By Aatreyee Dasgupta
July 29 (Reuters) - General Dynamics on Wednesday raised its full-year profit forecast after reporting better-than-expected second-quarter results, as strength in its Gulfstream business jet and shipbuilding operations boosted earnings and revenue.
The defense contractor expects 2026 earnings of $16.80 to $16.90 per share, up from its prior forecast of $16.45 to $16.55.
Total bookings during the quarter were 1.4 times billings, suggesting robust demand for the company's defense
and aerospace products.
For the quarter ended July 5, total revenue rose more than 8% from a year ago to $14.09 billion, compared with estimates of $13.54 billion.
The Gulfstream business jet maker now sees full-year revenue of about $55.7 billion, slightly above estimates of $55.4 billion.
The Aerospace segment remained a key top-line driver as its Gulfstream brand continued ramping production of its newer G700 and G800 business jets.
The segment posted a 15.1% year-on-year rise in revenue for the quarter, while deliveries increased by three units to 41 aircraft.
During a post earnings call, company president Danny Deep said Gulfstream was seeing "very active interest" across its lineup in the United States and Asia, though Middle East customers remained cautious.
The company forecast Aerospace's 2026 revenue at around $13.8 billion and reiterated annual deliveries of about 160 airplanes.
General Dynamics' Marine Systems segment saw increased productivity during the quarter as it recovered from supply-chain disruptions and labor shortages, helping support production of Columbia- and Virginia-class submarines at its shipyard.
Marine Systems posted a 10.4% year-over-year rise in quarterly revenue and is expected to post annual revenue of around $18 billion.
While the Technologies segment saw a 4.1% revenue increase, the Combat Systems segment's revenue growth was almost flat, at just 0.3% year-on-year.
General Dynamics reported quarterly per-share profit of $4.24, compared with analysts' estimate of $3.97, according to data compiled by LSEG.
(Reporting by Aatreyee Dasgupta in Bengaluru; Editing by Tasim Zahid)
