Northrop Grumman 'very confident' about nuclear modernization efforts under new administration

By Marjorie Censer / October 22, 2020 at 10:14 AM

The chief executive of Northrop Grumman said today she is "very confident" that if a new administration takes office next year, the company's nuclear modernization initiatives would still be supported.

During a call today, an analyst asked Kathy Warden how a new presidential administration might affect the company's Ground Based Strategic Deterrent program.

Warden said it's customary for a new administration to conduct an analysis of the nuclear triad, and "we expect that to happen if, after the election, we're working with a new administration."

However, she said each evaluation has reaffirmed the "critical role" of the triad. Indeed, she argued that if defense budgets come under pressure, as some have predicted, the triad could be "even more important."

"We're confident that a new administration would recognize that value and continue to support the modernization efforts that are well underway for both GBSD and B-21," Warden said.

Meanwhile, Northrop said sales in its most recent quarter totaled $9.1 billion, up 7% from the same three-month period a year earlier.

The contractor's quarterly profit reached $986 million, up 6% from the prior year.

Northrop recorded quarterly sales growth in all of its business units, except defense systems. All four business units reported quarterly profit growth.

Its space systems unit posted the largest gains, increasing both sales and profit in the quarter by 17% respectively.