LMT Lockheed Martin Corp

Lockheed Martin lifted its earnings forecast for the year as the company, continuing to reshape its business, benefited from sales of its F-35 fighter jet and its recently acquired Sikorsky helicopter unit.

The Maryland company, the world's largest military contractor by revenue, earlier this year announced plans to carve out its big government information-technology unit, a move to focus on more profitable work building military jets, helicopters and missiles.

Last month, Lockheed launched a voluntary layoff program in its aeronautics business, aiming to cut about 1,000 U.S. jobs, or about 0.8% of its total workforce.

Meanwhile, Lockheed has been working to fix glitches in its F-35 program, which is due to enter service with the U.S. Air Force by year-end. The company reported a 21% increase in aeronautics sales, to $3.80 billion, an increase it attributed to sales associated with the F-35 program in addition to increased deliveries of C-130 cargo planes. At the same time, revenue in its mission systems segment surged 52% thanks to helicopter maker Sikorsky Corp., a business Lockheed bought last year for $9 billion.

The jumps in aeronautics and mission-systems sales helped offset sales declines in the company's information-systems and space-systems segments.

Overall, the company reported a profit of $794 million, or $2.58 a share, down from $878 million, or $2.74 a share, a year earlier. The company said charges stemming from job cuts reduced earnings by 21 cents a share.

Revenue climbed 16% to $11.70 billion. Analysts had projected $2.59 in adjusted earnings per share on $11.34 billion in revenue, according to Thomson Reuters.

For the full year, Lockheed expects to report $11.50 to $11.80 a share, up from earlier guidance of $11.45 to $11.75 a share. The company sees sales of $49.6 billion to $51.1 billion, slightly higher than its earlier prediction of $49.5 billion to $51 billion.

Write to Lisa Beilfuss at lisa.beilfuss@wsj.com

(END) Dow Jones Newswires

April 26, 2016 09:15 ET (13:15 GMT)

Lockheed Martin (NYSE:LMT)
Historical Stock Chart
From Mar 2024 to Apr 2024

Lockheed Martin (NYSE:LMT)
Historical Stock Chart
From Apr 2023 to Apr 2024