Curtiss-Wright Corporation (CW) 2026 Q1 法說會逐字稿

I would now like to turn the call over to Jim Ryan, Vice President of Investor Relations.

我現在想把電話會議交給投資人關係副總裁 Jim Ryan。

Thank you, Leo. Good morning, everyone. Welcome to Curtiss-Wright's first quarter 2026 earnings conference call. Joining me on the call today are Chair and Chief Executive Officer, Lynn Bamford, and Executive Vice President and Chief Financial Officer, Chris Farkas. A copy of today's financial presentation and the press release are available for download through the investor relations section of our website at curtisswright.com. A replay of this webcast will also be available on the website. Our discussion today includes certain projections and forward-looking statements that are based on management's current expectations and are not guarantees of future performance. We detail those risks and uncertainties associated with our forward-looking statements in our public filings with the SEC. As a reminder, the company's results and guidance include an adjusted non-GAAP view that excludes certain costs in order to provide greater transparency into Curtiss-Wright's ongoing operating and financial performance.

謝謝你，Leo。各位早安。歡迎參加 Curtiss-Wright 2026 年第一季財報電話會議。今天與我一同出席的有董事長兼執行長 Lynn Bamford，以及執行副總裁兼財務長 Chris Farkas。今日的財務簡報與新聞稿可透過我們網站 curtisswright.com 的投資人關係專區下載。本次網路直播的重播也將於網站提供。我們今天的討論包含若干預測與前瞻性陳述，係基於管理階層目前的預期，並不保證未來績效。我們在向 SEC 提交的公開文件中，詳細說明與前瞻性陳述相關的風險與不確定性。提醒各位，公司業績與指引包含經調整的非 GAAP 觀點，排除若干成本，以便更透明地呈現 Curtiss-Wright 持續的營運與財務表現。

GAAP to non-GAAP reconciliations are available in the earnings release and on our website. I'd like to turn the call over to Lynn to get things started.

GAAP 與非 GAAP 的調節表可於財報新聞稿及我們網站上取得。接下來我想把電話會議交給 Lynn 開場。

Thank you, Jim. Good morning, everyone. We had a highly productive start to 2026. We delivered a strong first quarter performance that exceeded our expectations as we demonstrated exceptional operating results reflecting higher growth in revenue and operating income across all three segments. We continue to compound sustained profitable growth, I'm pleased with the team's steadfast focus on innovation, where we are driving incremental investments in research and development to support a number of critical pursuits across our end markets. These investments, along with the continued growth in our order book, better position us to accelerate the pace of long-term organic growth. We also continue to have strong alignment with leading industry growth sectors, which has been further reinforced by improving underlying demand and industry fundamentals across our A&D, commercial nuclear, and industrial markets. The momentum continues to build across Curtiss-Wright's portfolio.

謝謝你，Jim。各位早安。我們在 2026 年有一個高度富有成效的開局。我們交出強勁的第一季表現，超出我們的預期；三大事業部門的營收與營業利益均呈現更高成長，展現卓越的營運成果。我們持續累積可持續的獲利成長；我很高興團隊堅定聚焦於創新，我們正增加研發的增量投資，以支持終端市場中多項關鍵布局。這些投資，加上訂單量持續成長，使我們更能加速長期內生成長的步伐。我們也持續與領先的產業成長領域保持高度一致，而這一點在航太與國防（A&D）、商用核能與工業市場的基礎需求與產業基本面改善下，進一步獲得強化。Curtiss-Wright 產品組合的動能持續累積。

Based on the strong start, we raised our full year 2026 outlook, which provides us with confidence that we will exceed our overall Investor Day targets and continue to deliver strong results for our shareholders. With that, I'll turn to today's presentation. Starting with the highlights of our first quarter 2026 results, sales of $914 million grew 13% year-over-year, while operating income once again exceeded our sales growth, resulting in 100 basis points of overall operating margin expansion. Of note, our results reflected higher year-over-year sales across all our major end markets. Diluted earnings per share grew 23% year-over-year, slightly ahead of our expectations and primarily driven by our strong growth in A&D sales.

基於強勁的開局，我們上調了 2026 全年展望，這讓我們更有信心將超越投資人日的整體目標，並持續為股東交出強勁成果。接下來進入今天的簡報。先看 2026 年第一季的重點：銷售額 9.14 億美元，年增 13%；營業利益再次超越銷售成長，帶動整體營業利益率擴張 100 個基點。值得注意的是，我們在所有主要終端市場的銷售額均較去年同期成長。稀釋後每股盈餘年增 23%，略優於我們的預期，主要由航太與國防（A&D）銷售的強勁成長所帶動。

Regarding our order book, new orders increased 16%, reflecting a 1.3x book-to-bill ratio driven by mid-teens growth in each of our three segments. I'll cover some of the key highlights. Starting in Defense, where we're pleased to see the overall improved pace of order activity, which is a testament to Curtiss-Wright's long-standing alignment to US and allied military priorities. Digging deeper and starting with Defense Electronics segment, the team delivered the best performance since the third quarter of 2024 and is making great strides to move past the delays caused by the prior continuing resolution and 2025 government shutdown. Notable wins during the quarter range from the mission computer upgrades supporting the C-17 cockpit modernization to various awards supporting next-generation helicopter platforms and programs, along with increased activity for some of our short-cycle businesses, including tactical communications.

就訂單而言，新訂單成長 16%，反映出 1.3 倍的接單出貨比（book-to-bill），三大事業部門皆呈現約中十位數（mid-teens）的成長。我將說明幾項重點。先從國防領域開始，我們很高興看到整體接單活動的步調改善，這證明 Curtiss-Wright 長期與美國及盟國軍事優先事項保持一致。進一步來看，從國防電子事業部門開始，團隊交出自 2024 年第三季以來最佳表現，並在克服先前持續決議（continuing resolution）與 2025 年政府停擺所造成的延遲方面取得重大進展。本季的重要得標涵蓋：支援 C-17 駕駛艙現代化的任務電腦升級、支援下一代直升機平台與計畫的多項合約，以及我們部分短週期業務（包括戰術通訊）活動增加。

Overall, our pipeline of opportunities for these businesses remains strong. Our programs remain in good standing, and the improved demand to begin the year provides us with increased confidence to deliver on our full year objectives. In the Naval & Power segment, which delivered a 1.5x book-to-bill ratio, we experienced continued strong demand for nuclear propulsion equipment supporting the US Navy's current and next-generation submarine programs. We also continued to benefit from increased demand for our commercial nuclear aftermarket products. Lastly, within the A&I segment, I would like to highlight the improvement in our order book for industrial vehicles, which has now delivered 2 strong quarters in a row and is contributing to increased optimism in our general industrial market relative to our 2026 guide.

整體而言，這些業務的機會管線仍然強勁。我們的專案維持良好狀態，而年初需求的改善也讓我們更有信心達成全年目標。在海軍與動力（Naval & Power）事業部門方面，本季接單出貨比達 1.5 倍；我們持續看到對核子推進設備的強勁需求，以支援美國海軍現役與下一代潛艦計畫。我們也持續受惠於商用核能售後市場產品需求的增加。最後，在航太與工業（A&I）事業部門中，我想特別指出工業車輛訂單的改善，已連續兩季表現強勁，並相較於我們 2026 年指引，提升了對一般工業市場的樂觀程度。

Overall, based on the healthy growth in Curtiss-Wright's order book, we reached a new record of nearly $4.3 billion, which provides us with great visibility and continued confidence in our future top-line growth. Regarding our full year 2026 guidance, we have raised our overall outlook for sales, operating margin, earnings per share, and free cash flow, and remain well positioned to deliver strong operational performance this year. Of note, we now expect overall sales to increase 7%-8%, driven by improved outlooks in our defense and commercial nuclear markets, and further supported by the overall strength of our order book.

整體來看，受惠於 Curtiss-Wright 訂單量的健康成長，我們的訂單簿創下接近 43 億美元的新紀錄，為未來營收成長提供良好能見度，並讓我們持續充滿信心。就 2026 全年指引而言，我們上調了銷售、營業利益率、每股盈餘與自由現金流的整體展望，並仍具備在今年交出強勁營運表現的良好條件。值得注意的是，我們目前預期整體銷售將成長 7% 至 8%，主要由國防與商用核能市場展望改善所帶動，並進一步受到訂單簿整體強勁的支撐。

We continue to expect that operating income growth will outpace sales growth and now anticipate an increase of 40 to 60 basis points in operating margin in pursuit of a record 19%-19.2%. As a result, diluted EPS is now expected to grow 13%-16%. In addition, we raised our free cash flow guide to reflect higher confidence in the full year outlook, and we continue to expect strong conversion in line with our long-term targets. Overall, we are pleased with the strong growth in revenues and profitability to begin the year, and we're strategically positioned to deliver another outstanding performance in 2026. Now, I would like to turn the call over to Chris to provide a more in-depth review of our financials.

我們仍預期營業利益成長將快於銷售成長，並預估營業利益率將提升 40 至 60 個基點，朝創紀錄的 19% 至 19.2% 邁進。因此，稀釋後每股盈餘目前預期將成長 13% 至 16%。此外，我們上調自由現金流指引，以反映對全年展望更高的信心；我們仍預期將維持與長期目標一致的強勁轉換率。整體而言，我們對年初營收與獲利能力的強勁成長感到滿意，且我們在策略上已就位，可於 2026 年再度交出傑出表現。接下來我想把電話會議交給 Chris，請他更深入檢視我們的財務表現。

Thank you, Lynn. Turning to slide four, I'll begin by reviewing the key drivers of our 1st quarter 2026 performance by segment. Starting in aerospace and industrial, overall sales increased 12%, which exceeded our expectations. Beginning with the segment's defense markets, which drove the outperformance, our results reflected higher sales of actuation and sensors equipment supporting various US and European fighter jet programs, as well as increased demand for EM actuation equipment supporting ground-based mobile launcher systems. Within the segment's commercial aerospace market, we experienced solid OEM sales growth supporting increased production on both narrow body and wide body platforms. In the general industrial market, the steady improvements in our order book, primarily attributed to increased demand for industrial vehicle products, contributed to solid mid-single-digit growth in sales.

謝謝你，Lynn。請看投影片四，我將先按事業部門回顧 2026 年第一季表現的主要驅動因素。先從航太與工業（A&I）事業部門開始，整體銷售成長 12%，超出我們的預期。就該部門的國防市場而言，這是超預期的主要推動力；我們的結果反映出支援多項美國與歐洲戰機計畫的致動與感測器設備銷售增加，以及支援地面機動發射系統的電磁（EM）致動設備需求提升。在該部門的商用航太市場方面，我們的 OEM 銷售成長穩健，受惠於窄體與寬體機型平台產量提升。在一般工業市場方面，我們訂單簿的穩步改善（主要歸因於工業車輛產品需求增加）帶動銷售達到穩健的中個位數成長。

Regarding the segment's first quarter operating performance, operating income and margin were ahead of expectations, growing 24% and 150 basis points respectively, driven by favorable absorption on higher revenues, restructuring savings and favorable mix. In the Defense Electronics segment, overall sales increased 5%, which was slightly ahead of our expectations. Within the segment's aerospace defense market, we experienced higher domestic sales of embedded computing equipment supporting various aircraft modernization programs, as well as higher direct foreign military sales of embedded computing and flight data recorders serving NATO and allied countries. Ground defense market sales were flat as increased Turret Drive Stabilization Systems supporting international programs were offset by lower sales of tactical communications equipment.

