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Key Takeaways
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Lockheed Martin missed revenue estimates as aerospace sales tumbled because of contractual and funding issues for its F-35 fighter jet.
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Still, the company revised its full-year profit outlook higher.
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Shares of Lockheed Martin fell from their all-time high set yesterday.
Lockheed Martin (LMT) shares tumbled Tuesday as the defense contractor missed revenue estimates on a drop in aerospace sales.
The company reported third-quarter revenue rose 1% year-over-year to $17.10 billion, while analysts surveyed by Visible Alpha were looking for $17.38 billion. Earnings per share (EPS) of $6.80 exceeded forecasts.
Lockheed’s Aeronautics unit sales declined 3% to $6.49 billion, primarily because of delays in contractual authorization and funding for the F-35 fighter jet. Sales at its Space division were down less than 1% to $3.08 billion. Missiles and Fire Control segment revenue jumped 8% to $3.18 billion, and Rotary and Mission Systems unit revenue was 6% higher at $4.37 billion.
Lockheed Raises FY EPS, Narrows Revenue Outlook
The company raised its full-year EPS outlook to $26.65 from a range of $26.10 to $26.60, and narrowed its revenue outlook to $71.25 billion from the previous $70.50 billion to $71.50 billion.
Shares of Lockheed Martin hit an all-time high yesterday, and even with today’s roughly 5% declines they’re up nearly 30% year-to-date.
