NORTH KINGSTOWN – General Dynamics, parent organization of Electric Boat Corp., reported earnings of $799 million for the first quarter of 2018 on Thursday.
The company’s profit represented an increase of 4.7 percent year over year from $763 million one year prior.
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Revenue for the quarter totaled $7.5 billion, a 1.3 percent increase from the company’s 2017 first quarter revenue of $7.4 billion.
Earnings per diluted share were $2.65 in the first quarter compared with $2.48 last year.
The company reported that its nuclear-powered submarines were responsible for $1.3 billion in revenue in the first quarter, compared with $1.2 billion in the 2017 first quarter.
The company’s Marine Systems, which includes its submarine segment (which includes Electric Boat), reported first-quarter revenue of $2 billion, a 5.2 percent, or $100 million, increase year over year. Operating earnings for the segment were $184 million, compared with $161 million a year earlier. The company credited an upswing in U.S. Navy ship construction as the primary driver of new revenue, primarily the higher volume on Block IV of the Virginia-class submarine program and the TAO fleet oiler contract. These gains were partially offset by a decline in U.S. Navy ship engineering and other services.
The company said that during the quarter it had received a $695 million contract from the U.S. Navy for four Virginia-class submarines under Block V of the program, an $85 million Navy contact for maintenance and modernization work on the USS Montpelier, a Los Angeles-class attack submarine, and a $40 million Navy contract to provide design and development, and lead yard services for Virginia-class submarines.
Chris Bergenheim is the PBN web editor.
