{"id":51921,"date":"2024-01-30T18:45:07","date_gmt":"2024-01-30T10:45:07","guid":{"rendered":"https:\/\/wp-productionenv-bjg9h2g2bgg5b8aa.southeastasia-01.azurewebsites.net\/news\/northrop-grumman-posts-14-space-systems-growth-in-2023-2\/"},"modified":"2024-01-30T18:45:07","modified_gmt":"2024-01-30T10:45:07","slug":"northrop-grumman-posts-14-space-systems-growth-in-2023-2","status":"publish","type":"post","link":"https:\/\/starpath.global\/news\/northrop-grumman-posts-14-space-systems-growth-in-2023-2\/","title":{"rendered":"Northrop Grumman\u00a0Posts 14% Space Systems Growth in 2023"},"content":{"rendered":"<\/p>\n
\"Northrop
Northrop Grumman\u2019s headquarters. Photo: Northrop Grumman<\/figcaption><\/figure>\n<\/p>\n

Northrop Grumman<\/strong>\u2019s Space segment delivered another year of growth in 2023, posting 14% year-over-year growth. Space Systems was the largest and fastest-growing segment in the company in 2023, with $13.9 billion in revenue. <\/p>\n

This continues a double-digit growth streak for the Space Systems segment. In 2022, the Space segment grew 16% year-over-year. In 2021, Northrop Grumman grew Space Systems sales 21%, and in 2020 the company grew Space sales by 18% over 2019. <\/p>\n

Growth in the Space segment came from higher volume on restricted programs and ramp-up on development programs. This included increases on the $426 million Ground Based Strategic Deterrent (GBSD) program, $333 million on the NextGen Polar program, $219 million on the Next Generation Interceptor (NGI) program, $119 million on the SDA Tranche 1 Tracking Layer program and $102 million on the SDA Tranche 2 Transport Layer program. <\/p>\n

However, the segment saw decreases on the Commercial Resupply Services (CRS) missions and a $109 million decrease on the HALO program, which is the Habitation and Logistics Outpost program for NASA. During the fourth quarter of 2023, Northrop recorded a $42 million charge on the HALO program with the cost of the evolving Lunar Gateway architecture and mission requirements combined with macroeconomic challenges. <\/p>\n

Space operating income in 2023 was $1.2 billion, up 5% over the prior year, according to Northrop\u2019s full year 2023 results released on Jan. 25. <\/p>\n

The company provided guidance for 2024, projecting Space revenue in the mid to high $14 billion range. <\/p>\n

CFO David Keffer said on a Thursday call with investors that Space has expanded sales at a greater than 17% CAGR since 2019, and that growth is expected to moderate in 2024 with higher segment margins. <\/p>\n

\u201cThe mid-single-digit growth rate in Space reflects declines in a restricted program due to shifts in government priority, which are more than offset by growth in other parts of the Space portfolio,\u201d Keffer said. \u201cHaving built a tremendous backlog in recent years, Space now has an opportunity to deliver strong ROI through more measured growth along with margin expansion and cash generation.\u201d<\/p>\n

Company-wide, Northrop Grumman reported that in 2023, sales increased 7% to $39.3 billion in 2023, as compared with $36.6 billion in 2022. <\/p>\n

2023 net earnings were $2 billion \u2014 a decrease of $2.8 billion, or 58% compared to the prior year. This was principally due to a $1.7 billion after-tax mark-to-market pension and OPB actuarial gains and losses <\/p>\n

Backlog at the end of 2023 totaled $84.2 billion.<\/p>\n","protected":false},"excerpt":{"rendered":"

Northrop Grumman\u2019s headquarters. Photo: Northrop Grumman Northrop Grumman\u2019s Space segment delivered another year of growth in 2023, posting 14% year-over-year growth. Space Systems was the largest and fastest-growing segment in the company in 2023, with $13.9 billion in revenue.  This continues a double-digit growth streak for the Space Systems segment. In 2022, the Space segment […]<\/p>\n","protected":false},"author":1,"featured_media":51922,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":"","_links_to":"","_links_to_target":""},"categories":[2],"tags":[],"class_list":["post-51921","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"acf":[],"_links":{"self":[{"href":"https:\/\/starpath.global\/blog\/wp-json\/wp\/v2\/posts\/51921"}],"collection":[{"href":"https:\/\/starpath.global\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/starpath.global\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/starpath.global\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/starpath.global\/blog\/wp-json\/wp\/v2\/comments?post=51921"}],"version-history":[{"count":0,"href":"https:\/\/starpath.global\/blog\/wp-json\/wp\/v2\/posts\/51921\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/starpath.global\/blog\/wp-json\/wp\/v2\/media\/51922"}],"wp:attachment":[{"href":"https:\/\/starpath.global\/blog\/wp-json\/wp\/v2\/media?parent=51921"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/starpath.global\/blog\/wp-json\/wp\/v2\/categories?post=51921"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/starpath.global\/blog\/wp-json\/wp\/v2\/tags?post=51921"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}