Earnings

Lockheed Martin beats estimates, raises sales forecast on higher F-35 deliveries

Lockheed Martin F-35 Joint Strike Fighter Lightning II

Robert Sullivan | FlickrCC

Lockheed Martin reported a better-than-expected quarterly profit on Tuesday and forecast 2020 revenue above analysts’ estimates, as the Pentagon’s No.1 weapons supplier benefited from heightened geopolitical tensions in the Middle East.

Shares of Lockheed rose 2.5% in pre-market trading, after the company said it delivered 134 F-35 fighter jets to the United States and its allies in 2019, a 47% increase from a year earlier.

Defense contractors General Dynamics, Lockheed and Northrop Grumman are expected to outperform this year, in line with the sector’s general pattern during presidential election years.

U.S.-Iran tensions over the past few months have also helped build momentum for defense purchases, benefiting Lockheed and other weapons makers, analysts have said.

The company raised its 2020 revenue outlook to a range of $62.75 billion to $64.25 billion, beating analysts’ estimate of about $62.61 billion.

Lockheed said it expects full-year earnings per share to be in the range of $23.65 per share to $23.95 per share, below analysts’ expectation of $24.30 per share, according to IBES data from Refinitiv.

Net earnings rose to $1.5 billion, or $5.29 per share, in the fourth quarter ended Dec. 31, from $1.25 billion, or $4.39 per share, a year earlier.

Analysts, on average, had expected the company to post a profit of $5.03 per share.

Net sales rose 10.2% to $15.88 billion, below analysts’ expectation of $15.29 billion.

Products You May Like

Articles You May Like

Storm Dennis: Fears for Severn towns amid fresh flood warnings
This old-school scam has jumped 65% since 2015 and costs consumers millions
‘The Batman’ will attempt to defy the ultimate box office enemy — movies with too many villains
United pulls Boeing 737 Max from summer schedule until September
EU research head optimistic on post-Brexit future

Leave a Reply

Your email address will not be published. Required fields are marked *