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Release Date:July 25, 2025
IMMEDIATE
 

Moog Inc. Reports Third Quarter 2025 Results
with both Record Sales and Earnings Per Share


East Aurora, NY -- Moog Inc. (NYSE: MOG.A and MOG.B), a worldwide designer, manufacturer and systems integrator of high-performance precision motion and fluid controls and control systems, today reported fiscal third quarter 2025 net sales of $971 million, diluted earnings per share of $1.87 and adjusted diluted earnings per share of $2.37, all records, reflecting business growth and simplified operations.

(in millions, except per share results)Three Months Ended
Q3 2025Q3 2024Deltas
Net sales$971 $905 7%
Operating margin11.5 %11.6 %(10) bps
Adjusted operating margin13.6 %12.3 %130 bps
Diluted net earnings per share$1.87 $1.74 7%
Adjusted diluted net earnings per share$2.37 $1.91 24%
Net cash provided (used) by operating activities$125 $30 $95
Free cash flow$93 $(2)$95
See the reconciliations of adjusted financial results and free cash flow to reported results included in the financial statements herein for the periods ended June 28, 2025 and June 29, 2024.

Quarter Highlights

•Net sales increased to a record level, led by strength in Commercial Aircraft, Space and Defense, and Military Aircraft. Industrial declined due to divestitures completed at the beginning of this fiscal year.
•Operating margin was relatively unchanged as charges for a program termination and charges for simplification initiatives offset stronger operational performance.
•Adjusted operating margin increased due to the benefit from the sale of intellectual property and inventory associated with a non-core product line and a favorable sales mix, partially offset by tariff pressure.
•Diluted net earnings per share increased as strong operational performance was partially offset by higher charges for a program termination and charges for simplification initiatives.
•Adjusted diluted net earnings per share increased reflecting margin expansion and incremental profit from higher sales.
•Free cash flow improved with a conversion greater than 120%.
•Twelve-month backlog was at a record level of $2.7 billion with growth primarily driven by Military Aircraft and Space and Defense.
•Acquired COTSWORKS after quarter-end, strengthening the Space and Defense product portfolio.

"We have just delivered another quarter of record financial results, reflective of our unrelenting focus on driving improved business performance," said Pat Roche, CEO. "Our teams across the company continue advancing our simplification strategies, and our value proposition to our customers has resulted in strong order intake and a record 12-month backlog. Our employees are driving change and our business is strong, giving us confidence as we look to 2026."





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Segment Results
Sales in the third quarter increased 7% to a record $971 million. Sales growth was led by Commercial Aircraft, which increased 16% on strong aftermarket demand. Space and Defense sales increased 11%, reflecting broad-based demand including satellite components and missile control programs. Military Aircraft sales increased 8%, driven by continued ramp-up on the FLRAA program. Industrial sales declined 4% due to previously completed divestitures.

Operating margin in the third quarter was 11.5%, down 10 basis points from the prior year. Military Aircraft operating margin declined 360 basis points to 8.0%, primarily due to charges tied to the termination of a product development effort, along with a less favorable sales mix and increased research and development investment in future programs. Industrial operating margin declined 20 basis points to 9.6%, reflecting charges related to portfolio shaping, facility rationalization and an investment impairment, as well as pressures from tariffs, and were partially offset by the benefit from simplification initiatives. Partially offsetting these declines was an increase in Commercial Aircraft operating margin of 200 basis points to 14.9%, supported by the benefit from the sale of a non-core product line and by record aftermarket sales, partially offset by pressures from tariffs and OEM customers' production delays. In addition, Space and Defense operating margin increased 70 basis points to 13.3%, driven by profitable sales growth.

Adjusted operating margin excludes charges of $20 million and $6 million in the third quarters of 2025 and 2024, respectively, which primarily relate to simplification initiatives and a program termination. Excluding these charges, total company adjusted operating margin increased 130 basis points from 12.3% to 13.6%. Commercial Aircraft adjusted operating margin increased 180 basis points to 14.9%, supported by the benefit from the sale of a non-core product line and by record aftermarket sales, partially offset by pressures from tariffs and OEM customers' production delays. Industrial adjusted operating margin improved 180 basis points to 13.5%, supported by the benefit of the simplification initiatives, including divestitures completed at the start of the year, partially offset by tariff pressure. Space and Defense adjusted operating margin increased 140 basis points to 14.1%, driven by profitable sales growth. Partially offsetting the increases was a decrease in Military Aircraft adjusted operating margin of 30 basis points to 11.6%, due to a less favorable program sales mix and increased research and development investment.

