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Defense Continues to Shrink, as Commercial Aerospace is Taking Off

Mid-year 2012 top 20 global aerospace and defense company financial performance analysis


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A continued slowdown in national security spending in major countries continues to affect defense contractors. Based on mid-year 2012 financial results, defense companies in the top 20 global aerospace and defense (A&D) companies, experienced a decline in their global revenues of $1.3 billion, or a 1 percent decrease, after a 3.3 percent decline in 2011. However, the overall commercial aerospace and defense industry posted an overall revenue increase of $7.2 billion, or 5.5 percent over the first half 2011, all and more driven by record setting production of commercial aircraft and its related supply chain, which accounted for $13.4 billion in revenue growth for the sector.

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