Exhibit 99.1 
 
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11011 Sunset Hills Road
Reston, Virginia 20190News
www.gd.com

Contact: Jeff A. Davis
Tel: 703 876 3483
press@generaldynamics.com


General Dynamics Reports Third-Quarter 2026 Financial Results

October 30, 2026

•Revenue $14.6 billion, up 12.9% versus prior year
•Diluted EPS $4.49, up 15.7% versus prior year
•$1.7 billion cash from operating activities, 139% of net earnings
•6.8-to-1 book-to-bill, $220 billion backlog

RESTON, Va. – General Dynamics (NYSE: GD) today reported third-quarter 2026 operating earnings of $1.5 billion, and $4.49 per diluted share (EPS), on revenue of $14.6 billion. Compared with the year-ago quarter, revenue increased 12.9%, operating earnings increased 14.7%, and diluted EPS increased 15.7%. Operating margin of 10.5% was a 20-basis-point expansion from the year-ago quarter.

“Our business had exceptional third quarter results, with revenue growth across all four segments, robust bookings and solid operational performance,” said Phebe Novakovic, chairman and chief executive officer. “With the consistent growth in our backlog and our significant investment in our businesses over the last decade, we are poised to drive continued performance in the years to come.”

Cash and Capital Deployment
Cash provided by operating activities in the quarter totaled $1.7 billion, or 139% of net earnings. During the quarter, the company paid $429 million in dividends, invested $481 million in capital expenditures, and reduced total debt by $500 million. The company ended the quarter with $7 billion in total debt and $4.4 billion in cash and equivalents on hand.

Orders and Backlog
Orders received in the quarter totaled $93.8 billion in the defense segments, driven by large orders in the Marine Systems segment for Virginia- and Columbia-class submarines, and $5 billion in the Aerospace segment, for a total of $98.8 billion. Book-to-bill ratio, defined as orders divided by revenue, was 8.5-to-1 for the quarter for the defense segments, 1.4-to-1 for the Aerospace segment, and 6.8-to-1 on a company-wide basis.

Backlog at the end of the quarter was $220.3 billion. Estimated potential contract value, representing management’s estimate of additional value in unfunded indefinite delivery, indefinite quantity (IDIQ) contracts and unexercised options, was $50.4 billion. Total estimated contract value, the sum of backlog plus estimated potential contract value, was $270.7 billion.



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About General Dynamics
Headquartered in Reston, Virginia, General Dynamics is a global aerospace and defense company that offers a broad portfolio of products and services in business aviation; ship construction and repair; land combat vehicles, weapon systems and munitions; and technology products and services. General Dynamics employs more than 120,000 people worldwide and generated $52.6 billion in revenue in 2025. More information is available at www.gd.com.

WEBCAST INFORMATION: General Dynamics' financial results conference call will be held on Friday, October 30, 2026, at 9:00 a.m. EDT. A link to the live webcast will be available at www.gd.com and will be available for replay following the call. Corresponding presentation slides will be available for download prior to the call.

This press release may contain forward-looking statements (FLS), including statements about the company’s future operational and financial performance, which are based on management’s expectations, estimates, projections and assumptions. Words such as “expects,” “anticipates,” “plans,” “believes,” “forecasts,” “scheduled,” “outlook,” “estimates,” “should” and variations of these words and similar expressions are intended to identify FLS. In making FLS, we rely on assumptions and analyses based on our experience and perception of historical trends; current conditions and expected future developments; and other factors, estimates and judgments we consider reasonable and appropriate based on information available to us at the time. FLS are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, as amended. FLS are not guarantees of future performance and involve factors, risks and uncertainties that are difficult to predict. Actual future results and trends may differ materially from what is forecast in the FLS. All FLS speak only as of the date they were made. We do not undertake any obligation to update or publicly release revisions to FLS to reflect events, circumstances or changes in expectations after the date of this press release. Additional information regarding these factors is contained in the company’s filings with the SEC, and these factors may be revised or supplemented in future SEC filings. In addition, this press release may contain some financial measures not prepared in accordance with U.S. generally accepted accounting principles (GAAP). While we believe these non-GAAP metrics provide useful information for investors, there are limitations associated with their use, and our calculations of these metrics may not be comparable to similarly titled measures of other companies. Non-GAAP metrics should not be considered in isolation from, or as a substitute for, GAAP measures. Reconciliations to comparable GAAP measures and other information relating to our non-GAAP measures are included in other filings with the SEC, which are available at investorrelations.gd.com.
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EXHIBIT A
CONSOLIDATED STATEMENT OF EARNINGS - (UNAUDITED)
DOLLARS IN MILLIONS, EXCEPT PER SHARE AMOUNTS

 
Three Months EndedVariance
October 4, 2026September 28, 2025$%
Revenue$14,566 $12,907 $1,659 12.9%
Operating costs and expenses(13,039)(11,576)(1,463)
Operating earnings1,527 1,331 196 14.7%
Other, net4 15 (11)
Interest, net(45)(74)29 
Earnings before income tax1,486 1,272 214 16.8%
Provision for income tax, net(257)(213)(44)
Net earnings$1,229 $1,059 $170 16.1%
Earnings per share—basic$4.55 $3.93 $0.62 15.8%
Basic weighted average shares outstanding270.2 269.2 
Earnings per share—diluted$4.49 $3.88 $0.61 15.7%
Diluted weighted average shares outstanding273.8 272.6 





































