Courtesy of Benzinga.
Lockheed Martin (NYSE: LMT) reported a 3.5% gain in its second-quarter profit and lifted its 2014 earnings forecast.
Lockheed Martin’s quarterly profit surged to $889 million, versus a year-ago profit of $859 million. Its earnings per share rose to $2.76 from $2.64. The recent quarter net earnings included FAS/CAS pension income of $85 million, which raised net earnings by $0.16 per share. However, the year-ago quarter also included FAS/CAS pension expense of $120 million, which lowered net earnings by $0.23 per share.
Its sales fell 1% to $11.31 billion from $11.4 billion in the period. However, analysts were expecting earnings of $2.66 per share on revenue of $11.14 billion.
Aeronautics’ net sales rose 13% y/y, while Information Systems & Global Solutions net sales fell 8%. Missiles and Fire Control net sales dropped 7%, while Mission Systems and Training net sales were comparable to the year-ago period. Space Systems’ net sales slipped 11% y/y.
Cash from operations rose to $977 million, from $623 million in the year-ago quarter.
Lockheed Martin still projects 2014 sales to be flat versus last year. However, it now expects 2014 earnings of $10.85 to $11.15 per share, versus $10.50 to $10.80 per share.
Lockheed Martin Chairman, President and CEO Marillyn Hewson said, “Based on our solid program execution and operational performance through the first half of the year, we increased our 2014 financial guidance for profit, earnings, and cash flow.”
Lockheed Martin shares gained 2.47% to $167.00 in pre-market trading.
