This text first appeared on GuruFocus.
-
Income: $10.4 billion in Q3, up 4% year-over-year, 5% natural development.
-
Phase Working Margin: Elevated to 12.3% in Q3, up 80 foundation factors.
-
Earnings Per Share (EPS): $7.67, a ten% enhance year-over-year.
-
Free Money Movement: Elevated by 72% year-over-year in Q3.
-
E book-to-Invoice Ratio: 1.17 for the quarter.
-
Natural Development Fee: 5% year-over-year.
-
Worldwide Development Fee: 32% year-over-year.
-
Aeronautics Gross sales: $3.1 billion, up 6% year-over-year.
-
Protection Methods Gross sales: Almost $2.1 billion, up 14% year-over-year, 19% natural development.
-
Mission Methods Gross sales Development: Double-digit development pushed by microelectronics applications.
-
House Methods Gross sales: $2.7 billion, sequential development, mid-single-digit decline year-over-year.
-
Working Revenue Enhance: 11% year-over-year in Q3.
-
Steerage for 2025 Income: Revised to $41.7 billion to $41.9 billion.
-
2026 Free Money Movement Outlook: $3.1 billion to $3.5 billion.
Launch Date: October 21, 2025
For the entire transcript of the earnings name, please check with the full earnings name transcript.
-
Northrop Grumman Corp (NYSE:NOC) achieved mid-single-digit development and expanded its section working margin within the third quarter of 2025.
-
The corporate reported a powerful book-to-bill ratio of 1.17, indicating sturdy demand for its services and products.
-
Worldwide development was significantly sturdy, with a 32% enhance 12 months over 12 months, contributing to a 20% year-to-date development in worldwide gross sales.
-
The B-21 program made vital progress, with the second plane coming into flight take a look at and discussions underway to speed up manufacturing charges.
-
Northrop Grumman Corp (NYSE:NOC) elevated its free money move by 72% 12 months over 12 months, aligning with its long-term monetary outlook.
-
The corporate revised its full-year income steering downward as a result of delayed timing on sure awards and applications.
-
The House section confronted challenges with income development as a result of wind down of two massive applications.
-
Increased than anticipated prices have been incurred in producing the EMD flight take a look at plane for the B-21 program.
-
The US authorities shutdown posed potential dangers for additional delays in program awards and funding.
-
There are ongoing provide chain issues, significantly associated to uncommon earths, which might affect future operations.
Q: Are you able to present extra colour on the potential affect of F/A-XX and B-21 acceleration in your 2026 outlook? A: Kathy Warden, CEO, defined that neither F/A-XX nor B-21 acceleration is included within the 2026 outlook. Profitable the F/A-XX would enhance income however may be dilutive to earnings as a result of its improvement nature. The B-21 ramp would additionally enhance gross sales however require funding, with potential long-term returns. Steerage will likely be up to date if readability on these alternatives is achieved.
