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What changed in Crane Co's 10-K — 2024 vs 2025

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Paragraph-level year-over-year comparison of Crane Co's 2024 and 2025 10-K annual filings, covering the Business, Risk Factors, Legal Proceedings, Cybersecurity, MD&A and Market Risk sections. Every new, removed and edited paragraph is highlighted side-by-side so you can see exactly what management changed in the 2025 report.

+172 added−194 removedSource: 10-K (2026-02-26) vs 10-K (2025-02-27)

Top changes in Crane Co's 2025 10-K

172 paragraphs added · 194 removed · 148 edited across 8 sections

Item 1. Business

Business — how the company describes what it does

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Biggest changeA&E’s integrated capabilities include the following: • Power Solutions: Provides enabling technology to accelerate electrification of air, land, space and sea vehicles and systems. • Sensing Systems: Provides components and systems for condition and position sensing, and pressure and flow measurement, with high-accuracy, reliability and engineering to excel in rugged aerospace environments. • Fluid & Thermal Management: Designs and manufactures positive displacement pumps, centrifugal pumps and true mass flowmeters for aerospace and defense applications. • Landing Systems: Provides hydraulic and electric brake control systems with antiskid and autobrake functionality, as well as electronic and hydraulic subsystems for landing gear control. • Microwave Solutions: Designs and manufactures high-performance radio frequency and intermediate frequency components and millimeter-wave systems and subsystems for defense, space and commercial end-use customers.
Biggest changeWith the acquisition of Druck, these capabilities have been expanded to include test and calibration equipment. • Fluid & Thermal Management: Designs and manufactures positive displacement pumps, centrifugal pumps and true mass flowmeters for aerospace and defense applications. • Landing Systems: Provides hydraulic and electric brake control systems with antiskid and autobrake functionality, as well as electronic and hydraulic subsystems for landing gear control. 7 Table of Contents • Microwave Solutions: Designs and manufactures high-performance radio frequency and intermediate frequency components and millimeter-wave systems and subsystems for defense, space and commercial end-use customers.
The primary geographies served by the manufacturing operations are the United Kingdom, the Middle East and continental Europe. Our portfolio strategically targets the higher growth and less cyclical chemical, pharmaceutical, cryogenic, water and wastewater and general industrial industries.
The primary geographies served by the manufacturing operations are the United Kingdom, the Middle East and continental Europe. Our portfolio strategically targets the higher growth and less cyclical pharmaceutical, cryogenic, water and wastewater, chemical and general industrial industries.
The segment is also positioned to benefit from underlying market growth driven by increasing new commercial aircraft deliveries, air passenger travel growth, defense investment, ongoing maintenance, repair and overhaul organizations requirements and emerging applications in the space market, as well as a strong trend driving greater electrification for aerospace and defense applications.
The segment is also positioned to benefit from underlying market growth driven by increasing new commercial aircraft deliveries, air passenger travel growth, defense investment, ongoing maintenance, repair and overhaul requirements and emerging applications in the space market, as well as a strong trend driving greater electrification for aerospace and defense applications.
Manufacturing facilities, along with sales and service centers, are located across North America, Europe, the Middle East, Asia and Australia. • Pumps and Systems: Manufactures pumps products for water and wastewater applications, primarily in the United States municipal and industrial markets. • Commercial Valves: Manufactures valves and related products for the non-residential construction, gas utility and municipal markets.
Manufacturing facilities, along with sales and service centers, are located across North America, South America, Europe, the Middle East, Asia and Australia. • Pumps and Systems: Manufactures pumps products for water and wastewater applications, primarily in the United States municipal and industrial markets. • Commercial Valves: Manufactures valves and related products for the non-residential construction, gas utility and municipal markets.
Although market forces have at times , including in 2024, caused increases in the costs of key raw materials, there have been no raw materials shortages that have had a material adverse impact on our business. We believe that we will generally be able to obtain adequate supplies of major raw material requirements or reasonable substitutes at acceptable costs.
Although market forces have at times caused increases in the costs of key raw materials, there have been no raw materials shortages that have had a material adverse impact on our business. We believe that we will generally be able to obtain adequate supplies of major raw material requirements or reasonable substitutes at acceptable costs.
Human Capital Resources To remain a leading manufacturer of highly engineered industrial products, it is important that we continue to attract, develop, and retain exceptional talent across our global enterprise consistent with our culture. The Company has a diverse global workforce located in 23 countries, spanning five continents.
Human Capital Resources To remain a leading manufacturer of highly engineered industrial products, it is important that we continue to attract, develop, and retain exceptional talent across our global enterprise consistent with our culture. The Company has a diverse global workforce located in 29 countries, spanning five continents.
Facilities are located in the United States, Taiwan, and France. Process Flow Technologies The Process Flow Technologies segment is a provider of highly engineered fluid handling equipment for mission critical applications that require high reliability.
Manufacturing facilities are located in the United States, United Kingdom, Taiwan, and France. Process Flow Technologies The Process Flow Technologies segment is a provider of highly engineered fluid handling equipment for mission critical applications that require high reliability.
For a discussion of risks related to employee relations, please refer to Item 1A. “Risk Factors.” 9 Table of Contents Available Information We file annual, quarterly and current reports and amendments to these reports, proxy statements and other information with the U.S. Securities and Exchange Commission (“SEC”).
For a discussion of risks related to employee relations, please refer to Item 1A. “Risk Factors.” Available Information We file annual, quarterly and current reports and amendments to these reports, proxy statements and other information with the U.S. Securities and Exchange Commission (“SEC”).
Throughout this Annual Report on Form 10-K, unless otherwise indicated, amounts and activity are presented on a continuing operations basis. See Item 8 under Note 3, “Discontinued Operations,” in the Notes to Consolidated Financial Statements for additional details. Acquisitions On November 1, 2024, the Company completed the acquisition of Technifab Products, Inc. (“Technifab”).
Throughout this Annual Report on Form 10-K, unless otherwise indicated, amounts and activity are presented on a continuing operations basis. See Item 8 under Note 3, “Discontinued Operations,” in the Notes to Consolidated Financial Statements for additional details. 6 Table of Contents Other Acquisitions On November 1, 2024, the Company completed the acquisition of Technifab Products, Inc. (“Technifab”).
We determined that the Engineered Materials segment met the criteria of being reported as a discontinued operation as of December 31, 2024. As a result, the related assets, liabilities and operating results of Engineered Materials are presented as discontinued operations and, as such, have been excluded from both continuing operations and segment results for all periods presented.
The Engineered Materials segment met the criteria of being reported as a discontinued operation as of December 31, 2024. As a result, the related assets, liabilities and operating results of Engineered Materials are presented as discontinued operations and, as such, have been excluded from both continuing operations and segment results for all periods presented.
A&E has a long-term growth profile driven by positions on market leading platforms, recent new program wins and continued investment in technology readiness.
AAT has a long-term growth profile driven by positions on market leading platforms, recent new program wins and continued investment in technology readiness.
Our regular IC cadence includes constructive reviews and various talent and leadership development initiatives conducted by the executive management team and provided throughout an associate’s career. Succession planning is a key benefit of our intellectual capital process across all functions.
Our regular IC cadence includes constructive reviews and various talent and leadership development initiatives conducted by our leadership team and provided throughout an associate’s career. Succession planning is a key benefit of our intellectual capital process across all functions.
We are also committed to an inclusive and high-performance culture at all levels of the organization, based on trust and respect. The manufacture and production of our products requires the use of a variety of tools, equipment, materials, and supplies.
We are also committed to an inclusive and high-performance culture at all levels of the organization, based on trust and respect. 9 Table of Contents The manufacture and production of our products requires the use of a variety of tools, equipment, materials, and supplies.
Vian has been integrated into the Aerospace & Electronics segment. On October 4, 2023, the Company completed the acquisition of Baum lined piping GmbH (“BAUM”). BAUM is a German based company that designs, manufactures, and distributes lined piping products primarily focused on chemical and industrial end markets. BAUM is included in our Process Flow Technologies segment.
Vian has been integrated into the Aerospace & Advanced Technologies segment. On October 4, 2023, the Company completed the acquisition of Baum lined piping GmbH (“BAUM”). BAUM is a German based company that designs, manufactures, and distributes lined piping products primarily focused on chemical and industrial end markets. BAUM has been integrated into our Process Flow Technologies segment.
Item 1. Business General Crane Company has delivered innovation and technology-led solutions for customers since its founding in 1855. Today, Crane is a leading manufacturer of highly engineered components for challenging, mission-critical applications focused on the aerospace, defense, space and process industry end markets. The Company has two reporting segments: Aerospace & Electronics (“A&E”) and Process Flow Technologies (“PFT”).
Item 1. Business General Crane Company has delivered innovation and technology-led solutions for customers since its founding in 1855. Today, Crane is a leading manufacturer of highly engineered components for challenging, mission-critical applications focused on the aerospace, defense, space and process industry end markets. The Company has two reporting segments: Aerospace & Advanced Technologies (“AAT”) and Process Flow Technologies (“PFT”).
Since our products are sold in such a wide variety of markets, we do not believe that we can reliably quantify or predict the potential effects of changes in any of the aforementioned factors.
Since our products are sold in such a wide variety of markets, we do not believe that we can reliably quantify or predict the potential effects of changes in any of the 8 Table of Contents aforementioned factors.
For a further discussion of risks related to raw materials, please refer to Item 1A. “Risk Factors.” 8 Table of Contents Government Contracts We have agreements relating to the sale of products to government entities, primarily involving products in our Aerospace & Electronics segment and, to a lesser extent, our Process Flow Technologies segment.
For a further discussion of risks related to raw materials, please refer to Item 1A. “Risk Factors.” Government Contracts We have agreements relating to the sale of products to government entities, primarily involving products in our Aerospace & Advanced Technologies segment and, to a lesser extent, our Process Flow Technologies segment.
Aerospace & Electronics The Aerospace & Electronics segment supplies critical components and systems, including original equipment and aftermarket parts, primarily for the commercial aerospace, and the military aerospace, defense and space markets. The commercial market and military market accounted for 61% and 39%, respectively, of total segment sales in 2024.
Aerospace & Advanced Technologies The Aerospace & Advanced Technologies segment supplies critical components and systems, including original equipment and aftermarket parts, primarily for the commercial aerospace, military aerospace, defense, and space markets. The commercial market and military market accounted for 61% and 39%, respectively, of total segment sales in 2025.
At December 31, 2024, we employed approximately 7,300 persons worldwide, of which substantially all were full time employees. In the United States, we employed approximately 4,200 people across 34 locations. At December 31, 2024, approximately 5% of our U.S. employees were represented by a union under a collective bargaining agreement.
At December 31, 2025, we employed approximately 7,100 persons worldwide, of which substantially all were full time employees. In the United States, we employed approximately 4,100 people across 37 locations. At December 31, 2025, approximately 6% of our U.S. employees were represented by a union under a collective bargaining agreement.
Separation On April 3, 2023, Crane Holdings, Co. completed the Separation into two independent, publicly-traded companies, Crane NXT, Co. and Crane Company (the “Separation”), through a pro-rata distribution (the "Distribution") of all of the outstanding common stock of Crane Company to the stockholders of Crane Holdings, Co., which on April 3, 2023 was renamed “Crane 6 Table of Contents NXT, Co.” The Distribution was effective at 5:00 p.m., Eastern Time, on April 3, 2023.
Separation On April 3, 2023, Crane Holdings, Co. completed the Separation into two independent, publicly-traded companies, Crane NXT, Co. and Crane Company (the “Separation”), through a pro-rata distribution (the "Distribution") of all of the outstanding common stock of Crane Company to the stockholders of Crane Holdings, Co., which on April 3, 2023 was renamed “Crane NXT, Co.” As a result of the Distribution, Crane Company became an independent public company.
Sales to original equipment manufacturers ("OEMs") and aftermarket customers were 67% and 33%, respectively, in 2024.
Sales to original equipment manufacturers ("OEMs") and aftermarket customers were 66% and 34%, respectively, in 2025.
An embedded intellectual capital development process helps ensure that we attract, develop, promote and retain the right talent to drive continuity and repeatable results. Recent Transactions Divestiture of Engineered Materials On January 1, 2025, the Company completed the sale of the Engineered Materials segment.
An embedded intellectual capital development process helps ensure that we attract, develop, promote and retain the right talent to drive continuity and repeatable results. Recent Transactions Acquisition of Druck, Panametrics and Reuter-Stokes On January 1, 2026, the Company completed the acquisition of the Druck, Panametrics and Reuter-Stokes brands (previously known as Precision Sensors & Instrumentation) from the Baker Hughes Company.
As a result of the Distribution, Crane Company became an independent public company. Our common stock is listed under the symbol "CR" on the New York Stock Exchange.
Our common stock is listed under the symbol "CR" on the New York Stock Exchange.
The segment is comprised of Process Valves and Related Products, Pumps and Systems and Commercial Valves. 7 Table of Contents • Process Valves and Related Products: Manufactures a wide range of on/off isolation valves, including check valves, sleeved plug valves, lined valves, process ball valves, high performance butterfly valves, bellows sealed globe valves, aseptic and industrial diaphragm valves and multi / quarter-turn valve actuation.
The segment is comprised of Process Valves and Related Products, Pumps and Systems and Commercial Valves. • Process Valves and Related Products: Manufactures a wide range of products and solutions for the process end markets.
Removed
Other related products include lined pipe, fittings and hoses, vacuum jacketed air operated diaphragm and peristaltic pumps, instrumentation and sampling systems, valve positioning and control systems, vacuum insulated pipe systems and valve diagnostic and calibration systems. Across the portfolio, the primary focus is on chemical, pharmaceutical, cryogenic and general industrial end markets.
Added
Druck, Panametrics and Reuter-Stokes are all leading providers of sensor-based technologies for aerospace, nuclear and process industries. The Druck brand is being integrated into the Aerospace & Advanced Technologies segment. Panametrics and Reuter-Stokes brands are being integrated into the Process Flow Technologies segment. Acquisition of o ptek-Danulat Also on January 1, 2026, the Company completed the acquisition of optek-Danulat (“Optek”).
Added
Optek is a leading provider of inline process control optical measurement solutions for biopharma, pharmaceutical and other demanding markets. Optek is being integrated into the Process Flow Technologies segment. Divestiture of Engineered Materials On January 1, 2025, the Company completed the sale of the Engineered Materials segment.
Added
AAT’s integrated capabilities include the following: • Power Solutions: Provides enabling technology to accelerate electrification of air, land, space and sea vehicles and systems. • Sensing Systems: Provides components and systems for condition and position sensing, and pressure and flow measurement, with high-accuracy, reliability and engineering to excel in rugged aerospace environments.
Added
Capabilities include a wide range of sensing and instrumentation, sampling systems, valve positioning and control systems, vacuum insulated pipe and valve systems for advanced cryogenic applications, valve diagnostic and calibration systems, as well as a broad portfolio of on/off isolation valves and associated actuation.
Added
Across the portfolio, the primary focus is on pharmaceutical, cryogenic, chemical, nuclear, and general industrial end markets, with some additional exposure to energy and oil & gas.

