 %
Corporate and other (3,346 ) (5,446 ) 39 % (16,914 ) (15,299 ) (11 %)
 
Total operating income $ 96,550   $ 76,573   26 % $ 231,048   $ 201,925   14 %
 
 

Operating margins:

Commercial/Industrial 15.9 % 14.2 % 170

 bps

14.0 % 12.9 % 110

 bps

Defense 23.7 % 25.3 % (160

 bps)

17.2 % 19.3 % (210

 bps)

Power 14.8 % 12.0 % 280

 bps

14.8 % 12.1 % 270

 bps

Total Curtiss-Wright 17.0 % 15.1 % 190

 bps

13.9 % 13.1 % 80

 bps

 
Segment margins 17.6 % 16.2 % 140

 bps

14.9 % 14.1 % 80

 bps

 

 
CURTISS-WRIGHT CORPORATION and SUBSIDIARIES
SALES BY END MARKET (UNAUDITED)
($'s in thousands)
           
Three Months Ended Nine Months Ended
September 30, September 30,
% %
2017 2016 Change 2017 2016 Change
Defense markets:
Aerospace $ 92,728 $ 78,324 18 % $ 247,656 $ 216,585 14 %
Ground 27,804 19,601 42 % 65,056 58,661 11 %
Naval 102,616 99,719 3 % 293,634 296,670 (1 %)
Other 5,072   4,389   16 % 18,077   8,023   125 %
Total Defense $ 228,220 $ 202,033 13 % $ 624,423 $ 579,939 8 %
 
Commercial markets:
Aerospace $ 105,284 $ 94,248 12 % $ 304,691 $ 298,939 2 %
Power Generation 93,873 89,643 5 % 314,197 285,144 10 %
General Industrial 140,524   121,168   16 % 415,834   379,344   10 %
Total Commercial $ 339,681 $ 305,059 11 % $ 1,034,722 $ 963,427 7 %
       
Total Curtiss-Wright $ 567,901   $ 507,092   12 % $ 1,659,145   $ 1,543,366   8 %
 

Use of Non-GAAP Financial Information (Unaudited)

The Corporation supplements its financial information determined under U.S. generally accepted accounting principles (GAAP) with certain non-GAAP financial information. Curtiss-Wright believes that these non-GAAP measures provide investors with additional insight into the Company’s ongoing business performance. These non-GAAP measures should not be considered in isolation or as a substitute for the related GAAP measures, and other companies may define such measures differently. Curtiss-Wright encourages investors to review its financial statements and publicly-filed reports in their entirety and not to rely on any single financial measure. The following definitions are provided:

Organic Revenue and Organic Operating Income

The Corporation discloses organic revenue and organic operating income because the Corporation believes it provides investors with insight as to the Company’s ongoing business performance. Organic revenue and organic operating income are defined as revenue and operating income excluding the impact of foreign currency fluctuations and contributions from acquisitions made during the last twelve months.

 
Three Months Ended
September 30,
2017 vs. 2016
Commercial/Industrial   Defense   Power Total Curtiss-Wright
Sales  

Operating
income

Sales  

Operating
income

Sales  

Operating
income

Sales  

Operating
income

Organic 6% 20% 8% 0% 12% 38% 8% 20%
Acquisitions 0% 0% 16% 20% 0% 0% 4% 7%
Foreign Currency 1% 0% 1% (3%) 0% 0% 0% (1%)
Total 7% 20% 25% 17% 12% 38% 12% 26%
 
 
Nine Months Ended
September 30,
2017 vs. 2016
Commercial/Industrial Defense Power Total Curtiss-Wright
Sales

Operating
income

Sales

Operating
income

Sales

Operating
income

Sales

Operating
income

Organic 4% 12% 3% 5% 11% 36% 5% 15%
Acquisitions 0% 0% 12% (2%) 0% 0% 4% (1%)
Foreign Currency (1%) 0% 0% 0% 0% 0% (1%) 0%
Total 3% 12% 15% 3% 11% 36% 8% 14%
 

Free Cash Flow and Free Cash Flow Conversion

The Corporation discloses free cash flow because it measures cash flow available for investing and financing activities. Free cash flow represents cash available to repay outstanding debt, invest in the business, acquire businesses, return capital to shareholders and make other strategic investments. Free cash flow is defined as cash flow provided by operating activities less capital expenditures. The Corporation discloses free cash flow conversion because it measures the proportion of net earnings converted into free cash flow and is defined as free cash flow divided by net earnings from continuing operations.

