Shares of Huntington Ingalls Industries (HII) surged 7.02% in pre-market trading on Thursday following the release of its third-quarter 2025 financial results that significantly exceeded analyst expectations and an upward revision of its full-year guidance.
The military shipbuilder reported earnings per share of $3.68 for Q3, handily beating the analyst consensus estimate of $3.34. This represents a 43.75% increase from $2.56 per share in the same quarter last year. Revenue for the quarter came in at $3.192 billion, up 16.1% year-over-year and also topping expectations of $2.960 billion. The company saw strong growth across its shipbuilding and mission technologies segments, driven by higher volumes in surface combatants, submarines, and aircraft carriers.
Adding to investor optimism, Huntington Ingalls raised its full-year revenue guidance for both its shipbuilding and mission technologies units. The company now expects fiscal year 2025 shipbuilding revenue between $9.0 billion and $9.1 billion, up from its previous forecast of $8.9 billion to $9.1 billion. It also increased its free cash flow guidance to between $550 million and $650 million. CEO Chris Kastner noted that targeted investments are helping strengthen the workforce and build a more robust maritime supply chain to support higher shipbuilding throughput.