NOC

Northrop Grumman Corp.

HARAM — SCREEN DOES NOT PASSstock

Is NOC Halal?

Defense and aerospace contractor whose weapons-focused business screen fails despite passing the examined financial ratios.

What You Should Know

Northrop Grumman's March 31, 2026 Form 10-Q reports $50,007m assets, $15,669m debt, $2,090m cash and $9,362m receivables. Debt/assets is 31.33%; strategic aircraft, missiles and electronic-warfare systems drive the qualitative fail.

⚠️ Concerns

  • Strategic aircraft and missile systems
  • Electronic warfare and military space programs
  • 86% of first-quarter sales were to the U.S. government

Current quantitative Sharia screen

Based on 10-Q figures for the period ended 2026-03-31; calculated 2026-07-14.

USD · millions
Interest-bearing debt / assets
31.33%Within limit
Below 33.333% under FTSE Yasaar

15,669 / 50,007

Cash + interest-bearing securities / assets
4.18%Within limit
Below 33.333% under FTSE Yasaar

2,090 / 50,007

Receivables + cash / assets
22.90%Within limit
Below 50% under FTSE Yasaar

11,452 / 50,007

Non-compliant income / revenue
0.00%Within limit
No more than 5% under FTSE Yasaar

0 / 9,881

FTSE Yasaar
v4.6, February 2026
Financial
Pass
Overall
Fails

Debt/assets is 31.33%, liquidity/assets is 4.18%, and receivables-plus-cash/assets is 22.90%; the defense-business screen fails.

MSCI Islamic (total-assets series)
October 2024 methodology
Financial
Pass
Overall
Fails

The examined financial ratios pass, but the weapons-focused business screen fails.

Malaysia SAC financial ratios
single 5% activity benchmark adopted November 2025
Financial
Pass
Overall
Fails

Debt and liquidity ratios are below the examined Malaysia limits; the qualitative defense screen fails. This is not an official SAC classification.

Market-cap denominator methods
MSCI M-Series, S&P and Dow Jones methods differ
Financial
Not calculated
Overall
Not calculated

A licensed historical market-cap series is not stored.

Business-activity disclosure

Northrop Grumman reports $9,881m of first-quarter sales across Aeronautics, Defense, Mission and Space Systems; the company is primarily a defense contractor and a weapons-exclusion approach fails the core activity screen.

Limitation: The filing does not define a universal scholarly threshold for defense activity; the full-sales proxy is conservative and not an official classification.

Purification

No complete non-compliant-income decomposition is disclosed; ZakatInvest does not prescribe a fixed purification percentage.

Inputs, assumptions and primary sources
  • Amounts are USD millions from Northrop Grumman's March 31, 2026 Form 10-Q.
  • Debt includes the current portion of long-term debt, long-term debt and $500m commercial paper outstanding at quarter end.
  • Receivables include accounts receivable plus unbilled receivables, which the filing describes as contract assets.
  • The filing does not separately disclose a complete non-compliant-income numerator.

This is a reproducible financial screen, not a fatwa. A failed total-assets screen can coexist with a pass under a market-cap methodology. ZakatInvest keeps the qualitative assessment separate so numerical thresholds do not erase material context.

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