Woodward posts improved, revenue, profits, but misses estimates

FORT COLLINS — Woodward Inc. (Nasdaq: WWD) recorded revenue of $557 million for the third quarter of its fiscal year, up 6.3% from $524 million for the same period a year ago.

The Fort Collins-based manufacturer of controls for the aerospace, industrial and defense markets posted net income of $49 million, or 74 cents per share, compared with $31 million, or 61 cents per share, for the third quarter the prior year. The figures have been adjusted for non-recurring items.

But the earnings-per-share of 74 cents missed the Zacks Consensus Estimate of 99 cents per share.

Woodward reported net cash from operating activities of $318 million for the first nine months of its fiscal year, compared with $212 million for the same period a year ago.

“We delivered significantly improved performance in the quarter compared to the prior year period,” Woodward CEO Thomas Gendron said in a prepared statement. “Global economies are beginning to recover; however, both of our segments were impacted by COVID, supply chain disruptions and regional market volatility. Woodward continues to generate strong cash flow by leveraging our operational structure and optimizing working capital, which is enabling increased investments in growth opportunities and a return to our pre-COVID capital allocation strategy to drive long-term shareholder value.”

Woodward advised in a press release that, while the fourth quarter should bring higher revenue and earnings than the third quarter, “considerable uncertainty remains with respect to the COVID-19 variants, global supply chain disruptions, and regional market volatility, all of which are expected to continue.”