Document

President and CEO Tony Najjar said, “Our strong fourth-quarter performance capped a solid year for CIRCOR, reflecting disciplined strategic execution by our entire team. For the fourth quarter, organic orders increased 19% driven by our Industrial segment, which benefited from aftermarket growth in core Industrial and a positive downstream market. For the full year 2022, we delivered 12% organic orders growth driven by aftermarket strength in both segments, commercial aerospace recovery, new products for defense and hydrogen applications, downstream, and value pricing. Our backlog at year end was up 22% to a record $543 million.”

Mr. Najjar continued, “Our value pricing initiatives and simplification actions continued to serve as growth and margin expansion levers during the quarter. We delivered a 62% increase in adjusted operating income and a 550 basis-point improvement in adjusted operating margin during Q4, more than offsetting the ongoing effects of inflation and supply chain constraints. The Q4 results represent another step change in margin performance for CIRCOR driven by the significant margin expansion in our Industrial segment and continued strong performance in our A&D segment. With the actions taken, and continued operating discipline and focus on our customers, we believe that we have positioned both segments to deliver sustained growth and shareholder value.”

Related to the Company’s previously announced review of strategic alternatives, CIRCOR’s Board of Directors, supported by external advisors and the management team, continues to progress with the review. Through its external advisors, the Board is in dialogue with a number of parties that have expressed interest in acquiring all or parts of the Company. The Company has not set a timetable for completion of the review, may suspend or terminate the review at any time and does not intend to make further announcements regarding the process unless and until the Board of Directors approves a course of action for which further disclosure is required or appropriate. The exploration of strategic alternatives may not result in any transaction or strategic change.

CIRCOR International will hold a conference call to review its fourth-quarter and full-year 2022 financial results at 9:00 a.m. ET today, March 15, 2023. The call may also include discussion of Company developments, and forward-looking and other material information about business and financial matters. To listen to the live conference call and view the accompanying presentation slides, please visit “Webcasts & Presentations” in the “Investors” portion of CIRCOR’s website. https://investors.circor.com/. The live call also can be accessed by dialing (877) 407-5790 or (201) 689-8328. Participants are encouraged to dial in to the call at least 15 minutes prior to the start time. The webcast will be archived on the Company’s website for one year.


($ millions except EPS)	Q4 2022			Q4 2021			Change		FY 2022			FY 2021			Change
Revenue1	$	214.5		$	204.9		5	%	$	786.9		$	758.7		4	%

GAAP operating income (loss)	20.2			(19.0)			206	%	62.8			(29.3)			314	%
Adjusted operating income2	33.2			20.5			62	%	87.5			54.3			61	%

GAAP operating margin	9.4		%	(9.2)		%	1860 bps		8.0		%	(3.9)		%	1190 bps
Adjusted operating margin3	15.5		%	10.0		%	550 bps		11.1		%	7.2		%	390 bps

GAAP income (loss) per share	$	0.27		$	(1.40)		119	%	$	0.95		$	(3.05)		131	%
Adjusted earnings per share (diluted)4	$	0.77		$	0.46		67	%	$	1.83		$	1.03		78	%
Operating cash flow	28.5			10.6			169	%	(0.8)			10.4			-108	%
Adjusted free cash flow5	19.8			6.4			209	%	(22.7)			(4.3)			-428	%
Orders6	$	248.9		$	220.0		13	%	$	907.2		$	850.6		7	%


($ in millions)	Q4 2022			Q4 2021			Change		FY 2022			FY 2021			Change
Aerospace & Defense
Revenue	$	79.9		$	70.0		14	%	$	282.7		$	252.5		12	%
Segment operating income	21.8			18.4			18	%	63.6			56.1			13	%
Segment operating margin	27.3		%	26.3		%	100 bps		22.5		%	22.2		%	30 bps
Orders6	$	70.8		$	73.9		(4)	%	$	308.2		$	255.2		21	%

Industrial
Revenue1	$	134.7		$	134.9		—	%	$	504.2		$	506.1		—	%

Segment operating income2	18.2			8.7			109	%	49.3			28.9			71	%

Segment operating margin3	13.5		%	6.4		%	710 bps		9.8		%	5.7		%	410 bps
Orders6	$	178.1		$	146.1		22	%	$	599.0		$	595.4		1	%

3. Adjusted operating margin is a non-GAAP financial measure. Refer to “Use of Non-GAAP Financial Measures” for an explanation of our non-GAAP financial measures and to the reconciliations included in this press release. Refer to “Use of Non-GAAP Financial Measures” for an explanation of our non-GAAP financial measures and to the reconciliations included in this press release. Adjusted operating margin for Q4 2022 and Q4 2021 included (61)% and 236%, respectively, relating to our Pipeline Engineering business.

