10-K annual report · filed Nov 14, 2016

Moog Inc (MOG-A) FY2016 10-K Annual Report

Short answer

Moog Inc (MOG-A) filed its fiscal 2016 10-K annual report with the SEC on Nov 14, 2016. It reported revenue of $2.4B and net income of $127M.

  • Top risk flagged: Government-contract compliance: Procurement rules and False Claims Act exposure, including fines, penalties, withheld payments or debarment

FY2016 key financial metrics · XBRL

Revenue
$2.4B
Net income
$127M
Operating margin
9.9%
Gross margin
29.5%
EPS (diluted)
$3.47
ROE
12.8%
Operating cash flow
$216M

Source: XBRL data from the Moog Inc (MOG-A) FY2016 10-K on SEC EDGAR. USD.

Moog Inc FY2016 10-K analysis

AI summary of each section, grounded in the filing text

Business Overview

  • Precision motion and fluid-control designer, manufacturer and systems integrator serving aerospace, defense and industrial markets
  • Four operating segments: Aircraft Controls, Space and Defense Controls, Industrial Systems and Components
  • Twelve-month backlog $1.2 billion as of October 1, 2016, down 4% year over year
  • R&D exceeded 6% of sales, with expense at least $130 million for the third consecutive year
  • Aerospace and defense OEMs contributed 52% of 2016 sales, while U.S. Government contracts represented 30% of total sales

Management Discussion & Analysis

  • Net sales $2.412B, down $114M or 4% YoY, with currency translation reducing sales by $26M
  • Gross margin 29.5% vs 29.2%; operating profit $238M, down 3%; net earnings $127M, down 4%
  • Best segment Space and Defense Controls: operating margin 11.3% vs 8.7%; worst Components: sales down $69M, operating margin 10.7% vs 12.5%
  • Operating cash flow $216M; capex $67M; stock repurchases $39M for approximately 850,000 shares
  • 2017 outlook: sales $2.4B, operating margin 10.3%, EPS $3.30 to $3.70; risks include defense-budget uncertainty and lower oil exploration demand

Risk Factors

  • Government-contract compliance: Procurement rules and False Claims Act exposure, including fines, penalties, withheld payments or debarment
  • Defense funding: U.S. Government contracts represented 30% of 2016 sales, with sequestration reducing DoD spending by approximately $500 billion
  • Supply chain: Subcontractor or supplier failures could delay components and trigger customer default termination
  • Customer concentration: Boeing represented 14% of 2016 sales, creating material exposure to reduced orders or customer loss
  • Financial leverage: Significant indebtedness and restrictive covenants could limit acquisitions, capital spending and operational flexibility

Generated from the filing text; verify against the original. How to read a 10-K

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