With defense spending remaining a target of increased budget scrutiny, General Dynamics chairman and CEO Jay Johnson said yesterday that he sees the company’s Gulfstream Aerospace division as its main “growth engine.” During the first-quarter investor conference call yesterday morning, Johnson said the firm’s aerospace division, which includes Gulfstream and Jet Aviation, had a “strong quarter” with $1.353 billion in revenues, just $4 million
General Dynamics Aerospace Group ended 2010 with encouraging numbers that Jay Johnson, chairman and CEO of parent company General Dynamics, believes will carry the Savannah-based OEM through 2011.
Gulfstream Aerospace acquired a 253,000-sq-ft building in Savannah, Ga., to house its growing research-and-development program.
General Dynamics, the parent company of Gulfstream and Jet Aviation, yesterday reported revenue of $32.47 billion and pre-tax earnings of $2.63 billion last year, up from $31.981 billion and $2.41 billion, respectively, in 2009. The company’s aerospace segment accounted for $5.3 billion in revenue and $860 million in profits last year, the latter up 21 percent over 2009.
General Dynamics’ aerospace group is on track to post a modest growth in revenue over last year, according to company CEO and chairman Jay Johnson.
Gulfstream has received an FAA STC permitting installations of its high-speed Broad Band Multi Link (BBML) data receiver system in the GV. The BBML 3.0 system consists of a tail-mounted antenna and enhanced cabin server capable of delivering data to the airplane at speeds of up to 3.5 megabits per second. The system is available for installation at any Gulfstream or General Dynamics Aviation Services facility worldwide.
The new year will see General Dynamics Aviation Services (GDAS) rebranded to Gulfstream and Midcoast Aviation rebranded as Jet Aviation, a wholly owned subsidiary of General Dynamics. Joe Lombardo, executive v-p of the General Dynamics Aerospace Group, said, “We have a service presence at 44 locations around the world and we continue to grow to meet the demands of our increasing international customer base.
Avtrak and Midcoast Aviation have reached an agreement by which Avtrak will provide technology that will automate the information flow through Midcoast Aviation’s MRO processes, said Dennis Steinbeck, v-p of business development for Littleton, Colo.-based Avtrak. More details about the agreement are to be announced by Avtrak (Booth No. 2137) here.
Large-cabin business jets continue to lead Gulfstream’s order and delivery figures, while sales outside the U.S. continue to surpass domestic sales. Both elements are helping to keep the bottom lines of Gulfstream and parent company General Dynamics relatively stable, while they provide a glimmer of end-of-the-tunnel light for the second half of this year and perhaps even some optimism for higher revenue next year.
According to Jay Johnson, chairman and CEO of Gulfstream parent company General Dynamics, the Gulfstream G650 and G250 test programs are proceeding on track: “Significantly, both aircraft are performing in test exactly as predicted.” The super-midsize G250 and wide-cabin G650 are expected to be certified next year, and G250 deliveries will start “in 2011.” Johnson said Gulfstream plans to deliver 17 G650s in 2012 and 33 each in 2013 and