Woodward Q3 adjusted EPS beats estimates, raises FY profit view

Woodward

29/07/2026 21:08

Overview
US energy control systems maker's fiscal Q3 revenue grew 21%, meeting analyst expectations
Adjusted EPS for fiscal Q3 rose 43%, beating analyst expectations
Company raised full-year adjusted EPS guidance on strong aerospace and industrial demand

Outlook
Woodward raises FY26 adjusted EPS guidance to $9.30-$9.50 from $9.15-$9.45
Company maintains FY26 sales growth outlook at up 20%-23%
Woodward expects FY26 free cash flow of $300-$350 mln

Result Drivers
AEROSPACE DEMAND - Co said commercial services demand was resilient and commercial OEM benefited from increasing aircraft production rates
INDUSTRIAL SALES GROWTH - Co said industrial segment earnings rose due to substantial sales growth across transportation, power generation, and oil and gas markets
PRICE REALIZATION AND VOLUME LEVERAGE - Co attributed segment earnings growth to price realization and increased leverage on higher sales volumes, partially offset by inflation and unfavorable mix

Company press release: ID:nGNX1BQjR2

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Sales
Meet
$1.10 bln
$1.10 bln (12 Analysts)
Q3 Adjusted EPS
Beat
$2.52
$2.50 (11 Analysts)
Q3 EPS
 
$2.40
 
Q3 Adjusted Net Income
 
$154 mln
 
Q3 Net Income
 
$147 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 11 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the aerospace & defense peer group is "buy"
Wall Street's median 12-month price target for Woodward Inc is $450.00, about 9.6% above its July 28 closing price of $410.55
The stock recently traded at 39 times the next 12-month earnings vs. a P/E of 37 three months ago

Reuters Recommended Reads
July 28 - Jet engine maker Safran raises targets after record first-half margin
July 28 - Illinois Tool Works raises annual profit forecast on strong industrial demand
July 29 - Jet deliveries and defence demand lift Airbus Q2 profit

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)