precision electromagnetic valve solutions
Search documents
Woodward Announces Deal to Acquire VRM to Boost Aerospace Portfolio
ZACKS· 2026-03-10 14:05
Core Insights - Woodward, Inc. (WWD) has announced an agreement to acquire Jet Research Development, Inc. (Valve Research & Manufacturing Company), a Florida-based manufacturer of high-precision flow control valves for aerospace applications, enhancing its engineering and manufacturing capabilities [2][3] Acquisition Details - The transaction involves acquiring all outstanding shares of VRM, along with its manufacturing assets and associated real estate, with operations continuing uninterrupted and existing customer contracts remaining unchanged. The deal is expected to close in the first half of 2026 [3][4] Strategic Benefits - The acquisition will add precision electromagnetic valve solutions to Woodward's aerospace controls portfolio, creating new growth opportunities in commercial and defense aerospace OEM programs, particularly for Next Generation Single Aisle aircraft [4][5] Financial Outlook - Woodward anticipates consolidated net sales to rise by 14% to 18% for fiscal 2026, driven by strong demand in the Aerospace segment, which is projected to grow by 15% to 20%, while the Industrial segment is expected to increase by 11% to 14% [7][10] Segment Performance - Aerospace segment earnings are expected to represent 22% to 23% of segment sales for fiscal 2026, while Industrial segment earnings are estimated to be 16% to 17%, an increase from previous estimates [8] Market Position - Woodward currently holds a Zacks Rank 1 (Strong Buy), with shares having gained 60.6% over the past six months, significantly outperforming the Aerospace - Defense Equipment industry's growth of 15.6% [9]