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General Dynamics (GD) Q1 Earnings Top, Revenues Flat Y/Y
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General Dynamics Corporation (GD - Free Report) reported first-quarter 2022 earnings per share (EPS) of $2.61, which beat the Zacks Consensus Estimate of $2.49 by 4.8%. Quarterly earnings soared 5.2% from $2.48 per share in the year-ago quarter.
Total Revenues
General Dynamics’ first-quarter revenues of $9,392 million surpassed the Zacks Consensus Estimate of $8,977.3 million by 4.6%. Revenues remained almost flat with the year-ago quarter.
General Dynamics Corporation Price, Consensus and EPS Surprise
Aerospace: The segment reported revenues of $1,903 million, up 0.8% year over year. Operating earnings of $243 million increased 10.5% from the prior-year quarter’s $220 million.
Marine Systems: This segment’s revenues rose 6.8% from the prior-year quarter to $2,651 million. Operating earnings were up 5.5% from the year-ago quarter to $211 million.
Technologies: The segment reported revenues of $3,163 million, which decreased 1.1% year over year. Operating earnings of $298 million dropped 2.6% from the prior-year quarter’s $306 million.
Combat Systems: The segment’s revenues of $1,675 million were down 8% from the year-ago quarter’s $1,820 million. Operating earnings also declined 7% year over year to $227 million.
Operational Highlights
For the reported quarter, GD’s operating margin contracted 30 basis points, from the year-ago quarter’s reported figure, to 9.7%.
For the quarter under review, General Dynamics’ operating costs and expenses inched up 0.4% from the year-ago period to $8,484 million.
Interest expenses for the reported quarter declined 20.3% year over year to $98 million.
Backlog
General Dynamics recorded a total backlog of $87.23 billion, down 0.4% from 2021-end’s backlog. The funded backlog at first-quarter end was $66.60 billion.
Financial Condition
As of Apr 3, 2022, General Dynamics’ cash and cash equivalents were $2,907 million compared with $1,603 million as of Dec 31, 2021.
Long-term debt as of Apr 3, 2022 was $10,491 million, flat with the 2021-end level of $10,490 million.
In the first quarter of 2022, GD generated cash from operating activities of $1,968 million, escalating sharply from the only $3 million generated in the year-ago period.
Lockheed Martin (LMT - Free Report) reported first-quarter 2022 earnings of $6.44 per share, which surpassed the Zacks Consensus Estimate of $6.22 by 3.5%. However, the bottom line declined by 1.8% year over year.
Lockheed Martin ended the first quarter of 2022 (on Mar 27, 2022) with $134.23 billion in the backlog compared with $135.36 billion at the end of the fourth quarter of 2021. LMT’s cash from operations at the end of the first quarter of 2022 amounted to $1.41 billion compared with $1.75 billion a year ago.
Raytheon Technologies’ (RTX - Free Report) first-quarter 2022 adjusted EPS of $1.15 beat the Zacks Consensus Estimate of $1.01 by 13.9%. Its sales of $15,716 million missed the Zacks Consensus Estimate of $15,799 million by 0.5%.
Raytheon Technologies had cash and cash equivalents of $6,040 million as of Mar 31, 2022 compared with $7,832 million as of Dec 31, 2021. RTX projects adjusted EPS in the range of $4.60-$4.80.
Hexcel Corporation (HXL - Free Report) reported first-quarter 2022 adjusted earnings of 22 cents per share, which exceeded the Zacks Consensus Estimate of 17 cents by 29.4%.
Net sales during the first quarter totaled $390.6 million, which beat the Zacks Consensus Estimate of $362 million by 7.9%. Hexcel currently expects to generate sales in the range of $1.50-$1.63 billion in 2022.
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General Dynamics (GD) Q1 Earnings Top, Revenues Flat Y/Y
General Dynamics Corporation (GD - Free Report) reported first-quarter 2022 earnings per share (EPS) of $2.61, which beat the Zacks Consensus Estimate of $2.49 by 4.8%. Quarterly earnings soared 5.2% from $2.48 per share in the year-ago quarter.
Total Revenues
General Dynamics’ first-quarter revenues of $9,392 million surpassed the Zacks Consensus Estimate of $8,977.3 million by 4.6%. Revenues remained almost flat with the year-ago quarter.
General Dynamics Corporation Price, Consensus and EPS Surprise
General Dynamics Corporation price-consensus-eps-surprise-chart | General Dynamics Corporation Quote
Segmental Performance
Aerospace: The segment reported revenues of $1,903 million, up 0.8% year over year. Operating earnings of $243 million increased 10.5% from the prior-year quarter’s $220 million.
Marine Systems: This segment’s revenues rose 6.8% from the prior-year quarter to $2,651 million. Operating earnings were up 5.5% from the year-ago quarter to $211 million.
Technologies: The segment reported revenues of $3,163 million, which decreased 1.1% year over year. Operating earnings of $298 million dropped 2.6% from the prior-year quarter’s $306 million.
Combat Systems: The segment’s revenues of $1,675 million were down 8% from the year-ago quarter’s $1,820 million. Operating earnings also declined 7% year over year to $227 million.
Operational Highlights
For the reported quarter, GD’s operating margin contracted 30 basis points, from the year-ago quarter’s reported figure, to 9.7%.
For the quarter under review, General Dynamics’ operating costs and expenses inched up 0.4% from the year-ago period to $8,484 million.
Interest expenses for the reported quarter declined 20.3% year over year to $98 million.
Backlog
General Dynamics recorded a total backlog of $87.23 billion, down 0.4% from 2021-end’s backlog. The funded backlog at first-quarter end was $66.60 billion.
Financial Condition
As of Apr 3, 2022, General Dynamics’ cash and cash equivalents were $2,907 million compared with $1,603 million as of Dec 31, 2021.
Long-term debt as of Apr 3, 2022 was $10,491 million, flat with the 2021-end level of $10,490 million.
In the first quarter of 2022, GD generated cash from operating activities of $1,968 million, escalating sharply from the only $3 million generated in the year-ago period.
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
Lockheed Martin (LMT - Free Report) reported first-quarter 2022 earnings of $6.44 per share, which surpassed the Zacks Consensus Estimate of $6.22 by 3.5%. However, the bottom line declined by 1.8% year over year.
Lockheed Martin ended the first quarter of 2022 (on Mar 27, 2022) with $134.23 billion in the backlog compared with $135.36 billion at the end of the fourth quarter of 2021. LMT’s cash from operations at the end of the first quarter of 2022 amounted to $1.41 billion compared with $1.75 billion a year ago.
Raytheon Technologies’ (RTX - Free Report) first-quarter 2022 adjusted EPS of $1.15 beat the Zacks Consensus Estimate of $1.01 by 13.9%. Its sales of $15,716 million missed the Zacks Consensus Estimate of $15,799 million by 0.5%.
Raytheon Technologies had cash and cash equivalents of $6,040 million as of Mar 31, 2022 compared with $7,832 million as of Dec 31, 2021. RTX projects adjusted EPS in the range of $4.60-$4.80.
Hexcel Corporation (HXL - Free Report) reported first-quarter 2022 adjusted earnings of 22 cents per share, which exceeded the Zacks Consensus Estimate of 17 cents by 29.4%.
Net sales during the first quarter totaled $390.6 million, which beat the Zacks Consensus Estimate of $362 million by 7.9%. Hexcel currently expects to generate sales in the range of $1.50-$1.63 billion in 2022.