Tue, Apr. 26, 11:33 AM
- Lockheed Martin (LMT +1.5%) is higher after reporting a Q1 earnings miss but better than expected revenues while raising its earnings forecast for the year, as the top weapons supplier to the U.S. government benefits from sales of its F-35 fighter jet and its recent acquisition of helicopter maker Sikorsky Aircraft.
- LMT raises its FY 2016 EPS guidance to $11.50-$11.80 from a January forecast of $11.45-$11.75 and in-line with $11.77 analyst consensus, slightly raises its full-year revenue outlook to $49.6B-$51.1B from $49.5B-$51B and $50.35B analyst consensus, and lifts its operating profit forecast to $5.625B-$5.775B from $5.6B-$5.75B.
- RBC aerospace analyst Robert Stallard is "encouraged by the revenue performance, which is a sign of things to come as its customer end markets improve. We had not expected a guidance increase at this early stage of the year, so that is another bonus - more than offsetting the cost of redundancies."
- LMT's positive outlook sets the stage for defense peers Boeing (BA +0.6%), Northrop Grumman (NOC +0.8%), General Dynamics (GD +1.1%) and Raytheon (RTN +0.9%), which all report later this week.
- Now read Traditional values of Lockheed Martin's equity are inaccurate
Nov. 16, 2015, 10:33 AM
- Aerospace and defense shares are on the rise after calls to increase efforts to crush ISIS, the terrorist group responsible for Friday's attacks in France.
- Previously: World leaders wrap up G20 summit (Nov. 16 2015)
- Previously: French warplanes strike Islamic State targets in Syria (Nov. 15 2015)
- Related tickers: General Dynamics (GD +0.6%), Boeing (BA +0.2%), Northrop Grumman (NOC +3.2%), Lockheed Martin (LMT +2.5%), Raytheon (RTN +2.4%), Orbital ATK (OA +3.8%), Rolls-Royce (OTCPK:RYCEY +2.2%), Huntington Ingalls (HII +1.1%), Honeywell (HON +0.9%), United Technologies (UTX +0.4%), Airbus (OTCPK:EADSF), ITT (ITT +0.6%), Textron (TXT +1.7%), L-3 Communications (LLL +2.3%), BAE Systems (OTCPK:BAESY +2%), Finmeccanica (OTCPK:FINMY), Rockwell Collins (COL +1.7%).
Oct. 28, 2015, 8:38 AM
- Earnings from continuing operations of $733M, or $2.28 per diluted share vs. $694M, or $2.05 per diluted share in the same quarter a year ago.
- Operating margins were 12.9% for Q3, flat compared to the third quarter of 2014
- Free cash flow from operations was $652M.
- Repurchased 7.15M of its outstanding shares during the quarter.
- Total backlog at the end of third-quarter 2015 was $68.7B. Total potential contract value was $94.3B.
- GD +2.2% premarket
- Q3 results
Jul. 29, 2015, 9:18 AM
- General Dynamics (NYSE:GD) +2.2% premarket after Q2 earnings and revenues easily beat expectations and raising its earnings guidance for the full year, helped by a more stable U.S. defense budget.
- GD now sees FY 2015 EPS from continuing operations of $8.70-$8.80, up sharply from its prior guidance of $8.05-$8.10 and above the $8.61 analyst consensus estimate.
- Q2 sales in the aerospace unit, which represents more than 25% of GD’s top line, rose 13% to $2.26B as it delivered 36 Gulfstream aircraft, while the combat systems segment gained 3.9% in revenue to $1.41B, information systems and technology business sales rose 2.4% to $2.22B and marine systems revenue climbed 8.1% to $2B.
- Company-wide, operating margins rose to 13.7% in the quarter from 12.7% a year earlier.
Apr. 29, 2015, 8:20 AM
- Earnings from continuing operations of $716M, or $2.14 per diluted share vs. $596M, or $1.71 per diluted share in the same quarter a year ago.
- Operating margins were 13.2% for Q1, 120 bps higher than 1Q14. Margins grew in three of the company's four business groups.
