BWX Technologies Reports Third Quarter 2024 Results

• 3Q24 revenues of $672.0 million
• 3Q24 net income of $69.6 million, adjusted EBITDA(1) of $127.0 million
• 3Q24 diluted GAAP EPS of $0.76, non-GAAP(1) EPS of $0.83
• Expanding special materials portfolio with announced acquisition of A.O.T., a sole source provider of depleted uranium and finished specialty metals for mission critical defense applications; targeting close by year-end
• 2024 non-GAAP EPS(1) guidance raised to ~$3.20
• Preliminary 2025 guidance for revenue, non-GAAP EPS(1) and adjusted EBITDA(1) to grow mid-to-high-single-digits; free cash flow(1) growth to be sustained at 10% or higher

BWX Technologies, Inc. (NYSE: BWXT) ("BWXT", "we", "us" or the "Company") reported third quarter 2024 results. A reconciliation of non-GAAP results are detailed in Exhibit 1.

“Our strong third quarter performance underscores the momentum BWXT has built throughout 2024,” said Rex D. Geveden, president and chief executive officer. “The combination of recent key contract wins enabled by focused business development efforts, and quarterly and year-to-date double-digit revenue and earnings growth highlight our strategic and operational strengths.”

“The nuclear industry is enjoying unprecedented customer and market interest with tangible investments in nuclear solutions by end-users across our key defense, commercial power, and medical markets,” continued Geveden. “As demand from BWXT's customers accelerates, we remain focused on operational excellence and investment in our world-class workforce and infrastructure to sustain our unique position in the nuclear value chain.”

“Given our year-to-date results and visibility into the remainder of the year, we now expect 2024 non-GAAP EPS to be at the high-end of the previous guidance range. Looking into 2025, we expect modest organic growth in our Government Operations segment complemented by a slight contribution from the A.O.T. acquisition we announced today, and robust double-digit organic growth in Commercial Operations in both commercial power and medical. The foregoing combined with our ongoing focus on operational excellence, lead us to forecast mid-to-high-single-digit revenue, EBITDA and Earnings Per Share growth in 2025, with improving free cash flow conversion.”

(1)

A reconciliation of non-GAAP results are detailed in Exhibit 1. Additional information can be found in the materials on the BWXT investor relations website at www.bwxt.com/investors.

Financial Results Summary 

 

 

Three Months Ended September 30,

 

 

 

 

 

 

 

2024

 

 

 

2023

 

 

$ Change

 

% Change

 

 

(Unaudited)

(In millions, except per share amounts)

Revenues

 

 

 

 

 

 

 

 

Government Operations

 

$

560.1

 

 

$

477.9

 

 

$

82.2

 

 

17

%

Commercial Operations

 

$

113.1

 

 

$

112.4

 

 

$

0.8

 

 

1

%

Consolidated

 

$

672.0

 

 

$

590.0

 

 

$

82.0

 

 

14

%

Operating Income

 

 

 

 

 

 

 

 

Government Operations

 

$

101.6

 

 

$

85.6

 

 

$

16.0

 

 

19

%

Commercial Operations

 

$

6.7

 

 

$

9.1

 

 

$

(2.4

)

 

(26

)%

Unallocated Corporate (Expense)

 

$

(11.8

)

 

$

(9.4

)

 

$

(2.4

)

 

NM

 

Consolidated

 

$

96.6

 

 

$

85.4

 

 

$

11.2

 

 

13

%

Consolidated non-GAAP(1)

 

$

105.7

 

 

$

86.7

 

 

$

19.0

 

 

22

%

EPS (Diluted)

 

 

 

 

 

 

 

 

GAAP

 

$

0.76

 

 

$

0.66

 

 

$

0.10

 

 

15

%

Non-GAAP(1)

 

$

0.83

 

 

$

0.67

 

 

$

0.16

 

 

24

%

Net Income

 

 

 

 

 

 

 

 

GAAP

 

$

69.6

 

 

$

60.4

 

 

$

9.3

 

 

15

%

Non-GAAP(1)

 

$

76.7

 

 

$

61.5

 

 

$

15.2

 

 

25

%

Adjusted EBITDA(1)

 

 

 

 

 

 

 

 

Government Operations

 

$

117.0

 

 

$

99.0

 

 

$

18.0

 

 

18

%

Commercial Operations

 

$

13.5

 

 

$

13.9

 

 

$

(0.4

)

 

(3

)%

Corporate

 

$

(3.6

)

 

$

(6.4

)

 

$

2.9

 

 

NM

 

Consolidated

 

