Lockheed Martin Corporation (NYSE: LMT) announced robust financial results for the first quarter ending March 30, 2025, underscoring its continued leadership in the global defense technology sector. The company reported a 4.5% increase in sales, reaching \(18.0 billion compared to \)17.2 billion in Q1 2024. Net earnings surged by 10.8% to \(1.7 billion, translating to a diluted earnings per share of \)7.28, up from $6.39 the previous year. These figures highlight Lockheed Martin’s operational resilience amid geopolitical and technological challenges.
Key Financial Highlights from Q1 2025: - Total sales: \(18.0 billion, up 4.5% year-over-year - Net earnings: \)1.7 billion, a 10.8% increase from \(1.5 billion in Q1 2024 - Diluted EPS: \)7.28, up 13.9% from \(6.39 - Cash from operations: \)1.4 billion - Free cash flow: \(955 million - Capital expenditures: \)454 million - Dividends and share repurchases: $1.5 billion returned to shareholders
The company’s consolidated operating profit increased by 17% to \(2.37 billion, with segment operating margins improving from 10.1% to 11.6%. This growth was driven by all business segments, particularly Missiles and Fire Control, which recorded a 13% sales increase to \)3.37 billion and a 50% surge in operating profit to $465 million.
Segment Performance Details: - Aeronautics: Sales grew 3% to \(7.06 billion with a 6% increase in operating profit to \)720 million. The growth was largely fueled by higher production volume on the F-35 program. - Missiles and Fire Control: Sales rose 13% due to production ramp-up on key missile programs, contributing to a 50% operating profit increase. - Rotary and Mission Systems: Sales increased 6% to \(4.33 billion, with a 21% rise in operating profit to \)521 million. - Space: Sales decreased marginally by 2% to \(3.21 billion but operating profit increased 17% to \)379 million, supported by favorable performance on civil space programs.
Cash Flow and Balance Sheet: Despite a reduction in cash from operations from \(1.6 billion to \)1.4 billion, free cash flow remained strong at \(955 million, reflecting disciplined capital expenditure management. The balance sheet remains solid with total assets at \)56.7 billion and total liabilities at $50.0 billion as of March 30, 2025.
Forward-Looking Outlook: Lockheed Martin reaffirmed its 2025 financial guidance, targeting total sales between \(73.75 billion and \)74.75 billion and diluted EPS in the range of \(27.00 to \)27.30. The company expects free cash flow between \(6.6 billion and \)6.8 billion, underpinning its commitment to shareholder returns and strategic investments.
This first quarter performance is consistent with themes expressed in prior Lockheed Martin earnings calls, emphasizing digital transformation, innovation, and meeting evolving defense customer needs worldwide. The company’s $173 billion backlog, representing over two years of sales, provides a strong foundation for growth and operational execution.
Industry analysts from Defense News highlight Lockheed Martin’s robust missile and aerospace programs as key growth drivers, reinforcing the company’s leadership in advanced defense technology.
For full details and source document, see the official report here: Lockheed Martin Q1 2025 8-K Report.
Tags: LockheedMartin,Q12025Financials,DefenseTechnology,MissilesAndFireControl,OperationalExcellence