Lockheed Martin Q3 Results Impacted by F-35 Issues

Lockheed Martin reported mixed financial results for Q3 2024, with EPS surpassing expectations at $6.80, but revenue falling short at $17.1 billion against an expected $17.38 billion, largely due to challenges in its F-35 program. Despite these setbacks, the company raised its full-year EPS and revenue guidance to $26.65 and $71.25 billion, respectively, citing strong demand for military equipment amid geopolitical tensions. The company experienced significant gains in its missiles and fire-control and mission-systems segments, although its aeronautics division, including the F-35, saw a decline in sales. Lockheed Martin's stock experienced a slight increase following the announcement, reflecting investor confidence in its strategic and operational advancements, such as a record backlog and enhanced missile production. The ongoing F-35 program issues, including delayed upgrades, have affected its performance, with the U.S. military withholding payments until the upgrades are completed. Overall, the company's future growth potential remains promising as it continues to focus on technological innovation and government contracts.