Lockheed Martin reported a better-than-expected quarterly profit
Pentagon’s biggest weapons supplier Lockheed Martin Corp reported a better-than-expected quarterly profit on Tuesday and forecast 2020 revenue above analysts’ estimates, as it benefited from heightened geopolitical tensions between US & Iran
Shares of Lockheed rose 2.5 percent in premarket trading after the company said it delivered 134 F-35 fighter jets to the United States and its allies in 2019, a 47 percent increase from a year earlier.
According to analysts, U.S.-Iran tensions over the past few months have also helped build momentum for defence purchases, benefiting Lockheed Martin and other weapons makers.
The company raised its 2020 revenue outlook to a range of $62.75 billion to $64.25 billion, beating analysts’ estimate of about $62.61 billion.
The weapon manufacturer said it expects full-year earnings per share to be in the range of $23.65 per share to $23.95 per share, below analysts’ expectation of $24.30 per share, according to IBES data from Refinitiv.
Net earnings rose to $1.5 billion, or $5.29 per share, in the fourth quarter ended Dec. 31, from $1.25 billion, or $4.39 per share, a year earlier.
Analysts, on average, had expected the company to post a profit of $5.03 per share. Net sales rose 10.2% to $15.88 billion, below analysts’ expectation of $15.29 billion.
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