$

127.0

 

 

$

106.5

 

 

$

20.4

 

 

19

%

Cash Flows

 

 

 

 

 

 

 

 

Operating Cash Flow(2)

 

$

32.6

 

 

$

74.3

 

 

$

(41.7

)

 

(56

)%

Capital Expenditures(2)

 

$

40.3

 

 

$

30.9

 

 

$

9.4

 

 

30

%

Free Cash Flow(1)

 

$

(7.7

)

 

$

43.4

 

 

$

(51.1

)

 

(118

)%

Dividends Paid(2)

 

$

22.0

 

 

$

21.1

 

 

$

0.8

 

 

4

%

NM = Not Meaningful

(2)

Items named in the Financial Results Summary differ from names in BWXT Financial Statement. Operating Cash Flow = Net Cash Provided by Operating Activities; Capital Expenditures = Purchases of Property, Plant and Equipment; Dividends Paid = Dividends Paid to Common Shareholders

Revenues Third quarter revenue increased in both operating segments. The Government Operations increase was driven by higher naval nuclear component production and microreactors, partially offset by slightly lower special materials processing. The Commercial Operations increase was driven by higher revenue associated with commercial nuclear components and fuel as well as higher medical sales.

Operating Income and Adjusted EBITDA(1) Third quarter operating income increased, driven by higher operating income in Government Operations and lower corporate expense that was partially offset by lower operating income in Commercial Operations. The Government Operations increase was driven by higher revenue and solid operational performance. The Commercial Operations decrease was mainly due to a shift in product and services mix and other non-recurring expenses.

Third quarter adjusted EBITDA(1) increased for the reasons noted above.

EPS Third quarter GAAP EPS increased due to higher operating income and lower interest expense, which were partially offset by slightly lower other income and a modestly higher tax rate. Non-GAAP EPS(1) increased driven by the items noted above.

Cash Flows Third quarter operating cash flow decreased as higher net income was more than offset by greater working capital needs due to contract timing. Capital expenditures were lower due to timing of select growth investments, including the previously announced expansion of the Cambridge manufacturing plant that supports the commercial nuclear market.

Dividend BWXT paid $22.0 million, or $0.24 per common share, to shareholders in the third quarter of 2024. On October 30, 2024, the BWXT Board of Directors declared a quarterly cash dividend of $0.24 per common share payable on December 10, 2024, to shareholders of record on November 19, 2024.

2024 Guidance BWXT raised its 2024 guidance for Revenue and Non-GAAP EPS(1), and reaffirmed its 2024 guidance for Adjusted EBITDA(1) and Free Cash Flow(1).

(In millions, except per share amounts)

 

Year Ended

 

Year Ending

 

Year Ending

 

 

December 31, 2023

 

December 31, 2024

 

December 31, 2024

 

 

Results

 

Current Guidance

 

Prior Guidance

Revenue

 

$2,496

 

~$2,700

 

>$2,600

Adjusted EBITDA(1)

 

$472

 

~$500

 

~$500

Non-GAAP(1) Earnings Per Share

 

$3.02

 

~$3.20

 

$3.10 - $3.20

Free Cash Flow(1)

 

$212

 

$225 - $250

 

$225 - $250

Additional information can be found in the third quarter 2024 earnings call presentation on the BWXT investor relations website at www.bwxt.com/investors. The Company does not provide GAAP guidance because it is unable to reliably forecast most of the items that are excluded from GAAP to calculate non-GAAP results. These items could cause GAAP results to differ materially from non-GAAP results.

Conference Call to Discuss Third Quarter 2024 Results

Date:                          

Monday, November 4, 2024, at 5:00 p.m. EDT 

Live Webcast:           

Investor Relations section of website at www.bwxt.com 

Full Earnings Release Available on BWXT Website A full version of this earnings release is available on our Investor Relations website at http://investors.bwxt.com/3Q2024-release.

BWXT may use its website (www.bwxt.com) as a channel of distribution of material Company information. Financial and other important information regarding BWXT is routinely accessible through and posted on our website. In addition, you may elect to automatically receive e-mail alerts and other information about BWXT by enrolling through the “Email Alerts” section of our website at http://investors.bwxt.com.

