10-KPeriod: FY2023

GENERAL DYNAMICS CORP Annual Report, Year Ended Dec 31, 2023

Filed February 8, 2024For Securities:GD

Summary

General Dynamics Corporation (GD) reported a strong financial year in 2023, with record-high revenue of $42.3 billion, a 7.3% increase over 2023, and record-high operating cash flow of $4.7 billion. The company's robust performance was driven by significant growth across its defense segments, particularly in Marine Systems due to increased submarine construction. The Technologies segment also saw revenue growth, primarily from IT services. The company ended the year with a record backlog of $93.6 billion, indicating sustained demand for its products and services, especially in the defense sector and for Gulfstream business jets. Despite facing supply chain cost pressures and inflationary impacts, GD demonstrated resilience, maintaining solid operating earnings. Management expects continued revenue growth and margin improvement in 2024, driven by a strong order book and the anticipated entry into service of new Gulfstream aircraft models.

Financial Highlights

53 data points
Beta

Revenue

$42.27B

Net Income

$3.31B

0.1% Net Margin

EPS (Diluted)

$12.02

Total Assets

$54.81B

Cash & Equivalents

$1.91B

Free Cash Flow

$3.81B

Financial Statements
Beta
Revenue$42.27B
Operating Expenses$38.03B
Operating Income$4.25B
Interest Expense$399.00M
Net Income$3.31B
EPS (Basic)$12.14
EPS (Diluted)$12.02
Shares Outstanding (Basic)273.14M
Shares Outstanding (Diluted)275.73M

Key Highlights

  • 1Record Revenue: Achieved $42.3 billion in revenue for 2023, a 7.3% increase year-over-year.
  • 2Strong Cash Flow: Generated a record $4.7 billion in cash from operating activities, highlighting efficient operations and working capital management.
  • 3Record Backlog: Ended 2023 with a robust backlog of $93.6 billion, providing visibility into future revenue streams.
  • 4Defense Segment Strength: Marine Systems and Combat Systems segments experienced significant revenue growth, driven by increased demand for shipbuilding and defense equipment.
  • 5Aerospace Growth: The Aerospace segment saw revenue increase slightly, with strong demand for Gulfstream aircraft orders and services, and an improved operating margin.
  • 6Shareholder Returns: Continued to return value to shareholders through a 26th consecutive annual dividend increase and ongoing share repurchases.
  • 7Operational Efficiency: Despite supply chain challenges, the company maintained solid operating performance and expects margin expansion in 2024.

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