4. Adjusted earnings per share (diluted) is a non-GAAP financial measure. Refer to “Use of Non-GAAP Financial Measures” for an explanation of our non-GAAP financial measures and to the reconciliations included in this press release. Refer to “Use of Non-GAAP Financial Measures” for an explanation of our non-GAAP financial measures and to the reconciliations included in this press release. Adjusted earnings per share and our segment results for Q4 2022 exclude net loss from non-cash acquisition-related intangible amortization and special and restructuring charges of $13.1 million, consisting of (i) $9.6 million for non-cash acquisition-related intangible amortization and depreciation expense; (ii) $0.5 million of costs due to the investigation into the accounting irregularities of our Pipeline Engineering business and incremental professional services incurred due to the restatement; (iii) $1.8 million of special charges related to the evaluation of strategic alternatives for the Company; (iv) incremental loss allowance related to a contract assumed as part of the Fluid Handling acquisition of $0.5 million ; and (v) other special and restructuring charges net of $0.7 million. Adjusted consolidated and segment results for Q4 2021 exclude net income from discontinued operations and net loss from non-cash acquisition-related intangible amortization, special and restructuring charges, and goodwill impairment charge totaling $39.4 million. These charges include: (i) $11.8 million for non-cash acquisition-related intangible amortization and depreciation expense; (ii) $8.7 million of costs related to debt refinancing; (iii) $7.9 million related to incremental loss allowance for a receivable, contract asset and sub-contractor claims for a contract assumed as part of the Fluid Handling acquisition; (iv) $0.5 million other special and restructuring recoveries; and (v) $10.5 million goodwill impairment charge related to our Industrial segment.

5. Adjusted free cash flow, a non-GAAP financial measure, is calculated by subtracting GAAP capital expenditures, net of proceeds from asset sales, from GAAP operating cash flow. Refer to “Use of Non-GAAP Financial Measures” for an explanation of our non-GAAP financial measures and to the reconciliations included in this press release. Refer to “Use of Non-GAAP Financial Measures” for an explanation of our non-GAAP financial measures and to the reconciliations included in this press release.

6. Orders, an operating measure, is defined as a legally binding agreement from an authorized individual at a customer requesting CIRCOR to provide goods and/or services at a fixed or determinable price and CIRCOR is capable of providing such goods and services, when the terms and conditions are firm enough to assure subsequent payment by the customer. Consolidated and Industrial segment orders for Q4 2022 and Q4 2021 included $0.0 million and $7.1 million, respectively, relating to our Pipeline Engineering business.

In this press release, the Company uses the non-GAAP financial measures organic revenue, adjusted net income, adjusted EBITDA, adjusted operating income, adjusted operating margin, adjusted earnings per share, adjusted free cash flow, gross debt, net of cash and net debt1. Non-GAAP financial measures are used by management in our financial and operating decision making because we believe they reflect our ongoing business and facilitate period-to-period comparisons. We believe that these non-GAAP financial measures provide useful information to investors and others in understanding and evaluating CIRCOR’s current operating performance and future prospects in the same manner as management does if they so choose. These non-GAAP financial measures can also assist investors and others in comparing CIRCOR’s current financial results with CIRCOR’s past financial results in a consistent manner.

We exclude costs and tax effects associated with special and restructuring activities, such as reducing overhead and consolidating facilities. We believe that the costs related to special and restructuring activities are not indicative of our normal operating costs. We exclude certain acquisition-related costs, including significant transaction costs and amortization of inventory and fixed-asset step-ups and the related tax effects. We exclude these costs because we do not believe they are indicative of our normal operating costs.

