Curtiss-Wright Corporation (CW): Business Model Canvas [Dec-2025 Updated]

You're looking to understand the engine behind a defense and industrial powerhouse, and frankly, Curtiss-Wright Corporation (CW) is delivering a masterclass in locking in long-term revenue. Based on their late-2025 position, they are projecting 2025 sales between $3.42 billion and $3.455 billion, fueled by a record backlog exceeding $3.9 billion. What this tells us immediately is that their value isn't just in a product, but in being the embedded, sole-source reliability for mission-critical systems-think Virginia-class submarines and new Small Modular Reactors. After two decades analyzing these plays, I can tell you this model, built on deep government ties and specialized manufacturing, is designed for durability. Dive into the nine blocks below to see precisely how Curtiss-Wright Corporation (CW) turns that backlog into predictable cash flow.

Curtiss-Wright Corporation (CW) - Canvas Business Model: Key Partnerships

You're looking at the core relationships that keep Curtiss-Wright Corporation's highly engineered products flowing, especially across defense and energy sectors as of late 2025. These aren't just vendors; they are mission-critical collaborators.

U.S. Department of Defense (DoD) for major naval and ground defense programs

Curtiss-Wright Corporation's engagement with the U.S. Department of Defense remains central, evidenced by significant contract awards across naval and ground platforms. The company's Q3 2025 reported sales in the Naval & Power segment reached $368 million, reflecting ongoing support for naval programs. Furthermore, the Ground Defense market saw higher sales of tactical battlefield communications equipment in Q2 2025.

Specific DoD-related activity includes:

• Securing an approximately $80 million firm-fixed-price Indefinite Delivery, Indefinite Quantity (IDIQ) contract from the United States Air Force (USAF) in June 2025 for High-Speed Data Acquisition System (HSDAS) technology, scheduled to run through March 2030.
• The company noted an improved outlook reflecting approximately 20% growth in direct foreign military sales (FMS) for 2025, driven by accelerating demand from NATO and allied countries.

Prime aerospace and defense contractors (e.g., for F-35 actuation equipment)

Curtiss-Wright Corporation supports major prime contractors, particularly in the fighter jet space. Growth in defense markets during Q3 2025 reflected increased sales of sensors products and surface treatment services supporting various domestic and international fighter jet programs. The Aerospace Defense market within the Aerospace & Industrial segment posted Q3 2025 sales of $248 million.

The relationship with the F-35 Joint Strike Fighter program is long-standing, involving actuation equipment and instrumentation. A historical contract for Ordnance Hoist Systems on the F-35 had a potential total value of $120 million. More recently, a 2023 contract for F-35 Flight Test Instrumentation was valued at $24 million.

Canadian Commercial Corporation (CCC) for U.S. Navy foreign military sales

The Canadian Commercial Corporation acts as a key facilitator for Curtiss-Wright Corporation's naval systems sales to the U.S. Navy. In January 2025, Curtiss-Wright secured a $27 million contract award from the CCC to supply Aircraft Ship Integrated Securing and Traversing (ASIST) systems for the U.S. Navy's Constellation Class Frigates (FFG-62). This specific award is part of a five-year IDIQ contract potentially valued at nearly $100 million.

Additionally, the company secured a separate $25 million contract award in October 2025, issued by Irving Shipbuilding Inc., to integrate its ASIST helicopter handling system into the Royal Canadian Navy's River Class Destroyer (RCD) program design.

Key Small Modular Reactor (SMR) designers via the Ultra Energy acquisition

The acquisition of Ultra Energy in January 2025 for $200 million in cash significantly expanded Curtiss-Wright Corporation's presence with leading global SMR designers. Ultra Energy, which generated sales of approximately $65 million in 2023, specializes in safety-critical measurement and control systems.

