The challenging macroeconomic environment and end-market volatility worldwide have affected the Zacks Electronics - Miscellaneous Components industry. Moreover, geo-political tensions, unfavorable forex and rising recessionary fears weigh on the industry’s prospects.Nevertheless, TE Connectivity (TEL) , BWX Technologies (BWXT) and Novanta (NOVT) are well-poised to benefit from the solid adoption of AI and the democratization of IoT techniques, which are transforming robotics, transportation systems, retail ...

LYNCHBURG, Va.--(BUSINESS WIRE)--BWX Technologies, Inc. (NYSE: BWXT) has released its 2024 Sustainability Report, demonstrating the company’s role in good governance, environmental stewardship, the ongoing global clean-energy transition, global security, investment in the communities where we operate, and many other initiatives critical to corporate social responsibility (CSR) excellence. “At BWXT, we are committed to the employment of nuclear technology to solve some of the world’s most important proble ...

BWX Technologies (BWXT) could be a solid choice for investors given its recent upgrade to a Zacks Rank #2 (Buy). This rating change essentially reflects an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.The sole determinant of the Zacks rating is a company's changing earnings picture. The Zacks Consensus Estimate -- the consensus of EPS estimates from the sell-side analysts covering the stock -- for the current and following years is tracked by the system.The po ...

Investors interested in Computer and Technology stocks should always be looking to find the best-performing companies in the group. Is BWX Technologies (BWXT) one of those stocks right now? Let's take a closer look at the stock's year-to-date performance to find out.BWX Technologies is one of 622 companies in the Computer and Technology group. The Computer and Technology group currently sits at #5 within the Zacks Sector Rank. The Zacks Sector Rank considers 16 different sector groups. The average Zacks Ran ...

LYNCHBURG, Va.--(BUSINESS WIRE)--BWX Technologies, Inc. (NYSE: BWXT) today announced a contract with an estimated value of up to $45 billion over a 10-year ordering period from the U.S. Department of Energy (DOE) for environmental management operations at the Hanford Site in Washington. The DOE announced that the Hanford Integrated Tank Disposition Contract (ITDC) was awarded to Hanford Tank Waste Operations & Closure, LLC (H2C), which is a joint venture led by a BWXT subsidiary and includes subsidiaries ...

LYNCHBURG, Va.--(BUSINESS WIRE)--BWX Technologies, Inc. (NYSE: BWXT) is hosting an Investor Day with financial analysts and institutional investors today, February 28, 2024, at 8:30 a.m. to approximately 11:30 a.m. ET. During the event, BWXT management will discuss its business, strategic direction and growth outlook. There will also be a live question and answer session following the prepared remarks. Among the presenters will be: Rex Geveden, President and Chief Executive Officer Robb LeMasters, Seni ...

Financial Data and Key Metrics Changes - The company reported 2023 revenue of $2.5 billion, a 12% increase compared to the previous year, with adjusted EBITDA up 7% for the year [3][9] - Fourth quarter adjusted earnings per share (EPS) was $1.01, an 8% increase from $0.93 last year, while full year adjusted EPS was $3.02, down from $3.13 in 2022 [9][100] - Free cash flow for the year was $212 million, significantly up from 2022, driven by strong working capital management [28][106] Business Line Data and Key Metrics Changes - Government Operations revenue in Q4 was up 16% to $602 million, with adjusted EBITDA of $131 million, a 13% increase from last year [10] - Commercial Operations revenue also grew by 16%, driven by nearly 40% growth in medical, with adjusted EBITDA increasing to $21.3 million from $13.6 million last year [29][100] - The medical segment achieved a positive EBITDA position, marking a significant turnaround [8][25] Market Data and Key Metrics Changes - The company continues to see strong demand in the small modular reactor (SMR) market and is well-positioned as a merchant supplier [6] - The global nuclear energy market is gaining momentum, with over 20 countries committing to tripling nuclear energy by 2050 [102] - The company is experiencing healthy demand for diagnostic isotopes and expects similar growth in 2024, complemented by increasing sales of therapeutic isotopes [25][102] Company Strategy and Development Direction - The company is focused on operational excellence initiatives, including improvements in operational equipment effectiveness and supply chain management [5] - There is a commitment to driving predictable earnings and free cash flow conversion with a balanced capital allocation approach [12] - The company signed a net zero nuclear industry pledge, indicating a long-term commitment to nuclear energy [24] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in continued growth in 2024, driven by strong demand trends across global security, clean energy, and medical end markets [12][124] - The company expects mid-single-digit revenue growth in 2024, with government operations growth in the low to mid-single digits [128] - Management highlighted the importance of talent acquisition and management as foundational components of the operating strategy [120] Other Important Information - The company was awarded a $300 million contract for naval nuclear fuel manufacturing through mid-2025 [4] - Capital expenditures for the full year were $150 million, consistent with maintenance requirements and select growth investments [127] Q&A Session Summary Question: What isotopes are driving growth in BWX Medical? - Management noted strong growth across the portfolio, particularly in actinium and lutetium, with no forecast for tech-99 in 2024 [15][25] Question: How is the Hanford Tank project treated in guidance? - Management indicated that the Hanford project is included in guidance but is not expected to have a meaningful impact [16][113] Question: What is the current status of the tech-99 FDA approval process? - Management confirmed that there are no changes in the approval timeline and still expects commercialization in 2024 [69][70] Question: What is driving the momentum in government operations? - Management highlighted the ramp-up of the DRACO space microreactor program and growth in non-naval projects as key drivers [79][81] Question: Are there any risks related to the budget environment? - Management stated that while some government programs could be affected by continuing resolutions, the overall business is well insulated from such risks [82][96]

