BWX Technologies (BWXT) is expected to beat expectations when it reports third-quarter 2024 results after market close on Nov. 4. The Zacks Consensus Estimate for third-quarter earnings is pinned at 77 cents per share, indicating an increase of 14.9% from the year-ago quarter, unchanged over the past 60 days. The consensus mark for revenues is pegged at $658.2 million, suggesting an 11.6% increase from the year-ago quarter. BWXT's earnings beat the Zacks Consensus Estimate in each of the trailing four quart ...

BWX Technologies (BWXT) shares soared 4.9% in the last trading session to close at $124.70. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 21.6% gain over the past four weeks. The optimism surrounding the stock can be attributed to the growing demand for its manufactured components and services for the commercial nuclear power industry. BWX Technologies' strong position in the nuclear technology sector, especially with its gover ...

imaginima/iStock via Getty Images Investment thesis For investors who consider nuclear energy for their green portfolios, a growth candidate is BWX Technologies, Inc. (NYSE:BWXT). It is having a renaissance of sorts, after delivering three consecutive quarters of higher earnings, reversing a previous trend. Those earnings are expected to keep growing this year and for the two following years. Based on this expected growth, I believe the share price will increase by more than 11% in the next year, and rate i ...

The company had a good quarter, but some investors found its full-year guidance wanting. The stock market staged a robust recovery on Tuesday, but not every company surged ahead in price. Advancing only cautiously was nuclear engineering specialist BWX Technologies (BWXT 0.93%), which published its latest set of quarterly results after market hours Monday night. The following day, the stock closed 0.9% higher, against the more than 1% rise of the S&P 500 index. A double beat, and double-digit growth For its ...

BWX Technologies, Inc. (NYSE:BWXT) Q2 2024 Earnings Conference Call August 5, 2024 5:00 PM ET Company Participants Chase Jacobson - Vice President of Investor Relations Rex Geveden - President and CEO Robb LeMasters - Senior Vice President and CFO Conference Call Participants Scott Deuschle - Deutsche Bank Rob Labick - CJS Securities Pete Skibitski - Alembic Global Peter Arment - Baird Josh Korn - Barclays Andre Madrid - BTIG Michael Ciarmoli - Truist Securities Ron Epstein - Bank of America Thomas Meric - ...

Our Purpose: We employ nuclear technology to solve some of the world's most important excellence, a strong safety record, and a focus problems Our Mission: We provide safe and effective nuclear solutions for global security, clean Second-Quarter 2024 Earnings energy, environmental remediation, nuclear medicine, and space exploration Call Presentation Commitment to innovation, operational on ensuring the highest ESG standards Reported August 5, 2024 Forward-Looking Statements Disclaimer 2 BWX Technologies, I ...

