MOG Financial Analysis

Analysis Date: 1/27/2025

Business Model

Moog generates revenue through four main segments: Space and Defense, Military Aircraft, Commercial Aircraft, and Industrial

Revenue Sources

• Space and Defense: $248M (27% of revenue)
• Military Aircraft: $213M (23% of revenue)
• Commercial Aircraft: $221M (24% of revenue)
• Industrial: $228M (26% of revenue)

Revenue Distribution by Channel

• Not explicitly broken down by channel in filings

Income Statement Analysis

• Net sales increased 6% driven by growth in aerospace and defense businesses
• Operating margin improved to 11.1% from 11.0% year-over-year
• Net earnings increased 11% due to higher sales and improved margins

Balance Sheet Analysis

• Working capital increased to support future sales growth
• Long-term debt increased by $230M quarter-over-quarter

Cash Flow Analysis

• Significant operating cash use driven by working capital requirements
• Free cash flow use increased substantially year-over-year

Capital Allocation

Company paid $9M in dividends and repurchased $56M in shares during Q1 2025. Capital expenditures were $33M.

Management Commentary

Strong sales growth, impressive bookings and solid margin enhancement

Operational initiatives will deliver continued margin enhancement

Expect strong free cash flow in second half of 2025

Overall Sentiment: Positive with focus on operational improvements and strong second half expectations

Recommendation

Rating: Hold

Reason for Rating: Strong operational performance but near-term cash flow concerns

Disclaimer: This analysis is based on company filings and public information. It is for informational purposes only and not financial advice. Past performance does not guarantee future results.

Generated on: 1/27/2025, 10:13:42 AM