Huntington Ingalls Industries Inc

HII announced that its Newport News Shipbuilding division has successfully completed acceptance sea trials of John F. Kennedy (CVN 79), the second Gerald R. Ford-class nuclear-powered aircraft carrier. The ship returned to Newport News after further testing and evaluation of important ship systems and components at sea, following successful builder's sea trials earlier this year. Derek Murphy, NNS vice president of new construction aircraft carrier programs, said the trials are a testament to the entire nuclear shipbuilding enterprise and the work of thousands across the country to prepare CVN 79 to join the fleet. The sea trials brought together NNS shipbuilders, John F. Kennedy sailors, and Navy personnel to execute testing and evaluation of ship operations. With successful completion of acceptance trials, the next step is preliminary acceptance that will enable the Navy to begin underway test and evaluation of Kennedy's unique systems.

JPMorgan Chase has launched a 10-year, $1.5 trillion Security and Resilience Initiative to finance and invest in industries crucial to U.S. national security, including defense and shipbuilding. CEO Jamie Dimon stated the move addresses overreliance on unreliable sources for critical minerals and manufacturing. The initiative is expected to benefit defense contractors such as General Dynamics, a prime contractor on the $100 billion Columbia-class submarine program, and Huntington Ingalls, which holds a monopoly on U.S. nuclear-powered aircraft carriers and is developing next-generation $13 billion supercarriers. Both companies stand to gain from increased investment and supply-chain improvements that could help convert large order backlogs into revenue.

HII and HD Hyundai Heavy Industries are advancing their strategic partnership with a pilot program to implement additional intelligent mechanized welding equipment at HII’s Ingalls Shipbuilding division. The pilot deploys intelligent mechanized welding systems in unit-fabrication areas that currently rely predominantly on manual welding, making the process safer and more efficient. The system automatically recognizes workpieces and welding conditions, corrects welding positions in real time, and captures process data for quality control and traceability. Ingalls Shipbuilding President Brian Blanchette said the pilot extends automation further into the production process and to a greater share of the workforce, while Dr. Won-ho Joo, chief executive of the Naval & Special Ship Business Unit at HHI, noted the program reflects strengthening partnership and open technical collaboration. The initiative grew out of a three-day technical exchange at Ingalls where the companies evaluated shipbuilding technologies and automation opportunities.

Huntington Ingalls Industries reported second-quarter revenue of $3.4 billion, up 10.9% year over year, and raised its 2026 shipbuilding revenue guidance to between $10.2 billion and $10.4 billion. Diluted earnings per share rose to $5.27 from $3.86 a year earlier, while shipbuilding revenue climbed 15.7% to $2.7 billion, driven by a 15.3% increase at Newport News and a 16.7% increase at Ingalls. The company also raised its 2026 shipbuilding margin guidance to between 6% and 6.5% and reiterated its free cash flow outlook of $500 million to $600 million. During the quarter, Huntington Ingalls secured a major $76.6 billion submarine contract award for Block VI and Columbia-class submarines, with approximately $25 billion allocated to Newport News, providing long-term stability. Mission Technologies revenue declined 3.9% to $760 million, and the company noted that free cash flow in the quarter came in below forecast due to timing of receipts and disbursements.

The US Department of Defense announced two major defense contracts worth a combined total of approximately 135 billion US dollars to rapidly expand weapons production capacity amid the escalating Iran war and dwindling arsenals. One of the contracts is a 59 billion dollar, seven-year agreement between the US Army and Lockheed Martin to increase production of Patriot interceptor missiles. The other contract, worth up to 76.6 billion dollars, was awarded to General Dynamics and Huntington Ingalls Industries to expand nuclear submarine construction and upgrade shipyards. It covers nine Virginia-class Block VI attack submarines and an additional five Columbia-class nuclear ballistic missile submarines, bringing the total planned procurement to 12 boats. Following the announcement, shares of General Dynamics rose 2.6 percent, Huntington Ingalls surged 3.9 percent, and Lockheed Martin gained 0.5 percent in after-hours trading.

