A new report by consulting firm McAleese & Associates says General Dynamics recorded $9.6B in sales during the second quarter of 2019, up 4 percent from the prior year period.
Jim McAleese, founder and principal atÂ McAleese & Associates and aÂ 2019 Wash100 winner, wrote in the report that General Dynamicsâ information technology business reported $2.2B in Q2 revenue, while the companyâs combat systems segment saw its sales increase 8 percent to $1.7B.
The Falls Church, Va.-based aerospace and defense contractor reported a 7 percent increase in Q2 sales within its marine systems business and an 11 percent growth within its mission systems business.
McAleese noted that General Dynamics CEOÂ and a 2019 Wash100 winner Phebe NovakovicÂ discussed during the earnings call on July 24 the companyâs mission systems business, the Virginia-classÂ Block IV and Block V submarine programs and the U.S. Navyâs $96BÂ Columbia-classÂ SSBN submarine initiative.
âColumbiaÂ is aÂ national priorityâ¦I have no doubt that, as a national priority, funding will be made available for itâ¦ There is an imperative for the Navy to recapitalize its shipsâ¦There is a consensus in Washingtonâ¦that understands that we need shipsâ¦and we need to replace the undersea leg of the [nuclear] deterrentâ¦I am comfortable that the Department of Defense, working with the Congress, will find appropriate mechanisms,â Novakovic said.
General Dynamics posted $67.7B in total backlog at the end of the quarter with a total estimated contract value of $101.9B. Notable awards in the quarter include a $495M contract for industrial base development and expansion for the U.S. Navyâs Columbia-class submarine program and $360M worth of contracts for intelligence services.