26 May 2021

Elbit Systems reports revenue increase in Q1

by Charles Forrester

Israel's Elbit Systems reported a 4.4% increase in revenues in the first quarter of 2021, according to an earning release published on 25 May.

Revenues in the first quarter of 2021 were USD1.12 billion, as compared with USD1.07 billion in the first quarter of 2020.

The order book backlog at the end of March had risen by USD1 billion year-on-year to USD11.8 billion, with 68% of that amount for export orders. The bulk of the backlog – 59% – is scheduled for delivery in 2021 and 2022.

The company reported a number of successes since the start of the year, notably securing a USD1.65 billion contract for the establishment of the International Flight Training Center for the Hellenic Air Force, as part of a government-to-government agreement between the Israeli Ministry of Defence and the Hellenic Ministry of National Defence. Elbit Systems also secured a USD41 million contract for night-vision equipment from the US Marine Corps.

Elbit Systems has historically recorded 22–23% of its revenues in the first quarter. (Janes)

Elbit Systems also reported two acquisitions in April this year, with its US subsidiary Elbit Systems of America completing the acquisition of sonobuoy and maritime systems manufacturer Sparton Corporation from an affiliate of private equity firm Cerberus Capital Management. According to Elbit Systems CEO Bezhalel Machlis, the acquisition will help to broaden out the company's maritime offerings, which also include unmanned surface vehicles (USVs), such as the Seagull USV that is used in naval mine countermeasures work.

The second acquisition was of BAE Systems' Rokar subsidiary, which is based in the Israeli city of Jerusalem. Rokar specialises in the development and integration of advanced GPS receivers and guidance systems.

Israel's Elbit Systems reported a 4.4% increase in revenues in the first quarter of 2021, according ...

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