就該部門第一季的營運表現而言，營業利益與營業利益率均優於預期，分別成長 24% 與提升 150 個基點，主要受惠於較高營收帶來的有利吸收（absorption）、重整節省，以及有利的產品組合。在國防電子事業部門方面，整體銷售成長 5%，略優於我們的預期。在該部門的航太國防市場中，我們看到支援多項飛機現代化計畫的嵌入式運算設備國內銷售增加，以及面向北約與盟國的嵌入式運算與飛行資料記錄器之對外軍售（direct foreign military sales）增加。地面國防市場銷售持平，因支援國際計畫的砲塔驅動穩定系統（Turret Drive Stabilization Systems）增加，被戰術通訊設備銷售下降所抵銷。

Regarding the segment's operating performance, we delivered a strong first quarter operating margin of 28.1%, up 60 basis points year-over-year, reflecting favorable absorption and mix on higher revenues. Moving to the Naval & Power segment, sales growth of 21% exceeded our expectations. This was due to stronger than expected revenue growth in Naval Defense associated with the accelerated ramp-up in production on submarine programs. We also experienced a solid uplift in aftermarket revenues supporting naval shipyards through fleet services work and overhaul programs. Within the segment's Aerospace Defense market, our results reflected strong growth in revenues for arresting systems to international customers. In the Power and Process market, overall, we experienced high teens year-over-year growth in revenues.

就該部門的營運表現而言，我們第一季交出 28.1% 的強勁營業利益率，年增 60 個基點，反映較高營收下有利的吸收與產品組合。接著看海軍與動力（Naval & Power）事業部門，銷售成長 21%，超出我們的預期。這主要是因海軍國防業務的營收成長優於預期，與潛艦計畫生產加速爬坡相關。我們也看到支援海軍造船廠的艦隊服務工作與大修計畫，帶動售後市場營收明顯提升。在該部門的航太國防市場中，我們的結果反映出對國際客戶的攔阻系統（arresting systems）營收強勁成長。在動力與製程（Power and Process）市場方面，整體而言，我們的營收年增達高十位數（high teens）。

This was mainly driven by strong growth in the commercial nuclear market, supporting maintenance and life extensions at operating plants across North America, in addition to increased revenues supporting advanced small modular reactors. Regarding the segment's operating performance, operating income grew 33%, generating 140 basis points in operating margin expansion, principally reflecting favorable absorption on the better-than-expected growth in sales as well as favorable mix. To sum up Curtiss-Wright's first quarter results, we generated a strong operating margin of 17.6%, driving 100 basis points in operating margin expansion on the better-than-expected top-line performance. Turning to our full year 2026 guidance, I'll begin on slide five with our end market sales outlook, where we now anticipate total sales to grow 7%-8%.

這主要是由商用核能市場的強勁成長所帶動，支持北美各地運轉中電廠的維護與延壽，此外也因支援先進小型模組化反應爐而帶來收入增加。就該事業部的營運表現而言，營業利益成長33%，帶動營業利益率擴張140個基點，主要反映銷售成長優於預期所帶來的有利吸收，以及有利的產品組合。總結 Curtiss-Wright 第一季業績，我們達成17.6%的強勁營業利益率，受惠於營收表現優於預期，推動營業利益率擴張100個基點。接著談到我們2026全年指引，我將從投影片五的終端市場銷售展望開始，我們目前預期總銷售額將成長7%-8%。

Starting in aerospace defense, we now expect full year sales growth of 11%-13%, benefiting from increased sales of actuation and sensors equipment supporting domestic and international fighter jet programs, as well as increased demand for Defense Electronics. Within ground defense, while we were pleased to see the overall improvement in Defense Electronics order book, we continue to take a conservative approach in tactical communications resulting from the FY 2026 budget delays. As a result, our outlook in this market remains unchanged. Aside from those timing delays, we continue to expect increased EM actuation sales supporting the US Army's IFPC program and increased demand for Turret Drive Stabilization Systems supporting international ground vehicle programs through our relationship with Rheinmetall.

從航太國防開始，我們目前預期全年銷售成長11%-13%，受惠於支援國內與國際戰鬥機計畫的致動與感測器設備銷售增加，以及國防電子需求提升。在地面國防方面，儘管我們樂見國防電子訂單簿整體改善，但由於2026會計年度預算延遲，我們在戰術通訊方面仍採取保守作法。因此，我們對該市場的展望維持不變。除上述時程延遲外，我們仍預期支援美國陸軍 IFPC 計畫的 EM 致動銷售增加，並透過與 Rheinmetall 的合作關係，帶動支援國際地面車輛計畫的砲塔驅動穩定系統需求提升。

In naval defense, following the strong first quarter results, we now expect full year sales growth of 6%-8%, mainly due to expectations for higher production revenue on submarine programs while we continue to project solid growth on the CVN-81 aircraft carrier program. In addition, we anticipate solid growth in aircraft handling equipment revenues supporting various international programs. Looking more broadly across all three defense markets, we expect direct foreign military sales to grow 10% this year, slightly ahead of our prior expectations, driven by the alignment of our technologies to global defense spending priorities. Moving to commercial aerospace, our outlook for 10%-12% sales growth remains unchanged and continues to reflect our strong backlog supporting the anticipated ramp-up in OEM production across the major narrow body and wide body platforms.

在海軍國防方面，延續第一季強勁表現，我們目前預期全年銷售成長6%-8%，主要來自對潛艦計畫較高產量收入的預期，同時我們仍預估 CVN-81 航空母艦計畫將維持穩健成長。此外，我們預期支援多項國際計畫的飛機甲板處理設備收入也將有穩健成長。更廣泛地看三大國防市場，我們預期今年直接對外軍售將成長10%，略高於先前預期，係由於我們的技術與全球國防支出優先事項一致所帶動。轉向商用航太，我們對10%-12%銷售成長的展望維持不變，並持續反映我們強勁的在手訂單，支撐主要窄體與廣體平台 OEM 產量如預期爬坡。

Wrapping up our aerospace and defense outlook, we now expect total sales in these markets to increase 6%-8%. Moving to our Commercial Markets and Power and Process, we now expect full year sales to increase 13%-15%, mainly due to the continued underlying strength of our order book within Commercial Nuclear. We now expect to deliver mid-to-high teens growth in sales this year. Shifting to the Process Market, we continue to project strong growth in sales, which we anticipate will more prominently benefit our second half results based on the higher sales of MRO valves and instrumentation solutions. Lastly, in General Industrial, we continue to take a cautious approach in this market and anticipate sales to be flat in 2026.

總結航太與國防展望，我們目前預期這些市場的總銷售額將增加6%-8%。轉向商用市場以及電力與製程，我們目前預期全年銷售將增加13%-15%，主要由商用核能領域訂單簿持續強勁的基本面所帶動。我們目前預期今年銷售將達到中到高十位數（mid-to-high teens）的成長。轉向製程市場，我們仍預估銷售將強勁成長，且我們預期在下半年將更明顯受惠於 MRO 閥門與儀表解決方案較高的銷售。最後，在一般工業方面，我們仍對該市場採取審慎態度，並預期2026年銷售持平。

We're encouraged by the more recent improvements in the order book and remain cautiously optimistic that we'll see a return to growth as we approach 2027. Wrapping up our total commercial markets, we now expect total sales in these markets to increase 8%-10%. Moving on to our updated full year 2026 financial outlook by segment on slide six. I'll begin in Aerospace and Industrial, where we now expect sales to grow 6%-8%, driven by the strong first quarter performance in the segment's defense markets, continued growth in the order book, and the anticipated ramp up in commercial aerospace OEM production. Regarding the segment's profitability, operating income is now projected to grow 13%-15% and drive operating margin expansion of 100-120 basis points ranging from 18.4%-18.6%.

我們對近期訂單簿的改善感到鼓舞，並在審慎樂觀下認為，隨著接近2027年，我們將看到重回成長。總結整體商用市場，我們目前預期這些市場的總銷售額將增加8%-10%。接著看投影片六，按事業部更新我們2026全年財務展望。我先從航太與工業（Aerospace and Industrial）開始，我們目前預期銷售成長6%-8%，動能來自該事業部國防市場第一季的強勁表現、訂單簿持續成長，以及商用航太 OEM 產量如預期爬坡。就該事業部獲利能力而言，目前預估營業利益將成長13%-15%，並帶動營業利益率擴張100-120個基點，區間為18.4%-18.6%。

In addition to the improved top-line guide, this outlook reflects the ongoing benefits of our operational excellence and restructuring initiatives more than offsetting higher year-over-year investments in development programs. Shifting to Defense Electronics, where we continue to expect sales to grow 4%-6%, principally driven by strong growth in aerospace defense and partially offset by the timing of our orders and revenues in ground defense. Regarding the segment's profitability, we continue to expect operating income growth of 4%-6%, and we remain on track to deliver record levels of operating margin at 27.3%-27.5%. In Naval & Power, based on the continued strength of our orders and backlog in both our naval defense and commercial nuclear markets, we now expect sales to grow 9%-11%.

除營收指引上修外，此展望亦反映我們營運卓越與重整計畫的持續效益，足以抵銷開發計畫投資較去年增加的影響。轉向國防電子（Defense Electronics），我們仍預期銷售成長4%-6%，主要由航太國防的強勁成長所帶動，但部分被地面國防訂單與收入時點所抵銷。就該事業部獲利能力而言，我們仍預期營業利益成長4%-6%，並維持達成27.3%-27.5%創紀錄營業利益率的進度。在海軍與電力（Naval & Power）方面，基於海軍國防與商用核能市場訂單與在手訂單（backlog）持續強勁，我們目前預期銷售成長9%-11%。

Regarding the segment's profitability, we now expect operating income growth of 13%-15% and operating margin expansion of 40 to 60 basis points, with this uplift mainly driven by the stronger revenue outlook. As a reminder, this outlook reflects the savings generated by our restructuring actions as well as continued investments in both internal and customer-funded development programs. To summarize our 2026 outlook, overall, we now anticipate total Curtiss-Wright operating income to grow 9%-12% and expect operating margin to range from 19%-19.2%, up 40 to 60 basis points as we lifted the bottom end of the range to reflect our increased confidence.

