Slide 1: Investor Briefing First Quarter 2024
INVESTOR BRIEFING Investor Relations contact: First Quarter 2024 Jim Ryan, VP Investor Relations T: 704-869-4621 jim.ryan@curtisswright.com Investor Presentation 2024
Slide 2: Safe Harbor Statement
SAFE HARBOR STATEMENT Please note that the information provided in this presentation is accurate as of the date of the original presentation. The presentation will remain posted on this website from one to twelve months following the initial presentation, but content will not be updated to reflect n
Slide 3: The Curtiss-Wright Investment Story
THE CURTISS-WRIGHT INVESTMENT STORY Leveraging the Power of One Curtiss-Wright to Enhance Shareholder Value 1 2 3 4 5 Strong & Defensible Aligned with UNIFIED PORTFOLIO Track Record as Executing MARKET POSITIONS GROWTH VECTORS Positioned to EXCEPTIONAL PIVOT TO GROWTH & SECULAR TRENDS Accelerate Gro
Slide 4: Curtiss-Wright at a Glance
CURTISS-WRIGHT AT A GLANCE ~$3.0B ~$9.0B Leading Provider of Highly Engineered & Mission Critical Technologies 2024E Sales Market Cap1 in Aerospace & Defense, Commercial Power, Process & Industrial Markets BROAD & INTEGRATED PORTFOLIO GLOBAL FOOTPRINT 2024E Sales by End Market2 2023 Sales by Geograp
Slide 5: Our Ambition
OUR AMBITION To better the world by enabling strong national defenses, energy independence, and sustainable commercial applications through our highly engineered, mission critical solutions. Investor Presentation 2024 5
Slide 6: Core Capabilities Drive Sustainable Competitive Advantages
CORE CAPABILITIES DRIVE SUSTAINABLE COMPETITIVE ADVANTAGES STRONG TECHNICAL EXPERTISE DECADES OF GLOBAL FOOTPRINT managing and designing to meet customer KNOWLEDGE TRANSFER engineering, sales, support needs and reduce risk since inception in most of our major markets and manufacturing LONG-STANDING
Slide 7: Proactively Targeting Highest Growth Vectors in Attractive End Markets
PROACTIVELY TARGETING HIGHEST GROWTH VECTORS IN ATTRACTIVE END MARKETS Secular Trends Playing to our Strengths: ~$3.0B Elevated threat environment from U.S. adversaries driving urgency for global defense spending and strong global Naval Defense 25% shipbuilding base; “Return to Major Power Competiti
Slide 8: Proven Ability to Leverage Growth in Global Defense Spending
DEFENSE MARKETS PROVEN ABILITY TO LEVERAGE GROWTH IN GLOBAL DEFENSE SPENDING STRONG & DEFENSIBLE ALIGNED WITH Ground MARKET POSITION LEADING GROWTH DRIVERS Defense LT Visibility Across Key Platforms Ford-class Aircraft Carrier, • DoD Priorities ~ 56% Columbia-class & Virginia-class Naval Shipbuildin
Slide 9: Opportunities for Growth Beyond Strong OEM Foundation
C O M M E R C I A L A E R O S PA C E M A R K E T OPPORTUNITIES FOR GROWTH BEYOND STRONG OEM FOUNDATION Commercial Aerospace BROAD & RELEVANT ALIGNED WITH PRODUCT PORTFOLIO LEADING GROWTH DRIVERS 12% 18% 11% ➢ Acceleration in Narrowbody Production through 2025 ~12% 15% Strong Presence on Majority of
Slide 10: Renewing the Core & Aligning to Next-Gen Technologies
POWER & PROCESS MARKET RENEWING THE CORE & ALIGNING TO NEXT-GEN TECHNOLOGIES Power STRONG & RELEVANT ALIGNED WITH & Process PRODUCT PORTFOLIO LEADING GROWTH DRIVERS • Renewed Interest in Commercial Enhancing Power Plant Efficiency And Reliability Nuclear Power Increasing Focus on Reducing Carbon 18%