A major partnership in this area was announced in August 2025:

Commercial aerospace OEMs for long-term sensor and surface treatment supply

Curtiss-Wright Corporation maintains strong ties with Commercial Aerospace Original Equipment Manufacturers (OEMs) for long-term supply agreements. The Commercial Aerospace market saw sales growth of 10% in Q2 2025 compared to the prior year period. The company's Q3 2025 results specifically cited strong demand and higher OEM sales of actuation equipment, sensors products, and surface treatment services on narrowbody and widebody platforms.

The Commercial Aerospace revenue segment, based on a prior total revenue of $3.12B, was previously noted at $378.09 million (12.1% of total).

• Demand is driven by planned ramp-up in OEM production schedules for both narrow-body and wide-body platforms.
• The company's overall sales guidance for 2025 reflects expected growth in commercial aerospace.

Finance: draft 13-week cash view by Friday.

Curtiss-Wright Corporation (CW) - Canvas Business Model: Key Activities

You're looking at the core things Curtiss-Wright Corporation does to make money and keep growing as of late 2025. It's all about high-end engineering and securing long-term defense and industrial work.

Specialized manufacturing of mission-critical components

Curtiss-Wright Corporation's manufacturing activity is directly tied to its segment performance, which feeds the top line. For the third quarter ended September 30, 2025, total sales reached $869 million, marking a 9% increase year-over-year, with 6% organic growth. This output is concentrated in highly engineered products for demanding markets.

Here's how the manufacturing output translated across the key segments in Q3 2025:

The company raised its full-year 2025 sales guidance to a range of 10% to 11% growth.

High-level Research and Development (R&D) to fuel innovation

Curtiss-Wright Corporation maintains investment in R&D to secure future growth, even while driving current profitability. This investment is a necessary input to maintain their position in mission-critical systems.

• Higher investment in research and development was noted as partially offsetting margin expansion in the Adjusted operating income calculation for some segments in Q1 2025 and Q3 2025.
• The company is actively working to increase its content per AP1000 reactor plant, targeting to double or triple historical content beyond the reactor coolant pumps (RCPs).

Strategic M&A (mergers and acquisitions) to acquire adjacent technologies

While specific M&A transaction values aren't detailed in the Q3 2025 results, the activity is framed within the broader strategic direction.

• The company's performance reflects its Pivot to Growth strategy.
• The overall strategy includes leveraging its established positions to capitalize on growth opportunities.

Executing on the record $3.9 billion backlog

A major key activity is converting the secured order book into recognized revenue. The backlog is a significant indicator of future specialized manufacturing activity.

As of the third quarter of 2025, the order backlog reached a record of over $3.9 billion, representing a 14% increase year-to-date. New orders in Q3 2025 totaled $927 million, resulting in a book-to-bill ratio of 1.1x. This strong order intake provides confidence for the raised full-year 2025 sales guidance of 10% to 11% growth.

Operational excellence initiatives to drive margin expansion

Driving efficiency through operational excellence is a clear focus, translating directly to financial results. The benefits of these initiatives are explicitly cited as drivers for margin improvement.

In the third quarter of 2025, the reported operating margin was 19.1%, and the adjusted operating margin hit 19.6%, which was an expansion of 90 basis points year-over-year. This performance was driven by favorable overhead absorption on higher revenues and the benefits of the Company's ongoing operational excellence initiatives. For the full year 2025, the operating margin guidance was set in the range of 18.5% to 18.7%, up 100 to 120 basis points compared with the prior year. The company is targeting a full-year Free Cash Flow (FCF) conversion greater than 105%.

Curtiss-Wright Corporation (CW) - Canvas Business Model: Key Resources

You're analyzing the core assets that let Curtiss-Wright Corporation deliver on its value proposition. These aren't just assets; they're deep, hard-to-replicate capabilities that keep competitors at bay. Honestly, in this sector, the resources are what define the moat.