Item 1A. Risk Factors

Risk Factors — what could go wrong, per management

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Biggest changeThe adoption and expansion of trade restrictions, the occurrence of a trade war, or other governmental action related to tariffs or trade agreements or policies (such as those recently announced or threatened by various countries) has the potential to adversely impact demand for our products, our costs, our customers, our suppliers, and the U.S. economy, which in turn could have a material adverse effect on our business, financial condition, results of operations and cash flows. 11 Table of Contents • Economic and political instability, including the risk of geopolitical conflict or territorial incursions, in the countries and regions in which we operate; • The risks of fluctuations in foreign currency exchange rates, primarily the euro and the British pound, could adversely affect our reported results, primarily in our Process Flow Technologies segment, as amounts earned in other countries are translated into U.S. dollars for reporting purposes; and • Any pandemics or public health emergencies could result in disruptions to global supply chains, delays in supplier deliveries, higher raw material prices, delays in deliveries to customers, travel restrictions, site access and quarantine restrictions, and employee absences.
Biggest changeThe adoption and expansion of trade restrictions, the occurrence of a trade war, or other governmental action related to tariffs or trade agreements or policies (such as those recently announced or potential additional tariffs by various countries) has the potential to adversely impact demand for our products, our costs, our customers, our suppliers, and the U.S. economy, which in turn could have a material adverse effect on our business, financial condition, results of operations and cash flows; • Economic and political instability, including the risk of geopolitical conflict or territorial incursions, in the countries and regions in which we operate; and • The risks of fluctuations in foreign currency exchange rates, primarily the euro and the British pound, could adversely affect our reported results, primarily in our Process Flow Technologies segment, as amounts earned in other countries are typically translated into U.S. dollars for reporting purposes.
In addition, our Aerospace & Electronics segment could be impacted to the extent that our major aircraft manufacturing customers encounter problems which impact their production rates and, correspondingly, reduce purchases of our products, or if pricing pressure from aircraft customers caused the manufacturers to press their suppliers to lower prices and/or extend payment terms; in addition, demand for military and defense products is dependent upon government spending in certain areas which can vary year to year. • Our Process Flow Technologies segment is dependent on global economic conditions, customer capital spending and commodity prices.
In addition, our Aerospace & Advanced Technologies segment could be impacted to the extent that our major aircraft manufacturing customers encounter problems which impact their production rates and, correspondingly, reduce purchases of our products, or if pricing pressure from aircraft customers caused the manufacturers to press their suppliers to lower prices and/or extend payment terms; in addition, demand for military and defense products is dependent upon government spending in certain areas which can vary year to year. • Our Process Flow Technologies segment is dependent on global economic conditions, customer capital spending and commodity prices.
Nonetheless, reduced availability or interruption in supplies, whether resulting from significant changes in demand; more stringent regulatory requirements; supplier financial condition; increases in duties and tariff costs; disruptions in transportation; an outbreak of a severe public health pandemic; severe weather; and the occurrence or threat of wars, could have an adverse effect on our financial condition, results of operations and cash flows.
Nonetheless, reduced availability or interruption in supplies, whether resulting from significant changes in demand; more stringent regulatory requirements; supplier financial condition; supplier product strategy changes; increases in duties and tariff costs; disruptions in transportation; an outbreak of a severe public health pandemic; severe weather; and the occurrence or threat of wars, could have an adverse effect on our financial condition, results of operations and cash flows.
Our business, financial condition, operating results and cash flows may be adversely affected by changes in global economic conditions and geopolitical risks, including credit market conditions, trade policies, including recently announced and threatened tariffs on certain raw materials, levels of consumer and business confidence, commodity prices and availability, inflationary pressures, exchange rates, levels of government spending and deficits, political conditions, and other challenges that could affect the global economy, including the ongoing conflict in the Middle East as well as impacts associated with any economic sanctions imposed against Russia, in response to their invasion of the Ukraine.
Our business, financial condition, operating results and cash flows may be adversely affected by changes in global economic conditions and geopolitical risks, including credit market conditions, trade policies, including recently announced and potential additional tariffs on certain raw materials, levels of consumer and business confidence, commodity prices and availability, inflationary pressures, exchange rates, levels of government spending and deficits, political conditions, and other challenges that could affect the global economy, including the ongoing conflict in the Middle East as well as impacts associated with any economic sanctions imposed against Russia, in response to their invasion of the Ukraine.
Similarly, credit restrictions may adversely affect our supplier base and increase the potential for one or more of our suppliers to experience financial distress or bankruptcy. See “Specific Risks Related to Our Business Segments.” Demand for our products is variable and subject to factors beyond our control, which could result in unanticipated events significantly impacting our results of operations.
Similarly, credit restrictions may adversely affect our supplier base and increase the potential for one or more of our suppliers to experience financial distress or bankruptcy. See “Specific Risks Related to Our Reportable Segments.” Demand for our products is variable and subject to factors beyond our control, which could result in unanticipated events significantly impacting our results of operations.
We are dependent on information technology networks and systems, including the Internet, to process, transmit and store electronic information, and, in the normal course of our business, we collect and retain certain types of personally identifiable and other information pertaining to our customers, stockholders and employees.
We are dependent on information technology networks and systems, to process, transmit and store electronic information, and, in the normal course of our business, we collect and retain certain types of personally identifiable and other information pertaining to our customers, stockholders and employees.
Reductions in demand from these industries would reduce the sales and profitability of the affected business segments. • In our Aerospace & Electronics segment, a significant decline in demand for air travel, or a decline in airline profitability generally, could result in reduced orders for aircraft and could also cause airlines to reduce their purchases of spare parts from our businesses.
Reductions in demand from these industries would reduce the sales and profitability of the affected business segments. • In our Aerospace & Advanced Technologies segment, a significant decline in demand for air travel, or a decline in airline profitability generally, could result in reduced orders for aircraft and could also cause airlines to reduce their purchases of spare parts from our businesses.
In addition, we cannot provide assurance that our costs related to remedial efforts or alleged environmental damage associated with past or current 14 Table of Contents waste disposal practices or other hazardous materials handling practices will not exceed our estimates or adversely affect our financial condition, results of operations and cash flows.
In addition, we cannot provide assurance that our costs related to remedial efforts or alleged environmental damage associated with past or current waste disposal practices or other hazardous materials handling practices will not exceed our estimates or adversely affect our financial condition, results of operations and cash flows.
Our operations are subject to extensive environmental and health and safety laws and regulations in the jurisdictions in which they operate, which impose limitations on the discharge of pollutants into the ground, air and water and establish standards for the generation, treatment, use, storage and disposal of solid and hazardous wastes.
Our operations are subject to extensive environmental and health and safety laws and regulations in the jurisdictions in which they operate, which impose limitations on the discharge of pollutants into the ground, air and water and establish standards 14 Table of Contents for the generation, treatment, use, storage and disposal of solid and hazardous wastes.
Specific Risks Relating to Our Reportable Segments Aerospace & Electronics Our Aerospace & Electronics segment sales are primarily affected by conditions in the commercial aerospace industry, which is cyclical in nature, and by changes in defense spending by the U.S. government.
Specific Risks Relating to Our Reportable Segments Aerospace & Advanced Technologies Our Aerospace & Advanced Technologies segment sales are primarily affected by conditions in the commercial aerospace industry, which is cyclical in nature, and by changes in defense spending by the U.S. government.
Consistent with the rest of the aerospace and defense industry, our A&E business has been experiencing, and may continue to experience, supply chain disruptions from an insufficient availability of certain components and raw materials.
Consistent with the rest of the aerospace and defense industry, our AAT business has been experiencing, and may continue to experience, supply chain disruptions from an insufficient availability of certain components and raw materials.
In addition, others may develop substantially equivalent, or superseding 13 Table of Contents proprietary technology, or competitors may offer equivalent non-infringing products in competition with our products, thereby substantially reducing the value of our proprietary rights.
In addition, others may develop substantially equivalent, or superseding proprietary technology, or competitors may offer equivalent non-infringing products in competition with our products, thereby substantially reducing the value of our proprietary rights.
Any pandemics or public health emergencies could result in disruptions to global supply chains, delays in supplier deliveries, higher raw material prices, delays in deliveries to customers, travel restrictions, site access and quarantine restrictions, and 12 Table of Contents employee absences.
Any pandemics or public health emergencies could result in disruptions to global supply chains, delays in supplier deliveries, higher raw material prices, delays in deliveries to customers, travel restrictions, site access and quarantine restrictions, and employee absences.
We have seen a period of sustained price increases for components and raw materials that may continue into the future as demand increases and supply may remain constrained, notably in our A&E segment, which has resulted in, and may continue to result in, increased costs for us.
We have seen a period of sustained price increases for components and raw materials that may continue into the future as demand increases and supply may remain constrained, notably in our AAT 12 Table of Contents segment, which has resulted in, and may continue to result in, increased costs for us.
Integrating acquired operations involves significant risks and uncertainties, including: • Maintenance of uniform standards, controls, policies and procedures; • Unplanned expenses associated with the integration efforts; • Inability to achieve planned facility repositioning savings or related efficiencies from recent and ongoing investments; and • Unidentified issues not discovered in the due diligence process, including legal contingencies.
Integrating acquired operations involves significant risks and uncertainties, including: • Maintenance of uniform standards, controls, policies and procedures, in particular where acquisitions reflect carve-out transactions; • Unplanned expenses associated with the integration efforts; • Inability to achieve planned facility repositioning savings or related efficiencies from recent and ongoing investments; and • Unidentified issues not discovered in the due diligence process, including legal contingencies.
As of December 31, 2024, we had goodwill and other intangible assets, net of accumulated amortization, of $821.5 million, which represented approximately 31% of our total assets. Our goodwill is subject to an impairment test on an annual basis and is also tested whenever events and circumstances indicate that goodwill may be impaired.
As of December 31, 2025, we had goodwill and other intangible assets, net of accumulated amortization, of $833.4 million, which represented approximately 22% of our total assets. Our goodwill is subject to an impairment test on an annual basis and is also tested whenever events and circumstances indicate that goodwill may be impaired.
As a result, an increase in market interest rates would increase our interest expense and our debt service obligations. As of December 31, 2024, we had approximately $247.5 million of indebtedness that bears interest at variable rates. As of December 31, 2024, a hypothetical 1% increase in prevailing interest rates would increase our 2024 interest expense by approximately $2.5 million.
As a result, an increase in market interest rates would increase our interest expense and our debt service obligations. As of December 31, 2025, we had approximately $1,150 million of indebtedness that bears interest at variable rates. As of December 31, 2025, a hypothetical 1% increase in prevailing interest rates would increase our 2025 interest expense by approximately $11.5 million.
The defense portion of the segment’s business is dependent primarily on U.S. government spending, and to a lesser extent, foreign government spending, on the specific military platforms and programs where our business participates. Any reduction in appropriations for these platforms or programs could impact the performance of our business.
The defense portion of the segment’s business is dependent primarily on U.S. government spending, and to a lesser extent, foreign government spending, on the specific military platforms and programs where our business participates. Any reduction in appropriations for these platforms or programs or delays caused by any potential extended U.S. government shut down, could impact the performance of our business.
We could incur significant and/or unexpected costs in our efforts to successfully avoid, manage, defend and litigate intellectual property matters. Our inability to protect our intellectual property could have an adverse effect on our financial condition, results of operations and cash flows.
We could incur significant and/or unexpected costs in our efforts to successfully avoid, manage, defend and litigate intellectual property matters. Our inability to protect our intellectual property could have an adverse effect on our financial condition, results of operations and cash flows. Our future results of operations and financial condition could be adversely impacted by intangible asset impairment charges.
The extent to which public health emergencies could impact our operations and financial performance is highly uncertain and would depend on future developments, including the duration of any such public health emergency, potential actions taken by governmental authorities, and how quickly economic conditions stabilize; We may be unable to identify or to complete acquisitions, or to successfully integrate the businesses we acquire.
The extent to which public health emergencies could impact our operations and financial performance is highly uncertain and would depend on future developments, including the duration of any such public health emergency, potential actions taken by governmental authorities, and how quickly economic conditions stabilize.
In addition, if we are unable to develop and introduce new products in a cost-effective manner or otherwise effectively manage the introduction of new products and/or programs, our results of operations and financial condition could be adversely impacted. Demand for our products could also be adversely impacted by industry consolidation that could result in greater acceptance of competitors' products.
In addition, if we are unable to develop and introduce new products in a cost-effective manner or otherwise effectively manage the introduction of new products and/or programs, our results of operations and financial condition could be adversely impacted.
We conduct a substantial portion of our business outside the U.S. and face risks inherent in non-domestic operations. Net sales by destination outside the U.S. from continuing operations were 43.2% of our consolidated amounts in 2024. We expect that non-U.S. sales will continue to account for a significant portion of our revenues for the foreseeable future.
Net sales by destination outside the U.S. from continuing operations were 41% of our consolidated amounts in 2025. We expect that non-U.S. sales will continue to account for a significant portion of our revenues for the foreseeable future.
We may be unable to successfully develop and introduce new products, which would limit our ability to grow and maintain our competitive position and adversely affect our financial condition, results of operations and cash flow.
We have experienced and expect to continue to experience some of these types of cybersecurity threats and incidents, which could be material in the future. We may be unable to successfully develop and introduce new products, which would limit our ability to grow and maintain our competitive position and adversely affect our financial condition, results of operations and cash flow.
The costs of our defined benefit pension plans are dependent upon various factors, including rates of return on investment assets, discount rates for future payment obligations, and expected mortality, among other things. In addition, funding requirements for benefit obligations of our pension plans are subject to legislative and other government regulatory actions.
Total net periodic pension cost and pension contributions were $8.7 million and $16.5 million, respectively in 2025. The costs of our defined benefit pension plans are dependent upon various factors, including rates of return on investment assets, discount rates for future payment obligations, and expected mortality, among other things.
In addition, if our internal control over financial reporting is found to be 15 Table of Contents ineffective, investors may lose confidence in the reliability of our financial statements, which may adversely affect our stock price.
In addition, if our internal control over financial reporting is found to be ineffective, investors may lose confidence in the reliability of our financial statements, which may adversely affect our stock price. 15 Table of Contents Net periodic pension cost and pension contributions associated with our retirement benefit plans may fluctuate significantly depending upon changes in actuarial assumptions and future market performance of plan assets.
Competitive pressures, including those discussed above, could cause one or more of our business segments to lose market share or could result in significant price erosion, either of which could have an adverse effect on our financial condition, results of operations and cash flows.
Competitive pressures, including those discussed above, could cause one or more of our business segments to lose market share or could result in significant price erosion, either of which could have an adverse effect on our financial condition, results of operations and cash flows. 13 Table of Contents We compete with other manufacturing businesses for highly qualified employees in the countries in which we operate, and we may not be able to retain our personnel or hire and retain additional personnel needed for us to sustain and grow our business as planned.
We have evaluated, and expect to continue to evaluate, a wide array of potential acquisition transactions.
We may be unable to identify or to complete acquisitions, or to successfully integrate the businesses we acquire. We have evaluated, and expect to continue to evaluate, a wide array of potential acquisition transactions.
We have recently observed an increasingly competitive labor market which has and could continue to result in higher compensation costs. While we believe we have a robust intellectual capital process, we may have difficulty retaining key personnel or locating and hiring additional qualified personnel.
While we believe we have a robust intellectual capital process, we may have difficulty retaining key personnel or locating and hiring additional qualified personnel.
Deterioration in any of these economic factors could result in sales and profits falling below our current outlook. In addition, a major hurricane, earthquake, tornado, wildfire, flood, drought or other natural disaster or severe weather event could seriously disrupt our business and impact our results of operations and cash flows.
In addition, a major hurricane, earthquake, tornado, wildfire, flood, drought or other natural disaster or severe weather event could seriously disrupt our business and impact our results of operations and cash flows. 11 Table of Contents We conduct a substantial portion of our business outside the U.S. and face risks inherent in non-domestic operations.
Our products are used in a wide variety of commercial applications and certain residential applications, including, in many cases, in severe service or mission critical applications.
We could face potential product liability or warranty claims, we may not accurately estimate costs related to such claims, and we may not have sufficient insurance coverage available to cover such claims. Our products are used in a wide variety of commercial applications and certain residential applications, including, in many cases, in severe service or mission critical applications.
Demand for our Process Flow Technologies products is heavily dependent on our customers’ level of new capital investment and planned maintenance expenditures. Customer spending typically depends on general economic conditions, availability of 16 Table of Contents credit, and expectations of future demand.
We compete based on our products’ quality, reliability and safety, our brand reputation, value-added technical expertise and customer support and consistent on-time delivery. Demand for our Process Flow Technologies products is heavily dependent on our customers’ level of new capital investment and planned maintenance expenditures.
Process Flow Technologies Our Process Flow Technologies segment competes in markets that are fragmented and highly competitive. The business competes against large, well-established global companies, as well as smaller regional and local companies. We compete based on our products’ quality, reliability and safety, our brand reputation, value-added technical expertise and customer support and consistent on-time delivery.
Demand for our products could also be adversely impacted by industry consolidation that could result in greater acceptance of competitors' products. 16 Table of Contents Process Flow Technologies Our Process Flow Technologies segment competes in markets that are fragmented and highly competitive. The business competes against large, well-established global companies, as well as smaller regional and local companies.
Variances in related estimates could have an adverse effect on our financial condition, results of operations and cash flows. We could face potential product liability or warranty claims, we may not accurately estimate costs related to such claims, and we may not have sufficient insurance coverage available to cover such claims.
In addition, funding requirements for benefit obligations of our pension plans are subject to legislative and other government regulatory actions. Variances in related estimates could have an adverse effect on our financial condition, results of operations and cash flows.
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We compete with other manufacturing businesses for highly qualified employees in the countries in which we operate, and we may not be able to retain our personnel or hire and retain additional personnel needed for us to sustain and grow our business as planned.
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Deterioration in any of these economic factors could result in sales and profits falling below our current outlook. • Ongoing or threatened U.S. government shutdowns which may impact our ability to obtain or progress on government contracts, primarily in our Aerospace and Advanced Technologies segment. • Any pandemics or public health emergencies could result in disruptions to global supply chains, delays in supplier deliveries, higher raw material prices, delays in deliveries to customers, travel restrictions, site access and quarantine restrictions, and employee absences.
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We have experienced and expect to continue to experience some of these types of cybersecurity threats and incidents, which could be material in the future. Our future results of operations and financial condition could be adversely impacted by intangible asset impairment charges.
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In addition, the One Big Beautiful Bill Act (the “Act”) became law on July 4, 2025 and introduced significant changes to U.S. tax law. The Act did not have a significant impact on our 2025 consolidated financial statements and we will continue to assess its potential impact on our future consolidated financial statements.
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Net periodic pension cost and pension contributions associated with our retirement benefit plans may fluctuate significantly depending upon changes in actuarial assumptions and future market performance of plan assets. Total net periodic pension cost and pension contributions were $4.3 million and $16.6 million, respectively in 2024.
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Customer spending typically depends on general economic conditions, industrial capital investment, availability of credit, and expectations of future demand. For example, lower levels of new housing construction and other infrastructure spending has had a negative impact on chemical demand, both in the U.S. and Europe, which adversely impacted the sale of our valve and valve-related products.