就該事業部獲利能力而言，我們目前預期營業利益成長13%-15%，營業利益率擴張40至60個基點，此提升主要由更強的營收展望所帶動。提醒一下，此展望反映我們重整行動所帶來的節省，以及在內部與客戶出資的開發計畫上持續投資。總結我們2026年展望，整體而言，我們目前預期 Curtiss-Wright 總營業利益將成長9%-12%，並預期營業利益率介於19%-19.2%，上升40至60個基點；我們上調區間下緣以反映信心提升。

Next, to aid in your quarterly modeling of sales and operating margin, we expect overall second quarter 2026 sales to grow by mid-single digits, while also targeting high single digits plus growth in operating income, both relative to the second quarter of 2025. Of note, within our A&I and Naval & Power segments, we anticipate strong year-over-year growth in sales resulting in improved second quarter profitability, while we expect both sales and profitability within the Defense Electronics segment to be in line with last year's Q2 results. In summary, at the overall Curtiss-Wright level, we expect modest year-over-year improvement in profitability to result in a high teen second quarter operating margin. We expect this to be followed by strong second half operating margin expansion, keeping us on track to deliver record results this year.

接下來，為協助各位進行季度銷售與營業利益率的模型推估，我們預期2026年第二季整體銷售將以中個位數成長，同時營業利益目標為高個位數以上的成長，兩者皆相較於2025年第二季。值得注意的是，在 A&I 與 Naval & Power 事業部內，我們預期銷售將呈現強勁的年增，進而帶動第二季獲利能力改善；而在國防電子事業部，我們預期銷售與獲利能力將與去年第二季結果大致一致。總結而言，在 Curtiss-Wright 整體層級，我們預期獲利能力將較去年小幅改善，使第二季營業利益率達到高十位數（high teen）。隨後我們預期下半年營業利益率將強勁擴張，使我們維持在今年交出創紀錄成果的軌道上。

Continuing with our financial outlook on slide seven and starting with our EPS guidance, building upon our strong first quarter performance, we now expect full year 2026 diluted EPS to range from $14.90-$15.30, up 13%-16%, reflecting improved sales and profitability within our A&I and Naval & Power segments. To aid in your quarterly EPS modeling, we expect second quarter 2026 EPS to grow by low double digits relative to the second quarter of 2025. We then expect modest sequential EPS growth over the remainder of the year, with the fourth quarter EPS being our strongest. Lastly, turning to free cash flow.

延續投影片七的財務展望，先從每股盈餘（EPS）指引開始，在第一季強勁表現的基礎上，我們目前預期2026全年稀釋後 EPS 將介於14.90-15.30美元，成長13%-16%，反映 A&I 與 Naval & Power 事業部銷售與獲利能力改善。為協助各位進行季度 EPS 模型推估，我們預期2026年第二季 EPS 將較2025年第二季成長低雙位數。之後我們預期今年剩餘期間 EPS 將呈現溫和的季增，其中第四季 EPS 將是全年最強。最後，轉向自由現金流。

Overall, we were pleased with the strong start to the year. That provided us with increased confidence to raise our full-year free cash flow projections to a new range and record of $580 million-$600 million, up 5%-8% over 2025. This outlook continues to reflect our expectations for strong growth in earnings and a record level of working capital below 18%, while overcoming a nearly 30% year-over-year increase in growth investments through capital expenditures. We are confidently executing while continuing to deliver a free cash flow conversion rate of approximately 105% again this year. Now I'd like to turn the call back over to Lynn.

整體而言，我們對今年強勁的開局感到滿意。這也讓我們更有信心將全年自由現金流預估上調至新的區間與紀錄：5.8億至6.0億美元，較2025年成長5%-8%。此展望持續反映我們對獲利強勁成長的預期，以及營運資金占比低於18%的創紀錄水準，同時克服資本支出帶動的成長投資年增近30%。我們正有信心地執行，並在今年再次維持約105%的自由現金流轉換率。現在我想把電話交回給 Lynn。

Thank you, Chris. Turning to slide eight. I would like to conclude today's prepared remarks by highlighting how we are accelerating momentum across Curtiss-Wright's portfolio through our strategic initiatives and our alignment with industry growth drivers, positioning the company for long-term financial success. As we have discussed today, our strong execution to begin the year, combined with our growing order book and strength of our backlog, reinforces our ability to deliver record financial results across our major metrics. This outlook is underpinned by increased sales in the majority of our end markets, while we're also targeting a record level of profitability with overall operating margin at or above 19%. The team is focused on driving margin expansion through an unwavering commitment to operational and commercial excellence while continuing to accelerate investments in R&D and infrastructure to support future organic growth.

謝謝你，Chris。請看投影片八。我想以強調我們如何透過策略性舉措，以及與產業成長驅動因素的對齊，加速 Curtiss-Wright 產品組合的動能，並使公司具備長期財務成功的定位，來結束今天的預先準備發言。如同我們今天所討論的，我們年初以來的強勁執行力，加上訂單簿成長與在手訂單（backlog）的強度，進一步強化我們在主要指標上交出創紀錄財務成果的能力。此展望以多數終端市場銷售增加為支撐，同時我們也以整體營業利益率達到或高於19%為目標，力拚創紀錄的獲利水準。團隊專注於透過對營運與商業卓越的堅定承諾來推動利益率擴張，同時持續加速對研發與基礎設施的投資，以支援未來的內生成長。

We continue to be successful under our operational growth platform as we sustain Curtiss-Wright's stature as a top quartile margin performer relative to our peers. We are also compounding earnings at a mid-teens pace over time by pairing that focused operational execution with our commitment to a balanced capital allocation strategy. Curtiss-Wright remains strategically aligned with many favorable secular growth trends across our markets. Starting in defense, Curtiss-Wright is firmly anchored across the most critical current and next-generation platforms and programs to be funded within the US Department of Defense budget. Our technologies are trusted on over 400 platforms and 3,000 programs worldwide.

我們持續在營運成長平台下取得成功，並維持 Curtiss-Wright 相較同業為前四分位數的高毛利率表現。我們也透過將聚焦的營運執行與對均衡資本配置策略的承諾相結合，長期以中十位數的速度複利成長獲利。Curtiss-Wright 在各市場中，仍與多項有利的長期結構性成長趨勢保持策略一致。以國防為例，Curtiss-Wright 穩固地佈局於美國國防部預算中將獲資助的最關鍵現役與次世代平台與計畫。我們的技術在全球超過 400 個平台與 3,000 個計畫上受到信賴。

Building off of a strong and funded base of approximately $1 trillion in the FY 2026 NDAA, we're pleased to see the upsized levels to a historic level of $1.5 trillion issued in the President's budget request this past month. In naval defense, we remained aligned with a strong drive for accelerated production across the US Navy's major platforms as well as investments in the next-generation SSN(X) submarine. Similarly, within our aerospace and ground defense businesses, we maintain strong alignment to the DoD's top strategic priorities, including tactical aircraft modernization, next-gen air superiority, radar and strategic missile defense, and Golden Dome, just to name a few. All of these areas have received increased requests for funding in the FY 2027 budget.

在 FY 2026 NDAA 約 1 兆美元、且已具資金支持的強勁基礎之上，我們很高興看到上月總統預算請求將規模上調至歷史性的 1.5 兆美元。在海軍國防方面，我們仍與美國海軍主要平台加速生產的強勁推動力保持一致，同時也對次世代 SSN(X) 潛艦進行投資。同樣地，在我們的航太與地面國防業務中，我們持續與國防部（DoD）的最高策略優先事項高度一致，包括戰術飛機現代化、次世代制空、雷達與戰略飛彈防禦，以及「Golden Dome」等（僅舉數例）。上述領域在 FY 2027 預算中皆獲得更高的資金申請。

Equally important, we are making focused investments in R&D to further advance our technology and ensure we maintain strong positions across our entire defense portfolio. Our NATO allies continue to strengthen their operational readiness by targeting record levels of defense spending. We continue to solidify our positions with technologies such as Turret Drive Stabilization System, embedded computing and tactical communications, and both ground and naval arresting systems. Turning to commercial nuclear, Curtiss-Wright's extensive portfolio of aftermarket technologies support the continued performance, safety and modernization of operating reactors worldwide, where we have content on every reactor across North America and South Korea. We remain aligned with plant operators in their incremental investments in plant extensions, power upgrades, and modernization. In the US, we have seen an increased pace in number of plants receiving NRC approval for subsequent license renewals.

同樣重要的是，我們正聚焦投入研發（R&D），以進一步推進技術並確保在整體國防產品組合中維持強勢地位。我們的北約盟國持續以創紀錄的國防支出為目標，強化其作戰整備。我們持續鞏固在砲塔驅動穩定系統（Turret Drive Stabilization System）、嵌入式運算與戰術通訊，以及地面與海軍攔阻系統等技術上的地位。轉向商用核能，Curtiss-Wright 廣泛的售後市場技術產品組合，支援全球運轉中反應爐的持續性能、安全與現代化；我們在北美與南韓的每一座反應爐上皆有供應內容。我們仍與電廠營運商在電廠延役、功率升級與現代化等增量投資上保持一致。在美國，我們看到獲得 NRC 核准後續延長執照更新（subsequent license renewals）的電廠數量增速提升。

Thus far, 23 reactors have been approved to extend their operating license, up from nine reactors at the beginning of last year, with the most recent SLR completed in a record time and in less than 12 months. Similarly, in Canada, we continue to support modernization of reactors progressing through major component replacement programs to extend the life of their plant. We are also committed to supporting the construction of new Westinghouse AP1000 reactors expected to be built in the US, Poland, Bulgaria, Canada, and other locations globally. While not included in our current year guidance, we still anticipate an order for our reactor coolant pumps this year. In addition to large light water reactors, we continue to grow our relationships and secure content across leading 300 MW+ SMR designs.

截至目前，已有 23 座反應爐獲准延長其運轉執照，較去年年初的 9 座大幅增加；最近一次 SLR 也在創紀錄的時間內完成，且不到 12 個月。類似地，在加拿大，我們持續支援反應爐現代化，推進透過重大組件更換計畫以延長電廠壽命。我們也致力於支援預期將在美國、波蘭、保加利亞、加拿大及其他全球地點興建的 Westinghouse AP1000 新反應爐。雖然未納入我們本年度指引，我們仍預期今年將收到反應爐冷卻劑泵（reactor coolant pumps）的訂單。除大型輕水反應爐外，我們也持續深化合作關係，並在領先的 300MW+ 小型模組化反應爐（SMR）設計中取得供應內容。

Our strategy ensures we will be engaged regardless of who is participating in the SMR race, which will ultimately support a number of winners. We expect SMRs to be a meaningful contributor to our revenue growth in 2026 and beyond. As we highlighted yesterday, one of those driving forces is our strong position on the X-energy advanced reactor, where we have transitioned from design to prototype manufacturing of both the Helium Circulator and the Reactivity Control and Shutdown Systems as we continue to support the advancement of their next-generation reactor. Overall, we have a clear path to capturing tremendous growth in our commercial nuclear power business, and I'm confident in our ability to capitalize on the robust industry growth that lies ahead.

