Financial Performance - Net sales for the three months ended March 29, 2025, were $934,840,000, a slight increase from $930,303,000 for the same period in 2024, representing a growth of 0.2%[11] - Net earnings for the three months ended March 29, 2025, were $55,754,000, down from $60,003,000 in the same period of 2024, reflecting a decline of 3.7%[11] - Comprehensive income for the three months ended March 29, 2025, was $80,866,000, compared to $48,650,000 for the same period in 2024, showing an increase of 66.1%[14] - Net earnings for the six months ended March 29, 2025, were $108.867 million, compared to $107.815 million for the same period in 2024, reflecting a year-over-year increase of 0.97%[25] - The total operating profit for the company was $109.31 million for the three months ended March 29, 2025, down from $112.01 million in the same period of 2024, indicating a decline of about 2.4%[99] Expenses and Costs - Gross profit for the six months ended March 29, 2025, was $498,318,000, compared to $499,977,000 for the same period in 2024, indicating a decrease of 0.3%[11] - Research and development expenses decreased to $24,481,000 for the three months ended March 29, 2025, down from $28,382,000 in the same period of 2024, a reduction of 13.4%[11] - The company reported a depreciation expense of $45,822 million for the six months ended March 29, 2025, compared to $42,276 million in the same period of 2024, indicating an increase of 12.0%[25] - Total finance lease cost for the six months ended March 29, 2025, was $10,365 million, an increase of 60.0% from $6,465 million for the same period in 2024[64] Assets and Liabilities - Total assets as of March 29, 2025, were $4,319,255,000, an increase from $4,093,626,000 as of September 28, 2024, representing a growth of 5.5%[16] - Long-term debt, excluding current installments, increased to $1,165,662,000 as of March 29, 2025, compared to $874,139,000 as of September 28, 2024, a rise of 33.3%[16] - The company reported a net cash used by investing activities of $58,957 million for the six months ended March 29, 2025, compared to $83,956 million in the same period of 2024, showing an improvement[25] - The company had outstanding foreign currency contracts with notional amounts of $55,326 million as of March 29, 2025, to manage foreign exchange risk[80] Shareholder Information - Cash dividends declared were $0.29 per share for the three months ended March 29, 2025, compared to $0.28 per share for the same period in 2024, reflecting a growth of 3.6%[20] - The company declared a quarterly dividend of $0.29 per share, payable on May 27, 2025, to shareholders of record as of May 9, 2025[105] - Total shareholders' equity at the end of the period was $1,835,417 thousand, up from $1,753,259 thousand a year earlier, reflecting an increase of 4.68%[22] Segment Performance - Operating profit for the Space and Defense segment was $32.78 million for the three months ended March 29, 2025, compared to $42.24 million in the same period of 2024, reflecting a decrease of approximately 22.5%[99] - Military Aircraft segment net sales were $213.85 million for the three months ended March 29, 2025, up from $202.50 million in the same period of 2024, reflecting an increase of approximately 5.7%[97] - The Space and Defense segment reported net sales of $270,184 million for the three months ended March 29, 2025, up from $266,787 million in the prior year, reflecting a growth of approximately 0.5%[98] Adjustments and Provisions - The company recorded an out of period adjustment of $7.540 million related to warranty expense in Commercial Aircraft, which increased cost of sales and decreased unbilled receivables[31] - The allowance for credit losses was $3,099 million, reflecting the company's assessment of customer account collectability[56] - The company recorded a warranty accrual of $21,782 million as of March 29, 2025, down from $23,616 million as of September 28, 2024[78] Future Expectations and Plans - The company expects additional costs of up to approximately $3,700 related to retention agreements under the 2023 restructuring plan, which will continue through 2027[88] - The company is reviewing the impact of new accounting standards, including ASU no. 2023-07 and ASU no. 2023-09, which will affect segment reporting and income tax disclosures, respectively[30] - The company expects restructuring payments to be made within a year, except for portions classified as long-term liabilities[88]
Moog(MOG_B) - 2025 Q2 - Quarterly Report