Huntington Ingalls Industries, Inc. · NYSE:HII
Huntington Ingalls Industries — Q3 2025 Earnings Presentation
16 slides from Huntington Ingalls Industries's earnings presentation, Oct 30, 2025
Slide 1: Q3 2025 Earnings Call
Q3 2025 Earnings Call Chris Kastner President and CEO Tom Stiehle EVP and CFO October 30, 2025
Slide 2: Cautionary Statement Regarding Forward-looking Statements
Cautionary Statement Regarding Forward-looking Statements Statements in this presentation and in our other filings with the SEC, as well as other statements we may make from time to time, other than statements of historical fact, constitute "forward-looking statements" within the meaning of the Priv
Slide 3: HII Investment Thesis
Over the course of 2025 and 2026: Expect over $50B of contract awards, establishing balanced risk equation and margins more consistent with industry norms HII Working through the majority of challenged pre-COVID contracts, INVESTMENT THESIS focused on enhancing throughput and reducing cost – Top pri
Slide 4: 2025 Operational Initiatives Update
2025 Operational Initiatives Update Enhancing Shipbuilding Throughput » Revised throughput improvement target of 15% YoY » Multiple workforce improvement initiatives » Ramp up new Charleston facility » Increase outsourcing to trusted providers » Utilize contract labor to address critical gaps Reduci
Slide 5: HII Q3 2025 Revenue
HII Q3 2025 Revenue CONSOLIDATED REVENUE ($M) Three Months Ended September 30 ($M) 2024 2025 % Change Ingalls Shipbuilding 664 828 24.7% $3,192 6.1% Newport News 9.8% Shipbuilding 1,412 1,617 14.5% $2,749 3.7% Mission Technologies 709 787 11.0% Eliminations (36) (40) - Q324 Q325 Total 2,749 3,192 16
Slide 6: HII Q3 2025 Segment Operating Income
HII Q3 2025 Segment Operating Income1 SEGMENT OPERATING INCOME1 ($M) & MARGIN1 % Three Months Ended September 30 $179 ($M) 2024 2025 % Change Ingalls Shipbuilding 49 65 32.7% 6.1% $97 5.6% Newport News 9.8% Shipbuilding 15 80 433.3% 3.5% Mission 3.7% Technologies 33 34 3.0% Total 97 179 84.5% Q324 Q
Slide 7: HII Q3 2025 Capital Deployment
HII Q3 2025 Capital Deployment CASH FLOW GENERATION ($M) SHAREHOLDER DISTRIBUTIONS ($M) $250 $213 $100 TOTAL $200 $90 $87 $150 $136 $80 $118 $70 $35 TOTAL $100 $60 $53 $50 $16 $50 $0 $40 $30 ($50) $52 $53 $20 ($100) ($77) $10 ($102) ($150) $0 Q324 Q325 Q324 Q325 Cash provided by Ops. CAPEX Free Cash
Slide 8: HII Outlook
HII Outlook1 FY25 OUTLOOK1 Prior Current FY25 Outlook1 FY25 Outlook1 Shipbuilding Revenue $8.9B - $9.1B $9.0B - $9.1B Updating FY25 segment guidance Shipbuilding Operating Margin2 5.5% - 6.5% 5.5% - 6.5% Mission Technologies Revenue $2.9B - $3.1B $3.0B - $3.1B Mission Technologies Segment Operating
Slide 9: Appendix
Appendix Q3 2025 EARNINGS 9
Slide 10: Non-GAAP Information
Non-GAAP Information This earnings presentation contains non-GAAP (accounting principles generally accepted in the United States of America) financial measures as defined by SEC Regulation G and indicated by a footnote in the text of this presentation. Definitions for the non-GAAP measures, and rela
Slide 11: Non-GAAP Reconciliations: Segment Operating Income & Segment Operating Margin
Non-GAAP Reconciliations Segment Operating Income & Segment Operating Margin Three Months Ended Nine Months Ended September 30 September 30 ($ in millions) 2025 2024 2025 2024 Ingalls revenues 828 664 2,189 2,031 Newport News revenues 1,617 1,412 4,616 4,381 Mission Technologies revenues 787 709 2,3
Slide 12: Non-GAAP Reconciliations: Shipbuilding Revenues & Margin
Non-GAAP Reconciliations Shipbuilding Revenues & Margin Three Months Ended Nine Months Ended September 30 September 30 ($ in millions) 2025 2024 2025 2024 Sales and service revenues 3,192 2,749 9,008 8,531 Mission Technologies (787) (709) (2,313) (2,224) Intersegment eliminations 40 36 110 105 Shipb
Slide 13: Non-GAAP Reconciliations: Free Cash Flow
Non-GAAP Reconciliations Free Cash Flow Three Months Ended Nine Months Ended September 30 September 30 ($ in millions) 2025 2024 2025 2024 Net cash provided by operating activities 118 213 546 2 Less capital expenditures: Capital expenditure additions (105) (88) (268) (253) Grant proceeds for capita
Slide 14: Non-GAAP Reconciliations: Mission Technologies EBITDA & EBITDA Margin
Non-GAAP Reconciliations Mission Technologies EBITDA & EBITDA Margin Three Months Ended Nine Months Ended September 30 September 30 ($ in millions) 2025 2024 2025 2024 Mission Technologies sales and service revenues 787 709 2,313 2,224 Mission Technologies segment operating income 34 33 110 97 Missi
Slide 15: Pension Outlook
Pension Outlook ($ in millions) 2024 (Actual) 20253 20263 Pension Discount Rate 5.28% 5.98% 5.92% Change from prior est. N/A Change from prior est. (6)Bps Expected Long-Term Return on Assets 8.00% 8.00% 8.00% N/A N/A Actual Return on Assets 7.7% 9.0%4 9.0%4 CAS Recoveries Over/(Under) Cash Contribut
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