General Dynamics Corporation (GD – Analyst Report) announced second-quarter 2015 earnings from continuing operations of $2.27 per share, comfortably surpassing the Zacks Consensus Estimate of $2.03 by 11.8%. Earnings also increased 20.7% from the prior-year figure of $1.88, backed by improved operating margins.
General Dynamics Corporation – Earnings Surprise | FindTheBest
Total Revenue
In the second quarter, General Dynamics' total revenues of $7,882 million beat the Zacks Consensus Estimate of $7,699 million by 2.4%. Total revenues were also up 5.5% from $7,474 million in the year-ago quarter.
The year-over-year increase was due to higher contribution from the Aerospace, Information Systems and Technology and Marine Systems segments, partially offset by lower sales from Combat Systems.
Backlog
Total backlog of the company was $70 billion, down 1.5% year over year. However, funded backlog at the end of the quarter grew 9.3% year over year to $55.4 billion.
Segment Performance
Aerospace: The segment reported second-quarter 2015 revenues of $2,258 million, up 13.2% year over year. Operating income of $439 million increased 14.3% from $384 million in the year-ago quarter.
Combat Systems: Segmental revenues decreased 3.9% year over year to $1,408 million. Operating earnings however edged up 2.7% to $226 million in the prior year.
Information Systems and Technology: The segment reported revenues of $2,215 million, increasing 2.4% from the year-ago quarter. Operating income surged 26.1% year over year to $237 million.
Marine Systems: The segment's revenues of $2,001 million were 8.1% higher than $1,851 million a year ago. Operating income rose 7.5% year over year to $187 million.
