Strong Quarterly Sales and Revenue Growth
Second quarter sales reached $3.1 billion, representing a 3.5% increase compared to the same period last year. All three divisions reported year-over-year growth, with significant contract awards boosting the backlog to $56.9 billion.
Significant Contract Awards
The company secured $11.9 billion in contract awards, including DDG 145 and 146, LPD 33, and two Block V submarines. These awards signify substantial investments in shipbuilder wages, workforce development, infrastructure, and technology.
Strong Free Cash Flow and Updated Guidance
Free cash flow was $730 million. The company updated its 2025 free cash flow guidance to between $500 million and $600 million, a $150 million increase from previous guidance.
Operational Progress in Shipbuilding and Mission Technologies
Operational initiatives are on track, with both Ingalls and Newport News increasing throughput in the second quarter. Mission Technologies recorded strong sales of $791 million and secured important contracts with the U.S. Army.
Positive Labor and Retention Trends
The company hired 2,400 employees in the quarter, with positive trends in labor retention and attrition metrics following wage adjustments.