- Free cash flow from operations was $647M.
- Repurchased 4.65M of its outstanding shares during the quarter.
- Funded backlog of $56B; total backlog of $70.5B.
- GD +1.4% premarket
- Q1 results
Jan. 28, 2015, 3:35 PM
- The two top makers of business jets say demand continues to improve, with General Dynamics (GD +0.1%) planning to boost output of its high-end Gulfstream planes as more U.S. companies place orders.
- Gulfstream and Cessna-maker Textron (TXT +2.7%) are both introducing new aircraft but had trimmed production of existing models after weaker global demand in the wake of the financial crisis.
- Gulfstream's performance helped GD's Q4 results beat Wall Street expectations; CEO Phebe Novakovic says Q4 was Gulfstream's best sales quarter in three years, and that GD plans to boost production of its midsize jets in 2015 while leaving output of larger planes at existing levels.
- TXT CEO Scott Donnelly says the company had yet to boost Cessna production, though it had the capacity to increase output later in the year.
Nov. 7, 2014, 7:47 AM
- A Raytheon (NYSE:RTN) team including General Dynamics (NYSE:GD) has secured an initial deal consolidating oversight of rocket facilities at Cape Canaveral in Florida and Vandenberg Air Force Base in California in a contract expected to be worth as much as $2B over 10 years.
- The team will support the launch, testing and tracking of military and commercial rocket launches.
- RTN +0.6%; GD +0.2% premarket
Jun. 10, 2014, 5:55 PM
Apr. 29, 2014, 2:59 PM
- General Dynamics (GD +1.1%) and major subcontractor Huntington Ingalls (HII +2.1%) are awarded a $17.6B contract for 10 more Virginia-class, nuclear-powered attack submarines, in the U.S. Navy's largest-ever shipbuilding contract.
- The Navy says the contract, which funds work on two subs per year from FY 2014 through 2018, will net savings of more than $2B, effectively providing 10 ships for the price of nine.
- The Navy spent 20 months negotiating the contract with GD's Electric Boat unit and HII's Newport News Shipbuilding.
Feb. 24, 2014, 2:58 PM
- The Pentagon announces plans to shrink the U.S. Army to pre-WW II levels - to fewer than 450K from the current 520K - in order to meet 2015 spending caps.
- Also planned for elimination is the Air Force's fleet of A-10 Warthog close air support planes - a change some influential lawmakers are expected to oppose - to ensure continued funding of Lockheed Martin's (LMT +1.7%) new long-range F-35 bomber and a new aerial refueling tanker.
- Nevertheless, top defense stocks are solidly higher, presumably because the Defense Department envisions warfare being waged using enhanced technologies: BA +1.4%, GD +1.5%, NOC +1.9%, RTN +2.2%, HII +0.9%.
Feb. 14, 2014, 12:52 PM
- General Dynamics (GD +1.9%) pops higher on news it has contracted with Canada's government to provide military and commercial vehicles, training, and support services to an unnamed international customer.
- GD says the 14-year contract has an initial value of $10B but could be worth up to $13B if all options were exercised.
- GD does not identify the customer, but Canadian Trade Minister Ed Fast says the vehicles would be sold to Saudi Arabia; he describes the deal as the largest export win in Canada's history.
Jan. 23, 2014, 5:36 PM
Jan. 22, 2014, 2:19 PM
- 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.
Sep. 20, 2013, 1:19 PM| Sep. 20, 2013, 1:19 PM
Sep. 3, 2013, 10:53 AM| Sep. 3, 2013, 10:53 AM
Jul. 24, 2013, 1:11 PM
General Dynamics (GD +1.5%) rises after Q2 earnings beat estimates. From the report: Total operating margin is flat versus Q2 2012. Total backlog at the end of the period was $49.4B (potential contract value $77.1B). Revenue growth by segment: Aerospace, +29%; Combat Systems, -27.9%; Marine Systems, +6.4%; Info Systems and Tech, +0.9%. Operating margins fall in every category except Aerospace which saw margin expansion of 280 bps. (PR)| Jul. 24, 2013, 1:11 PM