Financial Performance - Net sales for the three months ended December 28, 2024, were $910,315,000, an increase of 6.2% compared to $856,850,000 for the same period in 2023[10]. - Gross profit for the same period was $242,275,000, up from $233,199,000, reflecting a gross margin improvement[10]. - Net earnings increased to $53,113,000, compared to $47,812,000, representing an increase of 11.4% year-over-year[10]. - Basic net earnings per share rose to $1.66 from $1.50, marking an increase of 10.7%[10]. - Total operating profit for the three months ended December 28, 2024, was $101.157 million, compared to $94.536 million in the same period of 2023, marking an increase of 7.0%[97]. Assets and Liabilities - Total assets as of December 28, 2024, were $4,193,012,000, up from $4,093,626,000, indicating a growth of 2.4%[16]. - Total liabilities increased to $2,378,234,000 from $2,232,993,000, reflecting a growth of 6.5%[16]. - Shareholders' equity decreased to $1,814,778,000 from $1,860,633,000, a decline of 2.5%[16]. - Long-term debt increased to $1,104,151 million from $874,139 million, representing a significant rise of 26.2%[72]. Cash Flow and Dividends - Cash and cash equivalents increased to $73,448,000 from $61,694,000, a rise of 19.1%[16]. - Cash dividends declared were $0.28 per share for the three months ended December 28, 2024, compared to $0.27 per share for the same period in 2023[19]. - Net cash used by operating activities was $(132,284,000) for the three months ended December 28, 2024, compared to $60,391,000 provided in the same period last year[24]. Research and Development - Research and development expenses were $23,605,000, down from $30,579,000, a decrease of 22.8%[10]. - Research and development expenses decreased by 23% to $24 million in the first quarter of 2025 from $31 million in the first quarter of 2024[116]. Revenue Recognition - The company recognized 65% of revenue over time for the three months ended December 28, 2024, using the cost-to-cost method of accounting[107]. - Revenue is recognized using the five-step model prescribed in ASC 606, with performance obligations identified for each promise in a contract[31]. - The company primarily uses the over-time method of revenue recognition for U.S. Government contracts and large commercial contracts[37]. Segment Performance - Military Aircraft segment net sales increased to $213.420 million, compared to $186.244 million, representing a growth of 14.6%[20]. - Commercial Aircraft segment net sales rose to $220.923 million, an increase of 13.8% from $194.222 million[20]. - Space and Defense net sales increased by 8% to $248 million in the first quarter of 2025, driven by higher demand in defense and space markets[122]. Acquisitions and Investments - The company acquired Data Collection Limited for a purchase price of $5,911, enhancing its Military Aircraft segment[48]. - The company plans to continue elevated levels of investment in facilities to prepare for significant future revenue growth opportunities[111]. Foreign Currency and Adjustments - The company experienced a foreign currency translation adjustment loss of $41.7 million, impacting comprehensive income, which totaled $14.8 million for the quarter[12]. - The company recorded a net loss of $12,271 on foreign currency contracts for the three months ended December 28, 2024, compared to a gain of $4,452 in the same period of 2023[82]. Future Projections and Commitments - The company expects additional costs of up to approximately $4,100 related to the 2023 restructuring plan, which will continue through 2027[86]. - The company has a remaining on-call capital commitment of up to $5,158 million for investments in startups through Suffolk Technologies Fund 1, L.P.[68].
Moog(MOG_A) - 2025 Q1 - Quarterly Report