BWX Technologies (BWXT) came out with quarterly earnings of $1.01 per share, beating the Zacks Consensus Estimate of $0.94 per share. This compares to earnings of $0.93 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 7.45%. A quarter ago, it was expected that this supplier of nuclear fuel and components to the U.S. government would post earnings of $0.66 per share when it actually produced earnings of $0.67, delivering a surpr ...

Our Mission: We provide safe and effective Fourth Quarter 2023 and Outlook Highlights on ensuring the highest ESG standards medicine, and space exploration ‒ Secured key special materials wins: U-Metal conversion and purification; HALEU feedstock; Downblending extension through 2027 4 Our Purpose: We employ nuclear technology to solve some of the world's most important problems Fourth-Quarter 2023 Earnings medicine, and space exploration Commitment to innovation, operational Forward-Looking Statements Discl ...

PART I [Business](index=5&type=section&id=Item%201.%20Business) BWXT is a specialty manufacturer of nuclear components and nuclear technologies, primarily serving the U.S. Government and commercial nuclear industry [Business Segments](index=5&type=section&id=Business%20Segments) The company's Government Operations segment focuses on naval nuclear components, while Commercial Operations serves the commercial nuclear industry and produces medical radioisotopes - The Government Operations segment is the largest domestic supplier of research reactor fuel elements and downblends high-enriched uranium from Cold War stockpiles, having supplied nuclear components for DOE programs since the 1950s[7](index=7&type=chunk) - The Commercial Operations segment is the only commercial heavy nuclear component manufacturer in North America and is a leading supplier for CANDU nuclear power plants[22](index=22&type=chunk) - The medical products division within Commercial Operations manufactures radioisotopes, radiopharmaceuticals, and medical devices, and partners with pharmaceutical companies on new drug development[11](index=11&type=chunk) [Backlog](index=8&type=section&id=Backlog) Total backlog decreased to approximately **$4.0 billion** in 2023, with **80%** from Government Operations, and **51%** expected as revenue by 2024 Backlog by Segment (as of December 31) | Segment | 2023 (in millions) | % of Total | 2022 (in millions) | % of Total | | :--- | :--- | :--- | :--- | :--- | | Government Operations | $3,217 | 80% | $3,515 | 85% | | Commercial Operations | $781 | 20% | $629 | 15% | | **Total Backlog** | **$3,998** | **100%** | **$4,144** | **100%** | - The company expects to recognize approximately **51%** of its **$4.0 billion** backlog as revenue by the end of 2024[39](index=39&type=chunk) - The value of unexercised options, not included in backlog, was approximately **$100 million** as of December 31, 2023, expected to be awarded in 2024 subject to Congressional appropriations[41](index=41&type=chunk) [Customers](index=10&type=section&id=Customers) The U.S. Government is the company's largest customer, accounting for approximately **75%** of consolidated revenues in 2023 - The U.S. Government represented approximately **75%** of total consolidated revenues in 2023, compared to **76%** in both 2022 and 2021[55](index=55&type=chunk) [Human Capital Management](index=11&type=section&id=Human%20Capital%20Management) BWXT employed approximately **7,800** people globally as of December 31, 2023, with a strong focus on employee development, diversity, and safety in nuclear operations - The company employed approximately **7,800** people worldwide at the end of 2023, with **6,200** in the U.S. and **1,600** in Canada[65](index=65&type=chunk) - Approximately **2,000** employees were members of labor unions, and the company considers its employee relations to be satisfactory[65](index=65&type=chunk) - A core value is a culture that prioritizes safety, with a vision of zero injuries and incidents, essential for a manufacturer of nuclear products and operator of high-consequence nuclear facilities[100](index=100&type=chunk)[95](index=95&type=chunk) [Governmental Regulations and Environmental Matters](index=15&type=section&id=Governmental%20Regulations%20and%20Environmental%20Matters) BWXT's operations are subject to stringent environmental