我們的策略確保無論誰參與 SMR 競賽，我們都能參與其中，而最終將支持多家勝出者。我們預期 SMR 將在 2026 年及之後對我們的營收成長做出顯著貢獻。如同我們昨日強調的，其中一項驅動力是我們在 X-energy 先進反應爐上的強勢地位；我們已從設計階段轉入原型製造，涵蓋氦氣循環機（Helium Circulator）以及反應度控制與停機系統（Reactivity Control and Shutdown Systems），持續支援其次世代反應爐的推進。整體而言，我們在商用核電業務上有清晰的路徑可掌握龐大成長，我也對我們把握未來強勁產業成長的能力充滿信心。

Within commercial aerospace, we continue to build upon our strong core positions and alignment to the OEM production ramps across Boeing and Airbus platforms and support our customers' growing backlogs. Over the next years, the elevated growth trajectory based on increased rates of narrow body and wide body production will provide us with durable opportunities for growth. At the same time, we expect that our continued investments in critical technologies and highly engineered components will bolster our ability to capture new positions and expand our portfolio across both current and next-generation platforms. Shifting to industrial. Earlier, I spoke about the improved order momentum that continues to build in these businesses.

在商用航太方面，我們持續在既有核心優勢地位上深化，並與波音與空中巴士各平台的 OEM 產能爬坡保持一致，以支援客戶不斷增加的訂單積壓。未來數年，隨著窄體與寬體機生產速率提升所帶來的高成長軌跡，將為我們提供具韌性的成長機會。同時，我們預期持續投資關鍵技術與高工程化零組件，將強化我們取得新供應位置的能力，並在現役與次世代平台上擴大產品組合。轉向工業領域。稍早我提到，這些業務的訂單動能持續改善並逐步增強。

This reflects our ability to grow our leadership positions while simultaneously investing in technologies that advance customer efficiency, performance, and safety. This in turn, together with the team's ability to successfully navigate global macroeconomic pressures, mitigate the impact of tariffs, and identify opportunities to drive pricing and cost containment initiatives, has enabled us to routinely overcome industry headwinds in this market. Overall, across all our end markets, we continue to take necessary steps to ensure Curtiss-Wright remains aligned with the fastest growth vectors and that we are well-positioned to capitalize on the needs of our customers, both today and well into the future. Turning to the bottom section of the slide, we are intensely focused on leveraging the full breadth of Curtiss-Wright's financial resources to maximize our returns across numerous investment opportunities.

這反映出我們在擴大領導地位的同時，也投資於能提升客戶效率、性能與安全的技術。進而，結合團隊成功因應全球總體經濟壓力、降低關稅影響，以及辨識推動定價與成本控管措施機會的能力，使我們得以在此市場中經常克服產業逆風。整體而言，跨越所有終端市場，我們持續採取必要步驟，確保 Curtiss-Wright 與最快的成長向量保持一致，並具備良好定位以滿足客戶當前與未來長期的需求。轉到投影片下半部，我們高度聚焦於運用 Curtiss-Wright 全面的財務資源，在眾多投資機會中最大化報酬。

We are driving record levels of free cash flow, and we are doing so while investing in critical technologies at an accelerated pace across the portfolio. In 2026, we are ramping up our investments in people, systems, and capacity to drive increased throughput across our naval businesses and also in anticipation of future commercial nuclear awards. Overall, we have and remain very focused on efficient capital deployment. Finally, Curtiss-Wright maintains a very healthy balance sheet, and we have remained extremely disciplined in our approach to capital allocation, continuing to strategically pursue acquisitions as our top priority in order to further accelerate top and bottom line growth. Beyond this, we look to further balance that allocation and sustain our strong track record and commitment to return capital to shareholders.

我們正創造創紀錄水準的自由現金流（free cash flow），同時也以加速的步伐在整體產品組合中投資關鍵技術。2026 年，我們將加大對人員、系統與產能的投資，以提升海軍業務的產出吞吐量，並為未來商用核能的得標案做準備。整體而言，我們一直且仍然非常聚焦於高效率的資本部署。最後，Curtiss-Wright 維持非常健康的資產負債表，我們在資本配置上也始終極為自律，並持續將策略性併購作為首要優先，以進一步加速營收與獲利成長。除此之外，我們也希望進一步平衡資本配置，並延續我們強勁的歷史紀錄與對股東回饋資本的承諾。

In closing, I'm excited about Curtiss-Wright's numerous prospects for growth, and we look forward to delivering another record financial performance this year as we continue to drive long-term value for our shareholders. Thank you.

最後，我對 Curtiss-Wright 眾多成長前景感到振奮；我們期待今年再度交出創紀錄的財務表現，並持續為股東創造長期價值。謝謝。

At this time, I would like to open up today's conference call for questions.

此時，我想開放今天的電話會議進行提問。

(Operator Instructions) Kristine Liwag, Morgan Stanley.

（接線員指示）Morgan Stanley 的 Kristine Liwag。

Hey, good morning, Lynn, Chris, and Jim.

嗨，早安，Lynn、Chris 和 Jim。

Good morning.

早安。

You know, your pivot to growth has been very successful, you're seeing that with your strong book-to-bill of 1.3x in the quarter. You know, we're seeing very strong demand signals from customers. I guess when we look at the industry as a whole, US defense primes have a record backlog of over $500 billion, their ability has been gated by the supply chain. You guys have been executing fairly flawlessly the past few years. Lynn, you highlighted that you're interested in also doing more deals. Are there specific areas when you look at that broader ecosystem where you see gating factors that are pretty high ROI? Is that an area that you would be interested in doing more M&A? Any color you could provide here would be really helpful.

你知道，你們轉向成長的策略非常成功，從本季 1.3 倍的訂單出貨比（book-to-bill）就能看出來。我們也看到客戶端非常強勁的需求訊號。我想，若從整體產業來看，美國國防主承包商的訂單積壓創下超過 5,000 億美元的新高，而其產能一直受供應鏈所限制。你們過去幾年執行得相當近乎完美。Lynn，你提到你也有興趣做更多交易。當你看更廣泛的生態系時，是否有特定領域你認為存在相當高的投資報酬率（ROI）瓶頸因素？那會是你們更有興趣進一步進行併購（M&A）的方向嗎？若能提供一些補充說明會非常有幫助。

That's a great question, Kristine Liwag, and thank you for joining us today. You know, we are well positioned very broadly across both all three branches of the US Department of Defense and have a great footprint in NATO. I feel like we're very well-positioned. You know, from a ROI standpoint, obviously, our Defense Electronics team continues to really deliver very strong results for our shareholders. That's always when we talk about M&A and where we're interested in pursuing targets. They usually remain at the top of the list. We know how to buy businesses there, integrate them. Even if their profitability, which we were very open with PacStar as an example, our last acquisition there, was well below the segment's margins.

這是個很好的問題，Kristine Liwag，也謝謝你今天加入。你知道，我們在美國國防部三軍各部門都有非常廣泛且良好的佈局，同時在北約也有很好的據點。我覺得我們的定位非常好。從投資報酬率（ROI）的角度來看，顯然我們的國防電子團隊持續為股東帶來非常強勁的成果。每當我們談到併購（M&A）以及我們有興趣追求的標的時，這通常仍位居清單最前端。我們知道如何在那裡收購企業並加以整合。即使其獲利能力——我們以 PacStar 為例非常坦率地說明過，作為我們在該領域的上一筆收購——遠低於該事業部的利潤率水準。

You know, we've had outstanding performance with that team, and it continues to grow and expand its footprint, both here in the US and really some early days traction internationally, which is exciting to see. That is always a focus where we very much appreciate the tone out of the Department of Defense with wanting to have more commercial acquisition, be more willing to do second sources, dual sourcing equipment. First and foremost, that's a good reminder us we need to be a great supplier into our customers, and that is a big focus for us, and we don't take that for granted. We're not perfect, so there's always areas we can improve. That's also an area where we are making ourselves clear to the Navy.

你知道，我們與那個團隊合作的表現非常出色，而且它持續成長並擴大其版圖，不僅在美國，也在國際上取得一些仍屬早期但令人振奮的進展。這一直是我們的重點之一；同時，我們也非常重視國防部釋出的訊號：希望採用更多商規採購、更願意採用第二來源（second sources）、以及設備的雙來源供應（dual sourcing）。首先，這提醒我們必須成為客戶的優秀供應商，這對我們而言是重大重點，我們不會視為理所當然。我們並不完美，所以總有可以改善的地方。這也是我們向海軍清楚表達立場的一個領域。

We're very open to being considered to become a second source in some of those areas. When we think of our scaling in the naval business, when you look at our MIB funding going from $15 million three years ago to $60 million now, that's indicative of where the Navy wants us to go and our ability to be a vital part of their supply chain. That is one. We're also looking more broadly across our aerospace and defense areas where there's critical aerospace technologies that, especially the things that we can take both to the commercial space and the military space.

我們非常願意在其中一些領域被納入考量，成為第二供應來源。當我們思考在海軍業務的擴張時，看看我們的 MIB 資金從三年前的 1,500 萬美元成長到現在的 6,000 萬美元，這顯示了海軍希望我們前進的方向，以及我們有能力成為其供應鏈中不可或缺的一環。這是一點。我們也更廣泛地檢視航太與國防領域，因為那裡有關鍵的航太技術，特別是我們能同時導入商用航太與軍用領域的那些技術。

That's one of our strategies that drives our ROIC in the company, is having technologies we invest in for one end market, but then leveraging the breadth of our end markets to be able to take the same core investments and spread them across. Aerospace is a great place to do that, definitely an area where we're interested. You know, our last two acquisitions were in commercial nuclear. We continue to look. There's less targets out there in that space we found two, who's not to say we won't find more? That's another area where we continue to look. You know, we're really looking, you know We consider how we look at things as we have KPIs that we're very focused on, you have to look at that in balance.

這是我們推動公司 ROIC 的策略之一：我們為某一個終端市場投資技術，然後運用我們終端市場的廣度，把同樣的核心投資擴散到更多市場。航太就是很適合這麼做的領域，確實也是我們感興趣的方向。你知道，我們最近兩筆併購是在商用核能。我們仍在持續尋找。那個領域的標的比較少，我們找到了兩個，誰說我們不會再找到更多呢？這也是我們持續關注的另一個領域。你知道，我們真的在看——我們看事情的方式是：我們有非常聚焦的 KPI，但你必須在平衡中來看待。

I don't know, Chris, if you'd add anything from a financial perspective in how we think about that.

