Northrop Grumman, General Dynamics report better-than-expected earnings
- July 25, 2013
Virginia-based defense contractors Northrop Grumman and General Dynamics reported better-than-expected results for the second quarter, as their aerospace divisions made up for lower government spending.
Falls Church-based General Dynamics earned $640 million, or $1.81 per diluted share, during the quarter, a 0.9 percent increase from $634 million, or $1.77 per diluted share, during the second quarter of last year. A group of analysts surveyed by Yahoo! Finance had predicted earnings of $1.62 per share.
Northrop Grumman earned $488 million, or $2.05 per diluted share, during the quarter, up from $480 million, or $1.88 per diluted share, during the same period last year. Estimates from analysts had predicted earnings of $1.71 per share.
Total revenue at both contractors remained relatively flat.
General Dynamics reported a 0.1 percent drop in total sales during the second quarter to $7.91 billion, from $7.92 billion during the same period last year. Northrop Grumman’s quarterly sales rose to $6.29 billion, up from $6.27 billion during the April-to-June period last year.
Northrop Grumman’s Aerospace Systems division revenues grew 9 percent during the quarter, as demand increased for unmanned and manned aircraft and space programs. General Dynamics’ aerospace revenues grew 29 percent in the second quarter, as the company received orders for every Gulfstream business jet.