Non-GAAP Measures BWXT uses and makes reference to adjusted EBITDA, non-GAAP EPS, free cash flow and free cash flow conversion, which are not recognized measures under GAAP. BWXT is providing these non-GAAP measures to supplement the results provided in accordance with GAAP and it should not be considered superior to, or as a substitute for, the comparable GAAP measures. BWXT believes the non-GAAP measures provide meaningful insight and transparency into the Company’s operational performance and provides these measures to investors to help facilitate comparisons of operating results with prior periods and to assist them in understanding BWXT's ongoing operations. Definitions for the non-GAAP measures are provided below and reconciliations are detailed in Exhibit 1, except that reconciliations of forward-looking GAAP measures are not provided because the company is unable to reliably forecast most of the items that are excluded from GAAP to calculate non-GAAP results. Other companies may define these measures differently or may utilize different non-GAAP measures, thus impacting comparability.

Non-GAAP Earnings Per Share (EPS) is calculated using GAAP EPS less the non-operational tax effected per share impact of pension & OPEB mark-to-market gains or losses and other one-time items, such as restructuring, transformation, and acquisition-related costs.

Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) is calculated using non-GAAP net income, plus provision for income taxes, less other – net, less interest income, plus interest expense, plus depreciation and amortization.

Adjusted pre-tax income is non-GAAP income before provision for income taxes.

Free Cash Flow (FCF) is calculated using net income to derive net cash provided by (used in) operating activities less purchases of property, plant and equipment.

Free Cash Flow conversion is free cash flow divided by net income.

Non-GAAP Adjustments Our GAAP financial results detailed in Exhibit 1 have been adjusted for the following items:

Restructuring and Transformation Costs: Restructuring and transformation costs include restructuring charges as well as costs associated with our efforts to optimize underlying business processes through investments in information technology, process improvements and the implementation of strategic actions and initiatives which we deem to be incremental and non-recurring in nature.

Acquisition-related Costs: Acquisition-related costs relate to third-party professional service costs and one-time incremental costs associated with due diligence activities and efforts to integrate the acquired business with our legacy operations.

Forward-Looking Statements BWXT cautions that this release contains forward-looking statements, including, without limitation, statements relating to backlog, to the extent they may be viewed as an indicator of future revenues; our plans and expectations for each of our reportable segments, including growth opportunities and the expectations, timing and revenue of our strategic initiatives, such as medical radioisotopes, SMR components and recent acquisitions; disruptions to our supply chain and/or operations, changes in government regulations and other factors; and our expectations and guidance for 2024 and beyond. These forward-looking statements are based on management’s current expectations and involve a number of risks and uncertainties, including, among other things, our ability to execute contracts in backlog; federal budget uncertainty, the risk of future budget cuts, the impact of continuing resolution funding mechanisms and the debt ceiling, the potential for government shutdowns and changing funding and acquisition priorities; the demand for and competitiveness of nuclear products and services; capital priorities of power generating utilities and other customers; the timing of technology development, regulatory approvals and automation of production; the receipt and/or timing of government approvals; the potential recurrence of subsequent waves or strains of COVID-19 or similar diseases; labor market challenges, including employee retention and recruitment; adverse changes in the industries in which we operate; and delays, changes or termination of contracts in backlog. If one or more of these risks or other risks materialize, actual results may vary materially from those expressed. For a more complete discussion of these and other risk factors, see BWXT’s filings with the Securities and Exchange Commission, including our annual report on Form 10-K for the year ended December 31, 2023 and subsequent Form 10-Q filings. BWXT cautions not to place undue reliance on these forward-looking statements, which speak only as of the date of this release, and undertakes no obligation to update or revise any forward-looking statement, except to the extent required by applicable law.

About BWXT At BWX Technologies, Inc. (NYSE: BWXT), we are People Strong, Innovation Driven. A U.S.-based company, BWXT is a Fortune 1000 and Defense News Top 100 manufacturing and engineering innovator that provides safe and effective nuclear solutions for global security, clean energy, environmental restoration, nuclear medicine and space exploration. With approximately 7,800 employees, BWXT has 14 major operating sites in the U.S., Canada and the U.K. In addition, BWXT joint ventures provide management and operations at a dozen U.S. Department of Energy and NASA facilities. For more information, visit www.bwxt.com. Follow us on LinkedIn, X, Facebook and Instagram.

