Global Finance News
01 Nov 2026, 12:07
General Dynamics Q3 Revenue Rises 13% as Defense Orders Drive Record Backlog
General Dynamics (NYSE: GD) reported strong third-quarter 2026 results, with revenue increasing 12.9% year over year to $14.6 billion and diluted EPS rising 15.7% to $4.49.
Operating earnings increased 14.7% to $1.5 billion, while operating margin expanded 20 basis points to 10.5%. Management said all four business segments delivered revenue growth during the quarter.
Order activity was exceptionally strong. General Dynamics received $98.8 billion of total orders, including $93.8 billion across its defense businesses. Large Marine Systems awards for Virginia- and Columbia-class submarines were major contributors.
Company-wide book-to-bill reached 6.8x, including 8.5x in the defense segments and 1.4x in Aerospace. Backlog ended the quarter at $220.3 billion, while total estimated contract value, including potential IDIQ awards and unexercised options, reached $270.7 billion.
Cash generation also remained solid. Operating cash flow totaled $1.7 billion, equal to 139% of net earnings. General Dynamics paid $429 million in dividends, invested $481 million in capital expenditures and reduced debt by $500 million during the quarter.
Overall, the results point to strong multi-year revenue visibility, particularly in defense, with submarine demand and broader military procurement driving a sharp increase in orders and backlog.
General Dynamics (NYSE: GD) reported strong third-quarter 2026 results, with revenue increasing 12.9% year over year to $14.6 billion and diluted EPS rising 15.7% to $4.49.
Operating earnings increased 14.7% to $1.5 billion, while operating margin expanded 20 basis points to 10.5%. Management said all four business segments delivered revenue growth during the quarter.
Order activity was exceptionally strong. General Dynamics received $98.8 billion of total orders, including $93.8 billion across its defense businesses. Large Marine Systems awards for Virginia- and Columbia-class submarines were major contributors.
Company-wide book-to-bill reached 6.8x, including 8.5x in the defense segments and 1.4x in Aerospace. Backlog ended the quarter at $220.3 billion, while total estimated contract value, including potential IDIQ awards and unexercised options, reached $270.7 billion.
Cash generation also remained solid. Operating cash flow totaled $1.7 billion, equal to 139% of net earnings. General Dynamics paid $429 million in dividends, invested $481 million in capital expenditures and reduced debt by $500 million during the quarter.
Overall, the results point to strong multi-year revenue visibility, particularly in defense, with submarine demand and broader military procurement driving a sharp increase in orders and backlog.
