Company: NOC
Filing Date: 2025-07-22
Form Type: 10-Q
Source: 0001133421-25-000049
Chunk: 20

Company: NORTHROP GRUMMAN CORP /DE/
Filing Date: 2025-07-22
Form: 10-Q
Item: Part I, Item 1
Chunk 20
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1)Date CompletedSix Months Ended June 3020252024January 24, 2022$2,000 4.4 $455.01 February 2024— 2.5 December 6, 2023$2,500 4.7 $474.22 1.8 1.4 December 11, 2024$3,000 — $— — — (1)Excludes brokerage commissions and other costs of execution, including taxes.Dividends on Common StockIn May 2025, the company increased the quarterly common stock dividend 12 percent to $2.31 per share from the previous amount of $2.06 per share.

3.    INVENTORIED COSTS, NETInventoried costs, net consist of the following:$ in millionsJune 30, 2025December 31, 2024Raw materials$350 $293 Work in process1,133 1,118 Finished goods70 44 Inventoried costs, net$1,553 $1,455 

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Table of ContentsNORTHROP GRUMMAN CORPORATION                        

4.    INCOME TAXES

 Three Months Ended June 30Six Months Ended June 30$ in millions2025202420252024Federal and foreign income tax expense$253 $206 $350 $393 Effective income tax rate17.7 %18.0 %17.5 %17.3 %Current QuarterSecond quarter 2025 income tax expense increased $47 million, or 23 percent, due to higher earnings before income taxes, partially offset by a lower effective tax rate (ETR). The second quarter 2025 ETR decreased to 17.7 percent from 18.0 percent in the prior year period primarily due to lower interest expense on unrecognized tax benefits and higher research credits, partially offset by additional income tax expense related to nondeductible goodwill in the divested training services business. The second quarter 2025 ETR includes benefits of $68 million for research credits and $12 million for foreign derived intangible income (FDII), partially offset by $18 million of interest expense on unrecognized tax benefits and $17 million of tax expense related to nondeductible goodwill in the divested business. The second quarter 2024 ETR included benefits of $46 million for research credits