Free Cash Flow Results
Free cash flow for the quarter was $93 million, driven by strong earnings and cash provided by changes in working capital. Capital expenditures were $33 million.

2025 Financial Guidance

“We are increasing our sales guidance from 90 days ago based on the strength of the business. We are updating our adjusted operating margin guidance to reflect the expected pressures associated with tariffs and the underlying strength in our business. We are also moderating our free cash flow guidance based on working capital needs to support our elevated growth," said Jennifer Walter, CFO. "We’re on track to close out a record year for sales in 2025. Our business is strong, and we’re continuing to expand our operating margin and generate an increasing level of free cash flow."
FY 2025 Guidance (1)
CurrentPrevious
Net sales (in billions)$3.8 $3.7 
Operating margin11.9 %12.7 %
Adjusted operating margin12.8 %13.0 %
Diluted net earnings per share(2)
$7.44 $7.89 
Adjusted diluted net earnings per share(2)
$8.25 $8.20 
Free cash flow conversion30 - 50 %50 %
(1) Current guidance now includes the net tariff pressures, while the previous guidance excluded it. (2) Diluted net earnings per share and Adjusted diluted net earnings per share figures are forecasted to be within range of +/- $0.10.




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Conference call information

In conjunction with today’s release, Pat Roche, CEO, and Jennifer Walter, CFO, will host a conference call today beginning at 10:00 a.m. ET, which will be simultaneously broadcast live online. Listeners can access the call and supplemental financial materials at www.moog.com/investors/communications.

Cautionary Statement

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which can be identified by words such as: “may,” “will,” “should,” “believes,” “expects,” “expected,” “intends,” “plans,” “projects,” “approximate,” “estimates,” “predicts,” “potential,” “outlook,” “forecast,” “anticipates,” “presume,” “assume” and other words and terms of similar meaning (including their negative counterparts or other various or comparable terminology). These forward-looking statements are made pursuant to the Private Securities Litigation Reform Act of 1995, are neither historical facts nor guarantees of future performance and are subject to several factors, risks and uncertainties, the impact or occurrence of which could cause actual results to differ materially from the expected results described in the forward-looking statements.

Although it is not possible to create a comprehensive list of all factors that may cause our actual results to differ from the results expressed or implied by our forward-looking statements or that may affect our future results, some of these factors and other risks and uncertainties are described in Item 1A “Risk Factors” of our Annual Report on Form 10-K and in our other periodic filings with the Securities and Exchange Commission (“SEC”) and include, but are not limited to, risks relating to: (i) our operation in highly competitive markets with competitors who may have greater resources than we possess; (ii) our operation in cyclical markets that are sensitive to domestic and foreign economic conditions and events; (iii) our heavy dependence on government contracts that may not be fully funded or may be terminated; (iv) supply chain constraints and inflationary impacts on prices for raw materials and components used in our products; (v) failure of our subcontractors or suppliers to perform their contractual obligations; and (vi) our accounting estimations for over-time contracts and any changes we need to make thereto. You should evaluate all forward-looking statements made in this press release in the context of these risks and uncertainties.

While we believe we have identified and discussed in our SEC filings the material risks affecting our business, there may be additional factors, risks and uncertainties not currently known to us or that we currently consider immaterial that may affect the forward-looking statements we make herein. Given these factors, risks and uncertainties, investors should not place undue reliance on forward-looking statements as predictive of future results. Any forward-looking statement speaks only as of the date on which it is made, and we disclaim any obligation to update any forward-looking statement made in this press release, except as required by applicable law.

Contact: Aaron Astrachan
716.687.4225




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Moog Inc.
CONSOLIDATED STATEMENTS OF EARNINGS (UNAUDITED)
(dollars in thousands, except per share data)
 
