Northrop Grumman (NYSE: NOC) posted $9.3 billion in revenue for the first quarter of 2023, a 6 percent increase from the same period last year, as its defense, mission and space systems business logged higher sales.
In its quarterly earnings report released Thursday, Northrop reported an operating income of $947 million and a margin rate of 10.2 percent.
Sales from its space business amounted to $3.3 billion for the period, while mission systems totaled $2.56 billion. Aeronautics generated $2.51 billion, while sales from defense contracts reached $1.3 billion.
Kathy Warden, chair, chief executive officer and president of Northrop, said the quarterly results signify âa strong demandâ across the company’s products and services portfolio.
âWe continue to make significant investments in capability and capacity to support our global customers, while also returning $1 billion to shareholders in the quarter, as part of our capital deployment strategy,â added Warden, a 2023 Wash100 award recipient.
Northrop’s defense business profited from higher volume of programs for the 120mm Tank Training ammunition, Integrated Air and Missile Defense Battle Command System and an international training program for mission readiness.
The company maintained its 2023 outlook of $38 billion in annual sales and stood by its forecast for segment operating income, set between $4.3 billion and $4.4 billion, and adjusted free cash flow of between $1.8 billion to $2.1 billion.
