Home / Financial Report / McAleese & Associates: Sales of Northrop Climbed 22% to $8.2B in Q1 2019

McAleese & Associates: Sales of Northrop Climbed 22% to $8.2B in Q1 2019

Jim McAleese

A new McAleese & Associates report says Northrop Grumman (NYSE: NOC) saw its sales rise 22 percent to $8.2B in the first quarter of 2019 and recorded a sector operating profit growth of 27 percent.

Jim McAleese, founder and principal of McAleese & Associates and a 2019 Wash100 winner, wrote the Falls Church, Va.-based defense contractor posted $12.3B in contract awards during the quarter with a total backlog of $57.3B and a book-to-bill ratio of 1.5x.

Northrop Grumman Innovation Systems reported $1.4B in Q1 2019 sales and an operating margin of 11.6 percent, while the company’s technology services business reported $977M in first-quarter sales and an operating income of $102M.

Sales of Northrop’s aerospace systems sector rose 7 percent to $3.5B in Q1 2019 driven by B-21, F-35, Triton, E-2D aircraft programs and space initiatives, while the mission systems segment posted $2.9B in revenue and a 3 percent increase in operating profit.

Northrop CEO and a 2019 Wash100 winner Kathy Warden discussed several programs at the company’s April 24 earnings call. These include the U.S. Army’s Integrated Battle Command System; the U.S. Air Force’s 2020 decision to buy the U.S. Navy’s AARGM-ER anti-radar missile for F-35 stand-in attack missile; and the innovation systems segment’s growth in hypersonic offense missile programs, McAleese noted.

The report also mentioned Northrop’s move to establish a “resiliency and rapid prototyping space” division, which mirrors the Air Force’s space rapid capabilities office and the Department of Defense’s space development agency.

Check Also

Maxar to Build Lunar ‘Gateway’ Propulsion Element Under $375M Contract; Dan Jablonsky Quoted

Maxar Technologies (NYSE: MAXR) has received a potential $375M contract to build and demonstrate a …

Peter LaMontagne Named to ManTech Board

Peter LaMontagne, president and CEO of geospatial intelligence firm Quantum Spatial, has been appointed to …