Item 1C. Cybersecurity

Cybersecurity — threats and controls disclosure

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Biggest changeFour members of the security team currently have Certified Information Systems Security Professional (CISSP) credentials, many hold one or more Global Information Assurance Certification (GIAC)/The Sans Institute (SANS) cybersecurity certificates, and in total the team has over 70 security and network certifications.
Biggest changeItem 1C. Cybersecurity Cybersecurity Risk Management and Strategy Our cybersecurity program is staffed by a team of skilled cybersecurity professionals, with many having Certified Information Systems Security Professional (CISSP) credentials, and one or more Global Information Assurance Certification (GIAC)/The Sans Institute (SANS) cybersecurity certificates.
Crane Company was separated from its parent company, Crane Holdings, on April 3, 2023, and since the separation and during the preceding 5 years as Crane Holdings, no attempted cyber-attack or other attempted intrusion on our information technology networks has resulted in a material adverse impact on our operations or financial results, in any penalties or settlements, or in the loss or exfiltration of Company data.
Crane Company was separated from its parent company, Crane Holdings, on April 3, 2023, and since the separation and during the 5 years prior to separation, no attempted cyber-attack or other attempted intrusion on our information technology networks has resulted in a material adverse impact on our operations or financial results, in any penalties or settlements, or in the loss or exfiltration of material or sensitive Company data.
Cybersecurity Governance The cybersecurity program is led by Crane Company’s Chief Information Security Officer, who regularly reports to our executive team about our program, including a review of cyber threat trends, our information security organization and staffing, and the status of ongoing efforts and investments to strengthen our cybersecurity defenses.
The Company maintains cyber risk and related insurance policies as a measure of added protection Cybersecurity Governance Our cybersecurity program is led by Crane Company’s Chief Information Security Officer (“CISO”), who regularly reports to our executive team about our program, including a review of cyber threat trends, our information security organization and staffing, and the status of ongoing efforts and investments to strengthen our cybersecurity defenses.
We have adopted and implemented a systematic approach measuring ourselves against this multi-layered framework which we formally review on a quarterly basis (monthly updates as necessary) to identify and mitigate security risks that we believe are commercially reasonable for manufacturing companies of our size and scope and commensurate with the risks we face.
We have adopted and 17 Table of Contents implemented a systematic approach measuring ourselves against this multi-layered framework to identify and mitigate security risks that we believe are commercially reasonable for manufacturing companies of our size and scope and commensurate with the risks we face.
Any failures trigger a retraining exercise if not properly reported and a monthly training vignette on cybersecurity awareness. To round out our robust awareness program, we have specific and regular training for our IT professionals, and we regularly engage independent third parties to test our information security processes and systems as part of our overall enterprise risk management program.
Monthly “test” phishing emails are sent to our associates. Any failures trigger a retraining exercise if not properly reported and a monthly training vignette on cybersecurity awareness. We regularly engage independent third parties to test our information security processes and systems as part of our overall enterprise risk management program.
Our response team members are in various global locations to ensure 24/7 monitoring and response capabilities and are backed by a 24/7 Managed Security Services Provider (MSSP) who monitors cybersecurity alerts. We educate and share best practices globally with our employees to raise awareness of cybersecurity threats.
Our response team members are in various global locations to ensure 24/7 monitoring and response capabilities and are backed by a 24/7 Managed Security Services Provider (MSSP) who monitors cybersecurity alerts.
In addition, we provide a minimum of two formal program updates each year to the Audit Committee of our Board of Directors. . 17 Table of Contents
The senior executive team, including the CISO, provide a minimum of two formal program updates each year to the Audit Committee of our Board of Directors. . 18 Table of Contents
As part of our internal training process, we maintain annual training for all employees on cybersecurity standards, as well provide monthly trainings on how to recognize and properly respond to phishing, social engineering schemes and other cyber threats.
We maintain annual training for all employees on cybersecurity standards, as well provide monthly trainings on how to recognize and properly respond to phishing, social engineering schemes and other cyber threats. The Company provides our employees with an intuitive mechanism to easily report suspicious emails which are analyzed by our security systems and dedicated incident response team.
In the event an attack or other intrusion were to be successful, we have a response team of internal and external resources engaged and prepared to respond. The Company maintains cyber risk and related insurance policies as a measure of added protection.
In the event an attack or other intrusion were to be successful, we have a response team of internal and external resources engaged and prepared to respond. Although our third-party service providers have encountered cybersecurity incidents, these incidents have not had a material impact on Crane Company, including our business strategy, results of operations or financial condition.
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Item 1C. Cybersecurity Cybersecurity Risk Management and Strategy Our cybersecurity program is staffed by a team of skilled cybersecurity professionals, including ~20 dedicated internal cybersecurity resources.
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Crane recognizes the inherent cyber risks associated with relying on third-party vendors such as cloud service providers, software vendors, data processors, and IT service providers with access to Company information, systems, or processes.
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The Company uses advanced systems to block and analyze all email for threats, as well as equip our employees with an intuitive mechanism to easily report suspicious emails which are analyzed by our security systems and dedicated incident response team. Monthly “test” phishing emails are sent to our associates.
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Crane is committed to managing these risks responsibly and transparently and has an active process in place to assess and reduce that risk, including performing due diligence on third-party vendors before onboarding and evaluation and assessing their cybersecurity policies.