We exclude certain gains/losses and related tax effects, which are either isolated or cannot be expected to occur again with any predictability, and that we believe are not indicative of our normal operating gains and losses. For example, we exclude gains/losses from items such as the sale of a business, significant litigation-related matters and lump-sum pension plan settlements. We exclude the results of discontinued operations. We exclude goodwill impairment charges. We exclude these costs because we do not believe they are indicative of our normal operating costs.

CIRCOR International is one of the world’s leading providers of mission critical flow control products and services for the Industrial and Aerospace & Defense markets. The Company has a product portfolio of market-leading brands serving its customers’ most demanding applications. CIRCOR markets its solutions directly and through various sales partners to more than 14,000 customers in approximately 100 countries. The Company has a global presence with approximately 3,060 employees and is headquartered in Burlington, Massachusetts. For more information, visit the Company’s investor relations website at http://investors.circor.com.

This press release contains “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. All statements that address expectations or projections about the future, including with respect to the Company’s expectations for its performance in 2023 or relating to the Company’s strategic review are forward-looking statements. Actual results may differ materially from the expectations the Company describes in its forward-looking statements. Substantial reliance should not be placed on forward-looking statements because they involve unknown risks, uncertainties and other factors, which are, in some cases, beyond the control of CIRCOR. Important factors that could cause actual results to differ materially from expectations include, but are not limited to the inability to achieve expected results in pricing and cost out actions and the related impact on margins and cash flow; the effectiveness of the Company’s internal control over financial reporting and disclosure controls and procedures; the remediation of the material weaknesses in the Company’s internal controls over financial reporting or other potential weaknesses of which the Company is not currently aware or which have not been detected; the timing and outcome, if any, of the Company’s strategic alternatives review; the uncertainty associated with the current worldwide economic conditions and the continuing impact on economic and financial conditions in the United States and around the world, including as a result of COVID-19, rising inflation, increasing interest rates, natural disasters, military conflicts, including the conflict between Russia and Ukraine, terrorist attacks and other similar matters, and the risks detailed from time to time in the Company’s periodic reports filed with the SEC. The Company has provided additional information about the risks facing the business in its annual report on Form 10-K and subsequent periodic and current reports most recently filed with the Securities and Exchange Commission. These forward-looking statements are made as of the date of this press release, and the Company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by law.


	Three Months Ended				Twelve Months Ended
	December 31, 2022		December 31, 2021		December 31, 2022		December 31, 2021
Net revenues	$	214,527	$	204,917	$	786,919	$	758,667
Cost of revenues	138,172		140,348		529,832		528,291
Gross profit	76,355		64,569		257,087		230,376
Selling, general and administrative expenses	52,777		55,556		213,294		224,927
Goodwill Impairment charges	—		10,500		—		10,500
Special and restructuring charges (recoveries), net	3,417		17,464		(19,013)		24,272
Operating income (loss)	20,161		(18,951)		62,806		(29,323)
Other expense (income):
Interest expense, net	13,405		8,040		44,886		32,365
Other income, net	(426)		(525)		(5,747)		(3,826)
Total other expense, net	12,979		7,515		39,139		28,539
Income (loss) from continuing operations before income taxes	7,182		(26,466)		23,667		(57,862)
Provision for income taxes	1,743		1,976		4,279		5,182
Income (loss) from continuing operations, net of tax	5,439		(28,442)		19,388		(63,044)
Income from discontinued operations, net of tax	—		—		—		1,406
Net income (loss)	$	5,439	$	(28,442)	$	19,388	$	(61,638)

Basic income (loss) per common share:
Basic from continuing operations	$	0.27	$	(1.40)	$	0.95	$	(3.12)
Basic from discontinued operations	$	—	$	—	$	—	$	0.07
Net income (loss)	$	0.27	$	(1.40)	$	0.95	$	(3.05)

Diluted income (loss) per common share:
Diluted from continuing operations	$	0.27	$	(1.40)	$	0.95	$	(3.12)
Diluted from discontinued operations	$	—	$	—	$	—	$	0.07
Net income (loss)	$	0.27	$	(1.40)	$	0.95	$	(3.05)

Weighted average number of common shares outstanding:
Basic	20,366		20,261		20,350		20,201
Diluted	20,480		20,261		20,427		20,201