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EXHIBIT B
CONSOLIDATED STATEMENT OF EARNINGS - (UNAUDITED)
DOLLARS IN MILLIONS, EXCEPT PER SHARE AMOUNTS

 
Nine Months EndedVariance
October 4, 2026September 28, 2025$%
Revenue$42,141 $38,171 $3,970 10.4%
Operating costs and expenses(37,734)(34,267)(3,467)
Operating earnings4,407 3,904 503 12.9%
Other, net18 51 (33)
Interest, net(163)(251)88 
Earnings before income tax4,262 3,704 558 15.1%
Provision for income tax, net(748)(637)(111)
Net earnings$3,514 $3,067 $447 14.6%
Earnings per share—basic$13.01 $11.41 $1.60 14.0%
Basic weighted average shares outstanding270.2 268.8 
Earnings per share—diluted$12.83 $11.29 $1.54 13.6%
Diluted weighted average shares outstanding273.8 271.8 
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EXHIBIT C
REVENUE AND OPERATING EARNINGS BY SEGMENT - (UNAUDITED)
DOLLARS IN MILLIONS

 
Three Months EndedVariance
October 4, 2026September 28, 2025$%
Revenue:
Aerospace$3,536 $3,234 $302 9.3 %
Marine Systems4,960 4,096 864 21.1 %
Combat Systems2,386 2,252 134 6.0 %
Technologies3,684 3,325 359 10.8 %
Total$14,566 $12,907 $1,659 12.9 %
Operating earnings:
Aerospace$513 $430 $83 19.3 %
Marine Systems391 291 100 34.4 %
Combat Systems330 335 (5)(1.5)%
Technologies346 327 19 5.8 %
Corporate(53)(52)(1)(1.9)%
Total$1,527 $1,331 $196 14.7 %
Operating margin:
Aerospace14.5%13.3%
Marine Systems7.9%7.1%
Combat Systems13.8%14.9%
Technologies9.4%9.8%
Total10.5%10.3%






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EXHIBIT D
REVENUE AND OPERATING EARNINGS BY SEGMENT - (UNAUDITED)
DOLLARS IN MILLIONS

 
Nine Months EndedVariance
October 4, 2026September 28, 2025$%
Revenue:
Aerospace$10,340 $9,322 $1,018 10.9 %
Marine Systems13,963 11,905 2,058 17.3 %
Combat Systems6,959 6,711 248 3.7 %
Technologies10,879 10,233 646 6.3 %
Total$42,141 $38,171 $3,970 10.4 %
Operating earnings:
Aerospace$1,516 $1,265 $251 19.8 %
Marine Systems1,049 832 217 26.1 %
Combat Systems958 950 8 0.8 %
Technologies1,024 987 37 3.7 %
Corporate(140)(130)(10)(7.7)%
Total$4,407 $3,904 $503 12.9 %
Operating margin:
Aerospace14.7%13.6%
Marine Systems7.5%7.0%
Combat Systems13.8%14.2%
Technologies9.4%9.6%
Total10.5%10.2%



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EXHIBIT E
CONSOLIDATED BALANCE SHEET
DOLLARS IN MILLIONS
 
(Unaudited)
October 4, 2026December 31, 2025
ASSETS
Current assets:
Cash and equivalents$4,388 $2,333 
Accounts receivable2,529 2,406 
Unbilled receivables8,906 8,380 
Inventories9,124 9,232 
Other current assets1,926 1,897 
Total current assets26,873 24,248 
Noncurrent assets:
Property, plant and equipment, net7,853 7,525 
Intangible assets, net1,231 1,375 
Goodwill20,849 21,009 
Other assets3,399 3,092 
Total noncurrent assets 33,332 33,001 
Total assets$60,205 $57,249 
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Short-term debt and current portion of long-term debt$756 $1,006 
Accounts payable3,166 2,678 
Customer advances and deposits11,083 9,824 
Other current liabilities3,821 3,288 
Total current liabilities18,826 16,796 
Noncurrent liabilities:
Long-term debt6,260 7,007 
Other liabilities7,827 7,824 
Total noncurrent liabilities14,087 14,831 
Shareholders’ equity:
Common stock482 482 
Surplus4,646 4,403 
Retained earnings46,299 44,080 
Treasury stock(23,403)(22,860)
Accumulated other comprehensive loss(732)(483)
Total shareholders’ equity27,292 25,622 
Total liabilities and shareholders’ equity$60,205 $57,249 



 
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EXHIBIT F
CONSOLIDATED STATEMENT OF CASH FLOWS - (UNAUDITED)
DOLLARS IN MILLIONS
 

