LOCKHEED MARTIN (LMT) Company Report

Progress on strategic initiatives includes a $6 billion ERP digital transformation (~60% complete) and two framework agreements to shift to 7-year contracts for greater supply-chain scalability and profitability.
Driving autonomy and AI into defense missions, the company demonstrated an F-22 “drone wingman” integration and is fielding fully autonomous Black Hawk helicopters for contested logistics, search & rescue, and casualty evacuation.
International business is accelerating through co-production partnerships, such as a guided-weapons facility in Australia and an F-35 center-body line in Germany.
The Munitions (MFC) segment is positioned for double-digit multiyear growth under new framework agreements, with PAC-3 and THAAD contracts expected to be signed in H1 and initial margin dilution followed by higher long-term margins.
Capital allocation remains disciplined, prioritizing high-return investments to fund growth initiatives while sustaining dividends and share repurchases.

Feb 18, 2026, 7:40 PM

Transcript

Lockheed Martin details strategic initiatives and growth drivers at Citi conference

LMT

New Projects/Investments

Lockheed Martin is advancing three strategic initiatives: a $6 billion ERP digital transformation 60% complete, new seven-year framework contracts to embed commercial practices in defense production, and expansion of international co-production (e.g., in Australia and Germany).
The company is integrating AI and autonomy into real missions, demonstrating an F-22-controlled drone wingman and fully autonomous Black Hawk helicopters for contested logistics and evacuation.
F-35 deliveries are on track at ~156 aircraft per year with low-single digit production growth and potential double-digit sustainment growth; the fleet is one-third through a 3,500-aircraft program of record, with Block 4 hardware upgrades and sixth-generation tech insertions planned.
MFC segment outlook is bolstered by multiyear PAC-3 and THAAD framework agreements, supporting double-digit revenue growth into the decade and an initial 20-30 bp margin dilution followed by accretive margin upside.
The Golden Dome integrated air and missile defense mission spans space-based sensors, the LRDR ground radar, C2BMC command and control, and interceptors, enabled by new contracting flexibility for scalable production.

Feb 18, 2026, 7:40 PM

Transcript

Lockheed Martin outlines strategic progress and guidance at Citi conference

LMT

New Projects/Investments

Guidance Update

Resilient defense production: launched a $6 billion ERP transformation (~60% complete) and secured two 7-year framework agreements to apply commercial practices to major defense programs, enhancing supply-chain scalability.
Autonomy and AI integration: demonstrated F-22 “drone wingman” capability and developed fully autonomous Black Hawk helicopters for contested-environment missions like wildfire fighting, search and rescue, and medevac.
F-35 program momentum: maintaining ~156 deliveries annually with low single-digit production growth, accelerating double-digit sustainment revenues, and advancing Block 4 hardware upgrades alongside future sixth-generation tech integration.
Munitions growth visibility: MFC framework deals for PAC-3 and THAAD underpin projected double-digit revenue growth through 2030, with initial margins dipping 20–30 bps before reaching record highs in later years.

Feb 18, 2026, 7:40 PM

Transcript

Lockheed Martin-backed Fortem wins order to protect 2026 FIFA World Cup venues

LMT

New Projects/Investments

Fortem Technologies received a multimillion-dollar DHS order to deploy its DroneHunter interceptors at U.S. venues for the 2026 FIFA World Cup.
The system’s patented net-based capture safely neutralizes rogue drones without debris or communication jamming, ideal for dense crowds.
The contract covers TrueView™ R30 radars, SkyDome® command-and-control software, and DroneHunter® hexcopter interceptors for autonomous threat response.
This is Fortem’s second consecutive World Cup deployment and it is the only kinetic counter-UAS solution selected by DHS for the event.

Feb 12, 2026, 12:00 PM

Press Release

Lockheed Martin declares Q1 2026 dividend

LMT

Dividends

New Projects/Investments

The board authorized a $3.45 per share dividend for Q1 2026, payable March 27, 2026 to shareholders of record as of March 2, 2026.
The company plans to significantly increase investments while maintaining a disciplined capital allocation approach.