EXHIBIT 1 

BWX TECHNOLOGIES, INC. RECONCILIATION OF NON-GAAP OPERATING INCOME AND EARNINGS PER SHARE(1)(2)(3) (In millions, except per share amounts) 

Three Months Ended September 30, 2024

 

GAAP

 

Restructuring &

Transformation

Costs

 

Acquisition-

related Costs

 

Non-GAAP

 

 

 

 

 

 

 

 

Operating Income

$

96.6

 

 

$

6.0

 

 

$

3.1

 

 

$

105.7

 

Other Income (Expense)

 

(6.0

)

 

 

—

 

 

 

—

 

 

 

(6.0

)

Income Before Provision for Income Taxes

 

90.6

 

 

 

6.0

 

 

 

3.1

 

 

 

99.8

 

Provision for Income Taxes

 

(21.0

)

 

 

(1.4

)

 

 

(0.7

)

 

 

(23.0

)

Net Income

 

69.6

 

 

 

4.7

 

 

 

2.4

 

 

 

76.7

 

Net Income Attributable to Noncontrolling Interest

 

(0.2

)

 

 

—

 

 

 

—

 

 

 

(0.2

)

Net Income Attributable to BWXT

$

69.5

 

 

$

4.7

 

 

$

2.4

 

 

$

76.6

 

 

 

 

 

 

 

 

 

Diluted Shares Outstanding

 

91.9

 

 

 

 

 

 

 

91.9

 

Diluted Earnings per Common Share

$

0.76

 

 

$

0.05

 

 

$

0.03

 

 

$

0.83

 

Effective Tax Rate

 

23.2

%

 

 

 

 

 

 

23.1

%

 

 

 

 

 

 

 

 

Government Operations Operating Income

$

101.6

 

 

$

0.1

 

 

$

—

 

 

$

101.7

 

Commercial Operations Operating Income

$

6.7

 

 

$

1.7

 

 

$

0.8

 

 

$

9.2

 

Unallocated Corporate Operating Income

$

(11.8

)

 

$

4.2

 

 

$

2.3

 

 

$

(5.2

)

Three Months Ended September 30, 2023

 

GAAP

 

Restructuring

Costs

 

Acquisition-

related Costs

 

Non-GAAP

 

 

 

 

 

 

 

 

Operating Income

$

85.4

 

 

$

1.1

 

 

$

0.3

 

 

$

86.7

 

Other Income (Expense)

 

(7.2

)

 

 

—

 

 

 

—

 

 

 

(7.2

)

Income Before Provision for Income Taxes

 

78.2

 

 

 

1.1

 

 

 

0.3

 

 

 

79.5

 

Provision for Income Taxes

 

(17.8

)

 

 

(0.1

)

 

 

(0.1

)

 

 

(18.0

)

Net Income

 

60.4

 

 

 

1.0

 

 

 

0.2

 

 

 

61.5

 

Net Income Attributable to Noncontrolling Interest

 

(0.1

)

 

 

—

 

 

 

—

 

 

 

(0.1

)

Net Income Attributable to BWXT

$

60.3

 

 

$

1.0

 

 

$

0.2

 

 

$

61.5

 

 

 

 

 

 

 

 

 

Diluted Shares Outstanding

 

91.9

 

 

 

 

 

 

 

91.9

 

Diluted Earnings per Common Share

$

0.66

 

 

$

0.01

 

 

$

0.00

 

 

$

0.67

 

Effective Tax Rate

 

22.8

%

 

 

 

 

 

 

22.6

%

 

 

 

 

 

 

 

 

Government Operations Operating Income

$

85.6

 

 

$

—

 

 

$

—

 

 

$

85.6

 

Commercial Operations Operating Income

$

9.1

 

 

$

0.1

 

 

$

0.1

 

 

$

9.4

 

Unallocated Corporate Operating Income

$

(9.4

)

 

$

1.0

 

 

$

0.1

 

 

$

(8.3

)

EXHIBIT 1 (continued) 

RECONCILIATION OF CONSOLIDATED ADJUSTED EBITDA(1)(2)(3) (In millions) 

Three Months Ended September 30, 2024

 

GAAP

 

Restructuring &

Transformation

Costs

 

Acquisition-

related Costs

 

Non-GAAP

 

 

 

 

 

 

 

 

Net Income

$

69.6

 

 

$

4.7

 

$

2.4

 

$

76.7

 

Provision for Income Taxes

 

21.0

 

 

 

1.4

 

 

0.7

 

 

23.0

 

Other – net

 

(3.3

)

 

 

—

 

 

—

 

 

(3.3

)

Interest Expense

 

9.9

 

 

 

—

 

 

—

 

 

9.9

 

Interest Income

 

(0.7

)

 

 

—

 

 

—

 

 

(0.7

)

Depreciation & Amortization

 

21.3

 

 

 

—

 

 

—

 

 

21.3

 

Adjusted EBITDA

$

117.8

 

 

$

6.0

 

$

3.1

 

$

127.0

 

Three Months Ended September 30, 2023

 

GAAP

 