PART I – FINANCIAL INFORMATION [Item 1. Condensed Consolidated Financial Statements](index=2&type=section&id=Item%201.%20Condensed%20Consolidated%20Financial%20Statements) The company reported increased revenues and net income for both the three and six months ended June 30, 2024, compared to the same periods in 2023, with total assets growing to **$2.84 billion** primarily driven by an increase in contracts in progress, and cash flow from operations significantly increasing to **$98.9 million** for the first six months of 2024 [Condensed Consolidated Statements of Income](index=2&type=section&id=Condensed%20Consolidated%20Statements%20of%20Income) For the second quarter of 2024, revenues increased by **11.3%** year-over-year to **$681.5 million**, and net income attributable to the company rose by **24.5%** to **$73.0 million**, while for the first six months, revenues grew by **8.9%** to **$1.29 billion**, with net income increasing by **18.2%** to **$141.4 million** Key Financial Performance (Three and Six Months Ended June 30) | Metric | Q2 2024 | Q2 2023 | YoY Change | H1 2024 | H1 2023 | YoY Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | **Revenues** | $681.5M | $612.4M | +11.3% | $1,285.4M | $1,180.8M | +8.9% | | **Operating Income** | $98.8M | $86.7M | +14.0% | $191.8M | $174.5M | +9.9% | | **Net Income Attributable to BWXT** | $73.0M | $58.6M | +24.5% | $141.4M | $119.7M | +18.2% | | **Diluted EPS** | $0.79 | $0.64 | +23.4% | $1.54 | $1.30 | +18.5% | [Condensed Consolidated Balance Sheets](index=4&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) As of June 30, 2024, total assets stood at **$2.84 billion**, an increase from **$2.75 billion** at year-end 2023, primarily driven by an increase in 'Contracts in progress', while total liabilities rose to **$1.84 billion** from **$1.81 billion**, and total stockholders' equity increased to **$998.3 million** from **$933.3 million** over the same period Balance Sheet Summary (as of June 30, 2024 vs. Dec 31, 2023) | Account | June 30, 2024 (in thousands) | Dec 31, 2023 (in thousands) | | :--- | :--- | :--- | | Cash and cash equivalents | $48,341 | $75,766 | | Contracts in progress | $622,062 | $533,155 | | Total Current Assets | $909,843 | $817,801 | | Total Assets | $2,840,633 | $2,747,065 | | Long-Term Debt | $1,203,196 | $1,203,422 | | Total Liabilities | $1,842,382 | $1,813,764 | | Total Stockholders' Equity | $998,251 | $933,301 | [Condensed Consolidated Statements of Cash Flows](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) For the six months ended June 30, 2024, net cash provided by operating activities increased to **$98.9 million** from **$67.6 million** in the prior-year period, while net cash used in investing activities decreased slightly to **$60.6 million**, and net cash used in financing activities increased significantly to **$65.0 million**, driven by lower debt borrowings and **$20.0 million** in common stock repurchases Cash Flow Summary (Six Months Ended June 30) | Activity | 2024 (in thousands) | 2023 (in thousands) | | :--- | :--- | :--- | | Net Cash Provided by Operating Activities | $98,920 | $67,589 | | Net Cash Used in Investing Activities | ($60,624) | ($65,914) | | Net Cash Used in Financing Activities | ($65,004) | ($3,282) | | **Total Decrease in Cash** | **($27,016)** | **($1,411)** | - The increase in cash used for financing activities was primarily due to a **$20.0 million** repurchase of common stock in H1 2024, which did not occur in H1 2023, and a reduction in net borrowings of long-term debt[17](index=17&type=chunk)[115](index=115&type=chunk) [Notes to Condensed Consolidated Financial Statements](index=8&type=section&id=Notes%20to%20Condensed%20Financial%20Statements) The notes detail the company's accounting policies, segment operations, and financial instruments, highlighting that the company operates in two segments, with revenue primarily recognized over time using a cost-to-cost method, an effective tax rate of **21.3%** for the first six months of 2024, and remaining performance obligations (backlog) of **$3.53 billion** - The company operates in two reportable segments: Government Operations (manufacturing naval nuclear reactors and providing services to the U.S Government) and Commercial Operations (fabricating commercial nuclear components and providing medical radioisotopes)[21](index=21&type=chunk) - The effective tax rate for the six months ended June 30, 2024, was **21.3%**, compared to **24.1%** for the same period in 2023, primarily due to the revaluation of Canadian net deferred tax liabilities following a temporary reduction in the Canadian federal tax rate for qualifying nuclear manufacturers[27](index=27&type=chunk) - At June 30, 2024, the company's remaining performance obligations (backlog) were **$3.53 billion**, with approximately **68%** expected to be recognized as revenue by the end of 2025[53](index=53&type=chunk) Segment Revenues and Operating Income (Six Months Ended June 30) | Segment | Revenue 2024 | Revenue 2023 | Operating Income 2024 | Operating Income 2023 | | :--- | :--- | :--- | :--- | :--- | | Government Operations | $1,028.0M | $951.9M | $178.2M | $172.8M | | Commercial Operations | $258.5M | $229.8M | $25.2M | $12.5M | [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=19&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management attributes the **11.3%** consolidated revenue growth in Q2 2024 to higher volumes in both the Government and Commercial Operations segments, leading to increased operating income, with the company's backlog at **$3.5 billion** and strong liquidity of **$568.3 million** available under its revolving credit facility [Results of Operations](index=22&type=section&id=Results%20of%20Operations) Consolidated revenues for Q2 2024 increased by **$69.0 million** (**11.3%**) year-over-year, driven by a **$48.9 million** increase in Government Operations and a **$20.6 million** increase in Commercial Operations, reflecting higher volume in nuclear component manufacturing, advanced technologies, in-plant services, and medical radioisotopes, which also contributed to a **$12.1 million** rise in consolidated operating income - Government Operations revenue increased by **$48.9 million** (**9.9%**) in Q2 2024, primarily from higher volume in manufacturing nuclear components for U.S Government programs and