Page 1

H Huntington Ingalls Industries News Release Contacts : Brooke Hart ( Media ) brooke.hart@hii-co.com 202-264-7108 Dwayne Blake ( Investors ) wayne.blake@hii-co.com 757-380-2104 Huntington Ingalls Industries Reports Third Quarter 2021 Results Revenues were $ 2.3 billion in the quarter Operating margin was 5.0 % and segment operating margin¹ was 7.0 % Diluted earnings per share was $ 3.65 Pension adjusted diluted earnings per share¹ was $ 3.58 The acquisition of Alion Science and Technology Corp. ( " Alion " ) closed on Aug. 19 , 2021 NEWPORT NEWS , Va . ( Nov. 4 , 2021 ) - Huntington Ingalls Industries ( NYSE : HII ) reported third quarter 2021 revenues of $ 2.3 billion , up 1.0 % from the third quarter of 2020 . Operating income in the third quarter of 2021 was $ 118 million and operating margin was 5.0 % , compared to $ 222 million and 9.6 % , respectively , in the third quarter of 2020. The decreases in operating income and operating margin were primarily the result of a less favorable operating FAS / CAS adjustment . Segment operating income¹ in the third quarter of 2021 was $ 163 million and segment operating margin¹ was 7.0 % , compared to segment operating income¹ of $ 162 million and segment operating margin¹ of 7.0 % in the third quarter of 2020 . ¹Non - GAAP measure . See Exhibit B for definitions and reconciliations . Net earnings in the third quarter of 2021 were $ 147 million , compared to $ 222 million in the third quarter of 2020. Diluted earnings per share in the third quarter of 2021 was $ 3.65 , compared to $ 5.45 in the same period of 2020. Third quarter 2021 results included approximately $ 15 million of non - recurring , pre - tax transaction expenses related to the acquisition of Alion . Excluding the impacts of pension , adjusted earnings per share¹ in the quarter was $ 3.58 , compared to $ 3.73 in the same period of 2020 . Third quarter cash from operations was $ 350 million and free cash flow¹ was $ 277 million , compared to $ 222 million and $ 160 million , respectively , in the third quarter of 2020 . New contract awards in the third quarter of 2021 were approximately $ 600 million , bringing total backlog to approximately $ 50.1 billion as of Sept. 30 , 2021 . " We are pleased with the third quarter results that represent another quarter of consistent shipbuilding program execution while we continue to navigate the challenges posed by the COVID - 19 pandemic , " said Mike Petters , HII's president and CEO . " During the quarter we closed the acquisition of Alion Science and Technology , and as we work to integrate it into our Technical Solutions division , we remain very excited about the significant growth avenues across the combined business that we believe will drive significant long - term value creation . " Huntington Ingalls Industries 4101 Washington Ave. • Newport News , VA 23607 www.huntingtoningalls.com Page 1 of 15