Shares of Newport News, Va.-based Huntington Ingalls (NYSE:HII) slipped 0.6% in Wednesday trading, despite a Q2 2013 earnings report this morning that exceeded analyst estimates on both revenues and earnings.

Huntington reported earning $1.12 per diluted share on $1.68 billion in revenues in Q2. Revenues declined 2% from last year's Q2; however, operating profit margins increased 70 basis points to 6.9%. As a result, the declining revenues didn't prevent Huntington from growing net profits 12% in comparison with last year.

Huntington noted that it won $5.3 billion in new contracts in Q2, increasing total backlog of work to be done to $20.7 billion. The company's book-to-bill ratio was therefore 3.1 in the quarter. Going forward, the company can expect to receive revenues from the construction of five new DDG-51 Arleigh Burke-class guided missile destroyers and the National Security Cutter Munro (NSC-6), and also from the mothballing of the nuclear aircraft carrier USS Enterprise (CVN 65).