 Three Months EndedNine Months Ended
June 28,
2025		June 29,
2024		June 28,
2025		June 29,
2024
Net sales$971,363 $904,735 $2,816,518 $2,691,888 
Cost of sales699,685 651,672 2,044,373 1,938,673 
Inventory write-down5,839 1,600 7,988 1,775 
Gross profit265,839 251,463 764,157 751,440 
Research and development21,906 27,791 69,992 86,752 
Selling, general and administrative138,801 126,361 399,684 370,047 
Interest17,790 18,153 54,340 52,850 
Asset impairment3,000 112 3,000 6,862 
Restructuring2,850 3,984 9,059 12,623 
Other3,510 4,157 7,942 10,041 
Earnings before income taxes77,982 70,905 220,140 212,265 
Income taxes18,275 14,545 51,566 48,090 
Net earnings$59,707 $56,360 $168,574 $164,175 
Net earnings per share  
Basic$1.89 $1.76 $5.32 $5.14 
Diluted$1.87 $1.74 $5.25 $5.08 
Weighted average common shares outstanding  
Basic31,524,999 31,960,165 31,684,945 31,943,365 
Diluted31,896,949 32,409,370 32,082,186 32,342,700 
 



















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Moog Inc.
RECONCILIATION TO ADJUSTED NET EARNINGS BEFORE TAXES, INCOMES TAXES, NET EARNINGS AND DILUTED NET EARNINGS PER SHARE (UNAUDITED)
(dollars in thousands)
Three Months EndedNine Months Ended
June 28,
2025		June 29,
2024		June 28,
2025		June 29,
2024
As Reported:
Earnings before income taxes$77,982 $70,905 $220,140 $212,265 
Income taxes18,275 14,545 51,566 48,090 
Effective income tax rate23.4 %20.5 %23.4 %22.7 %
Net earnings59,707 56,360 168,574 164,175 
Diluted net earnings per share$1.87 $1.74 $5.25 $5.08 
Program Terminations1
Earnings before income taxes$8,065 $— $8,065 $1,992 
Income taxes1,903 — 1,903 470 
Net earnings6,162 — 6,162 1,522 
Diluted net earnings per share$0.19 $— $0.19 $0.05 
Simplification Initiatives2
Earnings before income taxes$6,805 $5,818 $18,204 $14,457 
Income taxes1,647 1,502 4,487 3,654 
Net earnings5,158 4,316 13,717 10,803 
Diluted net earnings per share$0.16 $0.13 $0.43 $0.33 
Investment Losses3
Earnings before income taxes$3,000 $— $3,000 $5,294 
Income taxes— (1,249)— — 
Net earnings3,000 1,249 3,000 5,294 
Diluted net earnings per share$0.09 $0.04 $0.09 $0.16 
Acquisition and Integration4
Earnings before income taxes$481 $— $481 $— 
Income taxes113 — 113 — 
Net earnings368 — 368 — 
Diluted net earnings per share$0.01 $— $0.01 $— 
Other Charges5
Earnings before income taxes$1,462 $111 $3,462 $415 
Income taxes344 26 817 98 
Net earnings1,118 85 2,645 317 
Diluted net earnings per share$0.04 $— $0.08 $0.01 
As Adjusted:
Earnings before income taxes$97,795 $76,834 $253,352 $234,423 
Income taxes22,282 14,824 58,886 52,312 
Effective income tax rate22.8 %19.3 %23.2 %22.3 %
Net earnings75,513 62,010 194,466 182,111 
Diluted net earnings per share$2.37 $1.91 $6.06 $5.63 
The diluted net earnings per share associated with the adjustments in the table above may not reconcile when totaled due to rounding.
1 Charges include costs related to the termination of significant development, production, or support programs, such as write-off and impairments or inventory and long-lived assets, contract termination costs, and other charges.
2 Charges include costs related to footprint rationalization, portfolio shaping and legal entity re-organization activities, such as facility closure costs, employee severance and retention costs, write-off and impairments of inventory and long-lived assets, and other charges.
3 Charges include impairment losses on minority investments.
4 Charges include costs related to acquisition such as amortization of inventory fair value step-up and professional services fees. Charges also include costs related to integrating the businesses, such as employee severance and retention costs, professional services fees, legal entity and facility rationalization costs and other related charges.
5 Other charges include business interruptions from natural causes, litigation matters, and other items that are not part of normal operations.
While management believes that these adjusted financial measures may be useful in evaluating the financial condition and results of operations of the Company, this information should be considered supplemental and is not a substitute for financial information prepared in accordance with GAAP.