Highly engineered, proprietary technology and intellectual property

Curtiss-Wright Corporation's primary resource is its deep reservoir of engineering expertise, focused on mission-critical applications where failure is not an option. This expertise is embedded in the products they design and build for demanding sectors like Aerospace & Defense and Commercial Nuclear Power. The company's focus on innovation is evident in its selection for major defense programs, such as providing the Turret Drive Stabilization System for the U.S. Army's XM30 Combat Vehicle prototype phase, secured in October 2025. Also, they are delivering power management technology for the Oerlikon Skyranger mobile ground-based air defense system under a September 2025 contract.

Record order backlog exceeding $3.9 billion as of late 2025

The visibility into future revenue is substantial, thanks to a record order backlog. As of the third quarter ended September 30, 2025, the backlog stood at $3.9 billion, marking a 14% increase year-to-date. This backlog strength is supported by a book-to-bill ratio of 1.1x for Q3 2025, meaning new business secured outpaced current shipments. This level of contracted work provides a solid foundation for near-term execution.

Specialized, high-barrier-to-entry manufacturing facilities and capacity

Curtiss-Wright Corporation operates specialized manufacturing footprints designed to meet stringent quality and regulatory standards required by its core markets. These facilities are not easily replicated, creating a significant barrier to entry for potential rivals. The company is actively investing in this capacity, with capital expenditures planned to support future growth initiatives. The focus is on supporting high-demand areas like the U.S. Navy's submarine programs, including the Columbia-class and Virginia-class programs, which drove notable sales growth in the Naval & Power segment.

Workforce of approximately 8,400 highly skilled employees

The intellectual capital residing within the organization is a critical resource. As of September 2025, Curtiss-Wright Corporation leverages a workforce of approximately 8,400 highly skilled employees dedicated to developing, designing, and building their engineered solutions. This team is essential for maintaining the high-performance standards across the Naval & Power, Defense Electronics, and Aerospace & Industrial segments.

Strong balance sheet with financial flexibility for capital deployment

The company's financial health allows for strategic actions that enhance shareholder value and fund growth. This is supported by strong cash generation and disciplined capital allocation. For instance, Free Cash Flow (FCF) generation in Q3 2025 was $176 million, representing a 137% conversion rate. Furthermore, Curtiss-Wright Corporation expanded its 2025 share repurchase program, targeting a new record in annual repurchases exceeding $450 million. As of late 2025, outstanding borrowings under its Credit Agreement were minimal, around $10 million, indicating substantial unused credit capacity.

Here's a quick look at some of the key operational and financial metrics underpinning these resources as of late 2025:

The company's ability to secure long-term, high-value contracts is a direct function of these tangible and intangible assets. You can see the alignment:

• Proprietary technology enables selection for defense platforms.
• Skilled workforce executes complex designs.
• Strong balance sheet funds strategic buybacks and R&D reinvestment.
• High backlog provides revenue certainty.

Finance: draft the 13-week cash view by Friday.

Curtiss-Wright Corporation (CW) - Canvas Business Model: Value Propositions

You're looking at the core value Curtiss-Wright Corporation delivers to its customers, the things they pay for that solve their critical problems. It's all about high-reliability engineering where failure isn't an option.

Reliability in harsh environments for defense and nuclear applications

Curtiss-Wright Corporation has supplied innovative, high-performance products for every nuclear submarine and aircraft carrier commissioned by the U.S. Navy for over 60 years. This longevity speaks volumes about the inherent reliability you find in their systems. Looking at recent performance, the Naval and Power segment, which heavily includes nuclear defense, posted an 18% revenue growth in Q1 2025, reaching $333 million. For the third quarter of 2025, this segment still showed solid footing, reporting a 9% sales increase year-over-year, contributing to the company's overall Q3 2025 sales of $869 million.

Embedded, sole-source components in critical platforms (e.g., Virginia-class submarines)

The value here is being the established, often sole, supplier for essential, long-lifecycle platforms. You see this clearly in the naval defense contracts. For instance, contracts valued in excess of $250 million were awarded in July 2023 to supply components for the U.S. Navy's Virginia-class and Columbia-class submarines. More recently, contracts announced in May 2024 were valued in excess of $130 million for propulsion valves, pumps, and instrumentation for the Virginia-class, Columbia-class, and Ford-class programs. Engineering and manufacturing for these specific May 2024 awards are set to continue through 2029.

