NORTHROP GRUMMAN CORP /DE/

For the period ended Jun 30, 2026. Filed Jul 21, 2026.

About this filing

A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.

Jun 30, 2026 · Filed Jul 21, 2026

NOC$539.07+2.7%Stored close · as of Nov 9, 2026

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Contents

Product and Service Analysis

The following table presents product and service sales and operating costs and expenses by segment:

Three Months Ended June 30 · Six Months Ended June 30
$ in millions	2026		2025		2026		2025
Segment Information:	Sales	Operating Costs and Expenses	Sales	Operating Costs and Expenses	Sales	Operating Costs and Expenses	Sales	Operating Costs and Expenses
Aeronautics Systems
Product	$2,640	$2,423	$2,328	$2,109	$5,134	$4,717	$4,419	$4,467
Service	838	697	748	649	1,593	1,350	1,430	1,250
Intersegment eliminations	41	37	38	35	75	68	79	73
Total Aeronautics Systems	3,519	3,157	3,114	2,793	6,802	6,135	5,928	5,790
Defense Systems
Product	1,692	1,576	1,577	1,372	3,209	2,951	2,982	2,634
Service	346	312	361	319	676	606	716	643
Intersegment eliminations	55	49	53	47	107	95	98	87
Total Defense Systems	2,093	1,937	1,991	1,738	3,992	3,652	3,796	3,364
Mission Systems
Product	2,250	1,900	2,234	1,945	4,216	3,582	4,195	3,675
Service	536	453	582	483	1,046	872	1,093	917
Intersegment eliminations	464	396	341	288	849	723	676	570
Total Mission Systems	3,250	2,749	3,157	2,716	6,111	5,177	5,964	5,162
Space Systems
Product	2,226	2,050	2,119	1,893	4,207	3,861	4,183	3,722
Service	348	307	402	362	676	588	801	724
Intersegment eliminations	179	160	125	111	350	313	230	205
Total Space Systems	2,753	2,517	2,646	2,366	5,233	4,762	5,214	4,651
Segment Totals
Total Product	$8,808	$7,949	$8,258	$7,319	$16,766	$15,111	$15,779	$14,498
Total Service	2,068	1,769	2,093	1,813	3,991	3,416	4,040	3,534
Total Segment(1)	$10,876	$9,718	$10,351	$9,132	$20,757	$18,527	$19,819	$18,032

(1) A reconciliation of segment operating income to total operating income is included in “Segment Operating Results.”

Product Sales and Costs

Second quarter 2026 product sales increased $550 million, or 7 percent, primarily due to higher sales on B-21 and TACAMO at Aeronautics Systems, higher volume on Sentinel and across the IBCS portfolio at Defense Systems, and increased sales for CRS missions, GPI and GMD WS at Space Systems.

Second quarter 2026 product costs increased $630 million, or 9 percent, reflecting a lower operating margin rate primarily due to lower net EAC adjustments on product programs at Defense Systems and Space Systems.

Year to date 2026 product sales increased $987 million, or 6 percent, primarily due to higher sales on B-21 and TACAMO at Aeronautics Systems, as well as higher volume on Sentinel, tactical solid rocket motor programs and across the IBCS portfolio at Defense Systems.

Year to date 2026 product costs increased $613 million, or 4 percent, reflecting a higher operating margin rate principally due to the absence of the prior year B-21 loss provision at Aeronautics Systems, partially offset by lower net EAC adjustments on product programs at Defense Systems and Space Systems.

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Service Sales and Costs

Second quarter 2026 service sales decreased $25 million, or 1 percent, primarily due to lower restricted sales at Space Systems and lower volume on airborne electronic warfare programs at Mission Systems, partially offset by higher restricted sales at Aeronautics Systems.

Second quarter 2026 service costs decreased $44 million, or 2 percent, reflecting a higher operating margin rate principally driven by higher net EAC adjustments on service programs at Aeronautics Systems and higher service margins in our commercial space business at Space Systems.

Year to date 2026 service sales decreased $49 million, or 1 percent, primarily due to lower restricted sales at Space Systems and lower service volume at Defense Systems due to the training services divestiture, partially offset by higher restricted sales at Aeronautics Systems.

Year to date 2026 service costs decreased $118 million, or 3 percent, reflecting a higher operating margin rate principally driven by higher net EAC adjustments on service programs at Aeronautics Systems and Space Systems.

ContentsView on SEC.gov

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