Northrop Grumman Corporation Free Cash Flow
Northrop Grumman Corporation Free Cash flow 2005-2021
| Year | Adjusted free cash flow ($mn) |
| 2021 | $2,236 |
| 2020 | $3,683 |
| 2019 | $3,128 |
| 2018 | $2,764 |
| 2017 | $2,010 |
| 2016 | $1,893 |
The 2021 adjusted free cash flow of Northrop grumman decreased $1.4 billion, mainly due to federal and state taxes of $785 million paid related to the IT services divestiture as well as the impact of CARES Act social security tax deferrals and the 2020
increase in DoD progress payment rates. Its adjusted free cash flow for 2021 was $2.24 billion compared to $3.68 billion in the previous year.
Adjusted free cash flow: It is a non-GAAP measure defined as net cash provided by or used in operating activities, less capital expenditures, plus proceeds from the sale of equipment to a customer (not otherwise included in net cash provided by or used in operating activities) and the after-tax impact of discretionary pension contributions. Adjusted free cash flow includes proceeds from the sale of equipment to a customer as such proceeds were generated in a customer sales transaction. It also includes the after-tax impact of discretionary pension contributions for consistency and comparability of financial performance.
| Year | Free cash flow ($mn) |
| 2018 | $2,578 |
| 2017 | $1,685 |
| 2016 | $1,893 |
| 2015 | $1,691 |
| 2014 | $2,032 |
| 2013 | $2,119 |
| 2012 | $2,309 |
| 2011 | $1,855 |
| 2010 | $1,471 |
| 2009 | $1,454 |
| 2008 | $2,132 |
| 2007 | $1,478 |
| 2006 | $947 |
| 2005 | $ 1,811 |
The total free cash flow of Northrop Grumman Corporation grew to approximately $2.6 billion in 2018 from approximately $1.7 billion in 2017.