General Dynamics on Wednesday beat Wall Street estimates for second-quarter profit and revenue, driven by strength in its aerospace and marine segments.
The defence contractor reported quarterly per-share profit of $4.24, compared with analysts' estimate of $3.97, according to data compiled by LSEG. Total bookings during the quarter were 1.4 times billings, suggesting robust demand for the company's defence and aerospace products.
"Our businesses delivered solid results in the quarter, with revenue growth across all four segments – including double-digit increases in revenue and noteworthy margin expansion in aerospace and marine systems," said CEO Phebe Novakovic.
For the quarter ended July 5, total revenue rose more than eight per cent from a year ago to $14.09 billion, compared with estimates of $13.54 billion.
General Dynamics' marine systems segment saw increased productivity during the quarter as it recovered from supply-chain disruptions and labour shortages, helping support production of Columbia- and Virginia-class submarines at its Electric Boat shipyard.
Marine systems posted a 10.4 per cent year-on-year rise in quarterly revenue.
The segment is expected to further benefit from US defence spending plans and rising demand for naval platforms.
(Reporting by Aatreyee Dasgupta in Bengaluru; Editing by Tasim Zahid)