我不知道，Chris，你是否要從財務角度補充一下我們如何思考這件事。

Sure. Yeah. I would just kind of note in the current environment, I mean, there's a good amount of competition for acquisition targets that are out there right now. There's a scarcity of high-quality strategic assets, and that in turn is driving out some elevated multiples. You know, we are very stringently applying our strategic and financial filters as we're looking at books in the process. We're generating a significant amount of free cash flow. We're continuing to invest in our organic growth. You know, you can see from the health of our balance sheet, I mean, we've deployed $2.5 billion towards acquisitions since we began the pivot to growth. You know, despite this, our leverage is approaching record lows. We've got a fully untapped revolver, $3 billion of borrowing capacity today.

當然。是的。我只想指出，在目前的環境下，對於現有的併購標的競爭相當激烈。高品質的策略性資產相對稀缺，而這也進一步推升了一些偏高的估值倍數。你知道，我們在流程中檢視標的資料時，會非常嚴格地套用我們的策略與財務篩選條件。我們正在產生大量自由現金流，也持續投資於內生成長。你知道，從我們資產負債表的健康程度可以看出來——自從我們開始轉向成長以來，我們已投入 25 億美元用於併購。儘管如此，我們的槓桿水準正接近歷史低點。我們還有一條完全未動用的循環信貸額度，目前有 30 億美元的借款能力。

you know, as we look at financial acquisition targets from a financial lens we're looking for businesses that can really be accretive to our core KPI growth rates over time. You know, revenue, operating margin, EPS, free cash flow, and ROIC. You know, I think this in combination with the market environment it's important to note that not every asset is going to be immediately accretive to all KPIs. We'll balance those strengths and opportunities in various ways against the full portfolio and generate improvement over time, as we've done successfully for many years.

你知道，當我們從財務角度看併購標的時，我們尋找的是能夠隨時間真正增厚（accretive）我們核心 KPI 成長率的企業。你知道，包括營收、營業利益率、EPS、自由現金流，以及 ROIC。你知道，我認為結合市場環境來看，很重要的一點是：不是每一項資產都會立刻對所有 KPI 都具增厚效果。我們會以不同方式在整體投資組合中平衡其優勢與機會，並像過去多年成功做到的一樣，隨時間推動改善。

Great. Super helpful color. If I could follow up on margins, the company, you guys have done a lot of restructuring, and we see that benefit with your record margins here. I guess, as the Department of Defense wants to shift more towards more commercial terms, I mean, I presume, is that more margin accretive for you in the long run? Also, I guess it's a broader margin question as we think about demand from international customers also coming in. I would also presume that would be higher margin. You know, it'd be great to get your views on those long-term drivers. Also, within the defense ecosystem, you're seeing more players like Anduril, like non-traditional player come into the industry.

很好。這些補充非常有幫助。如果我可以追問一下毛利率/利潤率，你們公司做了很多重整，我們也看到你們在這裡創下紀錄的利潤率所帶來的效益。我想，隨著國防部希望更多轉向商業化條款，我的理解是，長期來看這對你們的利潤率應該更具增厚性？另外，從更廣泛的利潤率角度來看，國際客戶的需求也在增加，我也推測那會是更高利潤率。很希望聽聽你們對這些長期驅動因素的看法。另外，在國防生態系中，你們也看到像 Anduril 這樣的更多玩家——非傳統業者——進入產業。

How does that shift, the margin opportunity for a supplier like you, where you've got pretty core capabilities that could be used by the incumbents and the new, and you've got these new shifts, in contracting approach. Is this good for margins in the long run?

這種轉變對像你們這樣的供應商而言，利潤率機會會如何變化？你們擁有相當核心的能力，既可供既有大廠使用，也可供新進者使用，而且合約方式也出現新的轉變。長期來看，這對利潤率是好事嗎？

We feel confident about and comfortable where we are. You know, this year, we're not going to speak beyond this year, but are continued to expand margins this year. You can see that's across our portfolio including some uplift in our Defense businesses. I really as a team, we like to think of it with delivering value. You know, we spend over half of our internal IR&D is spent in our Defense Electronics portfolio.

我們對目前的位置感到有信心，也很自在。你知道，今年我們不會談今年以外的情況，但我們今年仍在持續擴大利潤率。你可以看到這是橫跨我們整個投資組合的，包括我們國防業務的一些利潤率提升。就團隊而言，我們喜歡用「交付價值」來思考這件事。你知道，我們內部 IR&D 的支出有一半以上投入在國防電子產品組合。

We have brought some outstanding capabilities to the market that are really unique to a product offering in Curtiss-Wright around some of the capabilities with a variety of NVIDIA-based products from things that use the Blackwell 5000 down to products that leverage the four that are much more size, weight, power oriented. You know, really having that, our Fabric100 capability, which is unique to Curtiss-Wright the Microsoft Azure offering that we have. From our perspective, we're very targeted at delivering technology excellence to our customer base, and that goes hand in hand with the value you can ask for those products. We just keep our eye on solving the hardest, most critical problems that our customers have and believe we will be comfortable.

我們已將一些非常出色的能力帶到市場上，這些能力在 Curtiss-Wright 的產品供應中相當獨特，包含一系列以 NVIDIA 為基礎的產品能力，從使用 Blackwell 5000 的產品，到利用「four」且更偏向尺寸、重量、功耗（SWaP）導向的產品。你知道，還有我們的 Fabric100 能力——這是 Curtiss-Wright 獨有的——以及我們的 Microsoft Azure 方案。從我們的角度來看，我們非常聚焦於為客戶群提供卓越的技術，而這與你能為這些產品主張的價值是相輔相成的。我們只是持續專注於解決客戶最困難、最關鍵的問題，並相信我們會處在一個令人安心的位置。

We work with the non-traditional primes. We have active engagements with many of them. You know, there's places our products fit and places our products don't fit, so we're not, we don't have applicable products to all of them. You know, the things that we build are complicated and hard and take lots of investments and long periods of time, especially around the Defense Electronics, not setting aside all the submarine work and such like that. You know, they're in a foot race, for them to be able to acquire products from us is really, fits hand in hand with their value proposition. I think we're in a very solid place for where we are regarding margins and our ability to continue to grow.

我們也與非傳統主承包商合作，並與其中許多家有積極的合作互動。你知道，有些地方我們的產品很適配，也有些地方不適配，所以我們並不是對所有人都有適用的產品。你知道，我們打造的東西很複雜、很難，需要大量投資與很長的時間，特別是在國防電子方面——還不包括所有潛艦相關工作等等。你知道，他們是在賽跑；對他們而言，能向我們採購產品，確實與他們的價值主張相互契合。我認為，就利潤率以及我們持續成長的能力而言，我們目前處在非常穩健的位置。

Great. Thank you very much.

很好。非常感謝。

Myles Walton, Wolfe Research.

Wolfe Research 的 Myles Walton。

Hi, good morning, everyone. This is Greg Dahlberg on for Myles. I was just hoping to follow up on the X-energy announcement. You know, shifting from design to prototyping work, can you just give us a context of how much of the announced ship set content this allows you to recognize? Maybe frame how large SMR revenue is in 2026?

嗨，各位早安。我是 Greg Dahlberg，代替 Myles 發言。我想追問一下 X-energy 的公告。你知道，從設計轉向原型製作工作，你們能否提供一些背景：這讓你們能認列多少已公告的單機（ship set）內容？也許也請你們說明一下 2026 年 SMR 營收大概會有多大？

It's not really our place to talk about what exactly the content is we're prototyping with X-energy. You know, we've been very open and said our content is $120 million per reactor. You know, we only mentioned two of the three major subsystems that have moved to prototyping, so it's obviously below that. We're not, and I will be open, we're not prototyping the full complement of what an end reactor would be, but it's still great and meaningful revenue for Curtiss-Wright. We're underway with that. You know, there's also some things we need to do from an infrastructure and test fixtures and stuff to be able to prepare to be able to do that testing. It's good, a good revenue driver for this year.

我們其實不太適合談我們與 X-energy 正在進行原型製作的具體內容是什麼。你知道，我們一直很公開地表示，我們每座反應爐的內容價值是 1.2 億美元。你知道，我們只提到三大子系統中的兩個已進入原型製作，所以顯然低於那個數字。我也坦白說，我們並不是在做最終反應爐完整配置的原型，但這對 Curtiss-Wright 仍然是很棒且有意義的營收。我們已經在進行中。你知道，另外我們也需要在基礎設施、測試治具等方面做一些準備，才能進行那些測試。這很好，是今年一個不錯的營收驅動因素。

Leave it to Chris to talk about maybe any specifics he'd be comfortable giving.

至於任何他願意提供的具體細節，就交給 Chris 來談。

Sure. I would just say embedded within that mid-to-high teens organic growth guide that we're giving for commercial nuclear. You know, you've got aftermarket, you're coming in at approximately low double digits. I mean, we're seeing a lot of global strength related to that business. Also there's a very strong ramp up in SMR revenues for the development transition to the initial prototyping phase. You know, last year it was roughly 10% of our commercial nuclear revenues. You know, this year with the guidance, we're targeting 12% of our commercial nuclear revenue. A pretty sizable, and growing improvement for a smaller part of our overall commercial nuclear portfolio today.

當然。我只想說，在我們給出的商用核能中段到高十位數（mid-to-high teens）的內生成長指引中，已經包含了這部分。你知道，售後市場（aftermarket）大約是低雙位數成長。我是說，我們看到這項業務在全球都有很強的動能。另外，SMR 營收也在從開發階段轉向初始原型製作階段的過程中快速爬升。你知道，去年它大約占我們商用核能營收的 10%。你知道，今年依照指引，我們目標是占商用核能營收的 12%。對於我們目前整體商用核能產品組合中相對較小的一部分而言，這是相當可觀、且持續改善的成長。

Great. Thank you. I just wanted to touch on Defense Electronics bookings real quick. It sounded like things were good in 1Q based on your commentary, and the short cycle tactical comms work was accelerating. Can you share your expectations for 2Q book-to-bill, maybe, just given the context of the ground defense end market reiterated for the full year?

很好，謝謝。我也想很快帶到國防電子的接單（bookings）。從你們的評論聽起來，基於你們的說法，第一季表現不錯，而且短週期的戰術通訊業務正在加速。考量你們對地面防務終端市場的全年重申，你們能否分享一下對第二季接單出貨比（book-to-bill）的預期？

Yeah, I mean, maybe I'll just kind of back up a little bit before I kind of dive into Q2. You know, Lynn mentioned in her comments some of the changing government structure and budget delays we faced this last year. On the last call, we said once that was resolved, we expected we'd see a normal flow in approximately 60 to 90 days, which would put most of that at the time into the April and May timeframe. I think broadly, across Defense Electronics, that held true. We had the best order quarter for that business dating back to Q3 of 2024. Also in Q1 Lynn mentioned we received several of those orders that we had expected in 2025, including the C-17 and tactical comms and strategic deterrence.