Slide 11: Technologies That Advance Customer Efficiency, Safety and Reduced Emissions
GENERAL INDUSTRIAL MARKET TECHNOLOGIES THAT ADVANCE CUSTOMER EFFICIENCY, SAFETY AND REDUCED EMISSIONS WELL-ESTABLISHED ALIGNED WITH MARKET POSITIONS LEADING GROWTH DRIVERS Broad Portfolio Of Highly- • Advancing Green Technologies 15% General Industrial engineered Products & Services Push for Zero /
Slide 12: The Power of One Curtiss-Wright
THE POWER OF ONE CURTISS-WRIGHT: Positioned to Leverage Cross-Over Technologies to Accelerate Growth Across the Portfolio CROSS-OVER TECHNOLOGY EXAMPLES Defense technologies have long been leveraged for commercial solutions DEFENSE COMMERCIAL Flight Data & Cockpit SOLUTIONS Industrial Electrificatio
Slide 13: Strong Foundation of Financial & Operational Excellence
STRONG FOUNDATION OF FINANCIAL & OPERATIONAL EXCELLENCE ADJ. NET SALES ($M) ADJ. OPERATING MARGIN 2024 GUIDANCE HIGHLIGHTS $2,845 $2,960 - $3,010 0.18 ▪ 4% - 6% Sales growth $2,557 17.4% 17.4 - 17.6% 17.3% $2,468 0.17 17.0% – Driven by increases in all end markets 16.3% $2,300 0.16 ▪ 4% - 7% Operati
Slide 14: Committed to Advancing Our ESG Efforts
COMMITTED TO ADVANCING OUR ESG EFFORTS to drive value for our team members, customers, shareholders and communities we serve OUR PROGRESS: • Long track record of strong governance and safety metrics • MSCI ESG rating of “A” • Board / executive oversight • Created cross-functional ESG council • Launc
Slide 15: Pivot to Growth Strategy for Long-Term Profitable Growth
PIVOT TO GROWTH STRATEGY FOR LONG-TERM PROFITABLE GROWTH 1 2 3 Maintain Drive Growth Accelerate Disciplined Through Organic Capital Continued Growth Allocation Through Innovation Operational Utilize M&A as a and Collaboration Excellence Strategic Accelerator Maximizing Revenue And Operating Income G
Slide 16: Accelerating Organic Growth Through Innovation and Collaboration
S T R AT E G Y # 1 : ACCELERATING ORGANIC GROWTH THROUGH INNOVATION AND COLLABORATION Multiple Growth Levers ✓ LEVERAGING INNOVATION OPERATING SYSTEM to drive visibility of ideas & new solutions across CW Well-positioned for ✓ MAXIMIZING R&D AND IP COLLABORATION to expand our capabilities LONG-TERM
Slide 17: Operational Growth Platform Accelerates Pivot to Growth
S T R AT E G Y # 2 OPERATIONAL GROWTH PLATFORM ACCELERATES PIVOT TO GROWTH BENEFITS • Reinvigorated innovation and collaboration • New opportunities in commercial excellence and strategic pricing • Improved business development, sales and engineering collaboration • Greater customer satisfaction and
Slide 18: Disciplined Capital Allocation Strategy
S T R AT E G Y # 3 DISCIPLINED CAPITAL ALLOCATION STRATEGY Use of Cash $0.8B $0.8B $0.6B Acquisitions Returns to Shareholders Operational Investments 2020 - 2023 • 5 Deals • 3 A&D • 2 Commercial • $650M Buybacks • $118M Dividends • CapEx • Pension funding Avg: $160M+/yr Avg: $30M/yr • Debt repayment
Slide 19: Applying Our Strategic and Focused Approach to M&A
