General Dynamics’ Profit Climbs 78%

Defense contractor General Dynamics Corp. said fourth-quarter profit jumped 78%, boosted by a lower tax rate and strong government spending on military vehicles and defense technology.

The Falls Church, Va.-based maker of nuclear submarines and tanks posted net income of $279 million, or $1.40 a share, up from $157 million, or 78 cents, a year earlier, when the company took a charge for discontinuing its undersea cable-laying business. Sales rose 23% to $4.8 billion.

Shares of General Dynamics fell $1.56 to $92.27 on the NYSE.

From Reuters