是的，我的意思是，也許在我深入談第二季之前，我先稍微往回帶一下。你知道，Lynn 在她的評論中提到，去年我們面臨政府架構的一些變動以及預算延宕。在上一次電話會議上，我們說一旦那件事解決，我們預期大約在 60 到 90 天內會看到正常的流量，這樣大部分就會落在當時的 4 月與 5 月時段。我認為整體而言，在國防電子業務範圍內，確實如此。我們在該業務上拿到了自 2024 年第三季以來最好的接單季度。另外在第一季，Lynn 提到我們收到了幾筆原本預期在 2025 年才會到的訂單，包括 C-17、戰術通訊以及戰略嚇阻相關。

The Q1 order book was up 18% year-over-year. We had a book-to-bill that was near 1.1x. I'll also say that as we're looking at the April order update right now, we're seeing an improvement of 46% year-over-year for that month. We're really off to a great start here in the second quarter. We're expecting another good order quarter here in Q2. I will say that you heard in our prepared remarks that there will be some pressure on the second quarter revenue. I think we forecasted that and discussed that a little bit on the last call as well.

第一季的訂單簿年增 18%。我們的接單出貨比（book-to-bill）接近 1.1 倍。我也要說，從我們目前在看 4 月的接單更新來看，該月年增改善了 46%。我們第二季一開始的表現非常好。我們預期第二季也會是另一個不錯的接單季度。我會說，你們在我們事先準備的講稿中也聽到，第二季營收會有一些壓力。我想我們也已經預測到這點，並在上次電話會議上稍微討論過。

What's fortunate for us with some of these delays is many of the businesses here that are impacted are shorter cycle in nature, and we've been taking steps to ensure that we can convert those orders into revenue as quickly as possible, and that gives us confidence in the full-year guidance.

對我們來說，這些延遲之中比較幸運的是，受影響的許多業務本質上是較短週期的，我們也一直在採取措施，確保能盡快把這些訂單轉換成營收，這也讓我們對全年指引更有信心。

Great. Thank you very much.

很好。非常感謝。

Nathan Jone, Stifel.

Stifel 的 Nathan Jone。

Morning, everyone.

各位早安。

Hey, Nathan.

嗨，Nathan。

Morning, Nathan.

早安，Nathan。

I guess I'll start with a question on industrial vehicles. It's not one we talk about too much. It's obviously been a tough market over the last few years for industrial vehicles. It does seem like that market overall has kind of topped out here and you're starting to see some growth. Some of the end customers there are starting to talk about increased production. I guess maybe a little bit more color on the order book, the growth in that. I know you kept the revenue outlook for general industrial flat for this year. Is that one of the areas that we might see some upside in the second half if things continue to progress on the same trajectory they are now?

我想我先從工業車輛的問題開始。這不是我們常談的主題。過去幾年工業車輛市場顯然一直很艱難。不過看起來整體市場似乎已經在這裡觸底，開始看到一些成長。一些終端客戶也開始談到提高產量。我想請你們多補充一些訂單簿的狀況、以及其成長情形。我知道你們今年把一般工業的營收展望維持持平。若事情持續沿著目前的軌跡發展，這會不會是我們在下半年可能看到一些上行空間的領域之一？

Yeah. We've had two good quarters of bookings, which is really nice to see. You know, definitely always want to give a shout-out to the team. It's been a couple three years that have had industry headwinds in them. I think we do feel optimistic that 2027 we will return to some growth in this end market. You know, the trends continue to indicate that. You can see the reports out of our customer base of what's being built. The team continues to do a good job with bringing new products to market and winning new content. We're very well positioned as that growth does come back in this market segment that we will be there to position it.

是的。我們已經連續兩季有不錯的接單，看到這點真的很棒。你知道，也一定要向團隊致意。這個產業過去兩三年一直有逆風。我想我們確實樂觀地認為，到了 2027 年這個終端市場會回到一些成長。你知道，趨勢持續顯示如此。你可以從我們客戶群的報告中看到正在建造什麼。團隊也持續把新產品推向市場、並贏得新的內容份額。當這個市場區隔的成長回來時，我們的布局非常到位，能夠把握機會。

We've focused on our content across the European markets where I think growth is predicted to be a little bit more accelerated, so we feel good about what we've done there. You know, it's still a watch item, so we're being cautious. We're not going to meet our three-year Investor Day targets of low single digits in this market. It's nice to think that we will. We're feeling good that 2027, 2028 is going to be a better position.

我們把重點放在歐洲市場的內容份額上，我認為那裡預期的成長會更快一些，所以我們對在那裡所做的事情感到不錯。你知道，這仍然是需要觀察的項目，所以我們會保持謹慎。我們不會達成投資人日所提出的三年目標——在這個市場達到低個位數成長。想像能做到當然很好。我們覺得 2027、2028 年會是更好的位置。

I guess just to follow up on some of the the delayed spending you've seen out of some of the stuff that's gone on with budget approvals and continuing resolutions and stuff like that. The current administration has shown a real propensity to want to spend in these areas. How would you handicap the potential for that that spending to get accelerated in the back half of the fiscal year, your 2Q, 3Q for the government and perhaps see some upside, relative to some of the forecasts that you've put out there for continuing headwinds in those areas? Thanks for taking the questions.

我想追問一下你們提到的部分延後支出，這與預算核准、持續決議（continuing resolutions）之類的情況有關。現任政府在這些領域展現出很強的支出傾向。你會如何評估在會計年度下半年、也就是你們的第二季、第三季，這些政府支出加速的可能性，並且相較於你們對這些領域仍有逆風的部分預測，是否可能帶來一些上行空間？謝謝回答問題。

Thank you, Nathan. You know, we're definitely you can see our book-to-bill across Naval & Power 1.5x. I mean, we're definitely seeing the aggression and the desire to spend and to get things moving. If I gauge it the chance for upside by our quote activity, our order activity, the analysis of the pipeline across our defense business, it's very strong. You know, you see the shipbuilding is very visible. Our Defense Electronics is across so many platforms that it's not driven by any one target. You know, even taken within our A&I segment Chris mentioned in his prepared remarks, the IFPC program. You know, the number of IFPCs procured this year is more than doubled from last year, and it's expected to almost double in 2027.

謝謝你，Nathan。你知道，我們在海軍與電力（Naval & Power）業務的接單出貨比是 1.5 倍。我的意思是，我們確實看到那種積極性與想要花錢、推動事情前進的意願。如果要用我們的報價活動、接單活動、以及對國防業務管線的分析來衡量上行機會，確實非常強勁。你知道，造船的能見度非常高。我們的國防電子涵蓋很多平台，不是由任何單一目標所驅動。你知道，即使是在我們的航太與工業（A&I）事業群內，Chris 在事先準備的講稿中提到 IFPC 計畫。你知道，今年採購的 IFPC 數量比去年增加一倍以上，而且預期在 2027 年幾乎還會再翻倍。

There's lots of examples like that around that are some really dramatic upticks that are going to drive revenue for Curtiss-Wright. You know, it's too early to count on anything. You know, the president's budget request at $1.5 trillion. You know, there's a lot of hand-wringing on that. You know, I was up on the Hill just a couple weeks ago, and lots of people have lots of opinions on it. I would say universally, everybody thinks there's going to be a much larger than the $1 trillion defense budget this year or next year. Between that and NATO countries ramping their spending, our prospects are very good.

周邊還有很多像這樣的例子，有一些非常戲劇性的上升，將會推動 Curtiss-Wright 的營收。你知道，現在要把任何事情算進去還太早。你知道，總統的預算請求是 1.5 兆美元。你知道，對此有很多憂慮與爭論。你知道，我幾週前才去國會山莊，很多人對此都有很多看法。我會說，幾乎普遍而言，大家都認為今年或明年的國防預算會遠高於 1 兆美元。再加上北約國家提高支出，我們的前景非常好。

Thank you. We'll move on now to John Godyn with Citi. Your line is open.

謝謝。接下來我們請 Citi 的 John Godyn。您的線路已開通。

Hi, this is Bradley Eyster on for John Godyn. Thanks for taking my question. I wanted to circle back on the defense aerospace side that you called out earlier in your prepared remarks. You highlight strong trends for the quarter that benefit both Aerospace and Industrial as well as Defense Electronics. This has been a common theme we've heard across this earnings season. I was hoping you could talk a little bit more about what demand signals you're seeing here in the military aviation side looking ahead for the year and how things are shaping up relative to your expectations even from a few months ago. Are there any platforms or platform types such as fixed wing versus rotorcraft growing faster than the other? I appreciate any color that you can give here.

嗨，我是 Bradley Eyster，代替 John Godyn 發言。謝謝讓我提問。我想回到你們先前在事先準備的講稿中提到的國防航太部分。你們強調本季有強勁趨勢，同時有利於航太與工業以及國防電子。這也是我們在這一季財報季中常聽到的主題。我希望你們能多談一些，展望今年，在軍用航空端你們看到哪些需求訊號，以及相較於幾個月前你們的預期，目前的走勢如何？是否有任何平台或平台類型，例如固定翼相較於旋翼機，成長速度更快？也請分享任何你們能提供的補充資訊。

Yeah. I mean, it's definitely a area of great growth. You know, whether it's modernization programs things like the C-17 that we were able to announce in Q1. You know, there's a lot of aircraft modernization programs going on, the F-15EX, the KC-46, to just name two others. We're we're very active and are participating in those. Early days as some of the next generation air dominance programs are being selected whether that's the F-47, F/A-XX is supposed to be awarded finally. You know, we're well positioned, we think, with that. The CCAs. The demand is very heavy.

是的。我的意思是，這確實是一個成長很快的領域。你知道，不論是現代化計畫，例如我們在第一季能夠宣布的 C-17。你知道，現在有很多飛機現代化計畫在進行，像是 F-15EX、KC-46，再舉兩個例子。我們非常積極並參與其中。至於下一代制空（NGAD）計畫的部分，還在早期階段，正在進行選型，不論是 F-47，或是據說終於要定案的 F/A-XX。你知道，我們認為自己在那方面也有很好的布局。還有 CCA。需求非常強勁。

You know, clearly the current situation over in Iran there is definitely driving a lot of sparing activity type of work that we're already beginning to see. It's not any one platform per se, but good steady content and growth. You know, even another example is with the president's budget in 2027, the number of F-35s from here in the US alone is going to double. We'll see where that takes us.

你知道，很明顯地，目前伊朗那邊的情勢確實正在帶動大量備件（spares）活動類型的工作，我們已經開始看到一些跡象。這並不是某一個特定平台所帶動，而是穩健的內容份額與成長。你知道，再舉一個例子，在總統 2027 年的預算中，僅就美國而言，F-35 的數量將會翻倍。我們再看看這會把我們帶到哪裡。

All right. I appreciate the color. Then I want to circle up on the commercial end-user side, specifically on the AP1000. I'm just trying to get a sense of, like, when a customer or country finalizes an order or deal, what's the timeline for when you guys could, like, complete the product for these RCPs and start recognizing revenue? I'm just trying to get a sense, like, how the timing flows for you through these deals.

