General Dynamics 3Q profit up 16 percent

WASHINGTON – Defense contractor General Dynamics said Wednesday that third-quarter earnings were up 16 percent on higher sales in its shipbuilding unit and information technology business, topping Wall Street’s earnings forecast.

The Falls Church, Va.-based company earned $634 million, or $1.59 per share, for the quarter, up from $546 million, or $1.34 per share, a year earlier. It had $7.14 billion in sales, a 4.5 percent increase from $6.83 billion a year ago.

Analysts polled by Thomson Reuters were expecting $1.51 per share in earnings on revenue of $7.37 billion.

The company saw sales growth in three of its four businesses, led by a nearly 13 percent jump – to $1.4 billion – in its marine division that makes warships for the Navy and submarines. That division includes Maine’s Bath Iron Works.

However, sales in the combat systems division, which makes tanks, armored vehicles and other equipment, dipped slightly to $1.85 billion.