Northrop Misses Estimates - TheStreet

Northrop Misses Estimates

It affirms its full-year guidance.
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Northrop Grumman

(NOC) - Get Report

affirmed its full-year guidance, even after saying first-quarter profits and revenue fell a bit short of Wall Street's estimates.

The company had earnings of $387 million, or $1.10 a share, for the latest quarter, up from a continuing operations profit of $362 million, or $1.03 a share, a year earlier. Sales for the quarter increased 4% to $7.34 billion.

Analysts, however, were looking for earnings of $1.14 a share on sales of $7.52 billion.

"In the first quarter we increased sales, operating margin and earnings per share, improved our cash from operations, and generated robust funded contract acquisitions. All our businesses continue to perform well," said Ronald Sugar, Northrop's chairman and chief executive, in a press statement.

For 2007, the defense contractor expects sales of $31 billion to $32 billion, and earnings should be $4.80 to $5.05 a share. Northrop gave the same forecast in January. The consensus earnings target is $5 and the sales expectation is $31.79 billion.