Northrop Grumman (NOC) Q2 Earnings: How Key Metrics Compare to Wall Street Estimates

Core Insights - Northrop Grumman reported revenue of $10.35 billion for the quarter ended June 2025, reflecting a 1.3% increase year-over-year and surpassing the Zacks Consensus Estimate of $10.06 billion by 2.94% [1] - The company's EPS was $7.11, up from $6.36 in the same quarter last year, exceeding the consensus estimate of $6.71 by 5.96% [1] Financial Performance - Mission Systems sales reached $3.16 billion, exceeding the average estimate of $2.9 billion by analysts, marking a year-over-year increase of 13.9% [4] - Aeronautics Systems sales were $3.11 billion, slightly below the estimated $3.15 billion, with a year-over-year growth of 5.1% [4] - Intersegment eliminations reported sales of -$557 million, worse than the average estimate of -$504.63 million, representing a decline of 7.8% year-over-year [4] - Space Systems sales totaled $2.65 billion, falling short of the $2.7 billion estimate, with a significant year-over-year decrease of 25.9% [4] - Defense Systems sales were $1.99 billion, surpassing the $1.86 billion estimate, showing a robust year-over-year increase of 31.6% [4] Operating Income - Defense Systems operating income was $253 million, exceeding the average estimate of $183.7 million [4] - Mission Systems operating income reached $441 million, above the average estimate of $421.42 million [4] - Space Systems operating income was $280 million, slightly below the average estimate of $283.42 million [4] - Aeronautics Systems operating income was $321 million, surpassing the estimated $299.85 million [4] - Unallocated corporate expenses adjustment showed an operating income of $143 million, significantly higher than the average estimate of -$45.17 million [4] - FAS/CAS operating adjustment reported $63 million, close to the average estimate of $65.27 million [4] Stock Performance - Northrop Grumman shares returned +3.1% over the past month, underperforming the Zacks S&P 500 composite's +5.9% change [3] - The stock currently holds a Zacks Rank 4 (Sell), indicating potential underperformance in the near term [3]