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Northrop Grumman Sets Record Backlog as 2025 Sales, EPS Beat Guidance

Management signals continued investment in U.S. manufacturing, supported by robust awards, a steady book-to-bill, progress on flagship programs.

Overview

  • The company ended 2025 with more than $95 billion in backlog, powered by about $46 billion in net awards during the year.
  • Full-year sales and earnings per share exceeded the high end of guidance, reflecting strong execution across the portfolio.
  • Free cash flow reached $3.3 billion in 2025, up 26% year over year and marking a third consecutive year of at least 25% growth.
  • Backlog has expanded by nearly $20 billion since 2021, with a five-year average book-to-bill ratio of 1.1 times.
  • The B21 program advanced through ground and flight testing milestones, with production tracking to company estimates as Northrop prioritizes growth investments and U.S. capacity expansion.