Restructuring

Costs

 

Acquisition-

related Costs

 

Non-GAAP

 

 

 

 

 

 

 

 

Net Income

$

60.4

 

 

$

1.0

 

$

0.2

 

$

61.5

 

Provision for Income Taxes

 

17.8

 

 

 

0.1

 

 

0.1

 

 

18.0

 

Other – net

 

(4.3

)

 

 

—

 

 

—

 

 

(4.3

)

Interest Expense

 

12.2

 

 

 

—

 

 

—

 

 

12.2

 

Interest Income

 

(0.6

)

 

 

—

 

 

—

 

 

(0.6

)

Depreciation & Amortization

 

19.8

 

 

 

—

 

 

—

 

 

19.8

 

Adjusted EBITDA

$

105.2

 

 

$

1.1

 

$

0.3

 

$

106.5

 

RECONCILIATION OF REPORTING SEGMENT ADJUSTED EBITDA(1)(2)(3) (In millions) 

Three Months Ended September 30, 2024

 

Operating Income

(GAAP)

 

Non-GAAP

Adjustments(4)

 

Depreciation &

Amortization

 

 

Adjusted

EBITDA

 

 

 

 

 

 

 

 

 

Government Operations

$

101.6

 

$

0.1

 

$

15.3

 

 

$

117.0

Commercial Operations

$

6.7

 

$

2.5

 

$

4.3

 

 

$

13.5

Three Months Ended September 30, 2023

 

Operating Income

(GAAP)

 

Non-GAAP

Adjustments(4)

 

Depreciation &

Amortization

 

 

Adjusted

EBITDA

 

 

 

 

 

 

 

 

 

Government Operations

$

85.6

 

$

—

 

$

13.4

 

 

$

99.0

Commercial Operations

$

9.1

 

$

0.3

 

$

4.6

 

 

$

13.9

EXHIBIT 1 (continued) 

RECONCILIATION OF CONSOLIDATED FREE CASH FLOW(1)(2)(3) (In millions) 

Three Months Ended September 30, 2024

 

 

Net Cash Provided By Operating Activities

$

32.6

 

Purchases of Property, Plant and Equipment

 

(40.3

)

Free Cash Flow

$

(7.7

)

Three Months Ended September 30, 2023

 

 

Net Cash Provided By Operating Activities

$

74.3

 

Purchases of Property, Plant and Equipment

 

(30.9

)

Free Cash Flow

$

43.4

 

 

(1)

Tables may not foot due to rounding.

(2)

BWXT is providing non-GAAP information regarding certain of its historical results and guidance on future earnings per share to supplement the results provided in accordance with GAAP and it should not be considered superior to, or as a substitute for, the comparable GAAP measures. BWXT believes the non-GAAP measures provide meaningful insight and transparency into the Company’s operational performance and provides these measures to investors to help facilitate comparisons of operating results with prior periods and to assist them in understanding BWXT's ongoing operations.

(3)

For Non-GAAP adjustment details, see reconciliation of non-GAAP operating income and earnings per share.

 

BWX TECHNOLOGIES, INC. CONDENSED CONSOLIDATED STATEMENTS OF INCOME 

 

 

Three Months Ended September 30,

 

Nine Months Ended September 30,

 

 

 

2024

 

 

 

2023

 

 

 

2024

 

 

 

2023

 

 

 

(Unaudited)

(In thousands, except share and per share amounts)

Revenues

 

$

671,956

 

 

$

589,989

 

 

$

1,957,387

 

 

$

1,770,794

 

Costs and Expenses:

 

 

 

 

 

 

 

 

Cost of operations

 

 

508,000

 

 

 

436,296

 

 

 

1,476,553

 

 

 

1,338,750

 

Research and development costs

 

 

2,081

 

 

 

1,156

 

 

 

4,842

 

 

 

5,955

 

Gains on asset disposals and impairments, net

 

 

—

 

 

 

—

 

 

 

(4

)

 

 

(15

)

Selling, general and administrative expenses

 

 

80,829

 

 

 

79,828

 

 

 

227,970

 

 

 

205,100

 

Total Costs and Expenses

 

 

590,910

 

 

 

517,280

 

 

 

1,709,361

 

 

 

1,549,790

 

Equity in Income of Investees

 

 

15,532

 

 

 

12,649

 

 

 

40,319

 

 

 

38,862

 

Operating Income

 

 

96,578

 

 

 

85,358

 

 

 

288,345

 

 

 

259,866

 

Other Income (Expense):

 

 

 

 

 

 

 

 

Interest income

 

 

