BETHESDA, Md., July 23, 2019 /PRNewswire/ -- Lockheed
Martin Corporation (NYSE: LMT) today reported second quarter 2019
net sales of $14.4 billion,
compared to $13.4 billion in the
second quarter of 2018. Net earnings in the second quarter of 2019
were $1.4 billion, or $5.00 per share, compared to $1.2 billion, or $4.05 per share, after severance charges of
$96 million, in the second quarter of
2018. Cash from operations in the second quarter of 2019 was
$1.7 billion, compared to cash
used for operations of $(72) million after pension
contributions of $2.0 billion in the
second quarter of 2018.
"The corporation achieved another quarter of strong operational
and financial results across all four of our businesses, which
allowed us to grow our backlog to a new record level and to
increase our financial outlook for 2019," said Lockheed Martin
Chairman, President and CEO Marillyn
Hewson. "Our team remains focused on driving growth,
investing in innovative solutions, and creating long-term value for
shareholders."
Summary Financial Results
The following table presents the corporation's summary financial
results.
|
(in millions,
except per share data)
|
|
Quarters
Ended
|
|
Six Months
Ended
|
|
|
|
|
June 30,
2019
|
|
June 24,
2018
|
|
June 30,
2019
|
|
June 24,
2018
|
|
|
Net
sales
|
|
$
|
14,427
|
|
|
$
|
13,398
|
|
|
$
|
28,763
|
|
|
$
|
25,033
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Business segment
operating profit1
|
|
$
|
1,554
|
|
|
$
|
1,466
|
|
|
$
|
3,269
|
|
|
$
|
2,776
|
|
|
|
Unallocated
items
|
|
|
|
|
|
|
|
|
|
|
FAS/CAS
operating adjustment
|
|
512
|
|
|
451
|
|
|
1,024
|
|
|
902
|
|
|
|
Severance and
restructuring charges2
|
|
—
|
|
|
(96)
|
|
|
—
|
|
|
(96)
|
|
|
|
Other,
net3
|
|
(58)
|
|
|
(26)
|
|
|
(2)
|
|
|
(62)
|
|
|
|
Total
unallocated items
|
|
454
|
|
|
329
|
|
|
1,022
|
|
|
744
|
|
|
|
Consolidated
operating profit
|
|
$
|
2,008
|
|
|
$
|
1,795
|
|
|
$
|
4,291
|
|
|
$
|
3,520
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
earnings4
|
|
$
|
1,420
|
|
|
$
|
1,163
|
|
|
$
|
3,124
|
|
|
$
|
2,320
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings
per share
|
|
$
|
5.00
|
|
|
$
|
4.05
|
|
|
$
|
11.00
|
|
|
$
|
8.07
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash generated
from (used for)
operations5
|
|
$
|
1,668
|
|
|
$
|
(72)
|
|
|
$
|
3,331
|
|
|
$
|
560
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1
|
Business segment
operating profit is a non-GAAP measure. See the Non-GAAP Financial
Measures section of this news release for more
information.
|
|
2
|
In the second quarter
and first six months of 2018, the corporation recorded severance
and restructuring charges totaling $96 million
($76 million, or $0.26 per share, after tax) associated with
planned workforce reductions and the consolidation of certain
operations at the
corporation's Rotary and Mission Systems business
segment.
|
|
3
|
In the first six
months of 2019, the corporation recognized a previously deferred
non-cash gain of $51 million ($38 million, or $0.13 per
share, after tax) related to properties sold in 2015 as a result of
completing its remaining obligations.
|
|
4
|
Net earnings in the
second quarter and first six months of 2019 include benefits of $15
million ($0.05 per share) and $90 million ($0.32 per
share), respectively, from additional tax deductions, based on
proposed tax regulations released on March 4, 2019, which clarified
that
foreign military sales qualify as foreign derived intangible
income. Approximately $65 million ($0.23 per share) of the total
benefit was
recorded discretely in the first quarter of 2019 because it relates
to the prior year.
|
|
5
|
Cash from operations
in the second quarter of 2018 is after pension contributions of
$2.0 billion. Cash from operations in the first six
months of 2018 is after pension contributions $3.5 billion and net
tax refunds of $406 million.
|
|
|
|
|
2019 Financial Outlook
The following table and other sections of this news release
contain forward-looking statements, which are based on the
corporation's current expectations. Actual results may differ
materially from those projected. It is the corporation's typical
practice not to incorporate adjustments into its financial outlook
for proposed acquisitions, divestitures, ventures, changes in law,
or new accounting standards until such items have been consummated,
enacted or adopted. For additional factors that may impact the
corporation's actual results, refer to the "Forward-Looking
Statements" section in this news release.
