Lockheed Martin (LMT) Q3 2026 earnings summary

Executive summary

• Q3 sales rose 11% YoY to $20.711B; net earnings increased 14% to $1.845B and diluted EPS rose 15% to $7.97.

• Record backlog reached $291.984B, supported by a $52.5B multiyear PAC-3 MSE award; growth reflected higher volume across all four segments.

Financial highlights

• Q3 segment operating profit was $2.229B versus $2.029B a year earlier; consolidated operating profit was $2.443B versus $2.280B.

• Q3 cash from operations was $3.438B and free cash flow was $2.999B; year-to-date totals were $6.893B and $5.625B, respectively.

• Nine-month sales increased to $58.795B from $54.727B; net earnings were $5.169B versus $3.673B, and diluted EPS was $22.36 versus $15.69.

Outlook and guidance

• FY 2026 sales guidance rose to $80B–$82B and segment operating profit guidance is $8.575B–$8.675B; diluted EPS guidance increased to $30.35–$30.75.

• Cash from operations guidance rose to $10B–$10.2B and free cash flow to $7.8B–$8B; capital expenditures guidance is $2.1B–$2.3B.

• FY 2027 outlook was not formally issued; management expects growth across all four segments and sees line of sight to high-single-digit revenue growth, with pension contributions expected to exceed $1B.

• FY 2026 guidance excludes Ultra Maritime, whose acquisition is expected to close in Q4 and be funded with cash on hand.