a **$15.2 million** increase from the advanced technologies business[85](index=85&type=chunk)[86](index=86&type=chunk) - Commercial Operations revenue increased by **$20.6 million** (**17.0%**) in Q2 2024, driven by higher demand for in-plant inspection, maintenance, and modification services (**$8.4 million**), nuclear components (**$4.4 million**), and increased volume in fuel handling and medical radioisotopes[89](index=89&type=chunk) - Unallocated corporate expenses increased by **$3.8 million** in Q2 2024, mainly due to initiatives to transform IT infrastructure and improve the digital framework, which are expected to continue into 2026[91](index=91&type=chunk)[92](index=92&type=chunk) [Backlog](index=24&type=section&id=Backlog) As of June 30, 2024, the company's total backlog was **$3.53 billion**, a decrease from **$4.00 billion** at the end of 2023, with Government Operations accounting for **$2.87 billion** and Commercial Operations contributing **$0.67 billion**, and approximately **68%** expected to be recognized as revenue by the end of 2025 Backlog by Segment (in millions) | Segment | June 30, 2024 | Dec 31, 2023 | | :--- | :--- | :--- | | Government Operations | $2,865 | $3,217 | | Commercial Operations | $669 | $781 | | **Total Backlog** | **$3,534** | **$3,998** | - The backlog includes **$379.4 million** of unfunded U.S Government contracts, with approximately **$100 million** in unexercised options excluded from backlog expected to be awarded in 2024[97](index=97&type=chunk) [Liquidity and Capital Resources](index=25&type=section&id=Liquidity%20and%20Capital%20Resources) The company maintains a strong liquidity position with **$568.3 million** available under its **$750 million** revolving credit facility as of June 30, 2024, with total debt including a **$240.6 million** Term Loan and **$800 million** in Senior Notes, and working capital increasing by **$58.5 million** to **$501.3 million** during the first half of 2024 - The company's Credit Facility consists of a **$750 million** revolving credit facility and a **$250 million** term loan, both maturing in October 2027[98](index=98&type=chunk) - As of June 30, 2024, borrowings under the Term Loan were **$240.6 million**, and borrowings under the Revolving Credit Facility were **$180.0 million**, leaving **$568.3 million** available[103](index=103&type=chunk) - The company has two sets of senior notes outstanding: **$400 million** at **4.125%** due 2028 and **$400 million** at **4.125%** due 2029[105](index=105&type=chunk)[107](index=107&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=29&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company states that its exposures to market risks have not materially changed from those disclosed in its Annual Report on Form 10-K for the year ended December 31, 2023 - There have been no material changes to the company's market risk exposures since the 2023 10-K filing[118](index=118&type=chunk) [Item 4. Controls and Procedures](index=29&type=section&id=Item%204.%20Controls%20and%20Procedures) Management, including the CEO and CFO, evaluated the company's disclosure controls and procedures and concluded they were effective as of June 30, 2024, with no material changes in internal control over financial reporting during the second quarter of 2024 - The Chief Executive Officer and Chief Financial Officer concluded that the company's disclosure controls and procedures are effective as of June 30, 2024[119](index=119&type=chunk) - No changes occurred in the company's internal control over financial reporting during the three months ended June 30, 2024, that have materially affected, or are reasonably likely to materially affect, these controls[119](index=119&type=chunk) PART II – OTHER INFORMATION [Item 1. Legal Proceedings](index=30&type=section&id=Item%201.%20Legal%20Proceedings) The company refers to Note 4 of its financial statements for information on legal proceedings, where it was stated that there were no material contingencies during the period - There were no material contingencies or legal proceedings during the period covered by the report[56](index=56&type=chunk)[121](index=121&type=chunk) [Item 1A. Risk Factors](index=30&type=section&id=Item%201A.%20Risk%20Factors) There have been no material changes to the company's risk factors from those disclosed in its Annual Report on Form 10-K for the year ended December 31, 2023 - No material changes to risk factors have occurred since the filing of the 2023 10-K[122](index=122&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=30&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) During the second quarter of 2024, the company repurchased **358** shares at an average price of **$96.52** per share to satisfy tax withholding obligations for employee benefit plans, not as part of the publicly announced share repurchase program, with approximately **$377.6 million** remaining available for repurchases under the board's authorization as of June 30, 2024 Share Repurchases (Q2 2024) | Period | Total Shares Purchased | Average Price Paid | | :--- | :--- | :--- | | April 2024 | 89 | $98.20 | | May 2024 | 269 | $95.97 | | June 2024 | 0 | N/A | | **Total** | **358** | **$96.52** | - The shares purchased were to satisfy statutory tax withholding obligations and not part of the publicly announced repurchase plan[123](index=123&type=chunk)[124](index=124&type=chunk) - As of June 30, 2024, approximately **$377.6 million** remained authorized for future share repurchases under the existing program[124](index=124&type=chunk) [Item 5. Other Information](index=30&type=section&id=Item%205%20Other%20Information) During the second quarter of 2024, no director or officer of the company adopted or terminated a Rule 10b5-1 trading arrangement or a non-Rule 10b5-1 trading arrangement - No director or officer adopted or terminated a Rule 10b5-1 trading arrangement during the three months ended June 30, 2024[125](index=125&type=chunk) [Item 6. Exhibits](index=31&type=section&id=Item%206.%20Exhibits) This section lists the exhibits filed with the Form 10-Q, including corporate governance documents, CEO and CFO certifications (Rule 13a-14(a)/15d-14(a) and Section 1350), and Interactive Data Files (Inline XBRL) - Key exhibits filed include CEO and CFO certifications as required by the Sarbanes-Oxley Act[127](index=127&type=chunk)

