Elbit Systems reports higher revenue, profit

Bezhalel Machlis Photo: PR
Bezhalel Machlis Photo: PR

CEO Bezhalel Machlis highlights strong performance in Europe and Israel, while the company's backlog has grown to $6.8 billion.

Israeli defense electronics company Elbit Systems Ltd. (Nasdaq: ESLT; TASE: ESLT) had revenue of $804.5 million in the second quarter of 2016, which compares with $749.6 million in the second quarter of 2015. The company posted a non-GAAP net profit attributable to shareholders of $62.9 million (7.8% of revenue) in the second quarter of 2016, which compares with $53.5 million (7.1% of revenue) in the second quarter of 2015. GAAP net profit in the second quarter of 2016 was $54.1 million (6.7% of revenue), which compares with $45.3 million (6.0% of revenue) in the second quarter of 2015.

Non-GAAP diluted net earnings per share attributable to the company's shareholders were $1.47 for the second quarter of 2016, which compares with $1.25 for the second quarter of 2015. GAAP diluted earnings per share in the second quarter of 2016 were $1.27, which compares with $1.06 for the second quarter of 2015.

Elbit Systems has declared a dividend of $0.40 per share.

Research and development expenses, net were $67.2 million (8.4% of revenue) in the second quarter of 2016, compared with $57.5 million (7.7% of revenues) in the second quarter of 2015.

At the end of the second quarter of 2016, Elbit had a backlog of orders totaling $6,818 million, which compares with $6,305 million a year earlier. Approximately 66% of the current backlog is attributable to orders from outside Israel. Approximately 59% of the current backlog is scheduled to be performed during 2016 and 2017.

Elbit Systems president and CEO Bezhalel (Butzi) Machlis said, “We are encouraged by our second quarter financial results, demonstrating a strong, growing and diverse business. Our positive performance is built on our steady growth in backlog, which continued to increase in the quarter, enhancing visibility into revenues over the long term.

"This year in particular, we have seen strong performance in Europe and Israel. Our diversified market presence and portfolio has enabled us to continue to grow in an evolving global defense and homeland security environment. In recent months we have launched a number of new systems and solutions for which our customers worldwide have expressed interest. Based on our backlog of orders and market position, we have the potential to continue this trend for the foreseeable future.”

Published by Globes [online], Israel business news - www.globes-online.com - on August 16, 2016

© Copyright of Globes Publisher Itonut (1983) Ltd. 2016

Bezhalel Machlis Photo: PR
Bezhalel Machlis Photo: PR
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