663

 

 

 

643

 

 

 

2,049

 

 

 

1,623

 

Interest expense

 

 

(9,907

)

 

 

(12,175

)

 

 

(30,190

)

 

 

(35,200

)

Other – net

 

 

3,290

 

 

 

4,340

 

 

 

10,426

 

 

 

9,490

 

Total Other Income (Expense)

 

 

(5,954

)

 

 

(7,192

)

 

 

(17,715

)

 

 

(24,087

)

Income before Provision for Income Taxes

 

 

90,624

 

 

 

78,166

 

 

 

270,630

 

 

 

235,779

 

Provision for Income Taxes

 

 

20,983

 

 

 

17,814

 

 

 

59,410

 

 

 

55,769

 

Net Income

 

$

69,641

 

 

$

60,352

 

 

$

211,220

 

 

$

180,010

 

Net Income Attributable to Noncontrolling Interest

 

 

(158

)

 

 

(79

)

 

 

(297

)

 

 

(48

)

Net Income Attributable to BWX Technologies, Inc.

 

$

69,483

 

 

$

60,273

 

 

$

210,923

 

 

$

179,962

 

Earnings per Common Share:

 

 

 

 

 

 

 

 

Basic:

 

 

 

 

 

 

 

 

Net Income Attributable to BWX Technologies, Inc.

 

$

0.76

 

 

$

0.66

 

 

$

2.30

 

 

$

1.96

 

Diluted:

 

 

 

 

 

 

 

 

Net Income Attributable to BWX Technologies, Inc.

 

$

0.76

 

 

$

0.66

 

 

$

2.30

 

 

$

1.96

 

Shares used in the computation of earnings per share:

 

 

 

 

 

 

 

 

Basic

 

 

91,574,531

 

 

 

91,659,117

 

 

 

91,564,726

 

 

 

91,596,650

 

Diluted

 

 

91,886,710

 

 

 

91,895,480

 

 

 

91,849,724

 

 

 

91,833,450

 

BWX TECHNOLOGIES, INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS 

 

 

Nine Months Ended September 30,

 

 

 

2024

 

 

 

2023

 

 

 

(Unaudited) (In thousands)

CASH FLOWS FROM OPERATING ACTIVITIES:

 

 

 

 

Net Income

 

$

211,220

 

 

$

180,010

 

Adjustments to reconcile net income to net cash provided by operating activities:

 

 

 

 

Depreciation and amortization

 

 

63,429

 

 

 

58,205

 

Income of investees, net of dividends

 

 

(9,778

)

 

 

(4,854

)

Recognition of losses for pension and postretirement plans

 

 

2,494

 

 

 

2,490

 

Stock-based compensation expense

 

 

14,852

 

 

 

12,305

 

Other, net

 

 

(633

)

 

 

21

 

Changes in assets and liabilities, net of effects from acquisitions:

 

 

 

 

Accounts receivable

 

 

(30,238

)

 

 

(31,520

)

Accounts payable

 

 

48,306

 

 

 

24,874

 

Retainages

 

 

(37,114

)

 

 

(29,257

)

Contracts in progress and advance billings on contracts

 

 

(120,829

)

 

 

(38,217

)

Income taxes

 

 

15,654

 

 

 

(5,331

)

Accrued and other current liabilities

 

 

5,174

 

 

 

(10,231

)

Pension liabilities, accrued postretirement benefit obligations and employee benefits

 

 

(20,217

)

 

 

(10,874

)

Other, net

 

 

(10,772

)

 

 

(5,684

)

NET CASH PROVIDED BY OPERATING ACTIVITIES

 

 

131,548

 

 

 

141,937

 

CASH FLOWS FROM INVESTING ACTIVITIES:

 

 

 

 

Purchases of property, plant and equipment

 

 

(101,128

)

 

 

(100,498

)

Purchases of securities

 

 

—

 

 

 

(2,343

)

Sales and maturities of securities

 

 

—

 

 

 

5,996

 

Other, net

 

 

203

 

 

 

(8,142

)

NET CASH USED IN INVESTING ACTIVITIES

 

 

(100,925

)

 

 

(104,987

)

CASH FLOWS FROM FINANCING ACTIVITIES:

 

 

 

 

Borrowings of long-term debt

 

 

396,800

 

 

 

332,000

 

Repayments of long-term debt

 

 

(376,488

)

 

 

(281,688

)

Repurchases of common stock

 

 

(20,000

)

 

 

—

 

Dividends paid to common shareholders

 

 

(66,326

)

 

 

(63,870

)