Item 2. Properties

Properties — owned and leased real estate

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Biggest changeProperties The following is a summary of our principal facilities as of December 31, 2024: Facilities - Owned Location Aerospace & Electronics Process Flow Technologies Corporate Total Number Area (sq. ft.) Number Area (sq. ft.) Number Area (sq. ft.) Number Area (sq. ft.) Manufacturing United States 6 724,240 8 854,133 — — 14 1,578,373 Europe — — 6 616,755 — — 6 616,755 Other international — — 4 509,925 — — 4 509,925 6 724,240 18 1,980,813 — — 24 2,705,053 Non-Manufacturing United States — — 2 98,510 — — 2 98,510 Europe — — 2 73,780 — — 2 73,780 Other international — — — — — — — — — — 4 172,290 — — 4 172,290 Facilities - Leased Location Aerospace & Electronics Process Flow Technologies Corporate Total Number Area (sq. ft.) Number Area (sq. ft.) Number Area (sq. ft.) Number Area (sq. ft.) Manufacturing United States 1 62,880 6 137,639 — — 7 200,519 Canada — — 1 20,572 — — 1 20,572 Europe 1 19,418 4 603,790 — — 5 623,208 Other international 1 63,653 2 111,594 — — 3 175,247 3 145,951 13 873,595 — — 16 1,019,546 Non-Manufacturing United States 2 8,348 6 186,765 3 29,228 11 224,341 Canada — — 1 11,198 — — 1 11,198 Europe 2 9,915 9 92,294 — — 11 102,209 Other international — — 18 161,087 — — 18 161,087 4 18,263 34 451,344 3 29,228 41 498,835 In our opinion, these properties have been well maintained, are in good operating condition and contain all necessary equipment and facilities for their intended purposes. 18 Table of Contents Item 3.
Biggest changeProperties The following is a summary of our principal facilities as of December 31, 2025: Facilities - Owned Location Aerospace & Advanced Technologies Process Flow Technologies Corporate Total Number Area (sq. ft.) Number Area (sq. ft.) Number Area (sq. ft.) Number Area (sq. ft.) Manufacturing United States 6 724,240 9 849,573 — — 15 1,573,813 Europe — — 6 616,755 — — 6 616,755 Other international — — 4 481,444 — — 4 481,444 6 724,240 19 1,947,772 — — 25 2,672,012 Non-Manufacturing United States — — 3 103,070 — — 3 103,070 Europe — — 2 73,780 — — 2 73,780 Other international — — — — — — — — — — 5 176,850 — — 5 176,850 Total 6 724,240 24 2,124,622 — — 30 2,848,862 Facilities - Leased Location Aerospace & Advanced Technologies Process Flow Technologies Corporate Total Number Area (sq. ft.) Number Area (sq. ft.) Number Area (sq. ft.) Number Area (sq. ft.) Manufacturing United States 1 62,880 8 265,723 — — 9 328,603 Canada — — 1 20,572 — — 1 20,572 Europe 1 19,418 4 603,790 — — 5 623,208 Other international 1 63,653 2 111,594 — — 3 175,247 3 145,951 15 1,001,679 — — 18 1,147,630 Non-Manufacturing United States 2 8,348 5 82,605 3 29,228 10 120,181 Canada — — 1 11,198 — — 1 11,198 Europe 2 9,915 10 95,383 — — 12 105,298 Other international — — 16 161,191 — — 16 161,191 4 18,263 32 350,377 3 29,228 39 397,868 Total 7 164,214 47 1,352,056 3 29,228 57 1,545,498 In our opinion, these properties have been well maintained, are in good operating condition and contain all necessary equipment and facilities for their intended purposes. 19 Table of Contents Item 3.
Legal Proceedings. Discussion of legal matters is incorporated by reference to Part II, Item 8 under Note 13, “Commitments and Contingencies,” in the Notes to Consolidated Financial Statements. Item 4. Mine Safety Disclosures. Not applicable. 19 Table of Contents Part II
Legal Proceedings. Discussion of legal matters is incorporated by reference to Part II, Item 8 under Note 13, “Commitments and Contingencies,” in the Notes to Consolidated Financial Statements. Item 4. Mine Safety Disclosures. Not applicable. 20 Table of Contents Part II

Item 4. Mine Safety Disclosures

Mine Safety Disclosures — required of mining issuers

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Biggest changeItem 4. Mine Safety Disclosures Page 19 Part II Item 5. Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities Page 20 Item 6. [RESERVED] Page 20 Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 21 Item 7A. Quantitative and Qualitative Disclosures About Market Risk Page 36 Item 8.
Biggest changeItem 4. Mine Safety Disclosures Page 20 Part II Item 5. Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities Page 21 Item 6. [RESERVED] Page 21 Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 22 Item 7A. Quantitative and Qualitative Disclosures About Market Risk Page 35 Item 8.

Item 5. Market for Registrant's Common Equity

Market for Common Equity — stock, dividends, buybacks

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Biggest changeThe graph assumes that the value of the investment in the common stock and each index was $100 on April 3, 2023, and that all dividends were reinvested. 4/3/2023 12/31/2023 12/31/2024 Crane Company $ 100.00 $ 159.16 $ 205.56 S&P 500 100.00 117.03 146.29 S&P 400 Midcap Capital Goods Index 100.00 126.09 145.33 Purchases of Equity Securities Neither the Company nor any "affiliated purchaser" repurchased any shares of Company common stock during the year ended December 31, 2024.
Biggest changeThe graph assumes that the value of the investment in the common stock and each index was $100 on April 3, 2023, and that all dividends were reinvested. 4/3/2023 12/31/2023 12/31/2024 12/31/2025 Crane Company $ 100.00 $ 159.16 $ 205.56 $ 251.14 S&P 500 100.00 117.03 146.29 172.42 S&P 400 Midcap Capital Goods Index 100.00 126.09 145.33 175.10 Purchases of Equity Securities Neither the Company nor any "affiliated purchaser" repurchased any shares of Company common stock during the year ended December 31, 2025.
Stock Performance Graph The following graph sets forth the cumulative total stockholder return to Crane Company’s stockholders for the period beginning April 3, 2023, the date of the Separation, through December 31, 2024, as well as the corresponding returns on the S&P 500 Index and the S&P 400 MidCap Capital Goods Index.
Stock Performance Graph The following graph sets forth the cumulative total stockholder return to Crane Company’s stockholders for the period beginning April 3, 2023, the date of the Separation, through December 31, 2025, as well as the corresponding returns on the S&P 500 Index and the S&P 400 MidCap Capital Goods Index.
Item 5. Market for the Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities Market Information Crane Company common stock is traded on the New York Stock Exchange (“NYSE”) under the symbol "CR". As of December 31, 2024, there were 1,438 holders of record of Crane Company common stock.
Item 5. Market for the Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities Market Information Crane Company common stock is traded on the New York Stock Exchange (“NYSE”) under the symbol "CR". As of December 31, 2025, there were 1,364 holders of record of Crane Company common stock.