 
CURTISS-WRIGHT CORPORATION and SUBSIDIARIES
NON-GAAP FINANCIAL DATA (UNAUDITED)
($'s in thousands)
         
Three Months Ended Nine Months Ended
September 30, September 30,
2017 2016 2017 2016
 
Net cash provided by operating activities $ 101,375 $ 110,581 $ 162,307 $ 267,212
Capital expenditures (11,586 ) (10,394 ) (34,874 ) (26,127 )
Free cash flow $ 89,789   $ 100,187   $ 127,433   $ 241,085  
 
Free Cash Flow Conversion 140 % 218 % 87 % 203 %
 

 
CURTISS-WRIGHT CORPORATION
 
2017 Guidance (from Continuing Operations)
As of October 25, 2017
($'s in millions, except per share data)
     

2016
Reported

2017 Guidance
(Including TTC)

2017 %
Change vs 2016

Low   High

Sales:

Commercial/Industrial $ 1,119 $ 1,130 $ 1,150
Defense 467 540 550
Power 524   540   550  
Total sales $ 2,109 $ 2,210 $ 2,250 5 to 7%
 

Operating income:

Commercial/Industrial $ 157 $ 162 $ 167
Defense 98 106 109
Power 76   82   84  
Total segments 331 350 360
Corporate and other (23 ) (22 ) (24 )
Total operating income $ 308   $ 328   $ 336   6 to 9%
 
Interest expense $ 41 $ 41 $ 42
Earnings before income taxes 268 288 295
Provision for income taxes (79 ) (80 ) (82 )
Net earnings $ 189   $ 208   $ 213  
 
Reported diluted earnings per share $ 4.20 $ 4.65 $ 4.75 11 to 13%
Diluted shares outstanding 45.0 44.8 44.8
Effective tax rate 29.3 % 27.8 % 27.8 %
 

Operating margins:

Commercial/Industrial 14.0 % 14.3 % 14.5 %
Defense 21.1 % 19.6 % 19.7 %
Power 14.6 % 15.2 % 15.3 %
Total operating margin 14.6 % 14.8 % 14.9 %
 
Note: Full year amounts may not add due to rounding
(1) Full-year 2017 guidance includes the acquisition of TTC, which is expected to contribute $65 million in sales to the Defense segment and to be slightly accretive to operating income and earnings per share, including purchase accounting costs.
(2) Full-year 2017 tax rate guidance includes the impact of a discrete tax benefit of $5.4 million from the adoption of ASU 2016-09 Improvements to Employee Share-Based Payment Accounting, which results in a $0.12 increase to our EPS, a $0.03 increase from the first quarter.
 

 
CURTISS-WRIGHT CORPORATION
2017 Sales Growth Guidance by End Market (from Continuing Operations)
As of October 25, 2017
           

2017 % Change vs 2016
(Prior)

2017 % Change vs 2016
(Current)

 

Defense Markets

Aerospace 23 - 25% 23 - 25%
Ground Flat 4 - 6%
Navy (1 - 3%) (0 - 2%)
Total Defense 7 to 9% 8 to 10%
(Including Other Defense)
 

Commercial Markets

Commercial Aerospace Flat 0 - 2%
Power Generation 3 - 5% 3 - 5%
General Industrial 2 - 4% 5 - 7%
Total Commercial 1 to 3% 3 to 5%
 
Total Curtiss-Wright Sales 4 to 6% 5 to 7%
 
Note: Full year amounts may not add due to rounding
Full-year 2017 guidance includes the acquisition of TTC, which is expected to contribute $65 million in sales, primarily to the aerospace defense market and to a lesser extent to the commercial aerospace market.
 

About Curtiss-Wright Corporation

Curtiss-Wright Corporation (NYSE: CW) is a global innovative company that delivers highly engineered, critical function products and services to the commercial, industrial, defense and energy markets. Building on the heritage of Glenn Curtiss and the Wright brothers, Curtiss-Wright has a long tradition of providing reliable solutions through trusted customer relationships. The company employs approximately 8,000 people worldwide. For more information, visit www.curtisswright.com.

Certain statements made in this press release, including statements about future revenue, financial performance guidance, quarterly and annual revenue, net income, operating income growth, future business opportunities, cost saving initiatives, the successful integration of the Company’s acquisitions, and future cash flow from operations, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements present management's expectations, beliefs, plans and objectives regarding future financial performance, and assumptions or judgments concerning such performance. Any discussions contained in this press release, except to the extent that they contain historical facts, are forward-looking and accordingly involve estimates, assumptions, judgments and uncertainties. Such forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those expressed or implied. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. Such risks and uncertainties include, but are not limited to: a reduction in anticipated orders; an economic downturn; changes in the competitive marketplace and/or customer requirements; a change in government spending; an inability to perform customer contracts at anticipated cost levels; and other factors that generally affect the business of aerospace, defense contracting, electronics, marine, and industrial companies. Such factors are detailed in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2016, and subsequent reports filed with the Securities and Exchange Commission.

This press release and additional information are available at www.curtisswright.com.

Source: Curtiss-Wright Corporation

Curtiss-Wright Corporation

Jim Ryan, 704-869-4621

Jim.Ryan@curtisswright.com