regulations, incurring **$20.0 million** in pre-tax compliance expenses and holding **$101.1 million** in environmental accruals in 2023 Environmental Compliance Costs | Metric | 2023 | 2022 | 2021 | | :--- | :--- | :--- | :--- | | Pre-tax Expense (in millions) | $20.0 | $20.0 | $17.5 | | Capital Expenditures (in millions) | $0.7 | $1.6 | $3.1 | - Total environmental accruals, including asset retirement obligations, were **$101.1 million** at December 31, 2023, compared to **$101.8 million** at the end of 2022[121](index=121&type=chunk) - The company is required to provide financial assurance for the decommissioning of its licensed facilities, totaling **$68.1 million** for Government Operations and **$44.3 million** for Commercial Operations in 2023[120](index=120&type=chunk)[92](index=92&type=chunk) [Risk Factors](index=19&type=section&id=Item%201A.%20Risk%20Factors) The company faces significant risks from reliance on U.S. Government contracts, fixed-price contract cost overruns, cybersecurity threats, nuclear operational hazards, and the potential non-renewal of the Price-Anderson Act - A substantial percentage of revenue (approx. **75%** in 2023) comes from U.S. Government contracts, subject to uncertainties like Congressional appropriations, budget reductions, and termination for convenience[117](index=117&type=chunk)[118](index=118&type=chunk) - The company faces risks on fixed-price contracts where actual costs could exceed projections, leading to reduced profit or losses[115](index=115&type=chunk) - As a U.S. Government contractor, the company is a target for advanced and persistent cybersecurity threats, which could compromise sensitive information and impact its reputation and business[116](index=116&type=chunk)[131](index=131&type=chunk) - The Price-Anderson Act, providing crucial liability indemnification for the nuclear industry, is set to expire on December 31, 2025, and its non-extension could adversely affect future business[73](index=73&type=chunk)[196](index=196&type=chunk) [Cybersecurity](index=32&type=section&id=Item%201C.%20Cybersecurity) BWXT maintains a comprehensive cybersecurity risk management program overseen by the Board, with no material impact from threats to date despite its heightened risk profile as a government contractor - The Governance Committee of the Board of Directors oversees the company's cybersecurity risk management policies and processes[207](index=207&type=chunk) - A Cybersecurity Incident Management Team (CIMT) is in place to coordinate the response to any cybersecurity incidents[232](index=232&type=chunk) - As of the filing date, risks from cybersecurity threats have not materially affected the company's business strategy, results of operations, or financial condition[222](index=222&type=chunk) [Properties](index=34&type=section&id=Item%202.%20Properties) The company owns and leases principal manufacturing and administrative properties across the U.S. and Canada, supporting both Government and Commercial Operations Principal Properties | Segment | Location | Principal Use | Owned/Leased | | :--- | :--- | :--- | :--- | | Government Operations | Lynchburg, VA | Manufacturing facility | Owned | | Government Operations | Barberton, OH | Manufacturing facility | Owned | | Government Operations | Euclid, OH | Manufacturing facility | Owned | | Government Operations | Mount Vernon, IN | Manufacturing facility | Owned | | Government Operations | Erwin, TN | Manufacturing facility | Owned | | Commercial Operations | Cambridge, Ontario, Canada | Manufacturing facility | Owned | | Commercial Operations | Peterborough, Ontario, Canada | Manufacturing facility | Leased (2036) | | Commercial Operations | Kanata, Ontario, Canada | Manufacturing facility | Leased (2038) | PART II [Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities](index=35&type=section&id=Item%205.