NYSE$NOC

Northrop Grumman Corp · Q1 2020 earnings

Q1 2020 earnings · · Investor relations

Briefing

Northrop Grumman's Q1 2020 financial results were reported, revealing a 5% increase in sales and a 2% increase in EPS.

Northrop Grumman reported a 5% increase in sales to $8.6 billion and a 2% increase in EPS to $5.15. Net awards totaled $7.9 billion and the company updated its 2020 sales and MTM-adjusted EPS guidance for expected COVID-19 related impacts, while free cash flow guidance remained unchanged.

  • Sales increased 5 percent to $8.6 billion, driven by higher sales in all four sectors.
  • EPS increased 2 percent to $5.15.
  • Net awards totaled $7.9 billion.
  • 2020 sales and MTM-adjusted EPS guidance were updated for expected COVID-19 related impacts; free cash flow guidance was unchanged.

Headline financials

Total Revenue

$8.62B

Previous: $8.19B+5.3%
EPS (adj)

$5.15

Previous: $5.06+1.8%
Capital Expenditures

-$272M

Previous: -$284M+4.2%
Free Cash Flow

$596M

Previous: $579M+2.9%
Net Income

$868M

Previous: $863M+0.6%
Operating Income

$934M

Previous: $936M-0.2%
Gross Profit

$8.62B

Previous: $8.19B+5.3%
Cash & Equivalents

$3.28B

Previous: $755M+334.2%
Total Assets

$43.2B

Previous: $39.8B+8.7%
Stock-Based Comp

$18M

Previous: $26M-30.8%

Revenue & EPS history

Northrop Grumman · Revenue · Quarterly

$8.62B

Q1 2020+5.3%vs Q1 2019
Beat estimate in 15 of 16 quarters(94%)
ActualEstimate

Revenue by segment

Northrop Grumman · $9.02B total across 4 segments · Q1 2020

  • Aeronautics Systems
    $2.84B+0.9%
  • Mission Systems
    $2.35B+6.2%
  • Space Systems
    $1.95B+8.2%
  • Defense Systems
    $1.88B+6.4%

Forward guidance

The company is updating its 2020 financial guidance in light of both the impacts we have experienced to date from the global COVID-19 pandemic and what we currently anticipate, based on what we understand today, to be the impacts on the company for the remainder of the year.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2020

Historical avgQ1 2020

-0.2%

Avg return

Earnings day

-0.9%

Avg return

5 days after

+0.3%

Avg return

30 days after

59%

43 / 73 earnings

Positive

+9.5%

Q2 2019

Best reaction

-12.7%

Q1 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-6.0%-12.5%-16.4%
Q4 2025+2.7%+4.7%+7.6%
Q3 2025-0.4%+0.6%-5.8%
Q2 2025+0.3%+0.7%-1.1%
Q1 2025-12.7%-10.9%-11.0%
Q4 2024+0.4%+0.2%-4.1%
Q3 2024+0.6%-2.4%-3.8%
Q2 2024+8.6%+10.1%+15.2%
Q1 2024+1.2%+2.2%-1.7%
Q4 2023-5.6%-4.4%-0.6%
Q3 2023-2.1%-2.4%-2.4%
Q2 2023-1.6%-2.0%-6.0%
Q1 2023+2.7%-0.1%-2.4%
Q4 2022-5.5%-3.3%+1.6%
Q3 2022+3.2%+0.9%-0.6%
Q2 2022+7.4%+7.9%+8.8%
Q1 2022-0.1%+2.6%+7.0%
Q4 2021-5.7%-8.1%+1.6%
Q3 2021-8.0%-9.0%-8.8%
Q2 2021+0.8%+1.2%+1.3%
Q1 2021+4.7%+8.8%+8.1%
Q4 2020-1.9%+2.7%-0.2%
Q3 2020+0.0%-2.0%-0.6%
Q2 2020+3.1%+3.1%+9.4%
Q1 2020-4.0%-6.4%-2.7%
Q4 2019-2.1%-5.4%-14.1%
Q3 2019-2.3%-1.7%-1.1%
Q2 2019+9.5%+9.7%+11.6%
Q1 2019-4.6%-2.3%+6.7%
Q4 2018-2.8%-0.8%+2.2%
Q3 2018-11.2%-15.7%-12.3%
Q2 2018-6.6%-6.7%-5.7%
Q1 2018-2.2%-5.7%-2.8%
Q4 2017+7.1%+8.3%+12.1%
Q3 2017+1.3%+0.8%+3.0%
Q2 2017-1.2%-0.3%+2.0%
Q1 2017+0.1%-1.5%+3.6%
Q4 2016-0.4%-0.8%+6.2%
Q3 2016+2.7%+4.3%+13.2%
Q2 2016-0.5%-0.8%-2.9%
Q1 2016+1.0%
Q4 2015+3.9%
Q3 2015+5.2%
Q2 2015+7.4%
Q1 2015-4.0%
Q4 2014+3.1%
Q3 2014+2.4%
Q2 2014+1.1%
Q1 2014-0.5%
Q4 2013+3.1%
Q3 2013+5.9%
Q2 2013+1.9%
Q1 2013+4.2%
Q4 2012-2.6%
Q3 2012-0.9%
Q2 2012+1.0%
Q1 2012+1.1%
Q4 2011+0.6%
Q3 2011+1.9%
Q4 2010+1.9%
Q2 2011-7.2%
Q1 2011+1.2%
Q3 2010+1.4%
Q2 2010+0.4%
Q1 2009+3.3%
Q1 2010+0.8%
Q4 2007+1.0%
Q4 2009+1.0%
Q3 2008+0.4%
Q3 2009+0.4%
Q2 2009-6.9%
Q2 2008-6.9%
Q4 2008-6.9%

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