- General Dynamics (GD +3.9%) says it plans to accelerate share buybacks, after lagging behind peers in returning cash to shareholders in H2 last year because of pension accounting issues.
- GD also says on the Q4 earnings call that it sees FY14 EPS of $6.80-$6.85 vs. $7.03 in 2013 and well below $7.23 analyst consensus, and revenue of $30B vs. $31.2B last year and $30.9B consensus.
- GD's army-focused combat systems group has been the hardest hit by cuts in U.S. military spending and delays in completing overseas contracts, but GD expects the unit's performance to stabilize, with revenue seen down 4%-4.5% in 2014 after a 23% Y/Y decline in 2013.
General Dynamics shares strong on plan to accelerate buybacks
Jan 22 2014, 14:19 ET