%20Market%20for%20Registrant%27s%20Common%20Equity%2C%20Related%20Stockholder%20Matters%20and%20Issuer%20Purchases%20of%20Equity%20Securities) BWXT common stock trades on the NYSE, with **$397.6 million** remaining under its **$500 million** share repurchase authorization as of December 31, 2023 - The company's common stock is listed on the New York Stock Exchange under the trading symbol BWXT[2](index=2&type=chunk)[235](index=235&type=chunk) - A **$500 million** share repurchase program was authorized in April 2021 with no expiration date; as of December 31, 2023, **$397.6 million** remained available for repurchases[236](index=236&type=chunk)[230](index=230&type=chunk) Issuer Purchases of Equity Securities (Q4 2023) | Period | Total Shares Purchased | Average Price Paid | Shares Purchased as Part of Public Program | | :--- | :--- | :--- | :--- | | Oct 1 - Oct 31, 2023 | 1,092 | $76.00 | — | | Nov 1 - Nov 30, 2023 | 26 | $78.10 | — | | Dec 1 - Dec 31, 2023 | — | — | — | | **Total** | **1,118** | **$76.05** | **—** | [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=37&type=section&id=Item%207.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) In 2023, consolidated revenues grew **11.8%** to **$2.5 billion**, with operating income increasing to **$383.1 million**, driven by growth in both Government and Commercial Operations segments [Results of Operations](index=41&type=section&id=Results%20of%20Operations) Consolidated revenues increased **11.8%** to **$2.50 billion** in 2023, with operating income rising to **$383.1 million**, driven by growth in both Government and Commercial Operations Consolidated Results of Operations (Year Ended Dec 31) | Metric (in millions) | 2023 | 2022 | Change | | :--- | :--- | :--- | :--- | | Revenues | $2,496.3 | $2,232.8 | +$263.5 | | Operating Income | $383.1 | $348.6 | +$34.5 | - Government Operations revenue increased by **$222.9 million** (**12.3%**) in 2023, driven by higher volume in nuclear components manufacturing (+$100.0M), advanced technologies (+$61.6M), and uranium processing (+$58.6M)[281](index=281&type=chunk) - Commercial Operations revenue increased by **$39.0 million** (**9.1%**) in 2023, primarily from higher in-plant services (+$24.1M) and medical radioisotopes business (+$14.6M)[285](index=285&type=chunk) [Liquidity and Capital Resources](index=43&type=section&id=Liquidity%20and%20Capital%20Resources) Total liquidity increased to **$649.1 million** in 2023, with net cash from operating activities rising significantly to **$363.7 million**, supported by a **$750 million** revolver and **$800 million** in senior notes - Overall liquidity increased by **$116.3 million** to **$649.1 million** at December 31, 2023[300](index=300&type=chunk) - Net cash provided by operating activities increased by **$119.0 million** to **$363.7 million** in 2023, compared to **$244.7 million** in 2022, primarily due to the timing of project cash flows[484](index=484&type=chunk) - As of December 31, 2023, the company had **$418.8 million** in outstanding borrowings under its Credit Facility and **$800.0 million** in aggregate principal of Senior Notes due 2028 and 2029[501](index=501&type=chunk) [Financial Statements and Supplementary Data](index=51&type=section&id=Item%208.%20Financial%20Statements%20and%20Supplementary%20Data) This section presents BWXT's audited consolidated financial statements for 2023, including statements of income, balance sheets, cash flows, and comprehensive notes [Consolidated Statements of Income](index=53&type=section&id=Consolidated%20Statements%20of%20Income) For 2023, BWXT reported revenues of **$2.50 billion**, net income of **$246.3 million**, and diluted earnings per share of **$2.68** Key Financial Results (Year Ended Dec 31) | Metric (in thousands, except per share) | 2023 | 2022 | 2021 | | :--- | :--- | :--- | :--- | | Revenues | $2,496,309 | $2,232,834 | $2,124,074 | | Operating Income | $383,059 | $348,571 | $345,848 | | Net Income | $246,321 | $238,620 | $306,288 | | Diluted EPS | $2.68 | $2.60 | $3.24 | [Consolidated Balance Sheets](index=55&type=section&id=Consolidated%20Balance%20Sheets) As of December 31, 2023, total assets were **$2.75 billion**, total liabilities **$1.81 billion**, and total stockholders' equity **$933.3 million** Balance Sheet Highlights (as of Dec 31) | Metric (in thousands) | 2023 | 2022 | | :--- | :--- | :--- | | Total Current Assets | $817,801 | $771,619 | | Total Assets | $2,747,065 | $2,618,939 | | Total Current Liabilities | $375,046 | $367,860 | | Long-Term Debt | $1,203,422 | $1,282,624 | | Total Liabilities | $1,813,764 | $1,870,584 | | Total Stockholders' Equity | $933,301 | $748,355 | [Consolidated Statements of Cash Flows](index=58&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) In 2023, net cash from operating