“And we expect nicely improving margins, particularly in the second half.”

In context

“., together with concerns about conflict in the Middle East, has slowed the consummation of transactions to some degree. It is also worth noting that a significant portion of the demand we see is fleet replenishment for corporations. These multi-aircraft deals usually proceed at a slower pace. The G800 flight test and certification program continues to progress well. The aircraft design, manufacturing and the overall program are very mature. We continue to target certification of G800 for 9 months after the G700 certification, although I'm increasingly reluctant to give estimates about these things that are ultimately out of our control. In short, the Aerospace team had a good quarter. G700 FAA certification is in the rearview mirror, and we hope EASA certification is hard on its heels. And we expect nicely improving margins, particularly in the second half. Next, Combat Systems. Combat had revenue of $2.1 billion, up almost 20% over the year ago quarter. Earnings of $282 million are up 15.1%. Margins at 13.4% are down 60 basis points over the year ago quarter. It is interesting to observe that this very strong increase in revenue is in comparison to last year's first quarter, which enjoyed a 5% increase over '22. We saw increased revenue performance in each of the 3 businesses. The increase came from higher volume on new international tank programs, higher artillery program volume and higher volume on PIRANHA's programs and bridges. We also experienced very strong order performance. Orders in the quarter drove total backlog to $15.6 billion, up $1.5 billion from this time in the year ago quarter. Demand for Combat Systems and products”