Lockheed Martin's third-quarter sales rose 11% to $20.70 billion, slightly beating expectations, while adjusted EPS increased to $7.97. The company raised its 2026 sales, EPS and free cash flow forecasts and reported a record $292 billion backlog.
Third-quarter sales rose 11% year over year to $20.70 billion, slightly above the $20.51 billion consensus estimate. Adjusted EPS increased to $7.97, net earnings rose 14% to $1.85 billion, and free cash flow was $3 billion.
Lockheed Martin raised its 2026 sales outlook to about $80 billion-$82 billion from $79.75 billion-$81.75 billion, and its diluted EPS guidance to about $30.35-$30.75 from $29.95-$30.65. It increased its free cash flow forecast to about $7.8 billion-$8 billion from $7 billion-$7.2 billion.
The company reported a record $292 billion backlog, up 27% since the second quarter, driven by multi-year missile contract awards. Higher Missiles and Fire Control sales reflected production ramps for PAC-3, THAAD, GMLRS and PrSM; Aeronautics growth reflected higher F-35 production and sustainment volume and liquidation of pre-contract costs for C-130.
