General Dynamics is on a roll with Phebe Novakovic at the helm.
The Fairfax, VA-based aerospace and defense company “enjoyed a very good second quarter,” with revenue of $9.19 billion and net earnings of $786 million, Novakovic said in a conference call with analysts. Earnings per diluted share was 2.62, 17 cents better than the year ago quarter and 12 cents better than analysts’ consensus estimate.
“In the quarter, General Dynamics accomplished a number of key strategic objectives and delivered solid operating results,” she said. “We closed on the largest acquisition in GD’s history, expanded Jet Aviation’s service network in Australia and the Asia Pacific region, and grew earnings and backlog.”
“In short, we had a very good second quarter and first half,” Novakovic said.
A longtime company veteran, Novakovic in January 2013 became General Dynamics’ chairman and CEO. Her prior role was president and chief operating officer.
Executive Mosaic in 2018 named Novakovic as an inductee into the 2018 edition of the Wash100 — Executive Mosaic’s annual selection of the most influential voices in the government contracting arena — for her outstanding leadership in driving General Dynamics’ profit performance. 2018 marks the fourth year that Novakovic has been inducted into the Wash100.
This month, General Dynamics Missions Systems was awarded a contract for the Common Hardware Systems-5 Program from the U.S. Army Contracting Command at Aberdeen Proving Ground, Md. The indefinite delivery, indefinite quantity contract consists of a three-year base contract with two one-year options, for a maximum potential contract ceiling of $3.9 billion.
CHS is a ”one stop shop” for tactical IT hardware solutions supporting more than 120 Army and U.S. Department of Defense program offices — including the Navy and the Marine Corps — for orders typically on contract in 90 days or less. and delivery of commercial-off-the shelf IT hardware and services. Roughly 75,000 to 100,000 pieces of hardware are acquired through the contract from General Dynamics Mission Systems and its partners, which includes dozens of small and large businesses.
The contract contains a robust technology-insertion process ensuring the CHS-5 hardware baseline leverages the most current commercial technology and industry investments, according to the company. Additionally, the contract provides for technical assistance support services and logistics support for a wide range of services, from the rapid repair and replacement of equipment at strategically located Regional Support Centers to the deployment of field service personnel to CHS-5 user locations worldwide.
She’s No. 89 on Chief Executive and RHR International’s CEO1000 Tracker, a ranking of the top 1,000 public/private companies.
Phebe Novakovic, Chairwoman & CEO, General Dynamics
Headquarters: West Falls Church, VA
Education: Smith College (BA) Wharton School of the University Of Pennsylvania (MBA)
First joined company: 2013
Positions prior to being named CEO: President and COO
Named CEO: 2012