Woodward (NASDAQ: WWD) reported Q3 EPS of $0.48, $0.12 better than the analyst estimate of $0.36. Revenue for the quarter came in at $524 million versus the consensus estimate of $515.89 million.

Third Quarter Highlights

• Net sales were $524 million, compared to $752 million, a decrease of 30 percent
• Net earnings were $38 million, compared to $66 million
• Adjusted net earnings1 were $31 million, compared to $84 million
• Earnings per share were $0.61, down from $1.02
• Adjusted earnings per share1 were $0.48, down from $1.30
• For the first nine months of fiscal 2020, cash from operations was $212 million; free cash flow1 was $173 million, adjusted free cash flow1 was $169 million

“Early in the third quarter we moved quickly to align our operations and cost structure to mitigate the adverse effects of the COVID-19 pandemic on our business. Aerospace continues to benefit from a strong defense market, which softened the significant impact of the rapid reduction in passenger traffic and aircraft production rates. While Industrial results were also affected by the economic slowdown, the completed divestiture of our renewables portfolio enhanced the profitability of the segment,” said Thomas A. Gendron, Chairman and Chief Executive Officer of Woodward. “We continue to monitor our markets, customers and suppliers, while maintaining flexibility to ensure we remain well-positioned to meet near- and long-term customer demand. As an organization, we have a strong track record of managing through the cycles of our business, and we believe we have the right team, operational focus and strategy to ensure we emerge stronger when end market demand improves.”

Fiscal Year 2020 Outlook

The global economic effects associated with the COVID-19 pandemic have been unprecedented in their scope and depth. We continue to see severe volatility in our markets making even short-term forecasts challenging. With that uncertainty, we will not be providing specific financial guidance for fiscal 2020; however we anticipate our fourth quarter financial results to be similar to our third quarter.

For earnings history and earnings-related data on Woodward (WWD) click here.