Size, weight, and power (SWaP) optimized defense electronics for the tactical edge

Curtiss-Wright Corporation's Defense Electronics segment is delivering solutions where every ounce and watt matters for the tactical edge. This segment showed strong operational performance, with operating income rising 30.4% year-over-year to $130 million in Q1 2025. By Q3 2025, this segment's sales increased 10%, driven by embedded computing and tactical communications equipment, reflecting continued demand for high-performance, size-optimized electronics.

Meeting FAA and EASA safety mandates for longer cockpit voice recorder capacity

You benefit from Curtiss-Wright Corporation's technology enabling compliance with new, stricter aviation safety rules. The Honeywell Connected Recorder-25 (HCR-25), which uses Curtiss-Wright's Fortress recording technology, was developed to meet the FAA mandate requiring a minimum of 25 hours of cockpit voice recording capacity, up from the previous 2 hours. The FAA Reauthorization Act of 2024 mandated that existing aircraft must be retrofitted by 2030. The HCR-25 was type-certified for Boeing 737/767/777 aircraft in 2024 and was scheduled for type-certification on Airbus A320 series platforms in the first half of 2025.

Long-term lifecycle support and repair services for complex systems

The value proposition extends well beyond the initial sale, locking in revenue through necessary maintenance and support for decades. This is evidenced by the company's growing order book; the total backlog increased by 14% year-to-date in Q3 2025, reaching $3.9 billion. This backlog reflects future committed revenue from long-term support obligations and new platform builds.

• Work on major naval contracts is contracted to continue through 2029.
• The company's TTM revenue as of September 30, 2025, was $3.376B.
• Full-year 2025 sales growth guidance is projected between 10% and 11%.
• The company raised its full-year 2025 diluted EPS guidance to a range of $12.95 to $13.20.

Finance: draft 13-week cash view by Friday.

Curtiss-Wright Corporation (CW) - Canvas Business Model: Customer Relationships

You're looking at how Curtiss-Wright Corporation (CW) locks in its major government and industrial clients. It's not about quick transactions; it's about being the indispensable partner for mission-critical systems. This deep embedding is clear when you look at the contract structure.

Deeply Embedded, Long-Term Relationships with Government Agencies

Curtiss-Wright Corporation leverages its heritage to maintain relationships that span decades, particularly within the U.S. defense apparatus. This is evidenced by the sheer size and nature of the agreements secured. For instance, the company announced an approximately $80 million firm-fixed-price Indefinite Delivery, Indefinite Quantity (IDIQ) contract with the United States Air Force (USAF) in June 2025. This specific agreement is scheduled to run through March 2030, showing a commitment horizon of nearly five years from the award date.

The relationship is sustained by a massive installed base, which is reflected in the company's overall financial health metrics as of late 2025:

Sole-Source and Indefinite Delivery, Indefinite Quantity (IDIQ) Contracts

The reliance on sole-source IDIQ structures is a cornerstone of the Customer Relationships block. These contracts minimize competition for follow-on work and sustain revenue streams. The $80 million USAF contract is explicitly noted as a sole-source contract. This is a pattern; for example, a subsidiary previously secured a $287.1 million IDIQ contract in January 2023 for sustaining the USAF's High-Speed Data Acquisition System (HSDAS). Even smaller, specific awards fall under this structure, such as a March 2025 award for HSDAS components that obligated $3,365,127.00.

These contracts are not just for hardware; they are comprehensive support packages.

