General Dynamics Electric Boat awarded $1.3 billion contract modification for long lead time material for Virginia-class submarines
General Dynamics Electric Boat, a unit of General Dynamics (NYSE: GD), has been awarded a $1.3 billion contract modification for purchasing long lead time materials for Virginia Class Block VI submarines. This modification is important for enabling suppliers to invest in capacity and materials needed to increase production volume. The Virginia-class submarines are designed for 21st-century mission requirements, including anti-submarine and surface ship warfare.
General Dynamics Electric Boat, headquartered in Groton, Connecticut, is the prime contractor and lead design yard for the Virginia class. The company employs over 23,000 people and constructs the submarines in partnership with HII's Newport News Shipbuilding. General Dynamics, the parent company, generated $42.3 billion in revenue in 2023 and employs more than 100,000 people worldwide.
General Dynamics Electric Boat, una società di General Dynamics (NYSE: GD), ha ricevuto una modifica contrattuale da 1,3 miliardi di dollari per l'acquisto di materiali a lungo termine per i sottomarini della classe Virginia Block VI. Questa modifica è fondamentale per consentire ai fornitori di investire nella capacità e nei materiali necessari per aumentare il volume di produzione. I sottomarini della classe Virginia sono progettati per le esigenze delle missioni del 21° secolo, comprese le operazioni di guerra anti-sottomarino e contro le navi di superficie.
General Dynamics Electric Boat, con sede a Groton, Connecticut, è il contraente principale e il cantiere di progettazione leader per la classe Virginia. L'azienda impiega oltre 23.000 persone e costruisce i sottomarini in collaborazione con HII's Newport News Shipbuilding. La società madre, General Dynamics, ha generato 42,3 miliardi di dollari in entrate nel 2023 e impiega più di 100.000 persone in tutto il mondo.
General Dynamics Electric Boat, una unidad de General Dynamics (NYSE: GD), ha sido adjudicada una modificación de contrato de 1.3 mil millones de dólares para la compra de materiales de largo plazo para los submarinos de la clase Virginia Block VI. Esta modificación es importante para permitir que los proveedores inviertan en la capacidad y los materiales necesarios para aumentar el volumen de producción. Los submarinos de la clase Virginia están diseñados para los requisitos de misión del siglo XXI, incluyendo la guerra antisubmarina y contra buques de superficie.
General Dynamics Electric Boat, con sede en Groton, Connecticut, es el contratista principal y el astillero de diseño líder para la clase Virginia. La compañía emplea a más de 23,000 personas y construye los submarinos en asociación con el Newport News Shipbuilding de HII. La empresa matriz, General Dynamics, generó 42.3 mil millones de dólares en ingresos en 2023 y emplea a más de 100,000 personas en todo el mundo.
제너럴 다이내믹스 일렉트릭 보트(General Dynamics Electric Boat)는 제너럴 다이내믹스(General Dynamics, NYSE: GD)의 단위로, 버지니아급 블록 VI 잠수함의 장기 자재 구매를 위한 13억 달러 계약 수정안을 수여받았습니다. 이 수정은 공급업체들이 생산량 증가에 필요한 용량과 자재에 투자할 수 있도록 하는 데 중요합니다. 버지니아급 잠수함은 21세기 임무 요구 사항에 맞춰 설계되었으며, 여기에는 잠수함과 수상 전투를 포함합니다.
제너럴 다이내믹스 일렉트릭 보트는 코네티컷주 그로턴에 본사를 두고 있으며, 버지니아급 잠수함의 주 계약자이자 주요 설계 조선소입니다. 이 회사는 23,000명 이상의 직원을 고용하고 있으며 HII의 뉴포트 뉴스 조선소와 협력하여 잠수함을 건조합니다. 모회사인 제너럴 다이내믹스는 2023년에 423억 달러의 수익을 기록했으며, 전 세계적으로 100,000명 이상의 직원을 고용하고 있습니다.
General Dynamics Electric Boat, une unité de General Dynamics (NYSE: GD), a reçu une modification de contrat de 1,3 milliard de dollars pour l'achat de matériels à long terme pour les sous-marins de la classe Virginia Block VI. Cette modification est essentielle pour permettre aux fournisseurs d’investir dans les capacités et les matériaux nécessaires pour augmenter le volume de production. Les sous-marins de la classe Virginia sont conçus pour répondre aux exigences des missions du XXIe siècle, y compris la guerre antisubmarine et contre les navires de surface.
