“For the year, we are reaffirming guidance for all key metrics. We continue to expect sales to be in the range of $65 billion to $66 billion with segment operating margin at 11.2% at the midpoint.”

In context

“s were partially offset by favorable volume on radar programs and integrated warfare systems and sensors. Including Defense of Guam, an important growth area for RMS that was won in 2022. Operating profit decreased 14%, due to lower sales volume and timing of net profit adjustments. Turning to chart 10 and our space business area. Sales were up 16% in the quarter driven by strong growth on the next gen interceptor and classified programs and further boosted by favorable program lifecycle timing on Orion, protective communications, and fleet ballistic missile programs. Operating profit was up 13%, driven by the increase in volume and favorable profit adjustments partially offset by the lower equity earnings from United Launch Alliance. Okay. Now shifting to the outlook for 2023 on page 11. For the year, we are reaffirming guidance for all key metrics. We continue to expect sales to be in the range of $65 billion to $66 billion with segment operating margin at 11.2% at the midpoint. We also still expect to deliver free cash flow at or above $6.2 billion, while repurchasing $4 billion of outstanding shares. We believe our first quarter results position us to achieve these expectations as we continue to add orders, we program execution commitments and pursue new opportunities throughout the year. Right, so let's close on page 12 to summarize with the comments. As noted, first quarter represents a solid start to 2023. We reaffirm key financial metrics as previously guided and continue to expect a return to growth in 2024 and beyond. With consistent free cash flow per share growth. Looking ahead, our strategic focus on 21st Century Security Solutions aligns with expected increases to defense and security spending. With our continued discipline and focus on execution, we”