General Dynamics Posts Q1 2026 Revenue of $13.5B, Beats Expectations
General Dynamics reported Q1 2026 revenue of $13.5 billion, up 10% year-over-year. Earnings per share reached $4.10, representing 12% growth. The company's total contract backlog climbed to $188.4 billion.
- General Dynamics reported Q1 2026 revenue of $13.5 billion, up 10.3%, with EPS of $4.10 up 12%, beating market expectations
- Marine Systems and Aerospace led growth, driving shares higher
General Dynamics announced Q1 2026 revenue of $13.5 billion, beating market expectations, according to its SEC 8-K filing.
Key Metrics at a Glance
General Dynamics' Q1 2026 revenue reached $13.481 billion, representing 10.3% year-over-year growth. Operating income rose 12% to $1.42 billion, with all four business segments posting gains.
- Revenue: $13.481 billion, +10.3% YoY
- Earnings per share (EPS): $4.10 vs. $3.66 prior year, +12%, exceeding consensus
- Operating income: $1.42 billion, +12% YoY
- Net income: $1.125 billion, +13.2% YoY
- Operating cash flow: $2.2 billion, representing 192% of net income
- Funded backlog: $130.8 billion; total contract potential value: $188.4 billion
Market Response
General Dynamics shares surged following the earnings release. Reuters and other outlets attributed the beat to strong performance in the Marine Systems and Aerospace segments. CEO Phebe Novakovic stated: "We have started the year very strong and are well positioned to deliver additional value throughout 2026."
Segment Performance
- Aerospace: Revenue $3.279 billion, +8.4% YoY / Operating margin 15.0%
- Marine Systems: Revenue $4.343 billion, +21.0% YoY / Operating margin 7.3%
- Combat Systems: Revenue $2.283 billion, +4.9% YoY / Operating margin 13.6%
- Technologies: Revenue $3.576 billion, +4.2% YoY / Operating margin 9.5%
This article is auto-generated from the SEC 8-K filing and third-party reporting to provide rapid dissemination of key data immediately following announcement. Investors are advised to review official company filings before making trading decisions.
GDFrequently Asked Questions
What does General Dynamics do?
General Dynamics is a global aerospace and defense company headquartered in Virginia. It manufactures and sells business aircraft, naval ships, ground combat vehicles, weapon systems, and technology services. The company employs over 110,000 people worldwide and reported 2025 annual revenue of $52.6 billion.
What is funded backlog?
Funded backlog represents the value of customer orders already received but not yet delivered—essentially committed future revenue. General Dynamics' funded backlog stands at $130.8 billion as of quarter-end, with total contract potential value reaching $188.4 billion including future options.
What does a 2-to-1 book-to-bill ratio indicate?
A 2-to-1 book-to-bill ratio means new orders received this quarter are double the quarterly revenue. General Dynamics booked $26.6 billion in new orders against $13.481 billion in revenue, signaling strong near-term demand and pipeline health.
Which segment showed the strongest growth?
Marine Systems delivered the highest growth at +21% revenue year-over-year, reaching $4.343 billion, with operating income up 26.4%. Industry analysts cite this segment as the primary driver of the quarter's outperformance versus expectations.
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