Northrop Grumman Q2 revenue edges past estimates; 2026 outlook lifted
NOC•Outlook
- Northrop Grumman raises 2026 sales guidance to $43.75 billion-$44.25 billion
- Company lifts 2026 MTM-adjusted EPS guidance to $28.60-$29.10
- Northrop Grumman reaffirms guidance for operating income and adjusted free cash flow
Result drivers
- Sales growth - Q2 sales rose 5% year over year, led by increases across Aeronautics, Defense, Mission, and Space Systems segments, driven by continued strong demand for global capabilities.
- Record backlog - Net awards of $20 billion increased backlog to a company record of $105 billion, reflecting robust demand for products.
- Divestiture impact - Prior-year Q2 net earnings included a $150 million gain from the training services business divestiture, affecting the year-over-year EPS comparison.
Quarterly results and guidance
Northrop Grumman Q2 revenue rose 5% year over year, slightly beating analyst expectations.
Diluted EPS for Q2 was $7.68, down from the prior year due to a divestiture gain in 2025.
The company raised 2026 sales and MTM-adjusted EPS guidance on strong demand and record backlog.
