- Northrop Grumman‘s total sales for the second quarter reached $10.35 billion, marking a 1.3% increase year-over-year, surpassing the estimate of $10.07 billion.
- Aeronautics Systems sales increased by 5.1% year-over-year to $3.11 billion, slightly above the estimate of $3.09 billion.
- Defense Systems sales saw a significant increase of 32% year-over-year, totaling $1.99 billion.
- Mission Systems sales rose by 14% year-over-year to $3.16 billion, beating the estimate of $2.87 billion.
- Space Systems sales were unchanged at $2.65 billion, matching the estimates, but represented a 26% decrease year-over-year.
- Earnings per share (EPS) were reported at $8.15, a significant rise from $6.36 year-over-year.
- Operating income grew by 31% year-over-year to $1.43 billion, exceeding the estimate of $1.18 billion.
- Aeronautics Systems operating income increased by 8.8% year-over-year to $321 million, surpassing the estimate of $295 million.
- Defense Systems operating income increased by 24% year-over-year to $253 million, surpassing the estimate of $192.4 million.
- Mission Systems operating income rose by 22% year-over-year to $441 million, surpassing the estimated $407.1 million.
- Space Systems operating income decreased by 14% year-over-year to $280 million, slightly below the estimate of $287.5 million.
- The company’s free cash flow was $637 million, below the estimate of $1.16 billion.
- Capital expenditure decreased by 28% year-over-year to $231.0 million, below the estimate of $327.8 million.
- The backlog for the company is valued at $89.74 billion.
- Market analyst recommendations include 12 buys and 13 holds, with no sell recommendations.
Northrop Grumman on Smartkarma
Analyst coverage of Northrop Grumman on Smartkarma reveals insights from Baptista Research. In their report titled “Northrop Grumman: B-21 Raider Production Advancements Driving Our ‘Outperform’ Rating!” the analysts highlight the company’s resilience in the military defense sector despite challenges. Northrop Grumman‘s first-quarter sales of $9.5 billion in 2025 showed a 7% decrease, mainly due to contracting delays and higher manufacturing costs for the B-21 program.
Furthermore, Baptista Research‘s analysis titled “Northrop Grumman: Does Its Role in National Security Really Shield It From Market Volatility? – Major Drivers” delves into the company’s 2024 financial results. Northrop Grumman ended the year with a robust backlog of $91.5 billion, indicating strong market demand supported by new contract wins like the TACAMO program and the B-21’s LRIP Lot. The company’s performance in the international market, highlighted by programs like Poland’s IBCS system, reflects a promising outlook for Northrop Grumman‘s future growth.
A look at Northrop Grumman Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 3 | |
| Growth | 3 | |
| Resilience | 3 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.0 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Northrop Grumman Corporation, a global security company known for its aerospace and technical solutions, is seen to have a mixed outlook based on Smartkarma Smart Scores. While scoring moderately in areas like Value, Dividend, Growth, Resilience, and Momentum, the company demonstrates stability and potential across these factors. With a score of 2 for Value indicating fair valuation, Northrop Grumman‘s strengths lie in its resilience and growth prospects, both rated at 3. Additionally, the company shows positive momentum, scoring 4, which could suggest favorable market sentiment and performance in the near future.
Overall, Northrop Grumman‘s Smart Scores reflect a company with promising characteristics across various key factors crucial for long-term investment. With a strong focus on delivering innovative solutions in aerospace, electronics, and information systems to a diverse set of customers globally, Northrop Grumman‘s balanced scores indicate a company well-positioned to navigate challenges and capitalize on opportunities in the market.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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