Gulfstream Deliveries Set To Take Off in 2024

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Gulfstream Deliveries Set To Take Off in 2024

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Manufacturer expects to hand over 160 aircraft to customers this year, almost 50 more than in 2023

Gulfstream deliveries edged up slightly in the first quarter but did not nearly double from a year ago as planned, since FAA certification came too late to start handing over G700s before April, Phebe Novakovic, chair and CEO of parent company General Dynamics, said this morning during an investor call. The Savannah, Georgia aircraft manufacturer shipped 24 jets (21 large-cabins and three super-midsize G280s) in the quarter, up from 21 (17 large-cabins and four G280s) in the first three months of 2023.

According to Novakovic, Gulfstream had planned to deliver 15 to 17 G700s in the first quarter but will still meet its target of handing over 50 to 52 of the ultra-long-range jets by year-end. What she called Lot 1—the first 20 G700s—needed unspecified post-certification modifications but are now ready for delivery to customers, with another seven to eight of the twinjets ready by June. Novakovic said G700 shipments will be evenly paced throughout the year, meaning around 17 per quarter. Gulfstream expects to deliver about 160 aircraft in total this year, up from 111 in 2023.

Meanwhile, General Dynamics’ aerospace division, which includes Gulfstream and Jet Aviation, reported revenues of $2.084 billion and operating earnings of $255 million in the quarter, both up by more than 10 percent from a year ago. Novakovic termed the sales pipeline at the division “robust,” with strong demand for new-production Gulfstreams and aircraft maintenance services. Book-to-bill was 1.2:1 in the first three months at the aerospace division, with backlog up slightly quarter-over-quarter, to $20.454 billion.

Supply-chain issues continue to weigh on Gulfstream—with parts shortages still occurring on the production lines—but are “getting better,” Novakovic said.

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