HII announced that the U.S. nuclear submarine shipbuilding team, which includes its Newport News Shipbuilding division, has been awarded contracts for construction of Block VI Virginia-class and Build II Columbia-class submarines. The combined total of approximately $76.6 billion in contract modifications from the U.S. Navy to HII's Newport News Shipbuilding and General Dynamics Electric Boat supports the construction of five additional Columbia-class submarines, nine additional Virginia-class submarines, and other funding for shipyard infrastructure. Newport News Shipbuilding will serve as the delivery yard for six of the planned Virginia-class submarines and is a major shipbuilding partner on the Columbia-class program, constructing and delivering six module sections per submarine. NNS and Electric Boat have built and delivered 26 Virginia-class submarines to date.

HII’s Ingalls Shipbuilding division has expanded its distributed shipbuilding strategy to include modular unit construction for the U.S. Navy’s amphibious transport dock program, beginning with Philadelphia (LPD 32). Ingalls Shipbuilding President Brian Blanchette said expanding distributed shipbuilding into the LPD program is a critical step in scaling capacity to meet rising fleet demand. Last year, HII doubled its distributed shipbuilding workload, and the company plans to increase outsourced shipbuilding hours by another 30% in 2026, with amphibious ships representing a significant share of that growth.

HII hosted Australian Minister for Defence Industry Pat Conroy at its Newport News Shipbuilding Charleston Operations site in South Carolina. The visit supported the AUKUS trilateral partnership and included a tour of the production facility, where output has increased by more than 50% under HII’s ownership. Conroy said he looks forward to seeing Australian-made parts flow through this and other U.S. facilities. HII is delivering the Australian Submarine Supplier Qualification Program, which has already qualified 13 Australian suppliers for integration into the U.S. and U.K. nuclear submarine supply chains.

HII announced it will host an exclusive media briefing on its Odyssey Autonomous Control System on Monday, July 20, 2026, from 10:30 to 11:30 a.m. Eastern time. The briefing will focus on how the proven autonomy software powers intelligent unmanned vehicles and supports the U.S. Navy and allied navies in integrating manned and unmanned maritime operations. Odyssey ACS is already deployed on REMUS unmanned underwater vehicles in more than 30 countries and on ROMULUS unmanned surface vehicles, providing a foundation for future operations while reducing technology risk and lifecycle costs. HII experts will discuss the system's role in shaping undersea operations and the decisive advantage of trusted autonomy in the evolving maritime battlespace. Members of the media interested in participating should contact Greg McCarthy at gregory.j.mccarthy@hii-co.com for call-in details.

While SpaceX dominates aerospace headlines, a simple stock screen reveals Lockheed Martin, Huntington Ingalls, and Leidos all boast stronger fundamentals. Lockheed Martin, the world's largest pure-play defense contractor, generated $5.7 billion in free cash flow over the past year, dwarfing SpaceX's $19.8 billion cash burn. Huntington Ingalls, a military shipbuilder, produced $792 million in free cash flow, exceeding its $605 million net income. Leidos, a defense technology specialist, trades at just 7.2 times free cash flow and 0.8 times annual sales, making it the cheapest of the trio. All three are profitable and cash-flow positive, in stark contrast to SpaceX's $8.7 billion net loss.

HII christened the future USS George M. Neal, the fourth Flight III Arleigh Burke-class destroyer built at its Ingalls Shipbuilding division. The ship is named for Aviation Machinist’s Mate Third Class George M. Neal, a Korean War veteran and Navy Cross recipient who survived nine days evading enemy forces and two and a half years as a prisoner of war. Performing the duties of the under secretary of the Navy, William Toti delivered the keynote address, emphasizing the critical role of Flight III destroyers in national security. HII President and CEO Chris Kastner highlighted the craftsmanship of the Ingalls workforce, stating that DDG 131 will be the most powerful surface combatant in the world upon delivery. The ship’s sponsor, Kelley Neal Gray, daughter of the namesake, performed the traditional bottle-breaking ceremony to formally christen the vessel.

Huntington Ingalls Industries has been awarded a $418 million contract to provide repair and maintenance services for shipboard-based elevators on U.S. Navy aircraft carriers and amphibious ships. The five-year, indefinite-delivery/indefinite-quantity contract was awarded by the Naval Sea Systems Command and will be executed by HII's Mission Technologies division. Under the agreement, the company will deliver engineering, maintenance, and technical repair support for elevators, cargo handling equipment, and associated systems to enhance fleet operational readiness.