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Moog Inc.
CONSOLIDATED SALES AND OPERATING PROFIT (UNAUDITED)
(dollars in thousands)
 
Three Months EndedNine Months Ended
June 28,
2025		June 29,
2024		June 28,
2025		June 29,
2024
Net sales:
Space and Defense$287,705 $258,409 $805,673 $755,324 
Military Aircraft224,662 207,177 651,931 595,921 
Commercial Aircraft219,436 189,365 656,740 591,181 
Industrial239,560 249,784 702,174 749,462 
Net sales$971,363 $904,735 $2,816,518 $2,691,888 
Operating profit:
Space and Defense$38,261 $32,635 $99,581 $100,175 
13.3 %12.6 %12.4 %13.3 %
Military Aircraft17,994 23,965 64,632 60,323 
8.0 %11.6 %9.9 %10.1 %
Commercial Aircraft32,623 24,367 82,418 69,838 
14.9 %12.9 %12.5 %11.8 %
Industrial22,989 24,413 75,700 81,592 
9.6 %9.8 %10.8 %10.9 %
Total operating profit111,867 105,380 322,331 311,928 
11.5 %11.6 %11.4 %11.6 %
Deductions from operating profit:
Interest expense17,790 18,153 54,340 52,850 
Equity-based compensation expense4,649 4,089 12,669 11,301 
Non-service pension expense1,970 3,188 5,855 9,566 
Corporate and other expenses, net9,476 9,045 29,327 25,946 
Earnings before income taxes$77,982 $70,905 $220,140 $212,265 

























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Moog Inc.
RECONCILIATION TO ADJUSTED OPERATING PROFIT AND MARGINS (UNAUDITED)
(dollars in thousands)

Three Months EndedNine Months Ended
June 28,
2025		June 29,
2024		June 28,
2025		June 29,
2024
Space and Defense operating profit - as reported$38,261 $32,635 $99,581 $100,175 
Simplification Initiatives406 — 2,474 — 
Acquisition Integration481 — 481 — 
Other charges1,462 112 1,462 416 
Space and Defense operating profit - as adjusted$40,610 $32,747 $103,998 $100,591 
14.1 %12.7 %12.9 %13.3 %
Military Aircraft operating profit - as reported$17,994 $23,965 $64,632 $60,323 
Program terminations8,065 — 8,065 1,992 
Simplification Initiatives— 609 591 3,732 
Investment losses— — — 5,294 
Other charges— — 2,000 — 
Military Aircraft operating profit - as adjusted$26,059 $24,574 $75,288 $71,341 
11.6 %11.9 %11.5 %12.0 %
Commercial Aircraft operating profit - as reported$32,623 $24,367 $82,418 $69,838 
Simplification Initiatives— 408 — 408 
Commercial Aircraft operating profit - as adjusted$32,623 $24,775 $82,418 $70,246 
14.9 %13.1 %12.5 %11.9 %
Industrial operating profit - as reported$22,989 $24,413 $75,700 $81,592 
Simplification Initiatives6,399 4,800 15,139 10,316 
Investment losses3,000 — 3,000 — 
Industrial operating profit - as adjusted$32,388 $29,213 $93,839 $91,908 
13.5 %11.7 %13.4 %12.3 %
Total operating profit - as adjusted$131,680 $111,309 $355,543 $334,086 
13.6 %12.3 %12.6 %12.4 %
While management believes that these adjusted financial measures may be useful in evaluating the financial condition and results of operations of the Company, this information should be considered supplemental and is not a substitute for financial information prepared in accordance with GAAP.



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Moog Inc.
CONSOLIDATED BALANCE SHEETS (UNAUDITED)
(dollars in thousands)
 
June 28,
2025		September 28,
2024
ASSETS
Current assets
Cash and cash equivalents$58,191 $61,694 
Restricted cash823 123 
Receivables, net529,753 419,971 
Unbilled receivables734,976 709,014 
Inventories, net924,682 863,702 
Prepaid expenses and other current assets153,479 86,245 
Total current assets2,401,904 2,140,749 
Property, plant and equipment, net988,125 929,357 
Operating lease right-of-use assets52,877 52,591 
Goodwill802,089 833,764 
Intangible assets, net57,182 63,479 
Deferred income taxes37,701 20,991 
Other assets56,696 52,695 
Total assets$4,396,574 $4,093,626 
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities
Accounts payable$289,160 $292,988 
Accrued compensation98,292 101,127 
Contract advances and progress billings298,648 299,732 
Accrued liabilities and other302,514 305,180 
Total current liabilities988,614 999,027 
Long-term debt, excluding current installments1,081,674 874,139 
Long-term pension and retirement obligations177,688 167,161 
Deferred income taxes27,664 27,738 
Other long-term liabilities177,233 164,928 
Total liabilities2,452,873 2,232,993 
Shareholders’ equity
Common stock - Class A43,864 43,835 
Common stock - Class B7,416 7,445 
Additional paid-in capital769,935 784,509 
Retained earnings2,810,050 2,668,723 
Treasury shares(1,205,305)(1,082,240)
Stock Employee Compensation Trust(173,214)(194,049)
Supplemental Retirement Plan Trust(147,042)(163,821)
Accumulated other comprehensive loss(162,003)(203,769)
Total shareholders’ equity1,943,701 1,860,633 
Total liabilities and shareholders’ equity$4,396,574 $4,093,626 





