Lockheed Martin Corporation has released its second-quarter financial results for 2025, reporting sales of $18.2 billion, compared to $18.1 billion in the same period of 2024. The company's net earnings for the second quarter of 2025 were $342 million, or $1.46 per share, including $1.6 billion of program losses and $169 million of other charges. This is a significant decrease from the second quarter of 2024, which reported net earnings of $1.6 billion, or $6.85 per share.
The company's cash from operations for the second quarter of 2025 was $201 million, a notable decrease from $1.9 billion in the second quarter of 2024. Free cash flow for the second quarter of 2025 was $(150) million, down from $1.5 billion in the second quarter of 2024.
Lockheed Martin returned $1.3 billion of cash to shareholders through dividends and share repurchases. The company also reaffirmed its 2025 guidance for sales and free cash flow.
In terms of specific program losses and charges, the company recognized additional pre-tax reach-forward losses of $950 million on a classified program at its aeronautics business segment. It also reported additional pre-tax losses of $570 million on the Canadian Maritime Helicopter Program and $95 million on the Turkish Utility Helicopter Program.
Additionally, the company recognized other charges, including a $66 million write-off of fixed assets resulting from the U.S. Air Force's Next Generation Air Dominance down-select decision and a $103 million charge related to uncertain tax positions as part of its income tax expense.
The summary financial results for the second quarter of 2025 compared to the same period in 2024 are as follows:
- Sales: $18.2 billion in 2025, compared to $18.1 billion in 2024
- Net Earnings: $342 million in 2025, down from $1.6 billion in 2024
- Diluted Earnings Per Share: $1.46 in 2025, down from $6.85 in 2024
- Cash From Operations: $201 million in 2025, compared to $1.9 billion in 2024
- Free Cash Flow: $(150) million in 2025, down from $1.5 billion in 2024
The company's business segment operating profit for the second quarter of 2025 was $571 million, significantly lower than the $2.042 billion reported in the same period of 2024. The consolidated operating profit for the second quarter of 2025 was $748 million, a decrease from $2.148 billion in the second quarter of 2024.
These financial results indicate a challenging quarter for Lockheed Martin, marked by significant program losses and charges, impacting both earnings and cash flow compared to the same period in 2024. Following these announcements, the company's shares moved -8.64%, and are now trading at a price of $420.74. For the full picture, make sure to review LOCKHEED MARTIN CORP's 8-K report.
