WWD Woodward, Inc.

Overview and Growth

Fiscal 2025 results for Woodward, Inc. combined $3.57B of revenue with net income of $442.11M and an operating cash inflow of $471.29M. The $3.57B revenue base provides substantial context for the company’s earnings, cash generation, and capital requirements. Compared with $3.32B in fiscal 2024, revenue recorded a 7.3% year-over-year increase. On a per-share basis, diluted EPS was $7.19, which connects the reported earnings outcome with the company’s diluted share count. The per-share result recorded a 19.6% increase from fiscal 2024 diluted EPS of $6.01. Asset turnover was 0.77x, relating the company’s annual revenue directly to the total assets reported at the period end.

Profitability

The first profit layer was $956.29M of gross profit, the amount available after reported direct revenue costs to absorb operating expenses. The gross-profit relationship equaled 26.8% of revenue, quantifying the portion retained before operating expenses were recognized. Net income came to $442.11M, completing the progression from revenue through gross and operating profitability to the final reported result. Net margin was 12.4%, meaning that this portion of revenue remained as net income after all recognized expenses. Pretax income was $521.41M, isolating the reported earnings outcome before the income-tax provision recognized for the fiscal year. Measured against revenue, pretax income equaled 14.6%, adding a pre-tax profitability layer between revenue and net income. The company recognized $79.30M of income tax for the period, completing the transition from pretax income to net income. The effective relationship between income tax and positive pretax income was 15.2%, without assuming a statutory-rate comparison. Return on period-end equity was 17.2%, relating annual net income to the equity capital on the balance sheet.

Liquidity and Capital Structure

At period end, the $4.63B asset base was financed through $2.06B of liabilities and $2.57B of equity. Current assets were $1.88B against $907.39M of current liabilities, framing the resources and obligations classified within the near-term balance-sheet horizon. At 2.08x, the current ratio shows that short-term assets were greater than short-term liabilities at period end. Cash and equivalents totaled $327.43M, identifying the most liquid reported component available within the broader current-asset balance. The cash balance equaled 36.1% of current liabilities, showing how much near-term coverage came from cash alone. Borrowings totaled $579.90M, adding a fixed financing obligation alongside the company’s equity capital. Debt equaled 0.23x of book equity, describing the relative scale of borrowing and shareholder capital. The debt-to-assets relationship was 12.5%, comparing borrowing with the total asset balance. Relative to total assets, liabilities measured 44.6%, complementing the separate equity-based view of the company’s capital structure. Cash and equivalents equaled 7.1% of total assets, showing the liquid cash component within the company’s broader resource base. Total assets were 6.0% higher than fiscal 2024 assets of $4.37B, measuring the company’s own balance-sheet change.

Cash Flow and Earnings Quality

Operating activities produced a cash inflow of $471.29M, giving the cash-flow counterpart to the accrual-based profit measures reported for the year. Operating cash flow equaled 1.07x of net income, showing how strongly accounting earnings converted into cash from operations. Capital expenditures used $130.93M, identifying the reported investment outflow deducted from operating cash flow in the free-cash-flow calculation. Capital expenditures represented 27.8% of operating cash flow, leaving the remainder available as free cash flow. The combination of operating cash flow and capital spending produced $340.37M of positive free cash flow for the period. Relative to revenue, free cash flow equaled 9.5%, showing how much sales converted into cash after investment. Measured against total assets, free cash flow represented 7.4%, showing the cash productivity of the company’s assets.

Based on the annual report for the fiscal year ending Sep 30, 2025. Analysis generated Oct 21, 2026.