CLAIM #25350 · GD (GD) · 2023Q2 earnings call · Jul 26, 2023 · due Jul 26, 2024
“Right now, we continue to track low- to mid-single digit, but we’ll see if we can’t get some juice out of that over time.”
Jason Aiken · CFO
In context
“t you’ve seen in the market. And so, we believe that is the thesis that we’ll see play out. You noted CHS-6, we’re obviously participating in and anticipating that -- resolution to that competition. We’ve seen that program migrate over time from one that was traditionally very much focused on high-end, customized, ruggedized hardened-type defense hardware to one that is a combination of that type of capability as well as a more traditional, sort of off-the-shelf catalog-type product. And so, we believe that having the attributes of both GDIT and Mission Systems involved in that program would be the best suited to serve our customer there. So, that’s just one good example of it. But absolutely, we see that over time. And as far as long-term growth rates, we’ll have to see where this leads. Right now, we continue to track low- to mid-single digit, but we’ll see if we can’t get some juice out of that over time. Operator: And your next question comes from the line of Sheila Kahyaoglu from Jefferies. Sheila Kahyaoglu: Howard, exactly what Louie said, and then, thank you for being such a great colleague and a teacher to me and all those around you, so thank you. Phebe or Jason, whoever, on the Defense business, when you look at your 2023 guidance, Defense growth is up solidly up 5% for the year versus the 9% growth you did in the first half. But this is not necessarily leading to operating leverage with margin contraction of 40 bps and flat operating profit. So, how do you think about the return to operating margin expansion either on a total company level or a segment basis? It seems like Technologies is more temporary, Combat mix maybe continues for some time. Phebe Novakovic: So, Technologies an”
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SEC filings for GD ↗ · Claim quote is verbatim from the 2023Q2 earnings call.