Feb 6, 2026, 9:52 PM

Press Release

Lockheed Martin-backed Fortem neutralizes drone swarm with SkyDome®

LMT

Product Launch

Fortem Technologies, backed by Lockheed Martin, completed what it believes to be the first fully autonomous 5-vs-5 drone intercept with zero collateral damage, using its AI-powered SkyDome® system and DroneHunter® F700 interceptors without human involvement.
The test validated enhancements to SkyDome’s path-planning engine, which now dynamically deconflicts multiple interceptors and optimizes airspace routing for faster response and extended battery life.
The Pentagon’s counter-UAS task force selected the DroneHunter® as its first operational purchase under the Replicator-2 initiative, fast-tracking field deployment of counter-drone capabilities.
Fortem’s system—authorized for drone-on-drone kinetic interception in U.S. airspace—has been operationally deployed in Ukraine, the Middle East, and East Asia, underscoring its global validation.

Feb 4, 2026, 1:30 PM

Press Release

Lockheed Martin announces Q4 2025 results

LMT

Earnings

Guidance Update

Lockheed Martin reported Q4 sales of $20.3 billion (+9% YoY), segment operating profit of $2.1 billion, EPS of $5.80, and free cash flow of $2.8 billion.
For full-year 2025, the company delivered sales of $75 billion (+6% YoY), generated free cash flow of $6.9 billion, and ended the year with a record backlog of $194 billion.
The 2026 outlook targets ~5% sales growth, >25% segment operating profit growth, and free cash flow of $6.5–6.8 billion, with capex/IRAD investment approaching $5 billion.
Key operational highlights include delivering 191 F-35 jets and 620 PAC-3 MSE interceptors in 2025, plus successful launches of GPS III and Tranche 1 Transport Layer satellites.

Jan 29, 2026, 1:30 PM

Transcript

Lockheed Martin reports Q4 and full-year 2025 results

LMT

Earnings

Guidance Update

New Projects/Investments

Lockheed Martin delivered Q4 sales of $20.3 B (+9% y/y) and full-year sales of $75.0 B (+6% y/y), ending 2025 with a record backlog of $194 B.
Generated $2.8 B of free cash flow in Q4 and $6.9 B for FY2025, reinvesting $3.6 B into the business.
Achieved record operational output, including 191 F-35 jets and 620 PAC-3 MSE interceptors, and secured a seven-year framework for PAC-3 MSE to ramp production to 2,000 units annually.
Issued 2026 guidance projecting ~5% sales growth, >25% segment operating profit growth, and $6.5–$6.8 B free cash flow with ~$5 B capex and IR&D investment.

Jan 29, 2026, 1:30 PM

Transcript

Lockheed Martin reports Q4 2025 results

LMT

Earnings

Guidance Update

New Projects/Investments

Q4 2025 sales of $20.3 billion (up 9% YoY), EPS of $5.80, and $2.8 billion in free cash flow.
Full year 2025 sales of $75 billion (up 6% YoY), EPS of $21.49, record backlog of $194 billion, and $6.9 billion in free cash flow.
Announced seven-year framework agreements for PAC-3 MSE and THAAD interceptors, tripling PAC-3 capacity to 2,000 units per year.
Invested $3.6 billion internally in 2025, including $900 million pension pre-funding and $3.5 billion in capital and R&D to boost production and innovation.
2026 guidance: sales $77.5–80 billion (+5% at midpoint), segment operating profit $8.425–8.675 billion, EPS $29.35–30.25, and free cash flow $6.5–6.8 billion.

Jan 29, 2026, 1:30 PM

Transcript

Lockheed Martin reports Q4 2025 results

LMT

Earnings

Guidance Update

$20.3 B sales in Q4, $2.1 B segment operating profit (10.1% margin), $5.80 EPS, 1.7× book-to-bill ratio and $2.8 B free cash flow in Q4 2025
For FY 2025, $75.0 B sales, $6.7 B segment operating profit (9.0% margin), $21.49 EPS, $6.9 B free cash flow, $3.0 B share repurchases and $3.1 B dividends
FY 2025 sales growth across all segments: Aeronautics +6% to $8.5 B , Missiles & Fire Control +18% to $4.0 B , RMS +8% to $4.6 B , Space +8% to $3.2 B
2026 guidance: $77.5–80.0 B sales (+5%), segment operating profit $8.425–8.675 B (10.9% margin), EPS $29.35–30.25, free cash flow $6.5–6.8 B