BWX Technologies Reports Second Quarter 2024 Results • 2Q24 revenues of $681.5 million (1) • 2Q24 net income of $73.0 million, adjusted EBITDA of $126.2 million • 2Q24 diluted GAAP EPS of $0.79, non-GAAP EPS of $0.82 (1) • BWXT-led JV awarded management and operations contract for the NNSA's Pantex Plant • 2024 non-GAAP EPS guidance revised to $3.10-$3.20 (1) Lynchburg, VA – August 5, 2024 - BWX Technologies, Inc. (NYSE: BWXT) ("BWXT", "we", "us" or the "Company") reported second quarter 2024 results. A rec ...

Company Overview - BWX Technologies (BWXT) is expected to report a year-over-year increase in earnings due to higher revenues for the quarter ended June 2024 [1] - The earnings report is anticipated to be released on August 5, 2024, with a consensus EPS estimate of $0.76, reflecting a +16.9% change year-over-year [3][4] Revenue Expectations - Revenues for BWX are projected to be $643.87 million, which is a 5.1% increase from the same quarter last year [4] Estimate Revisions - The consensus EPS estimate has been revised 2.3% higher in the last 30 days, indicating a positive reassessment by analysts [5] - BWX has an Earnings ESP of +0.88%, suggesting analysts have become more optimistic about the company's earnings prospects [11] Historical Performance - In the last reported quarter, BWX exceeded the expected EPS of $0.67 by delivering $0.76, resulting in a surprise of +13.43% [14] - The company has beaten consensus EPS estimates in each of the last four quarters [15] Earnings Prediction Insights - A positive Earnings ESP reading is a strong predictor of an earnings beat, especially when combined with a Zacks Rank of 1, 2, or 3 [9] - BWX currently holds a Zacks Rank of 3, indicating a likelihood of beating the consensus EPS estimate [12][13]

When looking at the last two reports, this supplier of nuclear fuel and components to the U.S. government has recorded a strong streak of surpassing earnings estimates. The company has topped estimates by 10.44%, on average, in the last two quarters. Thanks in part to this history, there has been a favorable change in earnings estimates for BWX lately. In fact, the Zacks Earnings ESP (Expected Surprise Prediction) for the stock is positive, which is a great indicator of an earnings beat, particularly when c ...