General Dynamics reported first-quarter 2019 revenue of $9.3 billion, up 22.9 percent year-over-year, with net earnings of $745 million. Diluted earnings per share were $2.56.

"The solid sales gains and strong bookings reflect the market-leading performance we expect of our operating units," said Phebe Novakovic, chairman and chief executive officer. "We are pleased with our robust backlog and remain relentlessly focused on improving operating performance."

Backlog
General Dynamics' total backlog at the end of first-quarter 2019 was $69.2 billion, up 11.4 percent year-over-year. Estimated potential contract value, representing management's estimate of value in unfunded indefinite delivery, indefinite quantity (IDIQ) contracts and unexercised options, was $33.9 billion. Total potential contract value, the sum of all backlog components, was $103.2 billion, up 17.7 percent year-over-year.  

Order activity remained strong across both the aerospace and defense portfolios.  Aerospace booked more than $3.1 billion in orders in the quarter.  Significant awards in defense portfolios in the quarter included $2 billion from the U.S. Navy for long-lead materials for Block V Virginia-class submarines, $580 million for services to classified customers, contracts totaling $510 million from the Navy for maintenance and repair of ships and a Virginia-class submarine, a blanket purchase agreement of $490 million from the Defense Information Systems Agency to operate Pentagon and government-furnished network infrastructures, contracts totaling $435 million to support the U.S. Army's Stryker armored fighting vehicle and Abrams tank programs, contracts totaling $160 million to produce munitions for the U.S. Army, $125 million to provide helicopter training and simulation services to the Army and $115 million for computing and communications equipment under the Army's Common Hardware Systems-5 program.

Capital Deployment
The company repurchased 525,000 of its outstanding shares in the first quarter. In March, the board of directors increased the company's quarterly dividend to $1.02 per share. This 9.7 percent increase marked the company's 22^nd consecutive annual dividend increase.