• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Excelitas Qioptiq banner

BATTLESPACE Updates

   +44 (0)77689 54766
   

  • Home
  • Features
  • News Updates
  • Company Directory
  • About
  • Subscribe
  • Contact
  • Media Pack 2022

FURTHER STRONG RESULTS FROM U.S. MAJORS

October 28, 2010 by

FURTHER STRONG RESULTS FROM U.S. MAJORS

Northrop Grumman Corporation

27 Oct 10. Northrop Grumman Corporation (NYSE:NOC) reported that third quarter 2010 earnings from continuing operations increased to $489m, or $1.64 per diluted share, from $464m, or $1.45 per diluted share, in the third quarter of 2009. Net earnings for the 2010 third quarter increased to $497m, or $1.67 per diluted share, from $490m, or $1.53 per diluted share, in the prior year period. The 2009 third quarter included a net tax benefit of $75m, or $0.23 per diluted share. Third quarter 2010 sales increased 4 percent to $8.7bn from $8.35bn. Cash provided by operations totalled $978m in the third quarter of 2010 compared with $544m in the third quarter of 2009. New business awards for the 2010 third quarter totalled $7.4bn, bringing total backlog to $64.6bn as of Sept. 30, 2010.

“This was a strong quarter for Northrop Grumman. Third quarter
results demonstrate that our focus on sustainable performance improvement continues to gain traction across the corporation. All our businesses performed well, and based on year-to-date results, we are raising our 2010 EPS guidance to $6.85 to $7.00 per share. We are also confirming our guidance for cash from operations and free cash flow. Looking ahead, we continue to position the company to generate value for shareholders, customers and employees,” said Wes Bush, chief executive officer and president.

Third quarter 2010 operating income increased 29 percent to $801m from $619m in the prior year period, and as a percent of sales increased 180 basis points to 9.2 percent from 7.4 percent. The improvement principally reflects higher segment operating income and lower net pension adjustment. Third quarter 2010 segment operating income increased $107m, or 14 percent, driven by double-digit increases in operating income for four of five businesses. As a percent of sales, third quarter 2010 segment operating income improved 80 basis points to 9.8 percent from 9 percent. Net pension adjustment improved to an expense of $8m from an expense of $72m in the prior year period. Unallocated corporate expenses totalled $46m in the 2010 third quarter and $55m in the 2009 third quarter. Federal and foreign income taxes increased to $257m from $120m in the third quarter of 2009. Third quarter 2009 earnings included a net tax benefit of $75m, primarily for final settlement of the Internal Revenue Service’s examination of the company’s 2001, 2002 and 2003 tax returns.

The effective tax rate for the 2010 third quarter was 34.5 percent compared with 20.5 percent in the 2009 third quarter. Third quarter 2010 diluted earnings per share are based on 297.6m weighted average shares outstanding compared with 320.6m shares in the third quarter of 2009.

Free cash flow totalled $817m in the 2010 third quarter compared with $384m in the prior year period. The improvement in 2010 third quarter free cash flow reflects lower pension pre-funding and improved working capital. Third quarter 2010 cash from operations included a $60m discretionary contribution to the company’s pension plans. Third quarter 2009 cash from operations included discretionary pension contributions of $586m and $47m from discontinued operations, principally for the Advisory Services business (TASC), which was divested in December of 2009.

Business Results
Consolidated Sales & Segment Operating
Income1
Third Quarter Nine Months
($ ms)2010 2009 Change 2010 2009 Change

Sales

Aerospace Systems $2,706 $2,5277% $8,244 $7,65 68%
Electronic Systems 1,874 1,839 2% 5,740 5,59 43%
Information Systems 2,123 2,118 0% 6,310 6,362 (1%)
Shipbuilding 1,670 1,650 1% 4,989 4,549 10%
Technical Services 871 692 26% 2,435 2,02

Primary Sidebar

Advertisers

  • qioptiq.com
  • Exensor
  • TCI
  • Visit the Oxley website
  • Visit the Viasat website
  • Blighter
  • SPECTRA
  • InVeris
  • Britbots logo
  • Faun Trackway
  • Systematic
  • CISION logo
  • ProTEK logo
  • businesswire logo
  • ProTEK logo
  • ssafa logo
  • DSEi
  • Atkins
  • IEE
  • EXFOR logo
  • KME logo
Hilux DVD2022 GlobalMilSat

Contact Us

BATTLESPACE Publications
Old Charlock
Abthorpe Road
Silverstone
Towcester NN12 8TW

+44 (0)77689 54766

BATTLESPACE Technologies

An international defence electronics news service providing our readers with up to date developments in the defence electronics industry.

Recent News

  • EXHIBITIONS AND CONFERENCES

    July 1, 2022
    Read more
  • VETERANS UPDATE

    July 1, 2022
    Read more
  • MANAGEMENT ON THE MOVE

    July 1, 2022
    Read more

Copyright BATTLESPACE Publications © 2002–2022.

This website uses cookies to improve your experience. If you continue to use the website, we'll assume you're ok with this.   Read More  Accept
Privacy & Cookies Policy

Privacy Overview

This website uses cookies to improve your experience while you navigate through the website. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may affect your browsing experience.
Necessary
Always Enabled
Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.
Non-necessary
Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.
SAVE & ACCEPT