Northrop Grumman (NOC) shares tumbled 7% in pre-market trading on Tuesday following the company's disclosure of a significant financial setback. According to an SEC filing, the aerospace and defense giant recognized a pre-tax loss of $477 million on its B-21 program in the first quarter of 2025.
The B-21 Raider, a highly anticipated stealth bomber being developed for the U.S. Air Force, has been a cornerstone project for Northrop Grumman. This substantial loss suggests potential cost overruns or technical challenges in the program, which could impact the company's near-term financial performance and investor confidence.
Despite this setback, Northrop Grumman maintains that global demand for its products remains strong. However, investors appear to be reacting strongly to the unexpected loss, overshadowing any positive outlook. The market will be closely watching for further details and management commentary on the B-21 program's status and its potential long-term implications for the company.