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Sep 30, 2024
Huntington Ingalls Q3 2024 Earnings Report
HII's third quarter results were reported with revenues of $2.7 billion and diluted earnings per share of $2.56. The company updated its fiscal 2024 outlook and withdrew its 5-year free cash flow outlook.
Key Takeaways
HII reported a decrease in third-quarter revenue to $2.7 billion, a 2.4% decrease year-over-year, driven by lower volume at Ingalls Shipbuilding and Newport News Shipbuilding, which was partially offset by growth at Mission Technologies. Net earnings were $101 million, or $2.56 per share, compared to $148 million, or $3.70 per share, in the third quarter of 2023. The company is providing an updated fiscal 2024 outlook and withdrawing its 5-year free cash flow outlook.
Third quarter revenues were $2.7 billion.
Third quarter net earnings were $101 million or $2.56 diluted earnings per share.
Third quarter free cash flow was $136 million.
Total backlog reached approximately $49.4 billion as of September 30, 2024.
Huntington Ingalls
Huntington Ingalls
Huntington Ingalls Revenue by Segment
Revenue by Segment
Ingalls Shipbuilding Revenue
CapyFin.comNewport News Shipbuilding Revenue
CapyFin.comMission Technologies Revenue
CapyFin.com Forward Guidance
HII provided updated fiscal 2024 outlook, increasing FY24 Mission Technologies expected revenue range to between $2.8B and $2.85B and increasing FY24 Mission Technologies expected operating margin to approximately 3.75%.
Positive Outlook
- FY24 shipbuilding revenue expected to be approximately $8.8B
- FY24 shipbuilding operating margin expected to be between 5.0% and 6.0%
- Increasing FY24 Mission Technologies expected revenue range to between $2.8B and $2.85B
- Increasing FY24 Mission Technologies expected operating margin to approximately 3.75%
- Capital expenditures expected to be approximately 3.4% of sales
Challenges Ahead
- FY24 free cash flow expected to be between $0M and $100M
- Company is withdrawing 5-year free cash flow outlook
- Shipbuilding Operating Margin decreasing from 7.6% - 7.8% to 5.0% - 6.0%
- Capital Expenditures decreasing from ~5.3% of Sales to ~3.4% of Sales
- Free Cash Flow decreasing from $600M - $700M to $0M - $100M
Revenue & Expenses
Visualization of income flow from segment revenue to net income