Northrop Grumman unveils sharpened business focus

Northrop Grumman Corp. will de-emphasize its technology services, including military base operations support, to focus on higher-margin opportunities, according to today’s Washington Business Journal.

"We decided to focus less on top line a few years ago when we saw the market turning, and shrunk the company to one that is highly focused in core areas, from about $35 billion to $25 billion at midpoint this year," Steve Movius, vice president of investor relations, told a June 13 investors conference, according to the WBJ report.

Areas that will continue to be top priorities include C4ISR, which accounts for about 40 percent of Northrop’s annual sales. Unmanned systems make up another 10 percent and cybersecurity accounts for most of the other 50 percent, according to Movius.

"We're deemphasizing our lower end services, including base operations support," he said. "We're intentionally exiting some of those, intending to instead pursue targets that are higher value... Our portfolio we look at every day; we're not wed to anything."

Reader Comments

Please post your comments here. Comments are moderated, so they may not appear immediately after submitting. We will not post comments that we consider abusive or off-topic.

Please type the letters/numbers you see above

What is your e-mail address?

My e-mail address is:

Do you have a password?

Forgot your password? Click here
contracts DB


  • Dive into our Contract Award database

    In an exclusive for WT Insider members, we are collecting all of the contract awards we cover into a database that you can sort by contractor, agency, value and other parameters. You can also download it into a spreadsheet. Read More

  • Is SBA MIA on contractor fraud? Nick Wakeman

    Editor Nick Wakeman explores the puzzle of why SBA has been so silent on the latest contractor fraud scandal when it has been so quick to act in other cases. Read More