Benzinga | Jul 28, 2021 07:52AM EDT

General Dynamics Reports Mixed Q2 Earnings, Backlog Of $89.2B

* General Dynamics Corporation (NYSE:GD) reported a second-quarter slight sales decline of 0.5% year-over-year to $9.22 billion, missing the consensus of $9.30 billion.

* Sales by segments: Aerospace $1.62 billion (-17.8% Y/Y), Marine Systems $2.53 billion (+2.6% Y/Y), Combat Systems $1.89 billion (+8.3% Y/Y) and Technologies $3.16 billion (+3.2% Y/Y).

* EPS improved to $2.61 from $2.18 in 2Q20, beating the consensus of $2.54.

* The operating earnings increased by 15%Y/Y to $959 million, and the margin expanded by 140 bps to 10.4%.

* General Dynamics generated cash from operating activities year-to-date of $1.12 billion, compared to $177 million a year ago and free cash flow of $943 million.

* At the end of Q2, the company's backlog was $89.2 billion, up 8% Y/Y, with the consolidated book-to-bill ratio was 1-to-1.

* The company held cash and equivalents of $2.95 billion, and the Debt-to-capital ratio was 48.3%.

* Price Action: GD shares closed higher by 1.11% at $194.05 on Tuesday.