Nine Months Ended
October 4, 2026September 28, 2025
Cash flows from operating activities—continuing operations:
Net earnings$3,514 $3,067 
Adjustments to reconcile net earnings to net cash from operating activities:
Depreciation of property, plant and equipment525 490 
Amortization of intangible and finance lease right-of-use assets173 182 
Equity-based compensation expense169 146 
Deferred income tax provision335 151 
(Increase) decrease in assets, net of effects of business acquisitions:
Accounts receivable(123)(314)
Unbilled receivables(480)(415)
Inventories108 (131)
Increase (decrease) in liabilities, net of effects of business acquisitions:
Accounts payable488 119 
Customer advances and deposits1,232 45 
Other, net(196)219 
Net cash provided by operating activities5,745 3,559 
Cash flows from investing activities:
Capital expenditures(918)(552)
Other, net18 130 
Net cash used by investing activities(900)(422)
Cash flows from financing activities:
Dividends paid(1,263)(1,188)
Repayment of fixed-rate notes(1,000)(1,500)
Purchases of common stock(604)(600)
Proceeds from fixed-rate notes— 747 
Other, net87 235 
Net cash used by financing activities(2,780)(2,306)
Net cash used by discontinued operations(10)(8)
Net increase in cash and equivalents2,055 823 
Cash and equivalents at beginning of period2,333 1,697 
Cash and equivalents at end of period$4,388 $2,520 

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EXHIBIT G
ADDITIONAL FINANCIAL INFORMATION - (UNAUDITED)
DOLLARS IN MILLIONS, EXCEPT PER SHARE AMOUNTS
Non-GAAP Financial Measures:
Third QuarterNine Months
2026202520262025
Free cash flow:
Net cash provided by operating activities$1,710 $2,109 $5,745 $3,559 
Capital expenditures(481)(212)(918)(552)
Free cash flow (a)$1,229 $1,897 $4,827 $3,007 
October 4, 2026December 31, 2025
Net debt:
Total debt$7,016 $8,013 
Less cash and equivalents4,388 2,333 
Net debt (b)
$2,628 $5,680 
Supplemental Aerospace Data:
Third QuarterNine Months
2026202520262025
Gulfstream Aircraft Deliveries (units):
Large-cabin aircraft35 33 101 95 
Mid-cabin aircraft5 6 18 18 
Total40 39 119 113 
Aerospace Book-to-Bill:
Orders (c)$4,970 $4,053 $14,091 $10,417 
Revenue3,536 3,234 10,340 9,322 
Book-to-Bill Ratio1.4x1.3x1.4x1.1x
(a)We define free cash flow as net cash from operating activities less capital expenditures. We believe free cash flow is a useful measure for investors because it portrays our ability to generate cash from our businesses for purposes such as repaying debt, funding business acquisitions, paying dividends and repurchasing our common stock to cover dilution. We use free cash flow to assess the quality of our earnings and as a key performance measure in evaluating management.

(b)We define net debt as short- and long-term debt (total debt) less cash and equivalents. We believe net debt is a useful measure for investors because it reflects the borrowings that support our operations and capital deployment strategy. We use net debt as an important indicator of liquidity and financial position.

(c)Excludes customer defaults, liquidated damages, cancellations, foreign exchange fluctuations and other backlog adjustments.


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EXHIBIT H
BACKLOG - (UNAUDITED)
DOLLARS IN MILLIONS
 
FundedUnfundedTotal
Backlog
Estimated
Potential
Contract Value*
Total
Estimated
Contract Value
Third Quarter 2026:
Aerospace$24,460 $925 $25,385 $1,374 $26,759 
Marine Systems47,289 99,576 146,865 7,644 154,509 
Combat Systems26,983 1,701 28,684 9,588 38,272 
Technologies13,064 6,341 19,405 31,724 51,129 
Total$111,796 $108,543 $220,339 $50,330 $270,669 
Second Quarter 2026:
Aerospace$22,992 $985 $23,977 $1,170 $25,147 
Marine Systems42,356 22,826 65,182 7,442 72,624 
Combat Systems27,507 1,843 29,350 10,847 40,197 
Technologies11,256 6,733 17,989 30,945 48,934 
Total$104,111 $32,387 $136,498 $50,404 $186,902 
Third Quarter 2025:
Aerospace$19,476 $1,131 $20,607 $1,147 $21,754 
Marine Systems38,757 14,854 53,611 14,839 68,450 
Combat Systems17,232 1,470 18,702 9,553 28,255 
Technologies10,269 6,668 16,937 32,341 49,278 
Total$85,734 $24,123 $109,857 $57,880 $167,737 

*The estimated potential contract value includes work awarded on unfunded indefinite delivery, indefinite quantity (IDIQ) contracts and unexercised options associated with existing firm contracts, including options and other agreements with existing customers to purchase new aircraft and aircraft services. We recognize options in backlog when the customer exercises the option and establishes a firm order. For IDIQ contracts, we evaluate the amount of funding we expect to receive and include this amount in our estimated potential contract value. The actual amount of funding received in the future may be higher or lower than our estimate of potential contract value.






 



 





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EXHIBIT H-1
BACKLOG - (UNAUDITED)
DOLLARS IN MILLIONS




chart-0d72ebb2ff274cd9bf2.jpg
Funded BacklogUnfunded Backlog














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