(in thousands) (unaudited)


	Twelve Months Ended
	December 31, 2022		December 31, 2021
OPERATING ACTIVITIES
Net Income (loss)	$	19,388	$	(61,638)
Income (loss) from discontinued operations, net of income taxes	—		1,406
Income (Loss) from continuing operations, net of tax	19,388		(63,044)
Adjustments to reconcile net income (loss) to net cash (used in) provided by operating activities:
Depreciation	19,691		22,854
Amortization	36,360		42,304
Change in provision for bad debt expense	(813)		1,213
Write down of inventory	2,606		3,364

Compensation expense of share-based plans	1,880		5,252
Loss on debt extinguishment	4,977		8,693

Amortization of debt issuance costs	3,645		3,996
Deferred income tax (benefit) provision	(3,709)		(2,992)


Goodwill impairment charges	—		10,500
Other impairment charges	8,011		—
Loss (gain) on sale of businesses	—		1,919
Gain on sale of real estate	(47,977)		—
Loss on deconsolidation charges	4,675		—
Changes in operating assets and liabilities, net of effects of acquisitions and divestitures:
Trade accounts receivable	(9,649)		(6,308)
Inventories	(26,299)		(6,974)
Prepaid expenses and other assets	(22,218)		(23,665)
Accounts payable, accrued expenses and other liabilities	8,611		15,820

Net cash (used in) provided by continuing operations	(821)		12,932
Net cash used in discontinued operations	—		(2,484)
Net cash (used in) provided by operating activities	(821)		10,448
INVESTING ACTIVITIES
Additions of property, plant and equipment	(21,988)		(14,747)
Proceeds from the sale of property, plant and equipment	104		2


Proceeds from beneficial interest of factored receivables	4,484		2,047
Proceeds from sale of real estate	54,945		—
Proceeds from sale of business	—		9,993



Net cash provided by (used in) investing activities	37,545		(2,705)
FINANCING ACTIVITIES
Proceeds from long-term debt	219,266		734,612
Payments of long-term debt	(227,041)		(729,551)
Net change in short-term borrowings	(1,573)		(374)
Equipment financing	894		—
Proceeds from the exercise of stock options	—		151
Withholding tax payments on net share settlements on equity rewards	(1,311)		(4,209)
Payment of debt issuance costs	(16,701)		(12,157)


Net cash used in financing activities	(26,466)		(11,528)
Effect of exchange rate changes on cash, cash equivalents and restricted cash	(4,908)		(3,448)
INCREASE (DECREASE) IN CASH, CASH EQUIVALENTS AND RESTRICTED CASH	5,350		(7,233)
Cash, cash equivalents and restricted cash at beginning of year	61,374		68,607
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH AT END OF YEAR	$	66,724	$	61,374


	December 31,
	2022		2021
ASSETS
CURRENT ASSETS:
Cash and cash equivalents	$	64,275	$	59,924

Trade accounts receivable, net	109,754		100,149
Inventories	139,786		123,343

Prepaid expenses and other current assets	117,766		110,749



Total Current Assets	431,581		394,165
PROPERTY, PLANT AND EQUIPMENT, NET	141,141		154,461
OTHER ASSETS:
Goodwill	119,847		122,906
Intangibles, net	256,338		303,476

Deferred income taxes	512		756

Lease right-of-use assets, net	42,491		21,139
Other assets	20,777		22,395
TOTAL ASSETS	$	1,012,687	$	1,019,298
LIABILITIES AND SHAREHOLDERS’ EQUITY
CURRENT LIABILITIES:
Accounts payable	$	78,778	$	83,382
Accrued expenses and other current liabilities	84,510		81,998
Accrued compensation and benefits	30,817		26,551


Short-term borrowings and current portion of long-term debt	—		1,611
Total Current Liabilities	194,105		193,542
Long-term debt	496,534		511,694
Deferred income taxes	18,238		21,721
Pension liability, net	85,968		120,881