好的，謝謝補充資訊。接著我想回到商用終端用戶端，特別是 AP1000。我想了解的是，當客戶或某個國家最終敲定一筆訂單或交易時，你們完成這些 RCP 產品並開始認列營收的時間軸大概是怎麼樣？我想掌握的是，這些交易對你們而言在時程上是如何流轉的。

It's really a changing landscape right now. If you go back to our 2024 Investor Day, we kind of laid out, kind of the traditional approach to how the contractual situation had moved and how EPC contracts were led and how that led to us getting orders. In the current environment specifically more maybe here in the US than across the European customers with some of the funding that's being made available out of the government, it's less clear whether we're going to follow this traditional trajectory. You know, we really take our cues from Westinghouse. I mean, regardless of who's buying the plants, our customer is Westinghouse, you know. We take our cues and work with them to understand when we can expect an order.

目前的局勢確實正在改變。如果回到我們 2024 年投資人日，我們大致說明了傳統做法：合約情況如何演變、EPC 合約如何主導，以及這如何帶動我們取得訂單。在目前的環境下，特別是可能在美國比在歐洲客戶更明顯，隨著政府提供的一些資金到位，我們是否會沿著這條傳統軌跡走下去就沒那麼明確。你知道，我們確實以 Westinghouse 的動向為依歸。我的意思是，不管是誰在買電廠，我們的客戶都是 Westinghouse。你知道，我們會依據他們的訊號並與他們合作，了解我們何時可以預期收到訂單。

As I said in the prepared remarks, we do still expect that order this calendar year. We are scenario planning a variety of things with Westinghouse to make sure we're ready to ramp with them and meet their needs so they can be successful in the marketplace. That's the most important thing for us is making them successful. We've talked in the past we recognize the revenue over a four or five-year bell curve. It'll start a little slow at first as we there's there's work to be done that will drive revenue.

如同我在事先準備的發言中所說，我們仍然預期在本曆年內收到那筆訂單。我們正與 Westinghouse 進行情境規劃，涵蓋各種可能性，以確保我們能與他們一起做好擴產準備並滿足他們的需求，讓他們能在市場上取得成功。對我們而言，最重要的就是讓他們成功。我們過去也談過，我們會在四到五年的鐘形曲線期間認列營收。一開始會稍微慢一些，因為我們還有一些工作要做，這些工作將帶動營收。

They started securing on lead material and things along those lines. So that's why we felt it was just prudent not to put any AP1000 revenue in our, in our guide for this year's revenue because the exact timing of the order, we don't know, and I don't want to try and predict it. Whether it'll have a be in time for us to have meaningful revenue is TBD.

他們已開始鎖定長交期材料以及諸如此類的事項。所以我們才覺得，審慎起見，不把任何 AP1000 的營收納入我們今年的營收指引，因為訂單的確切時間點我們不知道，而我也不想去預測。至於是否能及時讓我們產生有意義的營收，仍有待觀察。

Got it. I appreciate the clarity. Thanks, Bam.

了解。我感謝你說得很清楚。謝謝，Bam。

Louie DiPalma, William Blair.

Louie DiPalma，William Blair。

Lynn, Chris, and Jim, good afternoon.

Lynn、Chris 和 Jim，下午好。

Hello.

你好。

Hey, Louie.

嗨，Louie。

Lynn, you mentioned the F-47 and CCA. How are you positioned to potentially be involved for those next-gen platforms or have you already secured a spot in terms of content supplier relationships for those platforms?

Lynn，你提到了 F-47 和 CCA。你們在潛在參與這些下一代平台方面的布局如何？或者你們是否已經在這些平台的供應內容／供應商關係上取得一席之地？

It's a little bit of both. There is content we have secured across those platforms, but there's absolutely content that we're still pursuing, that there's still opportunities for us. I think they will both provide solid revenue streams for us going forward. We're on both the the winners of the CCA. We have nice content with both, so we'll see how that goes, whether they both wind up producing planes or just one of them. When Boeing won the F-47, we were very pleased with that. We had strong content that we secured with them and some things that are still under work.

兩者都有一些。我們已在這些平台上拿到部分供應內容，但也確實還有一些內容正在爭取，仍有機會。我認為它們未來都會為我們帶來穩健的營收來源。我們同時在 CCA 的兩個得標方上都有布局；我們在兩邊都有不錯的供應內容，所以接下來就看發展如何——最後是兩邊都量產飛機，還是只有其中一家。當波音贏得 F-47 時，我們非常高興。我們已與他們鎖定了強勁的供應內容，另外也有一些事項仍在推進中。

Great. For the Navy, has the strength been broad-based across the nuclear pumps and valves that you provide in addition to electronics and R&D and perhaps overhaul? Has anything stood out in terms of how you've been able to maintain, like, the double-digit growth for the Navy for so long?

很好。就海軍而言，除了電子與研發、以及可能的翻修之外，你們提供的核能泵與閥門等產品是否也呈現廣泛的強勁表現？在你們能長期維持海軍業務兩位數成長方面，有沒有什麼特別突出的因素？

Yeah. I would say, Louis, the vast majority of the Navy order book and backlog is really focused within the Naval & Power segment where we are embedded across the the key naval nuclear platforms. And that's a very steady stream of work that continues to come on in. It gives us a very long-term view of where that market is headed. It's very durable revenues, and it's great cash flow. You know, you may have noticed here in the first quarter that while it was an outflow for us in cash, it was better than what we had seen in prior years and even beat our expectations a little bit.

是的。我會說，Louie，海軍訂單簿與積壓訂單的絕大部分，確實集中在 Naval & Power 事業部門，我們深度嵌入於關鍵的海軍核能平台。這是一股非常穩定、持續進來的工作流，讓我們能以非常長期的視角看待該市場的走向。這些營收非常耐久，而且現金流很棒。你可能也注意到第一季雖然對我們而言是現金流出，但比前幾年好，甚至略優於我們的預期。

That was really based upon the very strong orders that we had received across the submarine programs in Q1 and the related advances that come on into that. Great, great cash businesses as well. We are seeing some uplift in other areas of the business for technology such as EM actuation and various things that we do there on the ships. I think as you look across the Defense Electronics Group, while it's not as significant a portion of their overall portfolio as, say, defense aero or ground defense there's a lot of work that goes into the subs and surface combat ships for that business.

這主要是因為我們在第一季於潛艦計畫上收到非常強勁的訂單，以及隨之而來的預收款。這些也是非常、非常好的現金型業務。我們也看到在其他技術領域有一些提升，例如電磁（EM）致動，以及我們在艦艇上所做的各種項目。我認為，從 Defense Electronics Group 來看，雖然海軍相關在其整體組合中不如國防航太或地面防務那麼大，但在潛艦與水面作戰艦方面，該業務仍有大量工作。

You know, but the vast majority of what's happening there in the order book is really just kind of accelerating through the core of naval defense across the key platforms. I will say just maybe one last thing about naval. You know, you can't forget about what's happening on with FMS. You know, we are seeing a lot of naval aircraft handling system growth looking outwards. Also, we mentioned, I think on the in the prepared remarks we're seeing a lot of good work with fleet overhauls and repair work. Those last few categories can be accretive to the overall margin profile of the naval defense work.

不過，訂單簿中發生的絕大部分，基本上就是在關鍵平台上、海軍防務核心業務的加速。我再補充海軍的一點：你不能忽略 FMS（對外軍售）正在發生的事。我們看到對外市場的海軍航空器處理系統成長很多。另外，我想我們在事先準備的發言中也提到，我們在艦隊翻修與維修工作方面看到不少良好機會。這幾個類別也可能對海軍防務工作的整體毛利率結構帶來增益。

How significant is the overhaul work for the broader Navy segment?

翻修工作對整體海軍業務板塊的重要性有多大？

I think when you look at just the RCOH as an example I'll maybe just throw that out. I mean, we do approximately $50 million in work every time one of those carriers comes in. You know, we'll recognize that revenue over kind of a four to five-year timeframe as they're doing the work on the ships. You know, beyond that, I mean, we talked a little bit too about some of the growth that's been embedded across the Virginia-class submarine programs more recently initial spares provisioning that's happening there. We haven't given exact values.

我想以 RCOH 為例來看，我就先舉這個例子。我們每次有一艘航母進廠時，大約會做 5,000 萬美元的工作。你知道，隨著他們在艦艇上進行作業，我們會在大約四到五年的期間內認列這些營收。除此之外，我們也稍微談到，近來在維吉尼亞級潛艦計畫上也嵌入了一些成長，例如初始備品配置（initial spares provisioning）。我們尚未提供確切金額。

You know, with some of that work and then also the service centers that we have on the East and West Coast, it's really kind of opening us up to other opportunities to help get the fleet repaired and back onto the water. It's good business for Curtiss-Wright.

你知道，隨著部分工作推進，再加上我們在東岸與西岸的服務中心，這確實為我們開啟了其他機會，協助艦隊完成維修並重新出航。這對 Curtiss-Wright 來說是門好生意。

Great. Thanks. Thanks, Chris. Thanks, Lynn and Jim.

很好。謝謝。謝謝你，Chris。也謝謝 Lynn 和 Jim。

Thank you.

謝謝。

(Operator Instructions) Jan Engelbrecht, Baird.

（接線員指示）Jan Engelbrecht，Baird。

Good morning, Lynn, Chris, and Jim. Congrats on another strong set of results. I think I'll start off with if you can give us sort of the present takes over the next couple years for the commercial nuclear franchise, how you're thinking about margin as you're sort of progressing through this decade, and just how we should think about sort of operating leverage on double-digit growth in the aftermarket and then SMR development ramping up, the impact of large reactors, the AP1000, and then just the South Korean design, which I think you have around $20 million of content today, but if they can sort of figure out a way that there could be a domestic build of that as well, I would assume that you'd be in a great position as having the domestic facilities.

早安，Lynn、Chris 和 Jim。恭喜再度交出一組強勁的成績。我想先從商用核能業務談起：你們如何看待未來幾年這個事業的現況與走勢？隨著本十年推進，你們對毛利率的看法是什麼？另外，我們應該如何看待在售後市場兩位數成長下的營運槓桿，以及 SMR 開發加速、以及大型反應爐（AP1000）的影響？最後還有南韓的設計，我想你們目前大約有 2,000 萬美元的供應內容；但如果他們能找到方式在美國本土也建造，我猜想你們擁有本土製造設施，應該會處於非常有利的位置。

Important question and one that I don't know if we're being comfortable giving a ton of color on. I will say starting in the SMR space clearly we've been doing this paid design work for four-ish years now, and that's always some of your lower margin business. As we begin to move, as we are really pleased to be able to announce into a prototyping phase with X-energy and then some of our other content is in the same vicinity. The one we're really talking about is X-energy. Well, that would be better margin business than the design work. You know, we're still working on how we will move into early production quantities later this decade.