• Products, enhancements, and upgrades
• Repair services
• Field service and technical support
• Data Analysis Software (IADS®) products

Dedicated Field Service and Technical Support for Flight Test Instrumentation

Curtiss-Wright Corporation provides the full lifecycle support for its Flight Test Instrumentation (FTI) products, which is critical for government aerospace programs. The $80 million USAF contract specifically mandates the provision of field service and technical support for the HSDAS equipment. This service component ensures that complex, custom-engineered solutions remain operational, which is a key differentiator from transactional suppliers. The company supports this with a workforce of approximately 9,000 highly skilled employees.

High-Touch, Consultative Sales for Complex, Custom-Engineered Solutions

The nature of the products-aerospace instrumentation technology including High Speed Data Acquisition, Network, Recording, and Gateway systems-demands a consultative approach. The sales process involves working closely with the customer to integrate and support these systems across production platforms and future development programs. This consultative style is what secures the sole-source nature of the IDIQ awards, as the customer relies on Curtiss-Wright Corporation's specific expertise to speed and simplify system design and installation.

Sustained Customer Focus, which is defintely a core value

The company explicitly builds on its heritage to foster trusted customer relationships. The consistent raising of full-year 2025 guidance, including sales growth projections of 10% to 11% and operating income growth of 16% to 19%, demonstrates that this focus is translating directly into financial performance and shareholder returns, including a declared quarterly dividend of $0.24 a share. This sustained performance validates the long-term relationship strategy.

Curtiss-Wright Corporation (CW) - Canvas Business Model: Channels

You're looking at how Curtiss-Wright Corporation gets its products and services into the hands of its diverse customer base as of late 2025. The company relies on a multi-pronged channel strategy that balances direct, high-touch sales with specialized distribution, reflecting its mix of defense, aerospace, and industrial markets.

The overall scale of the business shows this channel strategy is effective; for the twelve months ending September 30, 2025, Curtiss-Wright Corporation generated total revenue of $3.38 billion, representing a 9.51% increase year-over-year. Management has raised its full-year 2025 guidance, now projecting total sales growth to be in the range of 10% to 11% over 2024 results.

Direct sales force to U.S. government and foreign military customers

A significant portion of Curtiss-Wright Corporation's channel activity is dedicated to the defense sector, which is served through direct engagement by its sales teams. This channel supports the Naval & Power segment, particularly the Naval Defense revenue stream, and the Defense Electronics segment. For example, growth in the defense markets in Q3 2025 was driven by higher submarine revenues in naval defense and increased sales of defense electronics products supporting all defense markets. The company's strong order book, which stood at $3.9 billion as of Q3 2025, up 14% year-to-date, provides clear visibility into future direct sales execution.

• Defense markets saw strong growth, driven by naval defense and ground defense equipment sales.
• The Defense Electronics segment is a key direct channel for tactical battlefield communications.
• The company expects high single-digit growth in Aerospace & Defense markets for 2025.

Direct sales to major global commercial aerospace and industrial OEMs

Direct sales are also crucial for securing large, long-term contracts with Original Equipment Manufacturers (OEMs) in the commercial space. This channel targets both the Commercial Aerospace and parts of the Aerospace & Industrial segment. In Q3 2025, commercial aerospace market revenue growth reflected strong demand and higher OEM sales of actuation equipment, sensors products, and surface treatment services on narrowbody and widebody platforms. This direct OEM relationship is vital for securing the recurring revenue associated with long-term production schedules.

Specialized distribution network for general industrial products

For the General Industrial market, Curtiss-Wright Corporation utilizes a more specialized distribution network, which helps reach a broader, more fragmented customer base that may not require direct, large-scale OEM engagement. While the General Industrial market revenue was essentially flat in Q2 2025, this channel is responsible for moving products serving on-highway vehicle platforms. The company's ability to maintain this segment's revenue base, even with lower off-highway sales, points to the effectiveness of its specialized industrial channel partners.

