(Reuters) – Northrop Grumman Corp on Thursday posted an 8% rise in quarterly profit, driven by strong demand in its fast-growing space unit, prompting the U.S. defense contractor to raise its full-year adjusted profit forecast.
Northrop said it now expects full-year adjusted earnings per share of $25.20 to $25.60, up from its prior range of $24.40 to $24.80.
However, the company flagged some labor-related and supply chain challenges stemming from the COVID-19 pandemic on its operations.
The pandemic has crippled companies around the globe by reducing their ability to send or receive components, thereby creating shortages and reducing sales.
The Falls Church, Virginia-based company’s space unit, which makes satellites and missile systems, reported a 22% jump in sales to $2.68 billion for the third quarter.
Net earnings rose to $1.06 billion, or $6.63 per share, in the quarter ending Sept. 30, from $986 million, or $5.89 per share, a year earlier.
Total sales fell 4% to $8.72 billion.
(Reporting by Nathan Gomes in Bengaluru; Editing by Maju Samuel)
