Earnings per share rose 28% year over year to $8.15, driven by higher sales, improved segment performance, and a $1.04 gain from the training services divestiture.
Free cash flow for the quarter was $637 million, with full-year guidance increased to $3.05 billion to $3.35 billion.
Northrop Grumman reported second-quarter 2025 sales of $10.4 billion, up 1% year over year and 9% sequentially from Q1, with all segments contributing to growth.
Organic sales were $10.3 billion, up 2% year over year, reflecting divestiture of training services.
Segment margins improved notably in Defense Systems (12.7%) and Mission Systems (14%), with Space Systems margin up 50 basis points despite lower sales volume.
Segment operating income increased 11% year over year, with a segment operating margin of 11.8%, up 100 basis points.