activities was **$363.7 million**, with **$155.6 million** used in investing and **$169.4 million** in financing activities Cash Flow Summary (Year Ended Dec 31, 2023) | Cash Flow Activity (in thousands) | Amount | | :--- | :--- | | Net Cash Provided by Operating Activities | $363,701 | | Net Cash Used in Investing Activities | ($155,642) | | Net Cash Used in Financing Activities | ($169,371) | | **Net Increase in Cash** | **$40,625** | [Notes to Consolidated Financial Statements](index=59&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) Detailed notes cover accounting policies, revenue recognition, equity investments, income taxes, long-term debt, pension obligations, and segment financial performance [Controls and Procedures](index=98&type=section&id=Item%209A.%20Controls%20and%20Procedures) Management and independent auditors concluded that the company's disclosure controls and internal control over financial reporting were effective as of December 31, 2023 - Management concluded that the company's disclosure controls and procedures were effective as of December 31, 2023[716](index=716&type=chunk) - Based on an assessment using the COSO framework, management concluded that internal control over financial reporting was effective as of December 31, 2023[720](index=720&type=chunk) - No changes in internal control over financial reporting occurred during the fourth quarter of 2023 that materially affected, or are reasonably likely to materially affect, internal controls[721](index=721&type=chunk) PART III [Directors, Executive Officers and Corporate Governance](index=101&type=section&id=Item%2010.%20Directors%2C%20Executive%20Officers%20and%20Corporate%20Governance) Information on directors, executive officers, and corporate governance is incorporated by reference from the 2024 Proxy Statement - Required information for this item is incorporated by reference from the Proxy Statement for the 2024 Annual Meeting of Stockholders[742](index=742&type=chunk) [Executive Compensation](index=101&type=section&id=Item%2011.%20Executive%20Compensation) Information on executive and director compensation is incorporated by reference from the 2024 Proxy Statement - Required information for this item is incorporated by reference from the Proxy Statement for the 2024 Annual Meeting of Stockholders[743](index=743&type=chunk) [Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters](index=101&type=section&id=Item%2012.%20Security%20Ownership%20of%20Certain%20Beneficial%20Owners%20and%20Management%20and%20Related%20Stockholder%20Matters) Information on security ownership and equity compensation plans is incorporated by reference from the 2024 Proxy Statement - Required information for this item is incorporated by reference from the Proxy Statement for the 2024 Annual Meeting of Stockholders[734](index=734&type=chunk) [Certain Relationships and Related Transactions, and Director Independence](index=101&type=section&id=Item%2013.%20Certain%20Relationships%20and%20Related%20Transactions%2C%20and%20Director%20Independence) Information on related party transactions and director independence is incorporated by reference from the 2024 Proxy Statement - Required information for this item is incorporated by reference from the Proxy Statement for the 2024 Annual Meeting of Stockholders[754](index=754&type=chunk) [Principal Accounting Fees and Services](index=101&type=section&id=Item%2014.%20Principal%20Accounting%20Fees%20and%20Services) Information on fees paid to and services provided by the independent registered public accounting firm is incorporated by reference from the 2024 Proxy Statement - Required information for this item is incorporated by reference from the Proxy Statement for the 2024 Annual Meeting of Stockholders[744](index=744&type=chunk) PART IV [Exhibits, Financial Statement Schedules](index=102&type=section&id=Item%2015.%20Exhibits%2C%20Financial%20Statement%20Schedules) This section lists all exhibits filed with the Form 10-K, including consolidated financial statements and other required documents - The consolidated financial statements are filed as part of this report[746](index=746&type=chunk) - All financial statement schedules have been omitted because they are not required or the information is included in the financial statements or notes[747](index=747&type=chunk)