Item 7. Management's Discussion & Analysis

Management's Discussion & Analysis (MD&A) — revenue / margin commentary

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Biggest changeIn 2022, we recorded pre-tax transaction related expenses of $48.3 million most of which related to the planned separation, coupled with expenses associated with defeasing the asbestos liability and, to a lesser extent, divestiture costs related to the intended sale of Engineered Materials and the completed sale of Crane Supply. 22 Table of Contents MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS Results from Operations - For the Years ended December 31, 2024, 2023 and 2022 For the year ended December 31, 2024 vs 2023 Favorable / (Unfavorable) Change 2023 vs 2022 Favorable / (Unfavorable) Change (in millions, except %) 2024 2023 2022 $ % (a) $ % (a) Net sales: Aerospace & Electronics $ 932.7 $ 789.3 $ 667.3 $ 143.4 18.2 % $ 122.0 18.3 % Process Flow Technologies 1,198.5 1,072.8 1,109.4 125.7 11.7 % (36.6) (3.3) % Total net sales $ 2,131.2 $ 1,862.1 $ 1,776.7 $ 269.1 14.5 % $ 85.4 4.8 % Sales growth: Core business $ 156.0 8.4 % $ 175.3 9.9 % Foreign exchange 2.9 0.2 % 0.5 — % Acquisitions/dispositions 110.2 5.9 % (90.4) (5.1) % Total sales growth $ 269.1 14.5 % $ 85.4 4.8 % Cost of sales $ 1,263.4 $ 1,111.1 $ 1,115.5 $ (152.3) (13.7) % $ 4.4 0.4 % Selling, general and administrative $ 512.0 $ 500.6 $ 493.5 $ (11.4) (2.3) % $ (7.1) (1.4) % Loss on divestiture of asbestos-related assets and liabilities $ — $ — $ 162.4 $ — NM $ 162.4 NM Operating profit: Aerospace & Electronics $ 209.0 $ 159.0 $ 120.3 $ 50.0 31.4 % $ 38.7 32.2 % Process Flow Technologies 240.3 208.5 168.2 31.8 15.3 % 40.3 24.0 % Corporate expense (b) (c) (93.5) (117.1) (283.2) 23.6 20.2 % 166.1 58.7 % Total operating profit $ 355.8 $ 250.4 $ 5.3 $ 105.4 42.1 % $ 245.1 NM Operating margin: Aerospace & Electronics 22.4 % 20.1 % 18.0 % Process Flow Technologies 20.1 % 19.4 % 15.2 % Total operating margin 16.7 % 13.4 % 0.3 % (a) Variances designated as “NM” indicates such calculation is not meaningful.
Biggest changeDuring the year ended December 31, 2025, we also received insurance proceeds for lost profits of $9.3 million, included in Miscellaneous income, net in the Consolidated Statements of Operations. 23 Table of Contents MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS Results of Operations - For the Years ended December 31, 2025, 2024 and 2023 For the year ended December 31, 2025 vs 2024 Favorable / (Unfavorable) Change 2024 vs 2023 Favorable / (Unfavorable) Change (in millions, except %) 2025 2024 2023 $ % $ % Net sales: Aerospace & Advanced Technologies $ 1,048.9 $ 932.7 $ 789.3 $ 116.2 12.5 % $ 143.4 18.2 % Process Flow Technologies 1,256.1 1,198.5 1,072.8 57.6 4.8 % 125.7 11.7 % Total net sales $ 2,305.0 $ 2,131.2 $ 1,862.1 $ 173.8 8.2 % $ 269.1 14.5 % Sales growth: Core business $ 132.7 6.2 % $ 156.0 8.4 % Acquisitions 29.1 1.4 % 110.2 5.9 % Foreign exchange 12.0 0.6 % 2.9 0.2 % Total sales growth $ 173.8 8.2 % $ 269.1 14.5 % Cost of sales $ 1,332.2 $ 1,263.4 $ 1,111.1 $ (68.8) (5.4) % $ (152.3) (13.7) % Engineering, selling and administrative $ 548.6 $ 512.0 $ 500.6 $ (36.6) (7.1) % $ (11.4) (2.3) % Operating profit: Aerospace & Advanced Technologies $ 262.5 $ 209.0 $ 159.0 $ 53.5 25.6 % $ 50.0 31.4 % Process Flow Technologies 263.5 240.3 208.5 23.2 9.7 % 31.8 15.3 % Corporate expense (a) (101.8) (93.5) (117.1) (8.3) (8.9) % 23.6 20.2 % Total operating profit $ 424.2 $ 355.8 $ 250.4 $ 68.4 19.2 % $ 105.4 42.1 % Operating margin: Aerospace & Advanced Technologies 25.0 % 22.4 % 20.1 % Process Flow Technologies 21.0 % 20.1 % 19.4 % Total operating margin 18.4 % 16.7 % 13.4 % (a) For the years ended December 31, 2025, 2024 and 2023, Corporate expense included transaction related expenses of $14.8 million, $9.8 million and $41.5 million, respectively.
Furthermore, to evaluate the sensitivity of the fair value calculations on the goodwill impairment test, we applied a hypothetical, reasonably possible 10% decrease to the fair values of each reporting unit. The effects of this hypothetical 10% decrease would still result in a fair value calculation exceeding our carrying value for each of our reporting units.
To evaluate the sensitivity of the fair value calculations on the goodwill impairment test, we applied a hypothetical, reasonably possible 10% decrease to the fair values of each reporting unit. The effects of this hypothetical 10% decrease would still result in a fair value calculation exceeding our carrying value for each of our reporting units.
When a contract with the U.S. government or subcontract for the U.S. government contains clauses indicating that the U.S. government owns any work-in-progress as the contracted product is being built, revenue is recognized over time. The measure of progress applied by us is the cost-to-cost method as this provides the most faithful depiction of the pattern of transfer of control.
When a contract with the U.S. government or subcontract for the U.S. government contains clauses indicating that the U.S. government owns any work-in-progress as the contracted product is being built, revenue is recognized over time. The measure of progress applied by us is the cost-to-cost method as this provides the most accurate depiction of the pattern of transfer of control.
During the fourth quarter of 2019, we received conceptual agreement from the EPA on an alternative remediation strategy which is expected to further reduce the contaminant plume. Accordingly, we recorded a pre-tax charge of $18.9 million, net of reimbursements, to extend our forecast period through 2027 and reflect our revised workplan.
During the fourth quarter of 2019, we received conceptual agreement from the EPA on an alternative remediation strategy which was expected to further reduce the contaminant plume. Accordingly, we recorded a pre-tax charge of $18.9 million, net of reimbursements, to extend our forecast period through 2027 and reflect our revised workplan.
Crane Company has delivered innovation and technology-led solutions for customers since its founding in 1855. Today, Crane is a leading manufacturer of highly engineered components for challenging, mission-critical applications focused on the aerospace, defense, space and process industry end markets. The Company has two reporting segments: Aerospace & Electronics and Process Flow Technologies.
Crane Company has delivered innovation and technology-led solutions for customers since its founding in 1855. Today, Crane is a leading manufacturer of highly engineered components for challenging, mission-critical applications focused on the aerospace, defense, space and process industry end markets. The Company has two reporting segments: Aerospace & Advanced Technologies and Process Flow Technologies.
Credit Ratings As of December 31, 2024, we have not sought a rating from the credit agencies, and we have no immediate plans to do so. Although the Company is currently unrated, we believe that we have adequate access to capital through the bank market and our current Revolving Credit Facility.
Credit Ratings As of December 31, 2025, we have not sought a rating from the credit agencies, and we have no immediate plans to do so. Although the Company is currently unrated, we believe that we have adequate access to capital through the bank market and our current Revolving Credit Facility.
The environmental remediation liability as of December 31, 2024 is substantially all for the former manufacturing site in Goodyear, Arizona (the "Goodyear Site"). Estimates of our environmental liabilities at the Goodyear Site are based on currently available facts, present laws and regulations and current technology available for remediation, and are recorded on an undiscounted basis.
The environmental remediation liability as of December 31, 2025 is substantially all for the former manufacturing site in Goodyear, Arizona (the "Goodyear Site"). Estimates of our environmental liabilities at the Goodyear Site are based on currently available facts, present laws and regulations and current technology available for remediation, and are recorded on an undiscounted basis.
Also, holding all other factors constant, a decrease in the discount rate used to determine net periodic pension cost by 0.25 percentage points would have increased 2024 pension expense by less than $0.1 million for U.S. pension plans and $0.1 million for non-U.S. pension plans.
Also, holding all other factors constant, a decrease in the discount rate used to determine net periodic pension cost by 0.25 percentage points would have increased 2025 pension expense by less than $0.1 million for U.S. pension plans and $0.1 million for non-U.S. pension plans.
We do not believe that any discrete event or adjustment to an individual contract within the aggregate changes in contract estimates for 2024, 2023 or 2022 was material to the Consolidated Statement of Operations for such annual periods. Income Taxes.
We do not believe that any discrete event or adjustment to an individual contract within the aggregate changes in contract estimates for 2025, 2024 or 2023 was material to the Consolidated Statement of Operations for such annual periods. Income Taxes.
In the United States, we sponsor a defined benefit pension plan that covers approximately 13% of all U.S. employees. Effective January 1, 2013, pension eligible non-union employees no longer earn future benefits in the domestic defined benefit pension plan.
In the United States, we sponsor a defined benefit pension plan that covers approximately 10% of all U.S. employees. Effective January 1, 2013, pension eligible non-union employees no longer earn future benefits in the domestic defined benefit pension plan.
Estimates at the Goodyear Site are subject to significant uncertainties caused primarily by the dynamic nature of the Goodyear Site conditions, the range of remediation alternatives available, together with the corresponding estimates of cleanup methodology and costs, as well as ongoing, required regulatory approvals, primarily from the EPA.
Estimates at the Goodyear Site have been subject to significant uncertainties caused primarily by the dynamic nature of the Goodyear Site conditions, the range of remediation alternatives available, together with the corresponding estimates of cleanup methodology and costs, as well as ongoing, required regulatory approvals, primarily from the EPA.
Government reimburses us for 21% of qualifying costs of investigation and remediation activities at the Goodyear Site. We have recorded a receivable of $3.0 million and $3.8 million for the expected reimbursements from the U.S. Government in respect of the aggregate liability as of December 31, 2024 and 2023, respectively. Pension Plans.
Government reimburses us for 21% of qualifying costs of investigation and remediation activities at the Goodyear Site. We have recorded a receivable of $2.3 million and $3.0 million for the expected reimbursements from the U.S. Government in respect of the aggregate liability as of December 31, 2025 and 2024, respectively. Pension Plans.
A reporting unit is an operating segment unless discrete financial information is prepared and reviewed by segment management for businesses one level below that operating segment (a “component”), in which case the component would be the reporting unit. As of December 31, 2024, we had four reporting units.
A reporting unit is an operating segment unless discrete financial information is prepared and reviewed by segment management for businesses one level below that operating segment (a “component”), in which case the component would be the reporting unit. As of December 31, 2025, we had three reporting units.
Employer cash contributions were $16.6 million, $18.1 million and $17.8 million in 2024, 2023 and 2022, respectively. Holding all other factors constant, a decrease in the expected long-term rate of return on plan assets by 0.25 percentage points would have increased 2024 pension expense by $1.1 million for U.S. pension plans and $0.6 million for non-U.S. pension plans.
Employer cash contributions were $16.5 million, $16.6 million and $18.1 million in 2025, 2024 and 2023, respectively. Holding all other factors constant, a decrease in the expected long-term rate of return on plan assets by 0.25 percentage points would have increased 2025 pension expense by $1.1 million for U.S. pension plans and $0.6 million for non-U.S. pension plans.
No impairment charges have been required during 2024, 2023 or 2022. Intangibles with indefinite useful lives are tested annually for impairment, or when events or changes in circumstances indicate the potential for impairment. If the carrying amount of an indefinite lived intangible asset exceeds its fair value, the intangible asset is written down to its fair value.
No impairment charges have been required during 2025, 2024 or 2023. As stated above, intangibles with indefinite useful lives are tested annually for impairment, or when events or changes in circumstances indicate the potential for impairment. If the carrying amount of an indefinite lived intangible asset exceeds its fair value, the intangible asset is written down to its fair value.
Vian has been integrated into the Aerospace & Electronics segment. On October 4, 2023, the Company completed the acquisition of Baum lined piping GmbH (“BAUM”). BAUM is a German based company that designs, manufactures, and distributes lined piping products primarily focused on chemical and industrial end markets. BAUM is included in our Process Flow Technologies segment.
Vian has been integrated into the Aerospace & Advanced Technologies segment. On October 4, 2023, the Company completed the acquisition of Baum lined piping GmbH (“BAUM”). BAUM is a German based company that designs, manufactures, and distributes lined piping products primarily focused on chemical and industrial end markets. BAUM has been integrated into the Process Flow Technologies segment.
The commercial market and military market accounted for 61% and 39%, respectively, of total segment sales in 2024.
The commercial market and military market accounted for 61% and 39%, respectively, of total segment sales in 2025.
The total estimated gross liability was $16.4 million and $20.7 million as of December 31, 2024 and 2023, respectively. On July 31, 2006, we entered into a consent decree with the U.S. Department of Justice on behalf of the Department of Defense and the Department of Energy pursuant to which, among other things, the U.S.
The total estimated gross liability was $12.9 million and $16.4 million as of December 31, 2025 and 2024, respectively. On July 31, 2006, we entered into a consent decree with the U.S. Department of Justice on behalf of the Department of Defense and the Department of Energy pursuant to which, among other things, the U.S.
(c) As the timing of future cash outflows is uncertain, the following long-term liabilities (and related balances) are excluded from the above table: long-term environmental liability of $8.6 million, gross unrecognized tax benefits of $8.4 million and related gross interest and penalties of $2.7 million. 31 Table of Contents MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS OUTLOOK - CONTINUING OPERATIONS Overall Our sales depend heavily on industries that are cyclical in nature or are subject to market conditions, which may cause customer demand for our products to be volatile and unpredictable.
(c) As the timing of future cash outflows is uncertain, the following long-term liabilities (and related balances) are excluded from the above table: long-term environmental liability of $5.1 million, gross unrecognized tax benefits of $10.3 million and related gross interest and penalties of $3.2 million. 30 Table of Contents MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS OUTLOOK - CONTINUING OPERATIONS Our sales depend heavily on industries that are cyclical in nature or are subject to market conditions, which may cause customer demand for our products to be volatile and unpredictable.
INCOME TAX (in millions, except %) For the year ended December 31, 2024 2023 2022 Income before tax — U.S. $ 207.0 $ 127.1 $ (117.2) Income before tax — non-U.S. 131.5 106.0 353.7 Income before tax — worldwide $ 338.5 $ 233.1 $ 236.5 Provision for income taxes $ 70.3 $ 57.2 $ 70.1 Effective tax rate 20.8 % 24.5 % 29.6 % Our effective tax rate is affected by a number of items, both recurring and discrete, including the amount of income we earn in different jurisdictions and their respective statutory tax rates, acquisitions and dispositions, changes in the valuation of our deferred tax assets and liabilities, changes in tax laws, regulations and accounting principles, the continued availability of statutory tax credits and deductions, and examinations initiated by tax authorities around the world.
INCOME TAX (in millions, except %) For the year ended December 31, 2025 2024 2023 Income before tax — U.S. $ 312.8 $ 207.0 $ 127.1 Income before tax — non-U.S. 120.0 131.5 106.0 Income before tax — worldwide $ 432.8 $ 338.5 $ 233.1 Provision for income taxes $ 101.1 $ 70.3 $ 57.2 Effective tax rate 23.4 % 20.8 % 24.5 % Our effective tax rate is affected by a number of items, both recurring and discrete, including the amount of income we earn in different jurisdictions and their respective statutory tax rates, acquisitions and dispositions, changes in the valuation of our deferred tax assets and liabilities, changes in tax laws, regulations and accounting principles, the continued availability of statutory tax credits and deductions, and examinations initiated by tax authorities around the world.
The net periodic pension cost decreased in 2024 compared to 2023, primarily driven by lower 35 Table of Contents MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS interest costs and curtailments for U.S. plans and higher expected return on assets for both U.S. and Non U.S. Plans.
The net periodic pension cost increased in 2025 compared to 2024, primarily driven by lower expected return on assets and higher 34 Table of Contents MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS interest costs for both U.S. and Non U.S. Plans.
Estimates of contract costs include labor hours and rates, and material costs. These estimates consider historical performance, the complexity of the work to be performed, the estimated time to complete the project, and other economic factors such as inflation and market rates.
These estimates are subject to uncertainties and require judgment. Estimates of contract costs include labor hours and rates, and material costs. These estimates consider historical performance, the complexity of the work to be performed, the estimated time to complete the project, and other economic factors such as inflation.
Fair values are established primarily by discounting estimated future cash flows at an estimated cost of capital which varies for each reporting unit and which, as of our most recent annual impairment assessment, ranged between 9.0% and 9.5% (a weighted average of 9.2%), reflecting the respective inherent business risk of each of the reporting units tested.
Fair values are established primarily by discounting estimated future cash flows at an estimated cost of capital which varies for each reporting unit and which, as of our most recent annual impairment assessment, was 9.0%. reflecting the respective inherent business risk of each of the reporting units tested.
Reviews occur at the lowest level for 34 Table of Contents MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS which identifiable cash flows are largely independent of cash flows associated with other long-lived assets or asset groups and include estimated future revenues, gross profit margins, operating profit margins and capital expenditures which are based on the businesses’ strategic plans and long-range planning forecasts, which change from year to year.
Reviews occur at the lowest level for which identifiable cash flows are largely independent of cash flows associated with other long-lived assets or asset groups and include estimated future revenues, gross profit margins, operating profit margins and capital expenditures which are based on the businesses’ strategic plans and long-range planning forecasts, which change from year to year.
We are working with our insurance carrier to assess the damage and ascertain the amount of insurance recoveries due to us as a result of the damage and loss we incurred, as such the timing of insurance proceeds may lag behind actual losses incurred.
We worked with our insurance carrier to assess the damage and ascertain the amount of insurance recoveries due to us as a result of the damage and loss we incurred, as such the timing of insurance proceeds lagged behind the actual losses incurred.
At any given time, and from time to time, we may be evaluating one or more of these opportunities, although we cannot assure you if or when we will consummate any such transactions. The Company raised the 2025 annual dividend by 12% to $0.92 per share.
At any given time, and from time to time, we may be evaluating one or more of these opportunities, although we cannot assure you if or when we will consummate any such transactions. The Company raised the annual dividend for 2026 by 11% to $1.02 per share.
