NYSE$NOC

Northrop Grumman Corp · Q1 2023 earnings

Q1 2023 earnings · · Investor relations

Briefing

Northrop Grumman's first quarter results for 2023 showed sales and operating income increased by 6%, driven by continued strong demand across its portfolio.

Northrop Grumman reported a 6% increase in sales to $9.3 billion and a 6% increase in operating income to $947 million for the first quarter of 2023. Diluted earnings per share were $5.50. The company reaffirmed its 2023 guidance for sales, operating income, and adjusted free cash flow.

  • Sales increased 6 percent to $9.3 billion.
  • Operating income increased 6 percent to $947 million.
  • Diluted earnings per share of $5.50.
  • $1.0 billion returned to shareholders through dividends and share repurchases.

Headline financials

Total Revenue

$9.3B

Previous: $8.8B+5.7%
EPS (adj)

$5.50

Previous: $6.10-9.8%
Capital Expenditures

-$309M

Previous: -$244M-26.6%
Free Cash Flow

$533M

Previous: $711M-25.0%
Net Income

$842M

Previous: $955M-11.8%
Operating Income

$947M

Previous: $897M+5.6%
Gross Profit

$9.3B

Previous: $8.8B+5.7%
Cash & Equivalents

$2.5B

Previous: $2.17B+14.8%
Total Assets

$44.2B

Previous: $41.9B+5.6%
Stock-Based Comp

$19M

Previous: $18M+5.6%

Revenue & EPS history

Northrop Grumman · Revenue · Quarterly

$9.3B

Q1 2023+5.7%vs Q1 2022
Beat estimate in 9 of 15 quarters(60%)
ActualEstimate

Revenue by segment

Northrop Grumman · $9.8B total across 4 segments · Q1 2023

  • Space Systems
    $3.35B+17.3%
  • Mission Systems
    $2.56B+2.6%
  • Aeronautics Systems
    $2.52B-7.0%
  • Defense Systems
    $1.38B+7.2%

Forward guidance

The company reaffirmed its 2023 guidance for sales, operating income, and adjusted free cash flow based on the strength of Q1 performance and full year outlook. Expect gain on sale of minority investment in an international business later this 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 2023

Historical avgQ1 2023

-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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