General Dynamics(GD) - 2024 Q4 - Annual Report

Revenue Growth - Aerospace segment revenue was $11,249 million in 2024, up from$ 8,621 million in 2023, representing a 30% increase[30]. - Aircraft manufacturing revenue within the Aerospace segment reached $7,811 million in 2024, compared to$ 5,710 million in 2023, marking a 37% growth[30]. - The Marine Systems segment accounted for 30% of consolidated revenue in 2024, with total revenue of $14,343 million, up from$ 12,461 million in 2023[41]. - Revenue from nuclear-powered submarines in the Marine Systems segment was $10,392 million in 2024, an increase from$ 8,631 million in 2023, reflecting a 21% rise[41]. - Revenue for the Combat Systems segment was $8,997 million in 2024, up from$ 8,268 million in 2023, with military vehicles contributing $5,101 million[57]. - The Technologies segment generated$ 13,127 million in revenue in 2024, accounting for 27% of consolidated revenue, down from 31% in 2023[72]. - In 2024, 69% of consolidated revenue came from the U.S. government, with total U.S. government revenue reaching $33,064 million, an increase from$ 30,327 million in 2023[73][75]. - U.S. commercial revenue reached $6.7 billion in 2024, representing 14% of consolidated revenue, compared to$ 5.8 billion in 2023 and $5.7 billion in 2022[78]. - Revenue from non-U.S. government and commercial customers was$ 8 billion in 2024, up from $6.1 billion in 2023, representing 17% of consolidated revenue[79]. Backlog and Production - The Marine Systems segment has a backlog of 11 ships scheduled for delivery through 2032, including three Flight III DDG-51 destroyers[38]. - The company is in low-rate initial production (LRIP) of the Army's M10 Booker combat vehicle, marking the first new Army ground combat vehicle in 45 years[47]. - The installed base for major vehicle programs includes 4,334 ABRAMS Main Battle Tanks and 4,976 Light Armored Vehicles (LAVs) with a backlog of 370 LAVs scheduled for delivery by 2032[54]. - OTS is expanding its metal parts production capacity from 36,000 to 86,000 rounds per month by 2025 and propellant capacity from 5 million to 16 million pounds per year by 2028[55]. - The company is producing 449 new LAVs for the Canadian army and upgrading its existing fleet, with additional production of 66 LAVs under the LRSS program[50]. Innovation and Development - The company has invested significantly in R&D and manufacturing facilities to support the development of advanced aircraft and technologies[17]. - Gulfstream's G800 aircraft features an 8,000 nautical mile range at Mach 0.85, replacing the G650 and G650ER models[22]. - Gulfstream's service and test aircraft have flown over two million nautical miles on sustainable aviation fuel (SAF) since 2016[29]. - The company is developing semi-autonomous robotic platforms for battlefield roles, including the Small Multipurpose Equipment Transport (S-MET) and the Tracked Robot 10-ton (TRX) prototype[52]. - The U.S. Space Development Agency selected the company to establish ground operations for the National Defense Space Architecture, enhancing its capabilities in the space domain[69]. - GDIT acquired Iron EagleX, Inc. in 2024 to enhance its portfolio in AI/ML, cyber, software development, and cloud services[60]. Workforce and Diversity - The company hired over 23,800 individuals in 2024, with 74% being male and 26% female, and 58% of U.S.-based hires were white[95]. - The company emphasizes ethical business practices and employee welfare, with a focus on diversity and inclusion in its workforce[90]. Financial Position and Risks - The company had notional forward exchange contracts outstanding of$ 6.2 billion as of December 31, 2024, with a 10% unfavorable rate movement potentially resulting in a $36 million recognized loss[255]. - On December 31, 2024, the company had$ 8.8 billion in fixed-rate debt, with a 10% unfavorable interest rate movement not expected to materially impact its fair value[256]. - U.S. government revenue from fixed-price contracts accounted for 51% in 2024, down from 56% in 2022, while cost-reimbursement contracts increased to 43% in 2024 from 38% in 2022[77]. Compliance and Environmental Considerations - The company is subject to various environmental laws and regulations, with historical compliance costs not being material[100]. - The company maintains long-term relationships with non-U.S. defense customers, establishing itself as a principal regional supplier[79].