Lockheed Martin (LMT, Financial) posted better-than-expected earnings for the first quarter of 2025, driven by growth in its Missiles division. The defense contractor reported $18 billion in sales, a 4% increase from a year earlier, exceeding analyst expectations of $17.8 billion.
Net earnings rose to $1.7 billion, or $7.28 per share, up from $1.5 billion, or $6.39 per share, in the same period last year. Analysts had anticipated $6.35 per share. The company's stock rose 3.5% in premarket trading following the announcement.
Cash from operations came in at $1.4 billion, down from $1.6 billion, while free cash flow fell to $955 million from $1.3 billion. The company invested over $850 million in research and capital projects during the quarter and returned $1.5 billion to shareholders through dividends and share repurchases.
Lockheed's order backlog rose to $173 billion. It secured new contracts for Precision Strike Missiles, THAAD, JASSM/LRASM, and the Trident II D5 Life Extension, totaling roughly $10 billion in future work.
The company maintained its full-year sales forecast of $73.75 billion to $74.75 billion, in line with consensus estimates.