The evidence we consider in reaching such conclusions includes, but is not limited to; (1) future reversals of existing taxable temporary differences, (2) future taxable income exclusive of reversing taxable temporary differences, (3) taxable income in prior carryback year(s) if carryback is permitted under the tax law, (4) cumulative losses in recent years, (5) a history of tax losses or credit carryforwards expiring unused, (6) a carryback or carryforward period that is so brief it limits realization of tax benefits, and (7) a strong earnings history exclusive of the loss that created the carryforward and support showing that the loss is an aberration rather than a continuing condition. 33 Table of Contents MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS We account for unrecognized tax benefits in accordance with ASC 740, which prescribes a minimum probability threshold that a tax position must meet before a financial statement benefit is recognized.
The evidence we consider in reaching such conclusions includes, but is not limited to; (1) future reversals of existing taxable temporary differences, (2) future taxable income exclusive of reversing taxable temporary differences, (3) taxable income in prior carryback year(s) if carryback is permitted under the tax law, (4) cumulative losses in recent years, (5) a history of tax losses or credit carryforwards expiring unused, (6) a carryback or carryforward period that is so brief it limits realization of tax 32 Table of Contents MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS benefits, and (7) a strong earnings history exclusive of the loss that created the carryforward and support showing that the loss is an aberration rather than a continuing condition.
Our insurance generally covers the repair or replacement of assets that suffered damage or loss and also provides business interruption coverage, including lost profits, and reimbursement for other expenses and costs that have been incurred relating to the damages and losses suffered. The recovery related to business interruption will be recognized when realized and received.
Our insurance covered the repair or replacement of assets that suffered damage or loss and also provided for business interruption coverage, which included lost profits, and reimbursement for other expenses and costs that have been incurred relating to the damages and losses suffered. The recovery related to business interruption was recognized when realized and received.
Recoverability is based upon projections of anticipated future undiscounted cash flows associated with the use and eventual disposal of the definite-lived intangible asset (or asset group), as well as specific appraisal in certain instances.
Recoverability is based upon projections of anticipated future undiscounted 33 Table of Contents MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS cash flows associated with the use and eventual disposal of the definite-lived intangible asset (or asset group), as well as specific appraisal in certain instances.
As of December 31, 2023, we had $576.4 million of goodwill and $87.1 million of net intangible assets, of which $22.1 million were intangibles with indefinite useful lives, consisting of trade names. Our business acquisitions have typically resulted in the recognition of goodwill and other intangible assets.
As of December 31, 2024, we had $661.6 million of goodwill and $159.9 million of net intangible assets, of which $21.4 million were intangibles with indefinite useful lives, consisting of trade names. Our business acquisitions have typically resulted in the recognition of goodwill and other intangible assets.
The net periodic pension cost was $4.3 million and $11.2 million in 2024 and 2023, respectively, and net periodic pension benefit of $2.3 million in 2022.
The net periodic pension cost was $8.7 million, $4.3 million and $11.2 million in 2025, 2024 and 2023, respectively.
Costs incurred represent work performed, which corresponds with, and thereby depicts, the transfer of control to the customer. Total revenue recognized and cost estimates are updated monthly. In 2024, the Company recognized approximately $108.0 million in revenue over time related to contracts in progress as of December 31, 2024. These estimates are subject to uncertainties and require judgment.
Costs incurred represent work performed, which corresponds with, and thereby depicts, the transfer of control to the customer. Total revenue recognized and cost estimates are updated monthly. In 2025, the Company recognized approximately $109.1 million in revenue over time related to contracts in progress as of December 31, 2025, or 4.7% of total sales.
As of December 31, 2024, our total debt to total capitalization ratio was 13.1%, computed as follows: (in millions) Total debt $ 247.0 Equity 1,641.0 Capitalization $ 1,888.0 Total indebtedness to capitalization 13.1 % See Item 8 under Note 14, “Financing,” in the Notes to Consolidated Financial Statements for details regarding our financing arrangements.
As of December 31, 2025, our total debt to total capitalization ratio was 35.8%, computed as follows: (in millions) Total debt $ 1,148.2 Equity 2,063.4 Capitalization $ 3,211.6 Total indebtedness to capitalization 35.8 % See Item 8 under Note 14, “Financing,” in the Notes to Consolidated Financial Statements for details regarding our financing arrangements.
Investing Activities Cash flows relating to investing activities from continuing operations consist primarily of cash used for capital expenditures, acquisitions of businesses and cash provided by divestitures of businesses or assets. Cash used for investing activities from continuing operations was $230.0 million in 2024, compared to $128.8 million in 2023.
Investing Activities Cash flows relating to investing activities from continuing operations consist primarily of cash used for capital expenditures and acquisitions of businesses. Cash used for investing activities from continuing operations was $48.1 million in 2025, compared to $230.0 million in 2024.
Transaction Related Expenses In 2024, we recorded pre-tax transaction related expenses of $8.4 million primarily related to the Vian, CryoWorks and Technifab acquisitions and the divestiture of the Engineered Materials segment. In 2023, we recorded pre-tax transaction related expenses of $39.3 million primarily related to the separation.
Transaction Related Expenses In 2025, we recorded pre-tax transaction related expenses of $14.8 million primarily related to the Druck, Panametrics, Reuter-Stokes and Optek acquisitions. In 2024, we recorded pre-tax transaction related expenses of $8.4 million primarily related to the Vian, CryoWorks and Technifab acquisitions and the divestiture of the Engineered Materials segment.
Operating profit increased $38.7 million, or 32.2%, to $159.0 million in 2023 compared to 2022, primarily reflecting the impact from higher volumes of $25.4 million, or 21.1%, coupled with higher pricing net of inflation, productivity gains and restructuring savings of $23.2 million, or 19.3%, partially offset by unfavorable mix of $10.1 million, or 8.4%. 26 Table of Contents MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS Process Flow Technologies (in millions, except %) For the year ended December 31, 2024 2023 2022 Net sales by product line: Process Valves and Related Products $ 913.3 $ 811.3 $ 749.8 Commercial Valves 137.9 116.4 232.2 Pumps and Systems 147.3 145.1 127.4 Total net sales $ 1,198.5 $ 1,072.8 $ 1,109.4 Cost of sales $ 689.0 $ 615.9 $ 697.8 Selling, general and administrative $ 269.2 $ 248.4 $ 243.4 Operating profit $ 240.3 $ 208.5 $ 168.2 Assets $ 1,265.0 $ 1,164.5 $ 1,064.7 Backlog $ 376.4 $ 379.0 $ 368.8 Operating margin 20.1 % 19.4 % 15.2 % 2024 compared to 2023 Sales increased by 125.7 million, or 11.7%, to $1,198.5 million in 2024, primarily driven by the impact of the BAUM, CryoWorks, and Technifab acquisitions of $69.6 million, or 6.5%, higher core sales of $53.3 million, or 5.0%, primarily driven by higher pricing, and to a lesser extent by favorable foreign currency translation of $2.8 million, or 0.2%. • Sales of Process Valves and Related Products increased by $102.0 million, or 12.6%, to $913.3 million in 2024, primarily driven by the impact of the BAUM, CryoWorks and Technifab acquisitions of $69.6 million, or 8.6%, and higher core sales of $33.4 million, or 4.1%, driven by higher pricing. • Sales of Commercial Valves increased by $21.5 million, or 18.5%, to $137.9 million in 2024, primarily driven by increase in core sales of $17.5 million, or 15.0%, and favorable foreign currency translation of $4.0 million, or 3.4%, as the British pound strengthened against the U.S. dollar. • Sales of Pumps and Systems increased by $2.2 million, or 1.5%, to $147.3 million in 2024, reflecting an increase in core sales primarily driven by higher pricing.
Operating profit increased $53.5 million, or 25.6%, to $262.5 million in 2025, the increase primarily reflected higher volumes and strong net price , inclusive of tariffs and productivity gains of $65.0 million, or 31.1%, offset by unfavorable mix of $14.7 million, or 7.0%. 26 Table of Contents MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS PROCESS FLOW TECHNOLOGIES (in millions, except %) For the year ended December 31, 2025 2024 2023 Net sales by product line: Process Valves and Related Products $ 947.6 $ 913.3 $ 811.3 Commercial Valves 147.4 137.9 116.4 Pumps and Systems 161.1 147.3 145.1 Total net sales $ 1,256.1 $ 1,198.5 $ 1,072.8 Cost of sales $ 700.4 $ 689.0 $ 615.9 Engineering, selling and administrative $ 292.2 $ 269.2 $ 248.4 Operating profit $ 263.5 $ 240.3 $ 208.5 Assets $ 1,326.0 $ 1,265.0 $ 1,164.5 Backlog $ 359.9 $ 376.4 $ 379.0 Operating margin 21.0 % 20.1 % 19.4 % 2025 compared to 2024 Sales increased by 57.6 million, or 4.8%, to $1,256.1 million in 2025, primarily driven by the impact of the CryoWorks, and Technifab acquisitions of $29.1 million, or 2.4%, higher core sales of $18.1 million, or 1.5%, driven by higher pricing, and favorable foreign currency translation of $10.4 million, or 0.9%. • Sales of Process Valves and Related Products increased by $34.3 million, or 3.8%, to $947.6 million in 2025, primarily driven by the impact of the CryoWorks and Technifab acquisitions of $29.1 million, or 3.2%, favorable foreign currency translation of $6.6 million, or 0.7%, and to a lesser extent offset by lower core sales of $1.4 million, or 0.2%, driven by lower volumes. • Sales of Commercial Valves increased by $9.5 million, or 6.9%, to $147.4 million in 2025, primarily driven by increase in core sales of $5.4 million, or 3.9%, driven by higher pricing, and favorable foreign currency translation of $4.1 million, or 3.0%, as the British pound strengthened against the U.S. dollar. • Sales of Pumps and Systems increased by $13.8 million, or 9.4%, to $161.1 million in 2025, reflecting an increase in core sales driven by higher pricing and volumes.
As of December 31, 2024, we had $661.6 million of goodwill and $159.9 million of net intangible assets, of which $21.4 million were intangibles with indefinite useful lives, consisting of trade names.
As of December 31, 2025, we had $683.9 million of goodwill and $149.5 million of net intangible assets, of which $22.9 million were intangibles with indefinite useful lives, consisting of trade names.
A reconciliation of the statutory U.S. federal tax rate to our effective tax rate is set forth under Note 10, "Income Taxes" in the Notes to Consolidated Financial Statements. 29 Table of Contents MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS LIQUIDITY AND CAPITAL RESOURCES (in millions) For the year ended December 31, 2024 2023 2022 Net cash provided by (used for): Operating activities from continuing operations $ 257.8 $ 162.1 $ (498.8) Investing activities from continuing operations (230.0) (128.8) 288.4 Financing activities from continuing and discontinued operations (49.7) (423.2) 106.0 Discontinued operations 11.8 58.3 322.8 Effect of exchange rates on cash and cash equivalents (11.3) 3.6 (39.4) (Decrease) increase in cash and cash equivalents $ (21.4) $ (328.0) $ 179.0 Our operating philosophy is to deploy cash provided from operating activities, when appropriate, to provide value to shareholders by reinvesting in existing businesses, by making acquisitions that will strengthen and complement our portfolio, by divesting businesses that are no longer strategic or aligned with our portfolio and where such divestitures can generate capacity for strategic investments and initiatives that further optimize our portfolio, and by paying dividends and/or repurchasing shares.
This legislation did not have a material impact on our income tax expense for the year ended December 31, 2025, and while the Company is continuing to evaluate the financial statement impact of these new provisions on future reporting periods it is not expected to have a material impact in 2026. 28 Table of Contents MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS LIQUIDITY AND CAPITAL RESOURCES (in millions) For the year ended December 31, 2025 2024 2023 Net cash provided by (used for): Operating activities from continuing operations $ 394.8 $ 257.8 $ 162.1 Investing activities from continuing operations (48.1) (230.0) (128.8) Financing activities from continuing and discontinued operations 838.8 (49.7) (423.2) Discontinued operations 213.6 11.8 58.3 Effect of exchange rate on cash, cash equivalents and restricted cash 24.0 (11.3) 3.6 Increase (decrease) in cash, cash equivalents and restricted cash $ 1,423.1 $ (21.4) $ (328.0) Our operating philosophy is to deploy cash provided from operating activities, when appropriate, to provide value to shareholders by reinvesting in existing businesses, by making acquisitions that will strengthen and complement our portfolio, by divesting businesses that are no longer strategic or aligned with our portfolio and where such divestitures can generate capacity for strategic investments and initiatives that further optimize our portfolio, and by paying dividends and/or repurchasing shares.
We expect an improvement in segment operating profit and operating margin compared to 2024, driven primarily by strong productivity and higher pricing net of inflation. 32 Table of Contents MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS APPLICATION OF CRITICAL ACCOUNTING ESTIMATES Our consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States.
However, we expect operating margin to decline modestly compared to 2025 driven primarily by the dilutive impact of the acquisitions. 31 Table of Contents MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS APPLICATION OF CRITICAL ACCOUNTING ESTIMATES Our consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States.
The year-over-year higher sales included: • an increase in core sales of $156.0 million, or 8.4%, which was driven primarily by higher pricing and to a lesser extent higher volumes; • an increase in sales related to the BAUM, Vian, CryoWorks, and Technifab acquisitions of 110.2 million, or 5.9%; and • favorable foreign currency translation of 2.9 million, or 0.2%.
The year-over-year higher sales included: • an increase in core sales of $132.7 million, or 6.2%, which was driven primarily by higher pricing; • an increase in sales related to the CryoWorks, and Technifab acquisitions of $29.1 million, or 1.4%; and • favorable foreign currency translation of $12.0 million, or 0.6% .
When products are customized or products are sold directly to the U.S. government or indirectly to the U.S. government through subcontracts, revenue is recognized over time because control is transferred continuously to customers, as the contract progresses. We exercise judgment to determine whether the products have an alternative use to us.
In these cases, revenue is recognized over time because control is transferred continuously to customers, as the contract progresses. We exercise judgment to determine whether the products have an alternative use to us.
The increase is primarily related to the absence of loss on divestiture of asbestos-related assets and liabilities of $162.4 million, an increase in core sales primarily driven by higher pricing net of inflation of $68.9 million and strong productivity of $38.9 million, partially offset by unfavorable mix of $27.4 million. 24 Table of Contents MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS Comprehensive income (in millions) For the year ended December 31, 2024 2023 2022 Net income attributable to common shareholders $ 294.7 $ 255.9 $ 401.1 Other comprehensive income (loss), net of tax Currency translation adjustment (30.6) 20.7 (93.3) Changes in pension and postretirement plan assets and benefit obligation, net of tax 26.5 10.0 30.0 Other comprehensive income (loss), net of tax (4.1) 30.7 (63.3) Comprehensive income before allocation to noncontrolling interests 290.6 286.6 337.8 Less: Noncontrolling interests in comprehensive income (0.2) (0.1) (0.2) Comprehensive income attributable to common shareholders $ 290.8 $ 286.7 $ 338.0 For the year ended December 31, 2024, comprehensive income before allocation to noncontrolling interests was $290.6 million compared to $286.6 million in 2023.
The increase primarily reflected strong net price, inclusive of tariffs and productivity gains of $66.3 million, or 18.6%. 24 Table of Contents MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS Comprehensive income (in millions) For the year ended December 31, 2025 2024 2023 Net income attributable to common shareholders $ 366.6 $ 294.7 $ 255.9 Other comprehensive income (loss), net of tax Currency translation adjustment 51.4 (30.6) 20.7 Changes in pension and postretirement plan assets and benefit obligation, net of tax 30.5 26.5 10.0 Other comprehensive income (loss), net of tax 81.9 (4.1) 30.7 Comprehensive income before allocation to noncontrolling interests 448.5 290.6 286.6 Less: Noncontrolling interests in comprehensive income — (0.2) (0.1) Comprehensive income attributable to common shareholders $ 448.5 $ 290.8 $ 286.7 For the year ended December 31, 2025, comprehensive income before allocation to noncontrolling interests was $448.5 million compared to $290.6 million in 2024.
We expect growth in our commercial and military aftermarket businesses driven by continued high utilization of aircraft, but at decelerating rates compared to 2023 and 2024 due to increasingly challenging year-over-year comparisons.
We also expect growth in our commercial and military aftermarket businesses driven by continued high utilization of aircraft, but at decelerating rates compared to 2024 and 2025 reflecting increasingly challenging year-over-year comparisons. We expect segment operating profit to increase compared to 2025 due to higher volumes, positive net price and the contribution from the Druck acquisition.
Selling, general and administrative expense increased by $14.2 million, or 10.5%, to $149.3 million in 2024, primarily related to higher selling and administrative costs of $19.2 million, or 14.2%, offset by lower engineering costs of $5.0 million, or 3.7%.
Engineering, selling, and administrative expense increased by $5.3 million, or 3.5%, to $154.6 million in 2025, primarily related to higher selling and administrative costs of $6.7 million, or 4.5%, offset by lower engineering costs of $1.6 million, or 1.1%.
The increase is primarily related to the impact from the BAUM, Vian, CryoWorks, and Technifab acquisitions of $90.5 million, or 8.1%, coupled with higher material, labor and other manufacturing costs of $60.5 million, or 5.4%, higher volumes of $24.8 million, or 2.2%, and unfavorable mix of $22.1 million, or 2.0%, partially offset by strong productivity gains of $46.6 million, or 4.2%.
The increase is primarily related to higher material, labor and other manufacturing costs, inclusive of tariffs of $110.7 million, or 8.8%, the impact from the CryoWorks, and Technifab acquisitions of $19.8 million, or 1.6%, unfavorable foreign currency translation of $6.7 million, or 0.5%, partially offset by strong productivity gains of $53.7 million, or 4.3%, lower volumes of $9.8 million, or 0.8%, and cost savings of $5.2 million, or 0.4%.
Cash used by financing activities was $49.7 million in 2024, compared to $423.2 million in 2023.
Cash provided by financing activities was $838.8 million in 2025, compared to cash used for financing activities of $49.7 million in 2024.
As a result, revenue from the sale of products is generally recognized at a point in time - either upon shipment or delivery - based on the specific shipping terms in the contract.
As a result, revenue from the sale of products is generally recognized at a point in time - either upon shipment or delivery - based on the specific shipping terms agreed with our customers. Certain products however, are customized or sold directly to the U.S. government or indirectly to the U.S. government through subcontracts.
Aerospace & Electronics In 2025, we expect Aerospace & Electronics sales to increase in the high single-digit range compared to 2024. We expect a substantial improvement in our commercial OEM business driven by higher aircraft build rates, and our military OEM business driven by continued global geopolitical uncertainty which is driving increased demand.
We expect a substantial improvement in our commercial OEM business driven by higher aircraft build rates, and increased demand for our military OEM business driven by continued global geopolitical uncertainty.
Marion Site Hurricane Damage and Recovery In September 2024, our manufacturing site in Marion, North Carolina was directly affected by flooding from Hurricane Helene.
In 2023, we recorded pre-tax transaction related expenses of $39.3 million related to the separation. Marion Site Hurricane Damage and Recovery In September 2024, our manufacturing site in Marion, North Carolina was directly affected by flooding from Hurricane Helene.
We expect an improvement in operating profit driven primarily by productivity benefits, operating leverages on higher volumes, lower transaction related expenses, higher pricing net of inflation and contributions from the Technifab and CryoWorks acquisitions, partially offset by unfavorable mix mainly in our Aerospace & Electronics segment (discussed below).