STRATEGY #3 APPLYING OUR STRATEGIC AND FOCUSED APPROACH TO M&A STRATEGIC FILTERS FINANCIAL FILTERS Unique, High-Value IP Long-term Sustainable Organic Growth Market, Customer, Product Alignment Operations and Supply Chain Alignment Operating Income Growth > Revenue Growth Clear Synergies, Leverages
Slide 20: Building on Successful M&A Track Record
S T R AT E G Y # 3 BUILDING ON SUCCESSFUL M&A TRACK RECORD DRG Business (SAS and Fleet) Arresting Systems Business Acquisition Close January 2017 April 2018 December 2019 March 2020 November 2020 June 2022 Annual Sales Added1 $65M $95M $48M $25M $120M $70M Unique, High-Value IP ✓ ✓ ✓ ✓ ✓ ✓ Market, C
Slide 21: Delivered Successful Performance Against 3-Year Financial Targets
DELIVERED SUCCESSFUL PERFORMANCE AGAINST 3-YEAR FINANCIAL TARGETS (2021-2023) KEY MESSAGES | 2021 INVESTOR DAY 1 Pivot to Growth, both organic and inorganic; reinvesting back into the business to fuel the innovation engine; disciplined and strategic approach to M&A while maintaining top-quartile per
Slide 22: The Curtiss-Wright Investment Story
THE CURTISS-WRIGHT INVESTMENT STORY Leveraging the Power of One Curtiss-Wright to Enhance Shareholder Value 1 2 3 4 5 Strong & Defensible Aligned with UNIFIED PORTFOLIO Track Record as Executing MARKET POSITIONS GROWTH VECTORS Positioned to EXCEPTIONAL PIVOT TO GROWTH & SECULAR TRENDS Accelerate Gro
Slide 23: Appendix
Appendix Investor Presentation 2024 23
Slide 24: Non-GAAP Financial Information
NON-GAAP FINANCIAL INFORMATION 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 Adjusted (non-GAAP) measures provide investors with improved tran
Slide 25: 2023 End Market Sales Waterfall
FY’23: 2023 END MARKET SALES WATERFALL Overall UP 11% (UP 10% Org) A&D Markets UP 14% Total 2023 CW End Markets Comm’l Markets UP 6% $2.845B Aerospace & Defense Markets Commercial Markets 67% $1.90B 33% $0.94B Naval Commercial Aerospace Power & Process General Industrial 25% 11% 18% 15% Pumps / Valv
Slide 26: 2024E End Market Sales Waterfall
FY’24 Guidance: 2024E END MARKET SALES WATERFALL (as of February 14, 2024) Overall UP 4 - 6% A&D Markets UP 5 - 7% Total 2024 CW End Markets Comm’l Markets UP 2 - 4% $2.960B - 3.010B Aerospace & Defense Markets Commercial Markets 67% $2.02B 33% $0.97B Naval Commercial Aerospace Power & Process Gener
Slide 27: 2024 End Market Sales Growth Guidance
2024 END MARKET SALES GROWTH GUIDANCE (As of February 14, 2024) ($ in Millions) 2024E Growth 2024E 2023 Sales vs 2023 % Sales Key Drivers ▪ Strong defense electronics revenue growth on various C5/ISR programs; Higher flight test Aerospace Defense $552 5% - 7% 20% instrumentation equipment on F-35 pr
Slide 28: 2024 Financial Guidance
2024 FINANCIAL GUIDANCE (As of February 14, 2024) Change vs Key Drivers ($ in millions) 2024E 2023 Adjusted Aerospace & Industrial $915 - 930 3% - 5% ▪ Strong LDD growth in Commercial Aerospace and LSD growth in Industrial markets ▪ Strong Defense market growth driven by record backlog and continued
Slide 29: 2024 Financial Guidance
2024 FINANCIAL GUIDANCE (As of February 14, 2024) Change 2023 vs 2023 Key Drivers ($ in millions, except EPS) Adjusted 2024E Adjusted Total Sales $2,845 $2,960 - 3,010 4% - 6% Continued focus on generating profitable growth Total Operating Income $494 $514 - 528 4% - 7% Other Income $30 $33 - 35 ▪ H