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Q1 26 EPS
$6.14
BEAT +1.28%
Est. $6.06
Q1 26 Revenue
$9.88B
BEAT +1.28%
Est. $9.76B
vs S&P Since Q1 26
-20.6%
TRAILING MARKET
NOC -15.8% vs S&P +4.8%
Market Reaction
Did NOC Beat Earnings? Q1 2026 Results
Northrop Grumman opened 2026 on solid footing, posting first-quarter earnings per share of $6.14 against a consensus estimate of $6.06, a beat of 1.28%, while revenue of $9.88 billion topped the $9.76 billion consensus by the same margin and grew 4.4… Read more Northrop Grumman opened 2026 on solid footing, posting first-quarter earnings per share of $6.14 against a consensus estimate of $6.06, a beat of 1.28%, while revenue of $9.88 billion topped the $9.76 billion consensus by the same margin and grew 4.4% year over year. The headline driver was a dramatic swing in Aeronautics Systems, which moved from an operating loss of $183 million a year ago to operating income of $305 million, fueled by the absence of the $477 million B-21 loss provision that had weighed heavily on Q1 2025 results, along with 17% sales growth tied to B-21 production expansion and E-130J TACAMO ramp-up. Mission Systems also contributed meaningfully, with its operating margin climbing to 15.1% from 12.9%. With $95.61 billion in backlog and fresh agreements with the U.S. Air Force to expand B-21 production capacity, the company reaffirmed full-year 2026 guidance, including sales of $43.50 billion to $44.00 billion and MTM-adjusted EPS of $27.40 to $27.90, reflecting confidence in sustained demand across its defense portfolio.
Key Takeaways
- • Absence of prior year $477 million B-21 loss provision drove significant operating income improvement
- • Higher B-21 and restricted program sales at Aeronautics Systems
- • Higher net EAC adjustments at Mission Systems boosted margin to 15.1%
- • Sentinel program ramp driving Defense Systems organic growth of 10%
- • Lower effective tax rate of 15.0% due to higher research credits and Corporate AMT guidance
NOC Forward Guidance & Outlook
Northrop Grumman reaffirmed its full-year 2026 guidance: sales of $43,500–$44,000 million, segment operating income of $4,850–$5,000 million, MTM-adjusted EPS of $27.40–$27.90, and free cash flow of $3,100–$3,500 million. Segment-level guidance includes Aeronautics Systems sales in the mid-$13 billion range with low-to-mid 9% operating margin, Defense Systems in the mid-to-high $8 billion range with ~10% margin, Mission Systems in the high $12 billion range with high 14% margin, and Space Systems at ~$11 billion with ~11% margin. Guidance does not assume a prolonged government shutdown or application of spending limits.
NOC YoY Financials
Q1 2026 vs Q1 2025, source: SEC Filings
NOC Revenue by Segment
With YoY comparisons, source: SEC Filings
“Northrop Grumman delivered strong first quarter results, with continued robust bookings, mid-single-digit organic sales growth, and solid operating performance, underscoring our ability to deliver in today's unprecedented global demand environment.”
— Kathy Warden, Q1 2026 Earnings Press Release
NOC Earnings Trends
NOC vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
NOC EPS Trend
Earnings per share: estimate vs actual
NOC Revenue Trend
Quarterly revenue: estimate vs actual
NOC Quarterly Results
5 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q1 26 BEAT | $6.06 | $6.14 | +1.28% | $9.88B | +1.28% |
| Q4 25 BEAT FY | $6.96 | $7.23 | +3.83% | $11.71B | +0.82% |
| FY Full Year | — | $26.34 | — | $41.95B | — |
| Q3 25 BEAT | $6.46 | $7.67 | +18.82% | $10.42B | -2.72% |
| Q2 25 BEAT | $6.68 | $8.15 | +21.99% | $10.35B | +1.94% |
| Q1 25 MISS | $6.26 | $3.32 | -46.99% | $9.47B | -4.83% |