Direct engagement with SMR designers and commercial nuclear operators

The Power & Process market, which includes commercial nuclear solutions, relies heavily on direct engagement due to the highly technical and regulated nature of the products. Strong growth in this area in Q3 2025 was driven by higher organic sales of commercial nuclear solutions. This direct channel involves deep technical collaboration with Small Modular Reactor (SMR) designers and established commercial nuclear operators, ensuring product integration and long-term service contracts.

Aftermarket services and repair centers for long-term support

Aftermarket support is embedded across several segments, often following the initial direct sale. This channel is critical for generating high-margin recurring revenue. For instance, the Commercial Aerospace segment noted higher OEM sales of sensors products and surface treatment services, which often fall under long-term maintenance agreements. The company's focus on operational excellence and favorable mix in segments like Naval & Power also suggests strong execution in the aftermarket and sustainment portions of its contracts.

Here's a look at the revenue mix that these various channels feed into, based on reported segment data where the total revenue was $3.12 billion in 2024:

To be fair, the geographic split shows that the channels are heavily weighted toward the domestic market, with the United States accounting for $2.29 billion (or 76.6%) of the total revenue reported in one period, with Other Foreign Countries making up the remaining 23.4%.

Finance: draft 13-week cash view by Friday.

Curtiss-Wright Corporation (CW) - Canvas Business Model: Customer Segments

You're looking at the core customer base for Curtiss-Wright Corporation as of late 2025, which is heavily weighted toward defense and critical infrastructure. The company's structure, as reported in its Q3 2025 earnings, organizes its customer focus into three main segments: Aerospace & Industrial, Defense Electronics, and Naval & Power. These segments directly map to the specific customer groups you outlined.

The overall financial health supporting these segments is strong; the backlog reached a new record in excess of \$3.9 billion, up 14% year-to-date as of the third quarter of 2025. Full-year 2025 sales guidance was raised to a range of 10% to 11% growth.

You can see how the Naval & Power segment, which houses both U.S. Naval Defense and Commercial Nuclear, is a significant revenue driver, posting sales of \$368 million in the third quarter alone. The strength in defense is also clear, with the Defense Electronics segment bringing in \$253 million in Q3 2025 sales.

Here's a quick look at the order book health across the board:

• New orders for Curtiss-Wright Corporation in Q3 2025 were \$927 million.
• This resulted in an overall book-to-bill ratio of approximately 1.1x for the quarter.
• The backlog growth of 14% year-to-date reflects strong demand across both A&D and Commercial markets.
• The company is targeting a record share repurchase program exceeding \$450 million for 2025, signaling confidence in future cash flow from these customer bases.

For the Commercial Aerospace and General Industrial customers, which fall under Aerospace & Industrial, the Q3 2025 sales were \$248 million. Growth in this area was noted, with commercial aerospace sales increasing, partly due to flight data reports supporting the FAA's 25-hour safety mandate.

The Defense Electronics segment, serving A&D prime contractors, saw its Q3 2025 sales at \$253 million, a 4% increase year-over-year. Management expects operating income growth in this segment to be between 19% to 22% for the full year 2025.

The Commercial Nuclear Power customers are seeing increased focus, with management noting higher research and development investment supporting next-generation Small Modular Reactor (SMR) designs, even as operating income grew 14% in that part of the Naval & Power segment. If onboarding takes 14+ days, churn risk rises, but for these long-cycle defense and nuclear projects, visibility is typically much longer, supported by that \$3.9 billion backlog.

Finance: draft 13-week cash view by Friday.

Curtiss-Wright Corporation (CW) - Canvas Business Model: Cost Structure

You're looking at the hard costs that drive Curtiss-Wright Corporation's operations as of late 2025. This isn't about abstract concepts; it's about the dollars that go out the door to keep those highly engineered products moving.

Significant cost of product sales due to specialized manufacturing

The core cost of making the goods-Cost of Product Sales-is substantial, reflecting the specialized, high-reliability nature of the components and systems Curtiss-Wright builds for defense and nuclear customers. For the nine months ended September 30, 2025, the Cost of Product Sales reached $1,690,574 thousand, against Product Sales of $2,164,750 thousand for the same period. In the third quarter alone, Cost of Product Sales was $479,253 thousand.