Long-term lease liabilities	38,480		17,715
OTHER NON-CURRENT LIABILITIES	20,316		20,029
COMMITMENTS AND CONTINGENCIES
SHAREHOLDERS’ EQUITY:
Preferred stock, $0.01 par value; 1,000,000 shares authorized; — shares issued and outstanding	—		—
Common stock, $0.01 par value; 29,000,000 shares authorized; 21,736,911 and 21,633,131 shares issued at December 31, 2022 and 2021, respectively	218		217
Additional paid-in capital	456,102		454,852
Accumulated deficit	(178,693)		(198,081)
Common treasury stock, at cost (1,372,488 shares at December 31, 2022 and 2021)	(74,472)		(74,472)
Accumulated other comprehensive loss	(44,109)		(48,800)
Total Shareholders’ Equity	159,046		133,716
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY	$	1,012,687	$	1,019,298


	Three Months Ended				Twelve Months Ended
	December 31, 2022		December 31, 2021		December 31, 2022		December 31, 2021

ORDERS (1)
Aerospace & Defense	$	70.8	$	73.9	$	308.2	$	255.2
Industrial	178.1		146.1		599.0		595.4
Total orders	$	248.9	$	220.0	$	907.2	$	850.6


	December 31, 2022		December 31, 2021
BACKLOG (2)
Aerospace & Defense	$	208.3	$	185.3
Industrial	334.8		258.4
Total backlog	$	543.1	$	443.7
1. Orders do not include the foreign exchange impact due to the re-measurement of customer backlog amounts denominated in foreign currencies. Industrial includes $0.0 million and $7.1 million orders in Pipeline Engineering for the three months ended December 31, 2022 and December 31, 2021 respectively. Industrial includes $2.3 million and $24.4 million orders for Pipeline Engineering for the twelve months ended December 31, 2022 and December 31, 2021 respectively.
2. Backlog includes unshipped customer orders for which revenue has not been recognized. Industrial includes $1.2 million Pipeline Engineering for 2021.


	2021															2022
	1ST QTR			2ND QTR			3RD QTR			4TH QTR			TOTAL			1ST QTR			2ND QTR			3RD QTR			4TH QTR			TOTAL
ORDERS
Aerospace & Defense	$	72,999		$	54,243		$	54,028		$	73,898		$	255,168		$	77,890		$	69,053		$	90,486		$	70,778		$	308,207
Industrial	153,695			155,959			139,691			146,065			595,410			143,727			139,370			137,848			178,069			599,014
Total	$	226,693		$	210,203		$	193,719		$	219,964		$	850,578		$	221,617		$	208,423		$	228,334		$	248,847		$	907,221

NET REVENUES
Aerospace & Defense	$	58,488		$	60,613		$	63,461		$	69,979		$	252,541		$	63,370		$	67,271		$	72,219		$	79,855		$	282,715
Industrial	117,963			126,977			126,248			134,938			506,126			122,285			124,105			123,143			134,672			504,204
Total	$	176,451		$	187,590		$	189,709		$	204,917		$	758,667		$	185,655		$	191,376		$	195,362		$	214,527		$	786,919

SEGMENT OPERATING INCOME
Aerospace & Defense	$	9,988		$	11,741		$	15,927		$	18,416		$	56,073		$	11,320		$	13,566		$	16,891		$	21,807		$	63,584
Industrial	5,834			7,237			7,124			8,700			28,896			6,857			8,484			15,717			18,244			49,302
Corporate expenses	(9,035)			(7,950)			(7,017)			(6,636)			(30,638)			(7,770)			(5,485)			(5,301)			(6,828)			(25,384)
Total	$	6,787		$	11,028		$	16,034		$	20,480		$	54,331		$	10,407		$	16,565		$	27,307		$	33,223		$	87,502

SEGMENT OPERATING MARGIN %
Aerospace & Defense	17.1		%	19.4		%	25.1		%	26.3		%	22.2		%	17.9		%	20.2		%	23.4		%	27.3		%	22.5		%
Industrial	4.9		%	5.7		%	5.6		%	6.4		%	5.7		%	5.6		%	6.8		%	12.8		%	13.5		%	9.8		%
Total	3.8		%	5.9		%	8.5		%	10.0		%	7.2		%	5.6		%	8.7		%	14.0		%	15.5		%	11.1		%