Cash paid for shares withheld to satisfy employee taxes

 

 

(7,244

)

 

 

(7,505

)

Settlements of forward contracts, net

 

 

2,954

 

 

 

(2,030

)

Other, net

 

 

409

 

 

 

902

 

NET CASH USED IN FINANCING ACTIVITIES

 

 

(69,895

)

 

 

(22,191

)

EFFECTS OF EXCHANGE RATE CHANGES ON CASH

 

 

(379

)

 

 

414

 

TOTAL (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH AND CASH EQUIVALENTS

 

 

(39,651

)

 

 

15,173

 

CASH AND CASH EQUIVALENTS AND RESTRICTED CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD

 

 

81,615

 

 

 

40,990

 

CASH AND CASH EQUIVALENTS AND RESTRICTED CASH AND CASH EQUIVALENTS AT END OF PERIOD

 

$

41,964

 

 

$

56,163

 

SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:

 

 

 

 

Cash paid during the period for:

 

 

 

 

Interest

 

$

48,360

 

 

$

44,745

 

Income taxes (net of refunds)

 

$

43,547

 

 

$

59,947

 

SCHEDULE OF NON-CASH INVESTING ACTIVITY:

 

 

 

 

Accrued capital expenditures included in accounts payable

 

$

15,114

 

 

$

9,239

 

BWX TECHNOLOGIES, INC. CONDENSED CONSOLIDATED BALANCE SHEETS

ASSETS  

 

 

September 30,

2024

 

December 31,

2023

 

 

(Unaudited)

(In thousands)

Current Assets:

 

 

 

 

Cash and cash equivalents

 

$

35,522

 

$

75,766

Restricted cash and cash equivalents

 

 

2,962

 

 

2,858

Accounts receivable – trade, net

 

 

90,227

 

 

70,180

Accounts receivable – other

 

 

15,934

 

 

16,339

Retainages

 

 

92,295

 

 

55,181

Contracts in progress

 

 

661,248

 

 

533,155

Other current assets

 

 

84,761

 

 

64,322

Total Current Assets

 

 

982,949

 

 

817,801

Property, Plant and Equipment, Net

 

 

1,275,053

 

 

1,228,520

Investments

 

 

10,659

 

 

9,496

Goodwill

 

 

295,134

 

 

297,020

Deferred Income Taxes

 

 

12,118

 

 

16,332

Investments in Unconsolidated Affiliates

 

 

98,386

 

 

88,608

Intangible Assets

 

 

175,200

 

 

185,510

Other Assets

 

 

97,961

 

 

103,778

TOTAL

 

$

2,947,460

 

$

2,747,065

 

 

BWX TECHNOLOGIES, INC. CONDENSED CONSOLIDATED BALANCE SHEETS 

LIABILITIES AND STOCKHOLDERS' EQUITY 

 

 

September 30,

2024

 

December 31,

2023

 

 

(Unaudited)

(In thousands, except share

and per share amounts)

Current Liabilities:

 

 

 

 

Current portion of long-term debt

 

$

10,938

 

 

$

6,250

 

Accounts payable

 

 

172,206

 

 

 

126,651

 

Accrued employee benefits

 

 

53,438

 

 

 

64,544

 

Accrued liabilities – other

 

 

81,321

 

 

 

70,210

 

Advance billings on contracts

 

 

119,563

 

 

 

107,391

 

Total Current Liabilities

 

 

437,466

 

 

 

375,046

 

Long-Term Debt

 

 

1,220,583

 

 

 

1,203,422

 

Accumulated Postretirement Benefit Obligation

 

 

17,797

 

 

 

18,466

 

Environmental Liabilities

 

 

92,721

 

 

 

90,575

 

Pension Liability

 

 

74,347

 

 

 

82,786

 

Other Liabilities

 

 

45,875

 

 

 

43,469

 

Commitments and Contingencies

 

 

 

 

Stockholders' Equity:

 

 

 

 

Common stock, par value $0.01 per share, authorized 325,000,000 shares; issued 128,307,682 and 128,065,521 shares at September 30, 2024 and December 31, 2023, respectively

 

 

1,283

 

 

 

1,281

 

Preferred stock, par value $0.01 per share, authorized 75,000,000 shares; No shares issued

 

 

—

 

 

 

—

 

Capital in excess of par value

 

 

222,062

 

 

 

206,478

 

Retained earnings

 

 

2,238,437

 

 

 

2,093,917

 

Treasury stock at cost, 36,867,475 and 36,537,695 shares at September 30, 2024 and December 31, 2023, respectively

 

 

(1,388,106

)

 

 

(1,360,862

)

Accumulated other comprehensive income (loss)

 

 

(14,927

)

 

 

(7,463

)

Stockholders' Equity – BWX Technologies, Inc.