這是個重要問題，而我們不確定是否方便提供太多細節。我先從 SMR 領域說起：很明顯，我們已經做了大約四年的有償設計工作，而那通常是毛利率較低的業務。隨著我們開始推進——我們也很高興能宣布與 X-energy 進入原型製作（prototyping）階段，另外一些供應內容也在相近的進度。我們主要談的是 X-energy。那麼，相較於設計工作，這會是毛利率更好的業務。你知道，我們仍在研議如何在本十年稍晚時點，進入早期量產的供貨數量。

I feel like there's natural margin uplift as we get volume and move through that work tied to the SMRs. You know, relative to the aftermarket work we make healthy margins on that business. It's more growing our content, and I don't know if there's any major margin changes coming in the aftermarket market work. I mean, as they do larger take on maybe some more sophisticated improvements that they're being afforded as they contemplate not just the 80 years, but the 100 years. There could be a little bit of something there, but I don't think it's dramatic.

我覺得，隨著我們取得規模、並推進與 SMR 相關的工作，毛利率自然會有上升空間。至於售後市場業務，我們在那塊的毛利率本來就健康；更多是擴大我們的供應內容，我不確定售後市場的毛利率會有什麼重大變化。我的意思是，當他們在思考不只是 80 年、而是 100 年的延壽時，可能會導入更複雜的改善項目，或許會有一點影響，但我不認為會很劇烈。

With the AP1000s we just need to work to support Westinghouse it's a very active situation right now. I don't think it's appropriate for us to make any comment on that.

就 AP1000 而言，我們只需要努力支持 Westinghouse，這件事目前進展非常積極。我認為我們不適合對此發表任何評論。

And I would just maybe --

而我可能只是——

Yeah

是的。

maybe answer your question on the revenue growth. You know, when we started, we had our last Investor Day back in May of 2024. We put a slide up that showed the art of the possible, and we said that we would double our organic commercial nuclear footprint by 2028, which was taking $300 million of revenue to $600 million. Then you can layer on the acquisitions and stuff that we've done since then. It was a pretty reasonable outline of how we would actually achieve that.

也許回答你關於營收成長的問題。你知道，當我們開始時，我們上一次投資人日是在 2024 年 5 月。我們放了一張投影片，展示「可能性的藝術」，並表示到 2028 年我們將把有機的商用核能版圖擴大一倍，也就是把營收從 3 億美元提升到 6 億美元。接著你還可以再疊加我們此後所做的併購等事項。那是一個相當合理的藍圖，說明我們實際上將如何達成。

You know, while the slide said possible, I mean, certainly some of the things that have been happening here in the industry since we've had that Investor Day have given us increased confidence that the possible is looking really good. I think as you're looking outward, we feel much better today about what's possible than we did back then.

你知道，雖然投影片上寫的是「可能」，但我的意思是，自從那次投資人日以來，產業內發生的一些事情確實讓我們更有信心，覺得這個「可能」看起來非常好。我認為，當你往外看時，我們今天對「可能性」的感受比當時好得多。

Great. Thank you. That's very helpful. Just a quick follow-up, if I may. If you guys could just give us an update on the cockpit voice recorders franchise, sort of updates on the Airbus certification timeline and then just how's it tracking the North American fleet sort of upgrading from two hours to 25? I know there's a 2030 deadline, what are you seeing so far?

很好。謝謝。這非常有幫助。如果可以的話，我再快速追問一下。你們能否就座艙語音記錄器（CVR）業務給我們一個更新，例如 Airbus 認證時程的最新進度，以及北美機隊從 2 小時升級到 25 小時的進展如何？我知道 2030 年有期限，你們目前看到的情況是什麼？

The work continues with Airbus, and we think we will achieve certification in the back half of this year. That's good. I mean, we're getting pretty close to having that achieved. I will say our deliveries remain pretty steady with Honeywell for new market build for Boeing. The aftermarket uptick has maybe been a little slower than we would've anticipated for retrofitting the existing fleet.

與 Airbus 的工作仍在持續，我們認為將在今年下半年取得認證。這是好消息。我的意思是，我們距離達成已經相當接近了。我也要說，我們與 Honeywell 的交付在波音新機市場建置方面仍然相當穩定。至於為既有機隊改裝的售後市場上升動能，可能比我們原先預期的稍微慢一些。

The good thing is, as much as that was announced back in 2024, it was actually signed into law February of this year. I think that final step of making the a legal requirement, it's just taken a little bit of time for the airlines to figure out how they're going to execute to that. Overall, that business is relatively flat year over year for us.

好的一點是，儘管這在 2024 年就已宣布，但實際上是在今年 2 月才正式簽署成為法律。我認為最後一步、也就是把它變成法律要求，讓航空公司需要一些時間去釐清他們要如何執行。整體而言，這項業務對我們來說年對年大致持平。

There's absolutely, it will be a good growth driver for the Defense Electronics segment through the back end of this decade. No concerns. It's just, I think it's going to really start healthy growth next year.

毫無疑問，這將在本十年後半段成為國防電子（Defense Electronics）部門的一個良好成長驅動因素。沒有任何疑慮。只是我認為真正健康的成長會從明年開始。

Great. Thanks, Lynn. Thanks, Chris. Appreciate it.

很好。謝謝你，Lynn。謝謝你，Chris。感謝。

Scott Deuschle, Deutsche Bank.

Scott Deuschle，德意志銀行（Deutsche Bank）。

Hi, good morning. Lynn, there's obviously a lot of talk in the semiconductor industry about supply constraints and things like printed circuit boards and memory. I think this is something you've been pretty active about getting in front of and managing, but just curious for an update as to how you're thinking about managing those potential constraints and whether you see any impact to the business there.

嗨，早安。Lynn，半導體產業顯然有很多關於供應受限的討論，例如印刷電路板和記憶體等。我想這是你們一直相當積極提前因應並加以管理的事情，但我想請你更新一下，你們目前如何看待並管理這些潛在限制，以及你們是否看到對業務有任何影響。

There is definitely demand. I really give a shout-out to the team for their ability to manage their way through it. We've talked about this. You know, one of the areas that's a big focus in that team is the memory and storage chips has been a real focus, and they've done a great job of really working with our suppliers to secure supply. You know, we tackle through so many different approaches. You know, we work with our customers to fund the supply base for us, and in some cases they're willing to do that. In some case it's more forecasted business and things we have to do.

確實有需求。我真的要稱讚團隊能夠一路把它管理過來。我們談過這件事。你知道，團隊其中一個重點領域是記憶體與儲存晶片，這一直是很重要的焦點，他們也做得非常好，確實與供應商合作以確保供應。你知道，我們透過很多不同的方法來處理。你知道，我們會與客戶合作，請他們為我們的供應鏈提供資金支持，在某些情況下他們願意這麼做。在某些情況下則更多是基於預測的業務，以及我們必須採取的一些作法。

We definitely leverage government high priority ratings where we can, which is a reasonable amount of the business, but not all. I am not going to say that. Also just really from the COVID time and how we work with our suppliers, it has really become much more sophisticated over the past couple years, and whether that is the personal relationships we have or tools we have to be better monitoring lead times and doing advanced buys. I know I have talked directly with the team about how they feel about the needs for 2026.

我們也會在可行之處充分運用政府的高優先等級（high priority ratings），這涵蓋了相當一部分業務，但不是全部。我不會說——另外，從 COVID 時期以來以及我們與供應商合作的方式來看，過去幾年確實變得更成熟、更精密；不論是我們建立的個人關係，或是我們用來更好監控交期、進行提前採購的工具。我知道我已直接和團隊談過他們對 2026 年需求的看法。

I think we have that well in hand. They're focused on 2027 and being able to have things in line so we're prepared to continue the great growth trajectory in that area and not let that impact us. The other supply area that we're, if you say the two that are top of mind, rare earth minerals are an issue that we watch. That's more across our surface technology and industrial businesses. They're also doing a lot of creative things with qualifying alternative minerals and looking for second sources and just various approaches. There's never one silver bullet. It's work, but the teams do a great job with it.

我認為我們已經把 2026 年掌握得很好。他們正聚焦在 2027 年，並確保各項安排到位，讓我們能夠持續該領域的強勁成長軌跡，不讓供應問題影響我們。另一個我們關注的供應面向，如果你說有兩個最在意的，稀土礦物就是我們觀察的議題。這更多是橫跨我們的表面技術與工業業務。他們也在做很多有創意的事情，例如認證替代礦物、尋找第二來源，以及各種不同的方法。從來沒有單一的萬靈丹。這需要持續投入，但團隊做得很好。

Got it. Maybe this is overreaching, but have you seen competitors have maybe greater issues with these semiconductor constraints such that your ability to secure these supplies actually creates a market share opportunity relative to competitors that maybe haven't managed these input constraints as well as you have?

了解。也許這有點延伸，但你是否看到競爭對手在這些半導體供應限制上遇到更大的問題，以致於你們確保供應的能力，實際上相較於那些沒有像你們一樣把投入品限制管理得那麼好的競爭對手，反而創造了搶市占的機會？

Not anything that would be meaningful that I would make comment on. I mean, we are always after market share, and we are doing things to take market share, I will assure you that. You know, there are things that we're doing product capabilities. You know, we talk frequently about our Fabric 100, that's 100 gigabit Ethernet, and that's a unique offering to Curtiss-Wright. We're leveraging that to take market share. If they stumble, so be it, but we will do it through technology leadership and creating great value for our customer base that nobody else can deliver.

沒有任何具重大意義、值得我評論的事情。我的意思是，我們一直都在追求市占，我可以向你保證，我們正在做一些事情來取得市占。你知道，我們在產品能力上做了很多事。你知道，我們經常談到我們的 Fabric 100，也就是 100Gb 乙太網路，這是 Curtiss-Wright 獨特的產品。我們正利用它來取得市占。他們如果失誤，那就隨它去，但我們會透過技術領導力，以及為客戶群創造其他人無法提供的巨大價值來做到。

Understood. Thank you very much.

了解。非常感謝。

Thank you. There are no further questions at this time. I'm happy to return the call to Lynn Bamford, Chair and Chief Executive Officer, for additional or closing remarks.

謝謝。目前沒有其他問題。我很高興把電話交回給董事長兼執行長 Lynn Bamford，進行補充或結語。

Simply thank you all for joining us today. We look forward to speaking with you again on the road or following the re-release of our second quarter results. Have a good day.

簡單地說，感謝各位今天加入我們。我們期待在路演期間，或在我們重新發布第二季業績之後，再次與各位交流。祝各位有美好的一天。

Thank you. This concludes today's Curtiss-Wright Earnings Conference Call. Please disconnect your line at this time, and have a wonderful day.

謝謝。今天的 Curtiss-Wright 財報電話會議到此結束。請各位現在掛線，祝各位有美好的一天。