	2021															2022
Pipeline Engineering1	1ST QTR			2ND QTR			3RD QTR			4TH QTR			TOTAL			1ST QTR			2ND QTR			3RD QTR			4TH QTR			TOTAL
ORDERS - Industrial	$	5,531		$	5,192		$	6,575		$	7,121		$	24,419		$	2,260		$	—		$	—		$	—		$	2,260
NET REVENUES - Industrial	$	2,994		$	3,124		$	3,236		$	5,248		$	14,602		$	3,012		$	218		$	8		$	11		$	3,249
SEGMENT OP. INC. -Industrial	$	(2,479)		$	(1,754)		$	(2,470)		$	(3,191)		$	(9,893)		$	(3,190)		$	(1,074)		$	(150)		$	26		$	(4,388)
Segment Operating Margin %	(82.8)		%	(56.1)		%	(76.3)		%	(60.8)		%	(67.8)		%	(105.9)		%	(492.7)		%	(1875.0)		%	236.4		%	(135.1)		%

1. Quantifies the impact of the Pipeline Engineering business on the Industrial Segment.


	2021										2022
	1ST QTR		2ND QTR		3RD QTR		4TH QTR		TOTAL		1ST QTR		2ND QTR		3RD QTR		4TH QTR		TOTAL

Net Cash (Used In) Provided By Operating Activities	$	(19,210)	$	8,866	$	10,197	$	10,595	$	10,448	$	(15,924)	$	(3,593)	$	(9,815)	$	28,511	$	(821)
LESS
Capital expenditures, net of sale proceeds1	3,392		2,644		4,541		4,168		14,745		3,592		5,461		4,156		8,675		21,884
ADJUSTED FREE CASH FLOW	$	(22,602)	$	6,222	$	5,656	$	6,427	$	(4,297)	$	(19,516)	$	(9,054)	$	(13,971)	$	19,836	$	(22,705)


Gross Debt	$	538,541	$	524,391	$	518,464	$	526,311	$	526,311	$	547,681	$	543,100	$	522,975	$	516,925	$	516,925
Less: Cash & Cash equivalents	64,837		58,862		58,013		59,924		59,924		61,122		55,238		47,131		64,275		64,275
GROSS DEBT, NET OF CASH	$	473,704	$	465,529	$	460,451	$	466,387	$	466,387	$	486,559	$	487,862	$	475,844	$	452,650	$	452,650

TOTAL SHAREHOLDERS' EQUITY	$	138,663	$	122,185	$	121,256	$	133,716	$	133,716	$	110,321	$	103,663	$	122,082	$	159,046	$	159,046

GROSS DEBT AS % OF EQUITY	388%		429%		428%		394%		394%		496%		524%		428%		325%		325%
GROSS DEBT, NET OF CASH AS % OF EQUITY	342%		381%		380%		349%		349%		441%		471%		390%		285%		285%

1. Includes capital expenditures, net of proceeds of asset sales from GAAP operating cash flow.


	2021										2022
	1ST QTR		2ND QTR		3RD QTR		4TH QTR		TOTAL		1ST QTR		2ND QTR		3RD QTR		4TH QTR		TOTAL
NET (LOSS) INCOME	$	(11,796)	$	(18,784)	$	(2,629)	$	(28,427)	$	(61,638)	$	(21,481)	$	3,960	$	31,470	$	5,439	$	19,388
LESS:
Restructuring related inventory charges (recoveries), net	—		958		(60)		(299)		599		2,757		—		—		—		2,757
Restructuring charges (recoveries), net	2,060		2,281		(312)		205		4,234		6,447		4,695		(173)		97		11,066
Acquisition amortization	10,487		10,498		10,417		10,369		41,772		9,391		9,178		9,118		8,651		36,338
Acquisition depreciation	2,375		1,327		1,412		1,397		6,511		1,045		1,239		1,335		995		4,614
Special (recoveries) charges, net	(2,870)		4,523		1,126		17,259		20,038		2,556		(10,425)		(25,529)		3,319		(30,079)
Goodwill Impairment charge	—		—		—		10,500		10,500		—		—		—		—		—
Income tax impact	(44)		2,425		(596)		(1,622)		163		384		(2,207)		(2,066)		(2,739)		(6,628)
Net loss (income) from discontinued operations	239		878		(2,510)		(13)		(1,406)		—		—		—		—		—
ADJUSTED NET INCOME	$	451	$	4,106	$	6,848	$	9,369	$	20,773	$	1,099	$	6,440	$	14,155	$	15,762	$	37,456