We expect an improvement in operating profit driven primarily by productivity benefits and operating leverage on higher volumes, lower transaction related expenses, higher pricing net of inflation and contributions from the Druck, Panametrics, Reuter-Stokes, and optek-Danulat acquisitions.
Goodwill is potentially impaired when the net book value of the reporting unit exceeds its estimated fair value.
When performing our annual impairment assessment, we compare the fair value of each of our reporting units to our respective carrying value. Goodwill is potentially impaired when the net book value of the reporting unit exceeds its estimated fair value.
The following table summarizes our fixed cash obligations as of December 31, 2024: Payment due by Period (in millions) Total 2025 2026 2027 2028 2029 2030 and after Debt (a) $ 247.5 $ — $ 247.5 $ — $ — $ — $ — Operating lease payments 84.9 16.4 14.6 13.5 10.0 6.9 23.5 Purchase obligations 226.6 215.0 9.3 0.5 0.2 0.3 1.3 Pension and postretirement benefits (b) 515.8 51.8 51.9 53.0 54.2 51.7 253.2 Other long-term liabilities reflected on Consolidated Balance Sheets (c) — — — — — — — Total $ 1,074.8 $ 283.2 $ 323.3 $ 67.0 $ 64.4 $ 58.9 $ 278.0 (a) Debt includes scheduled principal payments.
The following table summarizes our fixed cash obligations as of December 31, 2025: Payment due by Period (in millions) Total 2026 2027 2028 2029 2030 2031 and after Debt (a) $ 1,150.0 $ — $ 22.5 $ 45.0 $ 45.0 $ 1,037.5 $ — Operating lease payments 83.5 17.7 16.7 12.6 8.8 6.6 21.1 Purchase obligations 326.4 297.9 12.1 0.7 0.2 0.3 15.2 Pension and postretirement benefits (b) 526.8 54.0 54.4 55.6 52.7 52.6 257.5 Other long-term liabilities reflected on Consolidated Balance Sheets (c) — — — — — — — Total $ 2,086.7 $ 369.6 $ 105.7 $ 113.9 $ 106.7 $ 1,097.0 $ 293.8 (a) Debt includes scheduled principal payments and borrowings under our Revolving Facility.
Operating Activities Cash provided by operating activities from continuing operations, a key source of our liquidity, was $257.8 million in 2024, compared to $162.1 million in 2023. The increase in cash provided by operating activities from continuing operations was primarily driven by the $109.1 million increase in net income from continuing operations, adjusted for the exclusion of non-cash items.
Operating Activities Cash provided by operating activities from continuing operations, a key source of our liquidity, was $394.8 million in 2025, compared to $257.8 million in 2024.
Crane Holdings, Co. was separated into two independent, publicly-traded companies in a transaction in which Crane Holdings, Co. retained its Payment & Merchandising Technologies segment (Crane NXT) and spun-off its Aerospace & Electronics, Process Flow Technologies and Engineered Materials segments to Crane Holdings, Co. stockholders (Crane Company). 21 Table of Contents MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS Acquisitions and Items Affecting Comparability of Reported Results The comparability of our results for the years ended December 31, 2024, 2023 and 2022 is affected by the following significant items: Acquisitions On November 1, 2024, the Company completed the acquisition of Technifab Products, Inc.
Optek is being integrated into the Process Flow Technologies segment. 22 Table of Contents MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS Acquisitions and Items Affecting Comparability of Reported Results The comparability of our results for the years ended December 31, 2025, 2024 and 2023 is affected by the following significant items: Acquisitions On November 1, 2024, the Company completed the acquisition of Technifab Products, Inc.
The increase in cash provided by operating activities from continuing operations was primarily driven by the $550.0 million payment in 2022 related to the divestiture of the asbestos-related assets and liabilities and, to a lesser extent, the $108.6 million increase in net income adjusted for the exclusion of non-cash items.
The increase in cash provided by operating activities from continuing operations was primarily driven by the $79.0 million increase in net income from continuing operations, adjusted for the exclusion of non-cash items and improved working capital of $60.7 million.
Cost of sales increased by $73.1 million, or 11.9%, to $689.0 million, primarily reflecting the impact of the BAUM, CryoWorks, and Technifab acquisitions of $52.4 million, or 8.5%, unfavorable mix of $25.9 million, or 4.2%, and higher material, labor and other manufacturing costs of $20.4 million, or 3.3%, partially offset by productivity gains of $26.3 million, or 4.3%.
Cost of sales increased by $11.4 million, or 1.7%, to $700.4 million, reflecting higher material, labor and other manufacturing costs, inclusive of tariffs of $54.3 million, or 7.9%, the impact of the CryoWorks, and Technifab acquisitions of $19.8 million, or 2.9%, and unfavorable foreign currency translation of $6.1 million, or 0.9%, partially offset by lower volumes and mix impacts of $41.3 million, or 6%, strong productivity gains of $24.7 million, or 3.6%, and to a lesser extent cost savings of $2.8 million, or 0.4%.
INTEREST AND MISCELLANEOUS INCOME, NET (in millions) For the year ended December 31, 2024 2023 2022 Interest income $ 5.5 $ 5.1 $ 3.2 Interest expense $ (27.2) $ (22.7) $ (10.1) Gain on sale of business $ — $ — $ 232.5 Miscellaneous income, net $ 4.4 $ 0.3 $ 5.6 2024 compared to 2023 Interest expense increased by $4.5 million, or 19.8%, primarily due to incremental borrowings under the revolving credit facility during 2024 to fund acquisitions.
INTEREST AND MISCELLANEOUS INCOME, NET (in millions) For the year ended December 31, 2025 2024 2023 Interest income $ 11.2 $ 5.5 $ 5.1 Interest expense $ (11.3) $ (27.2) $ (22.7) Miscellaneous income, net $ 8.7 $ 4.4 $ 0.3 2025 compared to 2024 Interest expense decreased by $15.9 million, or 58.5%, resulting from the repayment of the 2023 Term facility during 2025.
Cost of sales increased $77.5 million, or 18.6%, to $495.2 million in 2023 compared to 2022, primarily reflecting $48.7 million, or 11.7%, of increased material, labor and other manufacturing costs, increased volumes of $29.3 million, or 7.0% and unfavorable mix of $10.1 million, or 2.4%, partially offset by $11.1 million, or 2.7% of productivity gains.
Cost of sales increased $57.4 million, or 10.0%, to $631.8 million in 2025 compared to 2024, primarily reflecting higher material, labor and other manufacturing costs, inclusive of tariffs of $56.4 million, or 9.8%, increased volumes and mix impacts of $31.8 million, or 5.5%, partially offset by strong productivity gains of $29.0 million, or 5.0%.
AEROSPACE & ELECTRONICS (in millions, except %) For the year ended December 31, 2024 2023 2022 Net sales by product line: Commercial Original Equipment $ 349.4 $ 291.4 $ 250.5 Military Original Equipment 273.1 252.4 231.2 Commercial Aftermarket Products 218.5 180.2 129.3 Military Aftermarket Products 91.7 65.3 56.3 Total net sales $ 932.7 $ 789.3 $ 667.3 Cost of sales $ 574.4 $ 495.2 $ 417.7 Selling, general and administrative $ 149.3 $ 135.1 $ 129.3 Operating profit $ 209.0 $ 159.0 $ 120.3 Assets $ 896.2 $ 744.6 $ 663.3 Backlog $ 863.8 $ 700.9 $ 613.1 Operating margin 22.4 % 20.1 % 18.0 % 2024 compared to 2023 Aerospace & Electronics sales increased $143.4 million, or 18.2%, to $932.7 million in 2024, primarily due to higher volumes and pricing of $102.7 million, or 13.0%, and the impact of Vian acquisition of $40.6 million, or 5.1%.
The $157.9 million increase was primarily driven by $71.9 million of higher net income before allocation to noncontrolling interests, $82.0 million favorable impact of foreign currency translation adjustments, primarily related to the euro and British pound and a $4.0 million increase primarily due to favorable pension plan asset performance. 25 Table of Contents MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS AEROSPACE & ADVANCED TECHNOLOGIES (in millions, except %) For the year ended December 31, 2025 2024 2023 Net sales by product line: Commercial Original Equipment $ 397.3 $ 349.4 $ 291.4 Military Original Equipment 297.5 273.1 252.4 Commercial Aftermarket Products 247.5 218.5 180.2 Military Aftermarket Products 106.6 91.7 65.3 Total net sales $ 1,048.9 $ 932.7 $ 789.3 Cost of sales $ 631.8 $ 574.4 $ 495.2 Engineering, selling and administrative $ 154.6 $ 149.3 $ 135.1 Operating profit $ 262.5 $ 209.0 $ 159.0 Assets $ 936.3 $ 896.2 $ 744.6 Backlog $ 1,075.5 $ 863.8 $ 700.9 Operating margin 25.0 % 22.4 % 20.1 % 2025 compared to 2024 Aerospace & Advanced Technologies sales increased $116.2 million, or 12.5%, to $1,048.9 million in 2025, primarily due to higher pricing and volumes of $114.6 million, or 12.3%.
Process Flow Technologies In 2025, we expect Process Flow Technologies sales to increase approximately 4% to 5% driven by low- to mid-single digit core sales growth, a 2% to 3% contribution from the Technifab and CryoWorks acquisitions, partially offset by approximately 1% of unfavorable foreign exchange.
Process Flow Technologies In 2026, we expect Process Flow Technologies sales to increase in the low-to-mid 20%s driven by flat-to-low single digit core sales growth, a low-20% contribution from the Panametrics, Reuter-Stokes, and optek-Danulat acquisitions, as well as a 1% benefit from foreign exchange.
The increase was primarily due to higher pricing net of inflation and productivity of $74.0 million, or 44.0%, partially offset by unfavorable mix of $17.3 million, or 10.3%, and the net impact from the sale of Crane Supply of $13.8 million, or 8.2%. 28 Table of Contents MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS CORPORATE (in millions) For the year ended December 31, 2024 2023 2022 Corporate expense $ (93.5) $ (117.1) $ (120.8) Loss on divestiture of asbestos-related assets and liabilities — — (162.4) Total Corporate expense $ (93.5) $ (117.1) $ (283.2) Total Corporate expense decreased by $23.6 million, or 20.2%, in 2024, primarily reflecting the absence of separation related expenses of $19.4 million or 16.6%.
The increase is primarily due to strong net price, inclusive of tariffs and productivity gains of $31.2 million, or 13%, partially offset by the net impact of lower volumes and mix impacts of $12.2 million, or 5.1%. 27 Table of Contents MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS CORPORATE (in millions) For the year ended December 31, 2025 2024 2023 Corporate expense $ (101.8) $ (93.5) $ (117.1) Total Corporate expense $ (101.8) $ (93.5) $ — $ (117.1) 2025 compared to 2024 Total Corporate expense increased by $8.3 million, or 8.9%, in 2025, primarily reflecting higher transaction related expenses of $5.0 million, or 5.3%.
For the year ended December 31, 2024, we incurred losses and expenses of $23.3 million related to damages caused by the hurricane, which included professional fees to restore and maintain the site and the write-off of damaged property, equipment and inventory.
As of December 31, 2025, the full insurance claim has been settled and no additional proceeds are expected to be recovered. For the year ended December 31, 2025 and 2024, we incurred expenses of $6.0 million and $23.3 million, respectively related to damage caused by the hurricane, which included professional fees to restore and maintain the site.
Financing Activities Financing cash flows consist primarily of dividend payments to shareholders, repayments of indebtedness, proceeds from our Credit Facilities and proceeds from the issuance of common stock in connection with employee stock plans. During the year 2023, financing cash flows also includes activities associated with the distribution of Crane NXT, Co. in support of the Separation.
Capital expenditures are made primarily for increasing capacity, replacing equipment, supporting new product development, and improving information systems. Financing Activities Financing cash flows consist primarily of dividend payments to shareholders, repayments of indebtedness, proceeds from our Credit Facilities and proceeds from the issuance of common stock in connection with employee stock plans.
Fair value is calculated using relief from royalty method. We amortize the cost of definite-lived intangibles over their estimated useful lives. We review all our definite-lived intangible assets for impairment whenever events or changes in circumstances indicate the carrying amount of an asset may not be recoverable.
Fair value is calculated using relief from royalty method. We amortize the cost of definite-lived intangibles over their estimated useful lives.
See "Application of Critical Accounting Policies" included later in this Item 7 for additional information about our provision for income taxes.
See "Application of Critical Accounting Policies" included later in this Item 7 for additional information about our provision for income taxes. A reconciliation of the statutory U.S. federal tax rate to our effective tax rate is set forth under Note 10, "Income Taxes" in the Notes to Consolidated Financial Statements.
Cost of sales increased by $152.3 million, or 13.7%, to $1,263.4 million in 2024.
Cost of sales increased by $68.8 million, or 5.4%, to $1,332.2 million in 2025.
The decrease in cash used for financing activities was driven by: • $578.1 million related to the Distribution of Crane NXT, Co. in the prior year; 30 Table of Contents MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS • $10.4 million decrease in dividends paid, reflecting a lower dividend per share established on April 3, 2023 in connection with the Separation; • $9.0 million decrease in payments for debt issuance costs; offset by • $201.3 million decrease in net borrowings; and • $22.7 million increase in payments for taxes related to net share settlements of equity awards, net of proceeds from stock options.
The increase in cash provided by financing activities was driven by: • $960.0 million increase in borrowings under our Term Facility and Revolving Facility; partially offset by • $55.6 million increase in debt repayments; • $6.0 million increase in dividend payments; • $5.6 million increase in debt refinancing costs; and 29 Table of Contents MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS • $4.3 million increase in payments for taxes related to net share settlements of equity awards, net of proceeds from stock option exercises.
Sales to OEM and aftermarket customers in 2024 were 67% and 33% of total segment sales, respectively. • Sales of Commercial Original Equipment increased by $58.0 million, or 19.9%, to $349.4 million in 2024, primarily reflecting strong demand from aircraft manufacturers and the impact of the Vian acquisition. • Sales of Military Original Equipment increased by $20.7 million, or 8.2%, to $273.1 million in 2024, primarily reflecting strong demand from defense and space customers and the impact of the Vian acquisition. • Sales of Commercial Aftermarket Products increased by $38.3 million, or 21.3%, to $218.5 million in 2024, primarily reflecting continued strong demand from airlines due to improving air traffic volumes. • Sales of Military Aftermarket Products increased by $26.4 million, or 40.4%, to $91.7 million in 2024, reflecting stronger demand for military products, partly in response to heightened geopolitical tensions globally. 25 Table of Contents MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS Cost of sales increased $79.2 million, or 16.0%, to $574.4 million in 2024 compared to 2023, primarily reflecting higher material, labor and other manufacturing costs of $40.0 million, or 8.1%, the impact from the Vian acquisition of $38.1 million, or 7.7%, increased volumes of $25.1 million, or 5.1%, partially offset by productivity gains of $20.3 million, or 4.1%, and favorable mix of $3.8 million, or 0.8%.
Sales to OEM and aftermarket customers in 2025 were 66% and 34% of total segment sales, respectively. • Sales of Commercial Original Equipment increased by $47.9 million, or 13.7%, to $397.3 million in 2025, reflecting strong demand from aircraft manufacturers. • Sales of Military Original Equipment increased by $24.4 million, or 8.9%, to $297.5 million in 2025, reflecting strong demand from defense and space customers. • Sales of Commercial Aftermarket Products increased by $29.0 million, or 13.3%, to $247.5 million in 2025, reflecting continued strong demand from airlines due to improving air traffic. • Sales of Military Aftermarket Products increased by $14.9 million, or 16.2%, to $106.6 million in 2025, reflecting stronger demand for military products, partly in response to heightened geopolitical tensions globally.
Selling, general and administrative expenses increased by $11.4 million, or 2.3%, to $512.0 million in 2024, primarily driven by higher merit increases, investments in core businesses and the BAUM, Vian, CryoWorks, and Technifab acquisitions, partially offset by the absence of expenses related to the Separation. Operating profit increased by $105.4 million, or 42.1%, to $355.8 million in 2024.
Engineering, selling and administrative expenses increased by $36.6 million, or 7.1%, to $548.6 million in 2025, primarily driven by the increase in administrative expenses of $27.0 million, or 5.3%, coupled with higher selling expenses of $5.0 million, or 1.0%. The increase in administrative expenses was primarily driven by investments in core businesses and the acquisitions of CryoWorks and Technifab.
For the year ended December 31, 2024 we have received insurance recoveries of $20.0 million and have an insurance receivable of $2.8 million, which is net of the $0.5 million deductible. These costs and insurance recoveries are included in Selling, general and administrative expenses in the Consolidated Statements of Operations.
These costs are included in Engineering, selling and administrative expenses in the Consolidated Statements of Operations. On a cumulative basis, we incurred expenses of $29.3 million related to damage caused by the hurricane, all of which were fully covered by insurance except for the $0.5 million deductible.
Selling, general and administrative expenses increased b y $7.1 million, or 1.4%, to $500.6 million in 2023, reflecting an $17.8 million, or 3.6%, increase in administrative expenses primarily related to the Separation, partially offset by the net impact of the sale of Crane Supply $11.2 million, or 2.3%. Operating profit increased by $245.1 million, to $250.4 million in 2023.
Engineering, selling and administrative expense increased by $23.0 million, or 8.5%, to $292.2 million, reflecting an increase in administrative costs of $17.5 million, or 6.5%, primarily from investments in core businesses and the impact of the CryoWorks and Technifab acquisitions. Operating profit increased by 23.2 million, or 9.7%, to $263.5 million in 2025.
The increase in cash used for investing activities is primarily related to the acquisition of Vian for $99.5 million, the acquisition of CryoWorks for $59.1 million and the acquisition of Technifab for $38.8 million, partially offset by the 2023 acquisition of BAUM for $90.5 million.
The decrease in cash used for investing activities was primarily driven by the net cash paid of $197.4 million in the prior period for the acquisitions of Vian Enterprises, Inc., CryoWorks, Inc. and Technifab Products, Inc., partially offset by a $16.9 million increase in capital expenditures.
Removed
Recent Events and Transactions Divestiture of Engineered Materials Effective on January 1, 2025, the Company completed the sale of the Engineered Materials segment to KPS Capital Partners, L.P (“KPS”) for approximately $208.0 million, on a cash-free and debt-free basis.
Added
Recent Events and Transactions Acquisition of Druck, Panametrics and Reuter-Stokes On June 6, 2025, the Company entered into a definitive Purchase Agreement with the Baker Hughes Company for the acquisition of Druck, Panametrics and Reuter-Stokes. Collectively, they are leading providers of sensor-based technologies for aerospace, nuclear and process industries. The Company completed the acquisition on January 1, 2026.
Removed
We determined that the Engineered Materials segment met the criteria of being reported as a discontinued operation as of December 31, 2024. As a result, the related assets, liabilities and operating results of Engineered Materials are presented as discontinued operations and, as such, have been excluded from both continuing operations and segment results for all periods presented.
Added
The Druck brand is being integrated into the Aerospace & Advanced Technologies segment. Panametrics and Reuter-Stokes brands are being integrated into the Process Flow Technologies segment. Acquisition of optek-Danulat On January 1, 2026, the Company completed the acquisition of optek-Danulat (“Optek”). Optek is a leading provider of inline process control optical measurement solutions for biopharma, pharmaceutical and other demanding markets.
Removed
Throughout this Annual Report on Form 10-K, unless otherwise indicated, amounts and activity are presented on a continuing operations basis. See Item 8 under Note 3, “Discontinued Operations,” in the Notes to Consolidated Financial Statements for additional detail.
Added
OVERALL 2025 compared to 2024 Sales increased by $173.8 million, or 8.2%, to $2,305.0 million in 2025.
Removed
Separation On April 3, 2023, Crane Holdings, Co. completed the Separation into two independent, publicly-traded companies, Crane NXT, Co. and Crane Company (the “Separation”).
Added
Operating profit increased by $68.4 million, or 19.2%, to $424.2 million in 2025.

