Revenue

9 Months Ended

Jun. 30, 2025

Revenue from Contract with Customer [Abstract]

Revenue

Note 3. Revenue

The amount of revenue recognized as point in time or over time were as follows:

	Three Months Ended June 30, 2025						Three Months Ended June 30, 2024
	Aerospace		Industrial		Consolidated		Aerospace		Industrial		Consolidated
Point in time	$	235,566	$	182,698	$	418,264	$	219,318	$	206,746	$	426,064
Over time		360,424		136,758		497,182		298,242		123,382		421,624
Total net sales	$	595,990	$	319,456	$	915,446	$	517,560	$	330,128	$	847,688

	Nine Months Ended June 30, 2025						Nine Months Ended June 30, 2024
	Aerospace		Industrial		Consolidated		Aerospace		Industrial		Consolidated
Point in time	$	650,576	$	516,567	$	1,167,143	$	636,992	$	596,608	$	1,233,600
Over time		1,001,025		403,632		1,404,657		838,836		397,325		1,236,161
Total net sales	$	1,651,601	$	920,199	$	2,571,800	$	1,475,828	$	993,933	$	2,469,761

Accounts Receivable

Accounts receivable consisted of the following:

	June 30, 2025			September 30, 2024
Billed receivables
Trade accounts receivable	$	475,152		$	455,831
Other (Chinese financial institutions)		163			1,403
Total billed receivables		475,315			457,234
Current unbilled receivables (contract assets)		363,242			320,570
Total accounts receivable		838,557			777,804
Less: Allowance for uncollectible amounts		(8,976	)		(7,738	)
Total accounts receivable, net	$	829,581		$	770,066

As of June 30, 2025, “Other assets” on the Condensed Consolidated Balance Sheets includes $9,862 of unbilled receivables not expected to be invoiced and collected within a period of twelve months, compared to $11,237 as of September 30, 2024.

Accounts receivable in Woodward’s Condensed Consolidated Financial Statements represent the net amount expected to be collected, and an allowance for uncollectible amounts related to credit losses is established based on expected losses. Expected losses are estimated by reviewing specific customer accounts, taking into consideration accounts receivable aging, credit risk of the customers, and historical payment history, as well as current and forecasted economic conditions and other relevant factors.

The allowance for uncollectible amounts and change in expected credit losses for trade accounts receivable and unbilled receivables (contract assets) consisted of the following:

	Three Months Ended June 30,						Nine Months Ended June 30,
	2025			2024			2025			2024
Balance, beginning	$	8,558		$	7,126		$	7,738		$	5,847
Changes in estimates		519			835			1,325			2,531
Write-offs		—			(13	)		(120	)		(488	)
Other1		(101	)		(987	)		33			(929	)
Balance, ending	$	8,976		$	6,961		$	8,976		$	6,961

(1)Includes effects of foreign exchange rate changes during the period.

Contract liabilities

Contract liabilities consisted of the following:

	June 30, 2025				September 30, 2024
	Current		Noncurrent		Current		Noncurrent
Deferred revenue from material rights from JV formation	$	7,119	$	232,173	$	6,580	$	232,164
Deferred revenue from advanced invoicing and/or prepayments from customers		15,016		4,678		23,706		6,437
Liability related to customer supplied inventory		17,247		—		20,563		—
Deferred revenue from material rights related to engineering and development funding		8,908		194,384		5,942		186,008
Net contract liabilities	$	48,290	$	431,235	$	56,791	$	424,609

Woodward recognized revenue of $5,157 in the three months and $26,275 in the nine months ended June 30, 2025 from contract liabilities balances recorded as of October 1, 2024, compared to $16,396 in the three months and $37,661 in the nine months ended June 30, 2024 from contract liabilities balances recorded as of October 1, 2023.

Remaining performance obligations

Remaining performance obligations related to the aggregate amount of the total contract transaction price of firm orders for which the performance obligation has not yet been recognized in revenue as of June 30, 2025 were $3,146,145, compared to $2,932,793 as of September 30, 2024, the majority of which relates to Woodward’s Aerospace segment in both periods. Woodward expects to recognize almost all remaining performance obligations within two years after June 30, 2025.

Remaining performance obligations related to material rights that have not yet been recognized in revenue as of June 30, 2025 were $512,444, of which $4,957 is expected to be recognized in the remainder of fiscal year 2025, $15,656 is expected to be recognized in fiscal year 2026, and the remaining balance is expected to be recognized thereafter. Woodward expects to recognize revenue from performance obligations related to material rights over the life of the underlying programs, which may be as long as forty years.

Disaggregation of Revenue

Woodward designs, produces, and services reliable, efficient, low-emission, and high-performance energy control products for diverse applications in markets throughout the world. Woodward reports financial results for each of its reportable segments, Aerospace and Industrial, and further disaggregates its revenue from contracts with customers by primary market as Woodward believes this best depicts how the nature, amount, timing, and uncertainty of its revenue and cash flows are affected by economic factors.

Revenue by primary market for the Aerospace reportable segment were as follows:

	Three Months Ended June 30,				Nine Months Ended June 30,
	2025		2024		2025		2024
Commercial OEM	$	175,226	$	189,697	$	496,763	$	544,568
Commercial aftermarket		215,451		165,718		581,162		467,148
Defense OEM		150,358		96,557		401,068		280,999
Defense aftermarket		54,955		65,588		172,608		183,113
Total Aerospace segment net sales	$	595,990	$	517,560	$	1,651,601	$	1,475,828

Revenue by primary market for the Industrial reportable segment were as follows:

	Three Months Ended June 30,				Nine Months Ended June 30,
	2025		2024		2025		2024
Power generation	$	109,341	$	109,583	$	325,607	$	314,500
Transportation		143,652		163,310		401,992		511,565
Oil and gas		66,463		57,235		192,600		167,868
Total Industrial segment net sales	$	319,456	$	330,128	$	920,199	$	993,933

The customers who each account for approximately 10% or more of net sales of each of Woodward’s reportable segments were as follows:

	Three Months Ended June 30, 2025	Three Months Ended June 30, 2024
Aerospace	RTX Corporation, GE Aerospace, The Boeing Company	RTX Corporation, GE Aerospace, The Boeing Company
Industrial	Rolls-Royce PLC, Caterpillar, Inc., Wärtsilä	Weichai Power, Rolls-Royce PLC, GE Vernova, Inc.

	Nine Months Ended June 30, 2025	Nine Months Ended June 30, 2024
Aerospace	RTX Corporation, GE Aerospace, The Boeing Company	RTX Corporation, The Boeing Company, GE
Industrial	Rolls-Royce PLC, Caterpillar, Inc.	Weichai Power, Rolls-Royce PLC

On April 2, 2024, The General Electric Company ("GE") split into two separate companies, GE Aerospace and GE Vernova. During fiscal year 2024, we engaged in transactions with GE prior to its split, and subsequently engaged in transactions with both GE Aerospace and GE Vernova. Sales listed with "GE" represent the legacy General Electric Company, and any sales following the split are listed as GE Aerospace and GE Vernova as applicable.