April 29 (Reuters) - General Dynamics on Wednesday beat Wall Street estimates for first-quarter profit and revenue driven by continued strength in its marine and aerospace segments, sending the company's
shares up nearly 5% before the bell.
Quarterly revenue from the Marine Systems segment rose 21% from a year ago on continued growth in productivity as it recovers from supply chain disruptions and labor shortages.
The segment is expected to further benefit from U.S. President Donald Trump's $1.5 trillion defense budget request for fiscal year 2027 which includes over $65 billion to procure 18 warships and 16 support ships made by General Dynamics and Huntington Ingalls Industries, as part of the Pentagon's ship building push.
In the aerospace segment, which makes Gulfstream business jets, revenue rose 8.4% as the unit continues to ramp up production through a supply chain recovery and aftermarket business strength holds up.
Quarterly deliveries rose to 38 aircraft, from last year's 36. Delivery schedules in aerospace depend on certification outcomes.
Earlier this year, government documents seen by Reuters revealed Transport Canada's certification of the Gulfstream's flagship G700 and G800 aircraft, as well as the smaller, shorter-range G500 and G600 planes.
The certifications came after President Trump threatened action against Canada's aircraft sector, saying the regulator was taking too long to certify the U.S.-made planes.
Total bookings during the quarter were double its billing, indicating General Dynamics' strength in the overall order book.
The defense contractor's quarterly per share profit rose 12% to $4.10, compared with analysts estimate of $3.68, according to data compiled by LSEG.
Total revenue rose 10.3% to $13.48 billion for the quarter ended April 5, compared with estimates of $12.71 billion.
(Reporting by Aatreyee Dasgupta in Bengaluru; Editing by Shailesh Kuber)
