Lockheed Martin Q2 2025 earnings: backlog $166.53b, +5.2% Y/Y; oper profit $748m (est $2.15b).

Lockheed Martin Q2 2025 earnings: backlog $166.53b, +5.2% Y/Y; oper profit $748m (est $2.15b).

Lockheed Martin Corporation (NYSE: LMT) reported its second-quarter 2025 financial results, showcasing a robust performance in the aerospace and defense sector. The company recorded sales of $18.2 billion, a sequential increase of $100 million compared to the second quarter of 2024 [2]. This quarter, Lockheed Martin’s backlog stood at $166.53 billion, representing a year-over-year (YoY) increase of 5.2% [1].

The company's adjusted operating profit for the quarter was $748 million, a significant decline from the estimated $2.15 billion, primarily due to pre-tax losses on programs totaling $1.6 billion and other charges of $169 million [2]. The net earnings for the period were $342 million, or $1.46 per share, compared to $1.6 billion, or $6.85 per share, in the same quarter last year [2].

Lockheed Martin's cash from operations totaled $201 million, while free cash flow was negative $150 million, reflecting the impact of program losses and other charges. The company returned $1.3 billion to shareholders through dividends and share repurchases, maintaining its full-year 2025 guidance for sales, cash from operations, capital expense, free cash flow, and share repurchases [2].

The company's Chairman, President, and CEO, Jim Taiclet, highlighted the strong performance of Lockheed Martin's systems and platforms in combat operations and deterrence. He noted that the company's foundation remains solid, driven by sequential sales growth and investments in infrastructure and innovation for growth [2].

Lockheed Martin's earnings report also included program losses and other charges, totaling $1.6 billion, primarily due to challenges in the Aeronautics business segment, the Canadian Maritime Helicopter Program (CMHP), and the Turkish Utility Helicopter Program (TUHP). Additionally, there were charges related to asset impairments and a tax matter [2].

In summary, Lockheed Martin's Q2 2025 earnings report demonstrated a strong performance in sales and backlog, although the adjusted operating profit was significantly impacted by program losses and other charges. The company remains committed to delivering critical capabilities and is focused on growth, driven by heightened interest and demand for its products and technologies.

References:
[1] https://finance.yahoo.com/news/lockheed-martin-earnings-look-lmt-030226864.html
[2] https://www.prnewswire.com/news-releases/lockheed-martin-reports-second-quarter-2025-financial-results-302510084.html