We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
General Dynamics' Q3 Earnings Lag Estimates, Revenues Rise Y/Y
Read MoreHide Full Article
General Dynamics Corporation (GD - Free Report) reported third-quarter 2024 earnings per share (EPS) of $3.35, which missed the Zacks Consensus Estimate of $3.54 by 5.4%. However, the bottom-line increased 10.2% from $3.04 per share recorded in the year-ago quarter.
The year-over-year bottom-line appreciation can be attributed to sales growth as well as an improvement in operating earnings.
Total Revenues of GD
Revenues of $11.67 billion missed the Zacks Consensus Estimate of $11.72 billion by 0.4%. The top line however improved 10.4% from the prior-year figure.
The year-over-year improvement can be attributed to increased revenues from GD’s Aerospace, Marine Systems and Technologies, business segments.
General Dynamics Corporation Price, Consensus and EPS Surprise
Aerospace: The segment reported revenues of $2.48 billion, up 22.1% year over year. Operating earnings of $305 million improved 13.8% year over year.
Marine Systems: This segment’s revenues rose 19.9% to $3.60 billion from the year-ago quarter’s level. Operating earnings of $258 million increased 22.3% year over year.
Technologies: The segment’s revenues improved 2% year over year to $3.38 billion. Operating earnings totaled $326 million, which improved 3.5% year over year.
Combat Systems: The segment’s revenues of $2.21 billion were down 0.5% from the year-ago quarter’s level. However, operating earnings improved 8.3% year over year to $325 million.
Operational Highlights of GD
Operating earnings totaled $1.18 billion, up 11.7% from the year-ago quarter’s $1.06 billion.
Operating costs and expenses increased 10.3% year over year to $10.49 billion.
Interest expenses declined 3.5% year over year to $82 million.
GD’s Backlog
General Dynamics recorded a total backlog of $92.63 billion, surpassing the second-quarter level of $91.30 billion. The funded backlog at the end of the quarter was $74.95 billion.
Our model projected a backlog of $93.08 billion for the third quarter.
Financial Condition of GD
As of Sept. 29, 2024, cash and cash equivalents totaled $2.10 billion compared with $1.91 billion as of Dec. 31, 2023.
The long-term debt as of the same date was $7.26 billion, down from the 2023-end level of $8.75 billion.
During the first nine months of 2024, cash flow from operating activities totaled $1.95 billion compared with $3.51 billion in the year-ago period.
Hexcel Corporation (HXL - Free Report) reported third-quarter adjusted earnings of 47 cents per share, which improved 23.7% from the year-ago quarter’s figure of 38 cents. The bottom line also surpassed the Zacks Consensus Estimate by 2.2%.
Net sales totaled $456.5 million, which beat the consensus estimate of $456.2 million by 0.1%. The top line also witnessed an improvement of 8.8% from the year-ago quarter’s figure of $419.5 million.
RTX Corporation (RTX - Free Report) reported third-quarter 2024 adjusted earnings per share of $1.45, which surpassed the Zacks Consensus Estimate of $1.33 by 9%. The bottom line also improved 16% from the year-ago quarter’s level of $1.25.
RTX’s sales totaled $20.09 billion, which surpassed the consensus estimate of $19.91 billion by 0.9%. The top line also surged 49.2% from $13.46 billion recorded in the third quarter of 2023.
Lockheed Martin Corporation (LMT - Free Report) reported third-quarter adjusted earnings of $6.84 per share, which beat the Zacks Consensus Estimate of $6.47 by 5.7%. The bottom line also rose 1% from the year-ago quarter's figure of $6.77.
Net sales totaled $17.10 billion, which missed the consensus estimate of $17.28 billion by 1%. The top line, however, increased 1.3% from $16.88 billion reported in the year-ago quarter.
Zacks' 7 Best Strong Buy Stocks (New Research Report)
Valued at $99, click below to receive our just-released report predicting the 7 stocks that will soar highest in the coming month.
