Northrop Grumman Corp reported first-quarter 2025 earnings that missed analysts' expectations, with adjusted earnings per share (EPS) of $6.06 compared to the estimated $6.26, and revenue of $9.47 billion falling short of the $9.94 billion forecast. The company experienced a 7% year-over-year decline in sales, primarily due to the winding down of key space programs including Next Generation Interceptor (NGI), Commercial Resupply Services (CRS), Space Development Agency (SDA) programs, and a classified U.S. Space Force program. Northrop also recorded a $477 million loss related to its B-21 Raider stealth bomber low-rate initial production (LRIP), attributed to higher manufacturing costs. This charge contributed to the company lowering its full-year 2025 adjusted EPS guidance to a range of $24.95 to $25.35, down from a previous forecast of $27.85 to $28.25. Despite maintaining a sales outlook between $42 billion and $42.5 billion, representing 3% to 4% organic growth, the company projects mid-single-digit sequential sales growth in the second quarter and a sales ramp-up in the second half of the year driven by awards booked in late 2024. Following the earnings miss and guidance cut, Northrop Grumman's shares declined sharply, with drops reaching up to 15%, marking the steepest fall since 2008. The company indicated that losses on the B-21 program are front-loaded and expects the program to become profitable as production scales up.