Northrop Grumman (NOC) investor relations material

Demand environment and backlog

• Robust global demand is translating into record backlog and awards, with broad-based growth across all four operating segments.

• Franchise programs like B-21 and Sentinel are scaling from development into production, supporting backlog growth.

• International business expansion is providing additional margin tailwinds and value creation opportunities.

• Bipartisan support for national security spending in the U.S. and strong international demand underpin growth outlook.

Funding dynamics and budget outlook

• Most key programs are fully funded in the base budget, providing stability and execution confidence.

• Reconciliation and supplemental funding are viewed as potential upside, but not critical to current growth plans.

• Continuing resolutions are expected to persist, but current funding is sufficient to maintain program momentum into early next year.

Program updates and production

• B-21 program is progressing through development and low-rate initial production, with potential for expansion pending Air Force analysis.

• Aeronautics segment margin improvement is driven mainly by mature production programs, with B-21 performing in line with expectations.

• Multi-year munitions agreements represent a $10 billion opportunity over seven years, with ramping production and new partnerships.

• Sentinel program has matured design, integrated missile components, and is targeting first test in 2027, ahead of schedule.