CLAIM #25343 · GD (GD) · 2023Q2 earnings call · Jul 26, 2023 · due Dec 31, 2023
“So we expect the -- this year to be considerably higher than last year.”
Phebe Novakovic · CEO
In context
“his with what we’ve been seeing in Biz Jet flight hours year-to-date, which have been down year-on-year. And then secondly, a great Combat Systems order quarter, but how do you expect these orders to flow through to revenue growth over the next couple of years? Thank you. Phebe Novakovic: So, our flying hours are not down. But I think, too, the way to think about our service business is we expect service to increase as the fleet of airplanes -- new airplanes in the market increases. So, we expect steady growth in service. And we haven’t seen any impact so far on any change in flying hours. I said that mostly other people flying hours. With respect to Combat, the world has become a less safe place, and that’s reflected in the increased demand, both internationally and in the United States. So we expect the -- this year to be considerably higher than last year. And we’ll give you clarity around 2024 in January. But as you may recall, we had anticipated flat to down growth in this business segment. Clearly, that trajectory has changed. We won’t be able to -- we can’t quantify it right now, but we’ll give you more clarity on that. Operator: Your next question comes from the line of David Strauss from Barclays. David Strauss: So, back on the G700, would you expect to make up the missed deliveries this year? Would you expect them to make those up next year? So does the -- I think, what was -- 170 go higher in terms of what you’re expecting for deliveries next year? Phebe Novakovic: Well, we’ll get into next year, next year. But the deliveries are lower, are -- 5 to 6 deliveries that won’t deliver this year are not 700s. So, it’s other airplanes. Dav”
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SEC filings for GD ↗ · Claim quote is verbatim from the 2023Q2 earnings call.