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Item 7A. Quantitative and Qualitative Disclosures About Market Risk

Market Risk — interest-rate, FX, commodity exposure

4 edited+0 added−0 removed2 unchanged
Biggest changeInterest on loans advanced under the Credit Agreement accrues, at our option, at a rate per annum equal to ; (a) adjusted term SOFR plus a credit spread adjustment of 0.10% for the applicable interest period plus a margin ranging from 1.50% to 2.25% or (b) a base rate plus a margin ranging from 0.50% to 1.25%, in each case, with such margin determined based on the lower of the ratings of our senior, unsecured long-term debt and our total net leverage ratio.
Biggest changeInterest on loans advanced under the Credit Agreement accrues, at our option, at a rate per annum equal to ; (a) adjusted term SOFR for the applicable interest period plus a margin ranging from 1.50% to 2.25% or (b) a base rate plus a margin ranging from 0.50% to 1.25%, in each case, with such margin determined based on the lower of the ratings of our senior, unsecured long-term debt and our total net leverage ratio.
This calculation assumes that all currencies change in the same direction and proportion relative to the U.S. dollar and there are no indirect effects, such as changes in non-U.S. dollar sales volumes or prices. 36
This calculation assumes that all currencies change in the same direction and proportion relative to the U.S. dollar and there are no indirect effects, such as changes in non-U.S. dollar sales volumes or prices. 35
These are not forecasts. • As of December 31, 2024, a hypothetical 1% increase in prevailing interest rates would increase our variable rate interest expense by approximately $2.5 million. • Based on a sensitivity analysis as of December 31, 2024, a 10% change in the foreign currency exchange rates for the year ended December 31, 2024 would have impacted our net earnings by approximately $10.6 million, due primarily to the British pound and euro.
These are not forecasts. • As of December 31, 2025, a hypothetical 1% increase in prevailing interest rates would increase our variable rate interest expense by approximately $11.5 million. • Based on a sensitivity analysis as of December 31, 2025, a 10% change in the foreign currency exchange rates for the year ended December 31, 2025 would have impacted our net earnings by approximately $8.6 million, due primarily to the British pound and euro.
We do not enter into derivatives or other financial instruments for trading or speculative purposes. Total net debt outstanding was $247.0 million as of December 31, 2024.
We do not enter into derivatives or other financial instruments for trading or speculative purposes. Total net debt outstanding was $1,148.2 million as of December 31, 2025.

Other CR 10-K year-over-year comparisons