Elbit Systems 2Q profit falls slightly

Elbit Systems posts slight decrease in 2nd-qtr net income on tighter defense budgets

Associated Press

Elbit Systems Ltd. said Tuesday its second-quarter net income fell slightly, hurt by tightened defense budgets around the world.

The Israeli defense technology contractor earned $38.3 million, or 90 cents per share, compared with $38.9 million, or 90 cents per share, in the same quarter last year. Excluding discontinued operations and one-time charges, the company said it posted an adjusted profit of $1.14 per share for the recent quarter.

Revenue fell 2.2 percent to $676.4 million from $691.6 million.

Elbit said that revenue from its Latin American and Asia-Pacific markets continued to rise during the recent quarter. It added that half of its overall revenue was tied to governments whose defense budgets continue to grow, including Israel, which should help offset the effects of tighter defense budgets in the U.S. and Europe.

Elbit shares rose 29 cents to $31.70 in morning trading.

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