(LOSS) EARNINGS PER COMMON SHARE (Diluted)	$	(0.59)	$	(0.93)	$	(0.13)	$	(1.40)	$	(3.05)	$	(1.06)	$	0.19	$	1.54	$	0.27	$	0.95
LESS:
Restructuring related inventory charges	—		0.05		—		(0.01)		0.03		0.14		—		—		—		0.14
Restructuring charges (recoveries), net	0.10		0.11		(0.02)		0.01		0.21		0.32		0.23		(0.01)		—		0.54
Acquisition amortization	0.52		0.52		0.51		0.51		2.07		0.46		0.45		0.45		0.42		1.78
Acquisition depreciation	0.12		0.07		0.07		0.07		0.32		0.05		0.06		0.07		0.05		0.23
Special (recoveries) charges, net	(0.14)		0.22		0.06		0.85		0.99		0.13		(0.51)		(1.25)		0.16		(1.47)
Impairment charge	—		—		—		0.52		0.52		—		—		—		—		—
Income tax impact	—		0.12		(0.03)		(0.08)		0.01		0.02		(0.11)		(0.10)		(0.13)		(0.32)
(Loss) earnings) per share from discontinued operations	0.01		0.04		(0.12)		—		(0.07)		—		—		—		—		—
ADJUSTED EARNINGS PER SHARE (Diluted)	$	0.02	$	0.20	$	0.34	$	0.46	$	1.03	$	0.05	$	0.32	$	0.69	$	0.77	$	1.83


	2021										2022
	1ST QTR		2ND QTR		3RD QTR		4TH QTR		TOTAL		1ST QTR		2ND QTR		3RD QTR		4TH QTR		TOTAL

NET INCOME (LOSS)	$	(11,796)	$	(18,784)	$	(2,629)	$	(28,427)	$	(61,638)	$	(21,481)	$	3,960	$	31,470	$	5,439	$	19,388
LESS:
Interest expense, net	8,369		7,958		7,997		8,040		32,365		9,456		10,203		11,821		13,405		44,886
Depreciation	6,509		5,460		5,536		5,348		22,854		5,000		5,056		4,956		4,679		19,691
Amortization	10,696		10,657		10,576		10,375		42,304		9,397		9,183		9,124		8,656		36,360
Provision for income taxes	(297)		2,659		850		1,970		5,182		1,523		(647)		1,661		1,742		4,279
Loss (income) from discontinued operations	239		878		(2,510)		(13)		(1,406)		—		—		—		—		—
EBITDA	$	13,720	$	8,828	$	19,820	$	(2,707)	$	39,661	$	3,895	$	27,755	$	59,032	$	33,921	$	124,604
LESS:
Restructuring related inventory charges (recoveries)	—		958		(60)		(299)		599		2,757		—		—		—		2,757
Restructuring charges (recoveries), net	2,060		2,281		(312)		205		4,234		6,447		4,695		(173)		97		11,066
Special (recoveries) charges, net	(2,870)		4,523		1,126		17,259		20,038		2,556		(10,425)		(25,529)		3,319		(30,079)
Goodwill impairment charge	—		—		—		10,500		10,500		—		—		—		—		—
ADJUSTED EBITDA	$	12,910	$	16,590	$	20,574	$	24,958	$	75,032	$	15,655	$	22,025	$	33,330	$	37,337	$	108,348


