[ad_1]
General Dynamics has booked its first orders related to the war in Ukraine as the government contracts munitions with US aerospace and defense groups.
Chief Executive Phoebe Novakovic confirmed the orders on Wednesday’s third-quarter earnings call with analysts but did not provide details. He said he had received orders for $10,000 in munitions and weapons.
Regarding Ukraine’s fight against Russian aggression, GD expects the U.S. military to “say they want more ammunition and munitions, so we are working with them to increase production.”
There is growing interest in GD’s land-based weapons systems, including the Stryker, Abrams and MPF tanks, she continued. In August, Poland gave Abrams her $1.1 billion order.
GD earned $3.26 per share on earnings of $10 billion for the quarter ended September. This is up from his $3.07 in revenue of $9.6 billion the year before. Analysts had expected him to make $3.15 per share on earnings of $9.9 billion.
Private jet demand drove GD’s quarterly profit up 5% to $902 million. Wealthy people took private flights at the height of the Covid-19 pandemic, and their interest remains high.
Novakovic said Gulfstream jet makers will be entering the “hottest” demand market they’ve ever seen in February 2021, and while Q3 demand “wasn’t that overheated,” U.S. and strong demand from Fortune 500 companies. The Middle East, including first-time buyers, and Southeast Asia, despite the global economic slowdown.
However, the Aerospace Group’s defense business was hampered by a shortage of contracting personnel for government customers.
According to Novakovic, many of GD’s Technology Mission Systems customers “have a severe shortage of contracting personnel, which hinders order follow-through.”
“In addition, of course, the customer focus has changed in some areas to meet the more urgent demands of Ukraine.”
[ad_2]
Source link