Hawk Corporation - Competitors

Hawk Corporation Competition

Now Viewing Hawk Corporation's competition in: Aerospace Products and Parts Manufacture (primary)

Recent Developments

General Dynamics Leads Defense Surge - Almost all the major US defense firms beat earnings estimates in first quarter 2008, but General Dynamics did particularly well. Compared to first quarter 2007, the company reported an 11 percent increase in sales, a 30 percent gain in earnings on continuing operations, and a 14 percent increase in its backlog, which is worth nearly $50 billion. Success was punctuated by a quarter of robust orders, including, new contracts for Virginia-class submarines, the first DDG-1000 Zumwalt-class destroyer, and upgrades for the Abrams tank.

Senate Defense Bill Funds, Drops Programs - The Senate Armed Services Committee has approved funding for several key defense initiatives while cutting the Boeing-led C-17 cargo lifter program. While final decisions for some funding will be up to the next administration, Lockheed Martin was the big winner with funding approved for its F-22 Raptor; Joint Strike Fighter; Theater High-Altitude Area Defense (THAAD); and Aegis BMD and SM-3 missile systems. While Boeing's C-17 program may see cuts, the US Army's Future Combat System, for which Boeing is a Lead Systems Integrator, received the full funding requested by the Bush administration.

Aircraft, Parts Prices Rise - Producer prices for US aircraft rose 3.3 percent in March 2008 compared to March 2007; prices for aircraft engines and parts increased 3.7 percent. Aircraft prices are rising at a lower rate, however, than prices for some raw materials, including aluminum and rubber and plastic products.

Competitive Landscape

Demand is driven by the US military budget and the overall economic climate, which affects airline traffic and demand for new commercial aircraft. The profitability of individual companies depends on technical expertise and the ability to accurately price long-term contracts. Large companies enjoy economies of scale in design, manufacturing, and purchasing. Small companies can compete effectively by concentrating on selected components and parts manufacturing for particular prime contractors. Increasingly, small companies are developing system integration capabilities as large firms outsource more aspects of contracts. Production of aircraft and major aircraft components is highly automated: average revenue per employee is over $300,000.

Full Industry Overview For Aerospace Products and Parts Manufacture

Aerospace Products and Parts Manufacture Industry Forecast

from Hoover's/D&B subsidiary First Research

The output of US aerospace products is forecast to grow at an annual compounded rate of 6 percent between 2007 and 2012.

Aerospace Manufacturing Growth Steady After Spike

First Research forecasts are based on INFORUM forecasts that are licensed from the Interindustry Economic Research Fund, Inc. (IERF) in College Park, MD. INFORUM's "interindustry-macro" approach to modeling the economy captures the links between industries and the aggregate economy.