Northrop Grumman has revised its earnings forecast for the year as it reports an increased second quarter profit.

Second quarter income rose 4% to $460m, compared with $442m in the second quarter of last year.

Northrop Chairman Ronald Sugar now expects year-end earnings at the upper-end of its previous forecast of $4.80 – $5.05 a share on revenue of $31.5bn.

“Sales growth, higher segment operating margin and lower corporate expenses drove this quarter’s earnings increase,” Sugar says.

“Information & Services led the sales growth with a 15% increase, and all four of our businesses contributed to higher segment operating margin,”he added.

“Year-to-date we are back on track to generate higher sales, improved margin, and higher earnings.And based on year-to-date results, we expect both cash from operations and free cash flow to be in the upper end of our 2007 guidance range.”

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Northrop is the world’s largest military ship builder and the third largest defence contractor in the US.

It builds nuclear submarines, stealth fighter jets, unmanned spy planes and satellites.

By staff writer