 

 

1,058,749

 

 

 

933,351

 

Noncontrolling interest

 

 

(78

)

 

 

(50

)

Total Stockholders' Equity

 

 

1,058,671

 

 

 

933,301

 

TOTAL

 

$

2,947,460

 

 

$

2,747,065

 

BWX TECHNOLOGIES, INC. BUSINESS SEGMENT INFORMATION 

 

 

Three Months Ended September 30,

 

Nine Months Ended September 30,

 

 

 

2024

 

 

 

2023

 

 

 

2024

 

 

 

2023

 

 

 

(Unaudited)

(In thousands)

REVENUES:

 

 

 

 

 

 

 

 

Government Operations

 

$

560,073

 

 

$

477,855

 

 

$

1,588,040

 

 

$

1,429,708

 

Commercial Operations

 

 

113,112

 

 

 

112,359

 

 

 

371,641

 

 

 

342,203

 

Eliminations

 

 

(1,229

)

 

 

(225

)

 

 

(2,294

)

 

 

(1,117

)

TOTAL

 

$

671,956

 

 

$

589,989

 

 

$

1,957,387

 

 

$

1,770,794

 

 

 

 

 

 

 

 

 

 

SEGMENT INCOME:

 

 

 

 

 

 

 

 

Government Operations

 

$

101,609

 

 

$

85,632

 

 

$

279,815

 

 

$

258,400

 

Commercial Operations

 

 

6,728

 

 

 

9,083

 

 

 

31,947

 

 

 

21,613

 

SUBTOTAL

 

$

108,337

 

 

$

94,715

 

 

$

311,762

 

 

$

280,013

 

Unallocated Corporate

 

 

(11,759

)

 

 

(9,357

)

 

 

(23,417

)

 

 

(20,147

)

TOTAL

 

$

96,578

 

 

$

85,358

 

 

$

288,345

 

 

$

259,866

 

 

 

 

 

 

 

 

 

 

DEPRECIATION AND AMORTIZATION:

 

 

 

 

 

 

 

 

Government Operations

 

$

15,284

 

 

$

13,417

 

 

$

44,948

 

 

$

39,353

 

Commercial Operations

 

 

4,313

 

 

 

4,557

 

 

 

13,154

 

 

 

13,278

 

Corporate

 

 

1,672

 

 

 

1,827

 

 

 

5,327

 

 

 

5,574

 

TOTAL

 

$

21,269

 

 

$

19,801

 

 

$

63,429

 

 

$

58,205

 

 

 

 

 

 

 

 

 

 

CAPITAL EXPENDITURES:

 

 

 

 

 

 

 

 

Government Operations

 

$

22,429

 

 

$

19,624

 

 

$

53,013

 

 

$

58,115

 

Commercial Operations

 

 

14,073

 

 

 

10,861

 

 

 

43,153

 

 

 

40,589

 

Corporate

 

 

3,799

 

 

 

431

 

 

 

4,962

 

 

 

1,794

 

TOTAL

 

$

40,301

 

 

$

30,916

 

 

$

101,128

 

 

$

100,498

 

 

 

 

 

 

 

 

 

 

BACKLOG:

 

 

 

 

 

 

 

 

Government Operations

 

$

2,745,333

 

 

$

3,258,877

 

 

$

2,745,333

 

 

$

3,258,877

 

Commercial Operations

 

 

635,356

 

 

 

721,967

 

 

 

635,356

 

 

 

721,967

 

TOTAL

 

$

3,380,689

 

 

$

3,980,844

 

 

$

3,380,689

 

 

$

3,980,844

 

 

 

 

 

 

 

 

 

 

BOOKINGS:

 

 

 

 

 

 

 

 

Government Operations

 

$

440,146

 

 

$

330,801

 

 

$

1,116,580

 

 

$

1,172,206

 

Commercial Operations

 

 

78,252

 

 

 

125,061

 

 

 

223,850

 

 

 

435,122

 

TOTAL

 

$

518,398

 

 

$

455,862

 

 

$

1,340,430

 

 

$

1,607,328

 

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20241104415125/en/

Investor Contact: Chase Jacobson Vice President, Investor Relations 980-365-4300 [e-mail]

Media Contact: Suzy Sterner Senior Vice President and Chief Corporate Affairs Officer 202-641-7152 [e-mail]