General Dynamics Electric Boat, dont le siège est à Groton, Connecticut, est le contractant principal et le chantier naval de conception leader pour la classe Virginia. L'entreprise emploie plus de 23 000 personnes et construit les sous-marins en partenariat avec HII's Newport News Shipbuilding. La société mère, General Dynamics, a généré 42,3 milliards de dollars de revenus en 2023 et emploie plus de 100 000 personnes dans le monde entier.
General Dynamics Electric Boat, eine Einheit von General Dynamics (NYSE: GD), erhielt einen Vertrag über eine Modifikation in Höhe von 1,3 Milliarden Dollar zum Kauf von Langzeitmaterialien für U-Boote der Virginia-Klasse Block VI. Diese Modifikation ist wichtig, um den Lieferanten zu ermöglichen, in die erforderlichen Kapazitäten und Materialien zu investieren, um die Produktionsmenge zu erhöhen. Die U-Boote der Virginia-Klasse sind für die Anforderungen von Missionen im 21. Jahrhundert konzipiert, einschließlich U-Boot- und Überwasserschiffkrieg.
General Dynamics Electric Boat hat seinen Sitz in Groton, Connecticut, und ist der Hauptauftragnehmer sowie der führende Designer für die Virginia-Klasse. Das Unternehmen beschäftigt mehr als 23.000 Mitarbeiter und baut die U-Boote in Partnerschaft mit HII's Newport News Shipbuilding. Das Mutterunternehmen, General Dynamics, erzielte 42,3 Milliarden Dollar Umsatz im Jahr 2023 und beschäftigt weltweit mehr als 100.000 Mitarbeiter.
- Awarded $1.3 billion contract modification for Virginia-class submarines
- Contract enables suppliers to invest in capacity and materials for increased production
- Prime contractor and lead design yard for Virginia-class submarines
- Partnership with HII's Newport News Shipbuilding for submarine construction
- Parent company General Dynamics generated $42.3 billion revenue in 2023
- None.
Insights
The
Investors should note that this contract modification doesn't immediately translate to recognized revenue, as it's for future production. However, it strengthens the company's order backlog, providing improved visibility into future earnings. Given that General Dynamics reported
This contract modification is a strategic move in the U.S. Navy's efforts to bolster its submarine fleet. The Virginia-class submarines are critical assets in maintaining naval superiority, designed for 21st-century warfare including anti-submarine, surface ship warfare and special operations support. The long lead time material funding is essential for maintaining production momentum and potentially increasing the pace of submarine deliveries.
The mention of "Block VI" submarines is noteworthy, as it indicates progression in the program's evolution. Each block typically introduces technological advancements and capabilities improvements. This contract's timing and size suggest the Navy is committed to continuous modernization of its submarine force, which bodes well for General Dynamics' long-term prospects in this sector.
The contract modification's emphasis on long lead time materials is crucial for supply chain stability. By providing this funding, the government enables General Dynamics to send a strong "demand signal" to its suppliers, allowing them to invest in capacity and materials with confidence. This proactive approach is vital in the complex submarine manufacturing process, where specialized components often require extensive lead times.
For investors, this signals reduced supply chain risks and potential for improved operational efficiency. It also highlights the importance of the entire submarine enterprise ecosystem, including subcontractors and suppliers. The statement about achieving "high-rate production" suggests potential for economies of scale if the supply base can ramp up effectively, which could positively impact margins in the long term.
"This contract modification sends a crucial demand signal, enabling our suppliers to invest in the capacity and materials needed to increase production volume," said Kevin Graney, president of General Dynamics Electric Boat. "Consistent funding for the supply base is essential to achieve the high-rate production the Navy requires of the entire submarine enterprise."
Virginia-class submarines are designed from the keel up for the full range of 21st-century mission requirements, including anti-submarine and surface ship warfare and special operations support. General Dynamics Electric Boat is the prime contractor and lead design yard for the
General Dynamics Electric Boat designs, builds, repairs and modernizes nuclear submarines for the
General Dynamics is a global aerospace and defense company that offers a broad portfolio of products and services in business aviation; ship construction and repair; land combat vehicles, weapons systems and munitions; and technology products and services. General Dynamics employs more than 100,000 people worldwide and generated
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SOURCE General Dynamics Electric Boat
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