Image: Bigstock
General Dynamics' Q3 Earnings Lag Estimates, Revenues Rise Y/Y
General Dynamics Corporation (GD - Free Report) reported third-quarter 2024 earnings per share (EPS) of $3.35, which missed the Zacks Consensus Estimate of $3.54 by 5.4%. However, the bottom-line increased 10.2% from $3.04 per share recorded in the year-ago quarter.
The year-over-year bottom-line appreciation can be attributed to sales growth as well as an improvement in operating earnings.
Total Revenues of GD
Revenues of $11.67 billion missed the Zacks Consensus Estimate of $11.72 billion by 0.4%. The top line however improved 10.4% from the prior-year figure.
The year-over-year improvement can be attributed to increased revenues from GD’s Aerospace, Marine Systems and Technologies, business segments.
General Dynamics Corporation Price, Consensus and EPS Surprise
General Dynamics Corporation price-consensus-eps-surprise-chart | General Dynamics Corporation Quote
GD’s Segmental Performance
Aerospace: The segment reported revenues of $2.48 billion, up 22.1% year over year. Operating earnings of $305 million improved 13.8% year over year.
Marine Systems: This segment’s revenues rose 19.9% to $3.60 billion from the year-ago quarter’s level. Operating earnings of $258 million increased 22.3% year over year.
Technologies: The segment’s revenues improved 2% year over year to $3.38 billion. Operating earnings totaled $326 million, which improved 3.5% year over year.
Combat Systems: The segment’s revenues of $2.21 billion were down 0.5% from the year-ago quarter’s level. However, operating earnings improved 8.3% year over year to $325 million.
Operational Highlights of GD
Operating earnings totaled $1.18 billion, up 11.7% from the year-ago quarter’s $1.06 billion.
Operating costs and expenses increased 10.3% year over year to $10.49 billion.
Interest expenses declined 3.5% year over year to $82 million.
GD’s Backlog
General Dynamics recorded a total backlog of $92.63 billion, surpassing the second-quarter level of $91.30 billion. The funded backlog at the end of the quarter was $74.95 billion.
Our model projected a backlog of $93.08 billion for the third quarter.
Financial Condition of GD
As of Sept. 29, 2024, cash and cash equivalents totaled $2.10 billion compared with $1.91 billion as of Dec. 31, 2023.
The long-term debt as of the same date was $7.26 billion, down from the 2023-end level of $8.75 billion.
During the first nine months of 2024, cash flow from operating activities totaled $1.95 billion compared with $3.51 billion in the year-ago period.
GD’s Zacks Rank
General Dynamics currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Recent Defense Releases
Hexcel Corporation (HXL - Free Report) reported third-quarter adjusted earnings of 47 cents per share, which improved 23.7% from the year-ago quarter’s figure of 38 cents. The bottom line also surpassed the Zacks Consensus Estimate by 2.2%.
Net sales totaled $456.5 million, which beat the consensus estimate of $456.2 million by 0.1%. The top line also witnessed an improvement of 8.8% from the year-ago quarter’s figure of $419.5 million.
RTX Corporation (RTX - Free Report) reported third-quarter 2024 adjusted earnings per share of $1.45, which surpassed the Zacks Consensus Estimate of $1.33 by 9%. The bottom line also improved 16% from the year-ago quarter’s level of $1.25.
RTX’s sales totaled $20.09 billion, which surpassed the consensus estimate of $19.91 billion by 0.9%. The top line also surged 49.2% from $13.46 billion recorded in the third quarter of 2023.
Lockheed Martin Corporation (LMT - Free Report) reported third-quarter adjusted earnings of $6.84 per share, which beat the Zacks Consensus Estimate of $6.47 by 5.7%. The bottom line also rose 1% from the year-ago quarter's figure of $6.77.
Net sales totaled $17.10 billion, which missed the consensus estimate of $17.28 billion by 1%. The top line, however, increased 1.3% from $16.88 billion reported in the year-ago quarter.