	2021															2022
	1ST QTR			2ND QTR			3RD QTR			4TH QTR			TOTAL			1ST QTR			2ND QTR			3RD QTR			4TH QTR			TOTAL

OPERATING (LOSS) INCOME	$	(5,266)		$	(8,557)		$	3,451		$	(18,952)		$	(29,323)		$	(11,789)		$	11,878		$	42,556		$	20,161		$	62,806
LESS:
Restructuring related inventory charges (recoveries)	—			958			(60)			(299)			599			2,757			—			—			—			2,757
Restructuring charges (recoveries), net	2,060			2,281			(312)			205			4,234			6,447			4,695			(173)			97			11,066
Acquisition amortization	10,487			10,498			10,417			10,370			41,772			9,391			9,178			9,118			8,651			36,338
Acquisition depreciation	2,375			1,326			1,412			1,397			6,511			1,045			1,239			1,335			995			4,614
Special (recoveries) charges, net	(2,870)			4,523			1,126			17,259			20,038			2,556			(10,425)			(25,529)			3,319			(30,079)
Goodwill impairment charge	—			—			—			10,500			10,500			—			—			—			—			—
ADJUSTED OPERATING INCOME	$	6,787		$	11,028		$	16,034		$	20,480		$	54,331		$	10,407		$	16,565		$	27,307		$	33,223		$	87,502

OPERATING MARGIN	(3.0)		%	(4.6)		%	1.8		%	(9.2)		%	(3.9)		%	(6.3)		%	6.2		%	21.8		%	9.4		%	8.0		%
LESS:
Restructuring related inventory charges (recoveries)	0.0		%	0.5		%	0.0		%	(0.1)		%	0.1		%	1.5		%	0.0		%	0.0		%	0.0		%	0.4		%
Restructuring charges (recoveries), net	1.2		%	1.2		%	(0.2)		%	0.1		%	0.6		%	3.5		%	2.5		%	(0.1)		%	0.0		%	1.4		%
Acquisition amortization	5.9		%	5.6		%	5.5		%	5.1		%	5.5		%	5.1		%	4.8		%	4.7		%	4.0		%	4.6		%
Acquisition depreciation	1.3		%	0.7		%	0.7		%	0.7		%	0.9		%	0.6		%	0.6		%	0.7		%	0.5		%	0.6		%
Special (recoveries) charges, net	(1.6)		%	2.4		%	0.6		%	8.4		%	2.6		%	1.4		%	(5.4)		%	(13.1)		%	1.5		%	(3.8)		%
Goodwill impairment charge	0.0		%	0.0		%	0.0		%	5.1		%	1.4		%	0.0		%	0.0		%	0.0		%	0.0		%	0.0		%
ADJUSTED OPERATING MARGIN	3.8		%	5.9		%	8.5		%	10.0		%	7.2		%	5.6		%	8.7		%	14.0		%	15.5		%	11.1		%


Q4'22 Organic Orders and Revenue

	CIRCOR				Aerospace & Defense				Industrial
	4Q 22	4Q 21	Variance		4Q 22	4Q 21	Variance		4Q 22	4Q 21	Variance
Orders	248,847	219,964	13	%	70,778	73,898	(4)	%	178,069	146,065	22	%
Divestitures	—	—			—	—			—	—
FX	13,096				2,263				10,833
Organic	261,943	219,964	19	%	73,041	73,898	(1)	%	188,902	146,065	29	%



	CIRCOR				Aerospace & Defense				Industrial
	4Q 22	4Q 21	Variance		4Q 22	4Q 21	Variance		4Q 22	4Q 21	Variance
Revenue	214,527	204,917	5	%	79,855	69,979	14	%	134,672	134,938	—	%
Divestitures	—	—			—	—			—	—
FX	12,360				2,516				9,844
Organic	226,887	204,917	11	%	82,371	69,979	18	%	144,516	134,938	7	%

FY'22 Organic Orders and Revenue

	CIRCOR				Aerospace & Defense				Industrial
	FY 22	FY 21	Variance		FY 22	FY 21	Variance		FY 22	FY 21	Variance
Orders	907,221	850,578	7	%	308,207	255,168	21	%	599,014	595,410	1	%
Divestitures	—	—			—	—			—	—
FX	49,518				9,241				40,277
Organic	956,739	850,578	12	%	317,448	255,168	24	%	639,291	595,410	7	%

	CIRCOR				Aerospace & Defense				Industrial
	FY 22	FY 21	Variance		FY 22	FY 21	Variance		FY 22	FY 21	Variance
Revenue	786,919	758,667	4	%	282,715	252,541	12	%	504,204	506,126	—	%
Divestitures	—	—			—	—			—	—
FX	42,923				8,037				34,886
Organic	829,842	758,667	9	%	290,752	252,541	15	%	539,090	506,126	7	%