BWX Technologies(BWXT)2025-02-24 22:10Financial Performance - Fourth quarter 2024 revenue was $746.3 million, a 3% increase from $725.5 million in Q4 2023, with net income of $71.1 million[4]. - Full year 2024 revenue reached $2.7 billion, an 8% increase from $2.5 billion in 2023, with adjusted EBITDA of $498.7 million[4]. - The company reported a diluted non-GAAP EPS of $0.92 for Q4 2024, down 9% from $1.01 in Q4 2023, and a full year non-GAAP EPS of $3.33, up 10% from $3.02 in 2023[4][10]. - Operating cash flow for full year 2024 was $408.4 million, a 12% increase from $363.7 million in 2023[4][11]. - BWXT's net income attributable to the company for Q4 2024 was $84.7 million, compared to $92.9 million in Q4 2023, a decrease of about 8.8%[28]. - The diluted earnings per share (EPS) for Q4 2024 was $0.92, up from $1.01 in Q4 2023, indicating a decline of about 8.9%[29]. - For the full year 2024, BWXT achieved a Non-GAAP operating income of $412.8 million, compared to $380.6 million in 2023, representing an increase of approximately 8.4%[30]. - Net income for the year ended December 31, 2024, was $282,298,000, up 14.6% from $246,321,000 in 2023[44]. - Basic earnings per share for 2024 were $3.08, up from $2.68 in 2023, representing a 14.9% increase[42]. Operational Highlights - Government Operations revenue for Q4 2024 was $595.0 million, a 1% decrease from $601.6 million in Q4 2023, while Commercial Operations revenue increased by 23% to $152.3 million[5]. - The company experienced a 25% decrease in Q4 2024 GAAP operating income to $92.3 million, compared to $123.2 million in Q4 2023[9]. - BWXT reported a Non-GAAP operating income of $107.9 million for Q4 2024, compared to $127.3 million in Q4 2023, reflecting a decrease of approximately 15.5% year-over-year[28]. - Government operations generated an operating income of $374.7 million, while commercial operations contributed $37.5 million[31]. - Total revenues for the year ended December 31, 2024, were $2,703,654,000, up 8.3% from $2,496,309,000 in 2023[50]. - Segment income for Government Operations decreased to $98,059,000 in Q4 2024 from $116,282,000 in Q4 2023[50]. Strategic Initiatives - BWXT's strategic growth efforts are focused on enhancing its portfolio in national security, clean energy, and medical end-markets[3]. - The company plans to continue its market expansion efforts and explore acquisition opportunities to enhance its competitive position in the nuclear solutions sector[25]. - The company closed the acquisition of A.O.T on January 3, 2025, and announced an agreement to acquire Kinectrics, Inc. on January 7, 2025[4]. - BWXT anticipates potential disruptions in supply chains and operations due to external factors, including government budget uncertainties and labor market challenges[25]. Cash Flow and Investments - BWXT paid $22.0 million in dividends in Q4 2024, and a total of $88.3 million for the full year 2024[12]. - The company reported a free cash flow conversion rate of 106.5% for 2024, indicating strong cash generation relative to net income[21]. - Free cash flow for the year was $254.8 million, compared to $212.4 million in the previous year[38]. - Cash provided by operating activities for the year was $408,428,000, an increase from $363,701,000 in 2023[44]. - The company repurchased $20,000,000 in common stock during the year[44]. Backlog and Bookings - BWXT's total revenue backlog remains strong, with expectations for continued growth in strategic initiatives such as medical radioisotopes and small modular reactor (SMR) components[25]. - The total backlog increased to $4,842,460,000 in Q4 2024, compared to $3,997,647,000 in Q4 2023, representing a 21.2% growth[50]. - Government Operations backlog rose to $3,912,580,000 in Q4 2024 from $3,216,673,000 in Q4 2023, a 21.6% increase[50]. - Total bookings for Q4 2024 were $2,208,666,000, significantly up from $742,318,000 in Q4 2023[50]. - Yearly bookings for 2024 reached $3,549,096,000, compared to $2,349,647,000 in 2023, marking a 50.9% increase[50]. Tax and Financial Metrics - The effective tax rate for Q4 2024 was 18.9%, compared to 22.5% in Q4 2023, showing a reduction in tax burden[29]. - The effective tax rate for the year was 23.4%[31]. - Long-term debt decreased to $1,042,970,000 in 2024 from $1,203,422,000 in 2023, a reduction of 13.3%[48]. - Total current assets increased to $929,997,000 in 2024, compared to $817,801,000 in 2023, reflecting a 13.7% growth[46]. - Total stockholders' equity increased to $1,080,404,000 in 2024 from $933,301,000 in 2023, a growth of 15.8%[48]. Research and Development - Research and development costs for the year were $7,478,000, slightly down from $7,613,000 in 2023[42]. - Capital expenditures for Q4 2024 totaled $52,520,000, slightly up from $50,788,000 in Q4 2023[50].