HII's Ingalls Shipbuilding division has started fabrication of the future USS John F. Lehman, marking the official start of construction on the Navy's newest Flight III Arleigh Burke-class destroyer. The milestone was achieved on Monday, with steel cutting having taken place on June 29, 2026. DDG 137 is the seventh Flight III destroyer to be built at Ingalls, and the yard currently has five Flight III destroyers under construction with seven more in early pre-planning and material procurement. The project leverages HII's distributed shipbuilding model, with six partner yards across Texas, Louisiana, Mississippi and Florida producing structural units, allowing Ingalls to focus on final assembly and integration. HII plans to outsource more than 2.5 million hours of shipbuilding work in 2026 as part of this strategy.

Huntington Ingalls Industries and Lockheed Martin are compared as defense investments for 2026. Huntington Ingalls, the primary builder of aircraft carriers and submarines for the U.S. Navy, generated nearly $12.5 billion in revenue in fiscal 2025, up 8.2% year over year, with a net margin of about 4.8% and a debt-to-equity ratio close to 0.6. Lockheed Martin, a diversified aerospace giant, reported nearly $75.1 billion in revenue, growth of about 5.7%, a net margin of roughly 6.7%, and a debt-to-equity ratio of approximately 3.2. The analysis favors Huntington Ingalls due to its lower valuation, faster revenue growth, and significantly lower debt, despite slightly lower profitability.

HII and the U.S. Navy celebrated the opening of a new facility at Newport News Shipbuilding that will enhance the work environment for sailors and shipbuilders during refueling and complex overhaul of nuclear-powered aircraft carriers. The Carrier Refueling Overhaul Workcenter provides approximately 80,000 square feet of dedicated space near aircraft carriers undergoing RCOH, including office spaces and quality of service areas for sailors. NNS President Kari Wilkinson called the facility a shining example of teamwork, while Vice Chief of Naval Operations Adm. James Kilby said it directly supports the Navy's Sailors First vision by providing a modern space outside the heavy industrial environment to build well-being and warfighting readiness. The new facility is located mid-yard at NNS, conveniently between the dry dock and the outfitting pier that support RCOH work.

Huntington Ingalls Industries' Mission Technologies division secured a $418 million, five-year IDIQ contract from the U.S. Navy to repair and maintain shipboard elevators, cargo handling equipment, and related systems on aircraft carriers and amphibious ships worldwide. The contract expands the division's long-running Elevator Support Unit work and deepens HII's role in sustaining the Navy's global operational readiness. While the award strengthens the near-term services story and slightly reduces reliance on large, lumpy contracts, it does not fundamentally change the main catalyst of future submarine and carrier contract timing or key risks around supply chain, labor, and budget uncertainty. The deal, alongside the recent REMUS 130 unmanned underwater vehicle delivery, illustrates how HII is building a recurring, tech-enabled services base that could partially offset volatility from major long-cycle ship programs.

Huntington Ingalls Industries reported a record backlog of $54 billion as of March 31, 2026, driven by strong demand for its naval shipbuilding programs. The company secured $4 billion in contract awards during the first quarter of 2026, with about $31.97 billion of the backlog funded. It completed builder's sea trials for the aircraft carrier John F. Kennedy and the USS Zumwalt, and expanded into autonomous systems through a partnership with Applied Intuition. However, supply-chain disruptions and workforce shortages led to $65 million in unfavorable cumulative catch-up revenue adjustments, and performance challenges at the Newport News Shipbuilding segment may persist for years.

Huntington Ingalls Industries has delivered the first REMUS 130 unmanned underwater vehicle to a U.S. ally, marking a milestone for its autonomous maritime systems business. The REMUS 130 is the latest version of the REMUS 100 series and the third generation of the platform, built on proven REMUS 300 technology with improved underwater capabilities, greater flexibility, and a modular design while keeping costs and risks lower. The vehicle is powered by HII's Odyssey software suite, which helps improve mission coordination, operational efficiency, and autonomous operations across different platforms. The global UUV market is expected to grow at a compound annual growth rate of 16.6% from 2025 to 2035, reaching $25.9 billion by 2035, according to Market Research Future. Huntington Ingalls is the largest producer of UUVs worldwide, and its shares have gained 27.5% in the past year, outperforming the industry's 7.3% growth.