Attributes the loss to $3.06 billion charge to write down the value of acquisitions in its shipbuilding and space operations
Defense contractor Northrop Grumman has reported net loss of $2.53 billion for the fourth quarter 2008, compared to net income of $457m in the year-ago quarter, on revenue up 4% at $9.15 billion.
It attributed the loss to a $3.06 billion charge to write down the value of acquisitions in its shipbuilding and space operations.
It made an operating loss of $2.15 billion compared to operating profit of $759m in the same period last year. The diluted net loss per share was $7.76 compared to $1.32 a year ago. Cash from operations increased to $1 billion from $734m in the year-ago quarter, while total backlog increased 22% to $78 billion.
The company said information and services revenue grew 5% to $3.28 billion, while aerospace revenue grew 6% to $2.57 billion. Electronics revenue grew 14% to $2.04 billion, while shipbuilding revenue fell 3% to $1.74 billion.
For fiscal 2008 the company reported a net loss of $1.26 billion compared to net profit of $1.79 billion a year ago, on revenue up 6% at $33.88 billion.
Ronald D Sugar, chairman and chief executive at Northrop Grumman, said: Our underlying fourth-quarter operating results were outstanding and represent a strong finish to the year. We begin 2009 with a $78 billion backlog, the highest in Northrop Grumman’s history, and a tribute to the dedication and talent of our 120,000 employees. Looking ahead, we continue to position our organization to be more agile and competitive.
For fiscal 2009 the company expects revenue to be approximately $34.5 billion and diluted EPS from continuing operations between $4.5 and $4.75.