NASDAQ$WWD

Woodward Inc. · Q2 2021 earnings

Q2 2021 earnings · · Investor relations

Briefing

Woodward's second quarter results reflected encouraging signs of market recovery with sequential improvements in sales and earnings.

Woodward reported a 19% decrease in net sales to $581 million compared to the same quarter last year. Net earnings were $68 million, or $1.04 per share, compared to $91 million, or $1.41 per share, in the prior year. The company noted encouraging signs of market recovery with sequential improvement in both Aerospace and Industrial segments.

  • Net sales decreased by 19% year-over-year to $581 million.
  • Net earnings were $68 million, or $1.04 per share, compared to $91 million, or $1.41 per share, in the prior year.
  • Aerospace segment net sales decreased year-over-year but increased sequentially by 13%.
  • Industrial segment net sales decreased year-over-year but slightly increased excluding renewable power systems and related businesses.

Headline financials

Total Revenue

$581M

Previous: $720M-19.3%
EPS (adj)

$1.04

Previous: $1.61-35.4%
Effective tax rate

13.0%

Previous: 14.8%-12.2%
Capital Expenditures

-$13.3M

Previous: -$29.4M+54.7%
Free Cash Flow

$55M

Previous: $62M-11.2%
Net Income

$68.3M

Previous: $91.3M-25.2%
Operating Income

-$553M

Previous: -$656M+15.7%
Gross Profit

$147M

Previous: $203M-27.4%
Cash & Equivalents

$288M

Previous: $103M+179.6%
Total Assets

$4.02B

Previous: $4.06B-1.0%
Stock-Based Comp

$2.97M

Previous: $2.49M+19.1%

Revenue & EPS history

Woodward · Revenue · Quarterly

$581M

Q2 2021-19.3%vs Q2 2020
Beat estimate in 11 of 16 quarters(69%)
ActualEstimate

Revenue by segment

Woodward · $582M total across 2 segments · Q2 2021

  • Aerospace
    $365M-23.0%
  • Industrial
    $217M-11.8%

Forward guidance

Woodward is withholding guidance due to the uncertain economic landscape caused by the COVID-19 pandemic, despite optimism for economic recovery driven by vaccine rollouts.

Tailwinds

  • Ongoing rollout of vaccines across many countries is driving optimism for economic recovery.

Headwinds

  • Enduring turbulence caused by the COVID-19 pandemic.
  • Significantly reduced global passenger travel.
  • New viral variants continue to cloud near-term forecasts.
  • Uncertain economic landscape.
  • COVID-19 related impacts, which could disrupt production.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2021

Historical avgQ2 2021

+1.3%

Avg return

Earnings day

+2.2%

Avg return

5 days after

+3.1%

Avg return

30 days after

58%

40 / 69 earnings

Positive

+18.5%

Q2 2023

Best reaction

-17.1%

Q3 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026-0.7%+1.3%-3.1%
Q1 2026+14.3%+18.7%+18.1%
Q4 2025+12.5%+14.9%+20.2%
Q3 2025-0.0%+0.4%-2.9%
Q2 2025+1.9%+6.9%+20.1%
Q1 2025-1.8%+3.9%-5.6%
Q4 2024+6.4%+2.4%-3.0%
Q3 2024-17.1%-16.8%-10.0%
Q2 2024+7.8%+12.1%+21.4%
Q1 2024+1.6%-2.2%+0.9%
Q4 2023-2.9%-2.4%+0.8%
Q3 2023+10.6%+5.5%+8.0%
Q2 2023+18.5%+13.4%+9.8%
Q1 2023-7.6%-6.2%-9.6%
Q4 2022-0.4%+1.2%-6.6%
Q3 2022-10.9%-9.0%-11.1%
Q2 2022-7.7%-5.6%-8.2%
Q1 2022+0.6%+1.3%+14.0%
Q4 2021-1.3%+0.4%-8.5%
Q3 2021-7.0%-6.5%+0.4%
Q2 2021+1.6%+3.9%+1.4%
Q1 2021+5.5%+4.2%+4.0%
Q4 2020+1.0%+6.7%+10.6%
Q3 2020+4.8%+12.0%+10.1%
Q2 2020-6.4%+5.7%+30.7%
Q1 2020-0.3%+2.2%-5.2%
Q4 2019+0.8%-2.4%+3.0%
Q3 2019-4.3%-1.5%-2.9%
Q2 2019+6.0%+9.4%+5.9%
Q1 2019+11.6%+14.6%+24.1%
Q4 2018+7.6%+3.4%-3.7%
Q3 2018+0.7%-5.3%-1.8%
Q2 2018-1.1%-2.5%+0.3%
Q1 2018-6.9%-5.7%-8.4%
Q4 2017+4.9%+1.7%-3.9%
Q3 2017+5.5%+2.5%-1.9%
Q2 2017-2.2%-1.2%-2.8%
Q1 2017+2.6%+3.6%+5.0%
Q4 2016+7.0%+5.9%+9.0%
Q3 2016-2.8%-2.7%+4.2%
Q2 2016+4.8%
Q1 2016-3.2%
Q4 2015+0.7%
Q3 2015-8.4%
Q2 2015+0.7%
Q1 2015+6.5%
Q4 2014-5.6%
Q3 2014+9.4%
Q2 2014+7.3%
Q1 2014-3.0%
Q4 2013+0.7%
Q3 2013-0.9%
Q2 2013+2.7%
Q1 2013-4.6%
Q4 2012+8.3%
Q3 2012-3.1%
Q2 2012+4.0%
Q1 2012+2.6%
Q4 2011-5.4%
Q3 2011-5.1%
Q2 2011-0.9%
Q1 2010-1.2%
Q1 2011+2.6%
Q4 2008+5.4%
Q2 2010+5.4%
Q4 2010+5.4%
Q3 2010+4.2%
Q4 2009+4.2%
Q3 2009+4.2%

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