The structure of these costs is detailed below, showing the scale of the investment required to maintain product quality and capability:

Increasing Capital Expenditures (CapEx) for growth

Curtiss-Wright Corporation is spending more on its physical assets to support the growth outlined in its strategy. The 2025 Free Cash Flow guidance already factored in higher capital expenditures for growth and efficiency, reflecting a nearly $25 million year-over-year increase compared with 2024 results as of the third quarter update. Looking at the trailing twelve months ending September 2025, CapEx peaked at $75.325 million.

Sustained investment in Research and Development (R&D)

Investment in R&D is a continuous drain on operating income, but necessary for future product lines. For instance, in the second quarter of 2025, higher investment in research and development partially offset margin gains. Similarly, in the third quarter of 2025, higher investments in research and development partially offset margin expansion.

Costs associated with strategic acquisitions and integration

The integration of new businesses adds specific, non-recurring costs. The acquisition of Ultra Energy, which closed in early 2025, was a $200 million cash transaction. The company's guidance explicitly excludes first-year purchase accounting costs associated with this and prior-year acquisitions from its Adjusted non-GAAP outlook.

Compensation and benefits for a highly skilled, technical workforce

The cost of labor for a technical workforce is a major operating expense. As of late 2024, Curtiss-Wright leveraged a workforce of approximately 8,600 highly skilled employees. Compensation and benefits are embedded within Cost of Product Sales and Selling, General, and Administrative expenses, reflecting the high value placed on this specialized talent pool.

Key components of the compensation structure costs include:

• Workforce Size: Approximately 8,600 employees.
• Share Repurchases: Targeting a record total of more than $450 million in 2025.
• Quarterly Dividend: Declared at $0.24 a share in Q3 2025.

Finance: draft 13-week cash view by Friday.

Curtiss-Wright Corporation (CW) - Canvas Business Model: Revenue Streams

You're looking at the revenue engine for Curtiss-Wright Corporation as of late 2025, based on their strong performance through the third quarter. The business model is clearly anchored in highly engineered products, with services playing a supporting, but significant, role.

The company has been raising its outlook, showing real momentum. Curtiss-Wright Corporation increased its full-year 2025 sales guidance to a range of 10% to 11% growth over 2024 results. The expectation for Total 2025 Sales is set between $3.42 billion and $3.455 billion, with the midpoint aligning closely with the raised guidance.

Here's how the revenue streams looked in the third quarter of 2025, which gives you a great snapshot of where the money is coming from:

• Product sales from Naval & Power segment is the clear leader, generating $368 million in Q3 2025 sales, marking a 12% year-over-year increase. This segment is heavily fueled by robust demand in naval defense, specifically submarine projects like the Columbia-class and Virginia-class programs.
• Sales from Defense Electronics brought in $253 million in the third quarter. This stream includes key areas like embedded computing and tactical communications equipment revenues.
• The third major product stream is Aerospace & Industrial, which posted $248 million in Q3 2025 sales.
• Service sales, which include repair, overhaul, and technical support, historically account for about 15% of total revenue, with product sales making up the other 85%.

To give you a clearer picture of the product revenue mix based on the latest reported quarter, here's a quick table. Honestly, seeing these numbers side-by-side helps you understand the weighting:

The growth in the Naval & Power segment is directly tied to the strength of the order book and timing of submarine revenues. For the Commercial Power and Process sales, which fall under this segment, growth is supported by solid organic activity in Commercial Nuclear, including aftermarket work and Small Modular Reactors (SMRs), plus the contribution from the I&C Solutions acquisition.

You should also note the backlog is strong, sitting at $3.9 billion, which is up 14% year-to-date as of September 30, 2025, signaling future revenue visibility. That backlog is your best indicator of sustained revenue streams heading into 2026.

Finance: draft 13-week cash view by Friday.