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Moog Inc.
CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)
(dollars in thousands)
Nine Months Ended
June 28,
2025		June 29,
2024
CASH FLOWS FROM OPERATING ACTIVITIES
Net earnings$168,574 $164,175 
Adjustments to reconcile net earnings to net cash provided (used) by operating activities:
Depreciation69,292 64,302 
Amortization6,996 7,677 
Deferred income taxes(18,645)(26,483)
Equity-based compensation expense12,669 11,301 
Asset impairment and inventory write-down10,988 8,637 
Other4,399 5,374 
Changes in assets and liabilities providing (using) cash:
Receivables(105,346)(18,677)
Unbilled receivables(35,174)(57,723)
Inventories(64,095)(105,629)
Accounts payable(3,301)918 
Contract advances and progress billings8,798 (26,882)
Accrued expenses(6,645)36,928 
Accrued income taxes(22,669)9,832 
Net pension and post retirement liabilities 15,563 8,783 
Other assets and liabilities(8,941)(35,978)
Net cash provided (used) by operating activities32,463 46,555 
CASH FLOWS FROM INVESTING ACTIVITIES
Acquisitions of businesses, net of cash acquired— (5,911)
Purchase of property, plant and equipment(103,041)(109,616)
Net proceeds from businesses sold13,487 1,627 
Other investing transactions(2,844)(646)
Net cash provided (used) by investing activities(92,398)(114,546)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from revolving lines of credit957,500 784,500 
Payments on revolving lines of credit(1,001,500)(691,000)
Proceeds from long-term debt250,000 — 
Payments on finance lease obligations(7,194)(4,468)
Payment of dividends (27,247)(26,521)
Proceeds from sale of treasury stock10,970 7,579 
Purchase of outstanding shares for treasury(127,808)(21,832)
Proceeds from sale of stock held by SECT20,287 16,670 
Purchase of stock held by SECT(18,505)(14,296)
Other financing transactions(1,600)— 
Net cash provided (used) by financing activities54,903 50,632 
Effect of exchange rate changes on cash(491)(267)
Increase (decrease) in cash, cash equivalents and restricted cash(5,523)(17,626)
Cash, cash equivalents and restricted cash at beginning of year (1)
64,537 69,144 
Cash, cash equivalents and restricted cash at end of period$59,014 $51,518 
(1) Beginning of year cash balance at September 29, 2024 includes cash related to assets held for sale of $2,720.



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Moog Inc.
RECONCILIATION OF NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES TO FREE CASH FLOW (UNAUDITED)
(dollars in thousands)

 Three Months EndedNine Months Ended
June 28,
2025		June 29,
2024		June 28,
2025		June 29,
2024
Net cash provided (used) by operating activities$125,325 $30,166 $32,463 $46,555 
Purchase of property, plant and equipment(32,659)(32,086)(103,041)(109,616)
Receivables Purchase Agreement— — — (25,000)
Free cash flow$92,666 $(1,920)$(70,578)$(88,061)
Adjusted net earnings$75,513 $62,010 $194,466 $182,111 
Free cash flow conversion123 %(3)%(36)%(48)%
Free cash flow is defined as net cash provided (used) by operating activities, less purchase of property, plant and equipment, less the benefit from the Receivables Purchase Agreement. Free cash flow conversion is defined as free cash flow divided by adjusted net earnings. Free cash flow and free cash flow conversion are not measures determined in accordance with GAAP and may not be comparable with the measures as used by other companies. However, management believes these adjusted financial measures may be useful in evaluating the liquidity, financial condition and results of operations of the Company. This information should be considered supplemental and is not a substitute for financial information prepared in accordance with GAAP.



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