Business Description

General Dynamics Corp., an aerospace and defense company, provides tanks, missiles, and rockets to all military services. The company’s business is conducted through the following segments: Information Technology, Marine Systems, Aerospace and Combat Systems, and Marine Systems. The Aerospace segment provides various services to Gulfstream and other original equipment manufacturer aircraft. Combat Systems provides combat vehicles, weapons systems, and munitions to the U.S. government and its allies worldwide. Information Technology provides technology, products, and services to support thousands of programs for many customers, including military, state, civilian, and local. The Marine Systems segment is responsible for the construction, design, and support of submarines and other surface ships.

Key Financials

Revenue (US$ Mn):

• US$ 38,469 Mn was the annual revenue generated by General Dynamics Corp. in 2021
• General Dynamics Corp.’s annual revenue for 2020 was US$ 37,925 Mn, a -3.62% decrease from 2019
• From 2018’s annual revenues, General Dynamics Corp. registered an 8.72% increase in 2019, amounting to US$ 39,350 Mn
• Total revenue of US$ 36,193 Mn was generated in 2018 by General Dynamics Corp.

Operating Income (US$ Mn):

• General Dynamics Corp.’s operating income for 2021 was US$ 4,163 Mn, a 0.73% increase from 2020
• The operating income generated by General Dynamics Corp. in 2020 was US$ 4,133 Mn
• At a 4.01% increase from , General Dynamics Corp.’s operating income of US$ 4,570 Mn was indexed in 2019
• General Dynamics Corp. generated an operating income of US$ 4,394 Mn in 2018

Net Income (US$ Mn):

• US$ 3,257 Mn was the net income generated by General Dynamics Corp. in 2021
• General Dynamics Corp.’s net income for 2020 was US$ 3,167 Mn, a -9.1% decrease from 2019
• From 2018’s net incomes, General Dynamics Corp. registered a 3.75% increase in 2019, amounting to US$ 3,484 Mn
• A net income of US$ 3,358 Mn was generated in 2018 by General Dynamics Corp.

Operating Margin %:

• General Dynamics Corp.’s operating margin for 2021 was 11%, a -0.92% decrease from 2020
• The operating margin generated by General Dynamics Corp. in 2020 was 11%
• At a -4.13% decrease from , General Dynamics Corp.’s operating margin of 12% was indexed in 2019
• General Dynamics Corp. generated an operating margin of 12% in 2018

Gross Margin %:

• General Dynamics Corp.’s gross margin for 2021 was 17%, a 0% decrease from 2020
• The gross margin generated by General Dynamics Corp. in 2020 was 17%
• At a -3.28% decrease from , General Dynamics Corp.’s gross margin of 18% was indexed in 2019
• General Dynamics Corp. generated a gross margin of 18% in 2018

SWOT Analysis

Strengths

Growth in revenue

General Dynamics saw steady revenue growth in the last year. The company’s revenue in FY2019 was US$39.350 million, compared to US$36.193 million in FY2018. This represents an 8.7% annual growth. The strong performance of all its segments was the main reason for this increase in annual revenue. In FY2019, the company’s aerospace division saw a 4.5% increase in revenue due to its first deliveries of large-cabin G600 aircraft and higher maintenance demand. The company’s marine systems segment saw an 8.5% increase in revenue thanks to higher revenue from US Navy ship construction and commercial shipbuilding, as well as US Navy ship engineering, repair, and other services.

Due to the increased sales of space, cyber, and intelligence, the company’s mission system segment saw a 4.5% increase in revenue for FY2019. Due to an increase in revenue from US military vehicles and weapons systems, munitions, and international military vehicles, its combat systems saw a 12.3% revenue growth. The revenue from its information technology segment grew by 1.9%. The company’s ability to increase its returns to shareholders, and it can also allocate sufficient funds to future growth initiatives.

Get this premium content

The Premium data is Locked

Buy Now to Unlock Premium Data

Request Sample Data