|
(in millions,
except per share data)
|
|
Current
Update3
|
|
April
Outlook3
|
|
|
|
|
|
|
|
|
|
Net sales
|
|
$58,250 -
$59,750
|
|
$56,750 -
$58,250
|
|
|
|
|
|
|
|
|
|
Business segment
operating profit
|
|
$6,325 -
$6,475
|
|
$6,100 -
$6,250
|
|
|
|
|
|
|
|
|
|
Net FAS/CAS pension
adjustment1
|
|
~$1,475
|
|
~$1,475
|
|
|
|
|
|
|
|
|
|
Diluted earnings per
share2
|
|
$20.85 -
$21.15
|
|
$20.05 -
$20.35
|
|
|
|
|
|
|
|
|
|
Cash from
operations
|
|
≥$7,600
|
|
≥$7,500
|
|
|
|
|
|
|
|
|
1
|
The net FAS/CAS
pension adjustment above is presented as a single amount and
includes expected 2019 U.S. Government cost
accounting standards (CAS) pension cost of approximately $2,565
million and expected financial accounting standards (FAS)
pension
expense of approximately $1,090 million. CAS pension cost and the
service cost component of FAS pension expense is included in
operating profit as part of cost of sales. The non-service cost
components of FAS pension expense are included in other
non-operating
expense, net in the corporation's consolidated statements of
earnings. For additional detail on the corporation's FAS/CAS
pension
adjustment see the supplemental table included at the end of this
news release.
|
|
2
|
Although the
corporation typically does not update its outlook for proposed
changes in law, the above includes the effect of recently
proposed tax regulations confirming that foreign military sales
(FMS) qualify for tax deductions for foreign derived intangible
income.
The corporation believes incorporating the effect of the proposed
regulations yields more accurate disclosure of the company's
expectations because the proposed regulations describe the tax
treatment of FMS sales in accordance with the corporation's
analysis
of the Internal Revenue Code.
|
|
3
|
The corporation's
financial outlook for 2019 does not include potential impacts to
the corporation's programs, including the F-35 program,
resulting from U.S. Government actions related to
Turkey.
|
|
Cash Activities
The corporation's cash activities in the second quarter of 2019
included the following:
- paying cash dividends of $622
million, compared to $570
million in the second quarter of 2018;
- repurchasing 0.6 million shares for $219
million, compared to 1.0 million shares for $310 million in the second quarter of 2018;
- making capital expenditures of $249
million, compared to $264
million in the second quarter of 2018;
- making net repayments of $400
million for commercial paper, compared to no net repayments
in the second quarter of 2018; and
- making no pension contributions, compared to pension
contributions of $2.0 billion in the
second quarter of 2018.
Segment Results
The corporation operates in four business segments organized
based on the nature of products and services offered: Aeronautics,
Missiles and Fire Control (MFC), Rotary and Mission Systems (RMS)
and Space. The following table presents summary operating results
of the corporation's business segments and reconciles these amounts
to the corporation's consolidated financial results.
|
(in millions)
|
|
Quarters
Ended
|
|
Six Months
Ended
|
|
|
|
|
June 30,
2019
|
|
June 24,
2018
|
|
June 30,
2019
|
|
June 24,
2018
|
|
|
Net
sales
|
|
|
|
|
|
|
|
|
|
|
Aeronautics
|
|
$
|
5,550
|
|
|
$
|
5,321
|
|
|
$
|
11,134
|
|
|
$
|
9,719
|
|
|
|
Missiles and
Fire Control
|
|
2,411
|
|
|
2,085
|
|
|
4,761
|
|
|
3,762
|
|
|
|
Rotary and
Mission Systems
|
|
3,768
|
|
|
3,566
|
|
|
7,530
|
|
|
6,789
|
|
|
|
Space
|
|
2,698
|
|
|
2,426
|
|
|
5,338
|
|
|
4,763
|
|
|
|
Total net
sales
|
|
$
|
14,427
|
|
|
$
|
13,398
|
|
|
$
|
28,763
|
|
|
$
|
25,033
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
profit
|
|
|
|
|
|
|
|
|
|
|
Aeronautics
|
|
$
|
592
|
|
|
$
|
572
|
|
|
$
|
1,177
|
|
|
$
|
1,046
|
|
|
|
Missiles and
Fire Control
|
|
327
|
|
|
279
|
|
|
744
|
|
|
540
|
|
|
|
Rotary and
Mission Systems
|
|
347
|
|
|
341
|
|
|
726
|
|
|
652
|
|
|
|
Space
|
|
288
|
|
|
274
|
|
|
622
|
|
|
538
|
|
|
|
Total business
segment operating profit
|
|
1,554
|
|
|
1,466
|
|
|
3,269
|
|
|
2,776
|
|
|
|
Unallocated
items
|
|
|
|
|
|
|
|
|
|
|
FAS/CAS
operating adjustment
|
|
512
|
|
|
451
|
|
|
1,024
|
|
|
902
|
|
|
|
Severance
and restructuring charges
|
|
—
|
|
|
(96)
|
|
|
—
|
|
|
(96)
|
|
|
|
Other,
net
|
|
(58)
|
|
|
(26)
|
|
|
(2)
|
|
|
(62)
|
|
|
|
Total
unallocated items
|
|
454
|
|
|
329
|
|
|
1,022
|
|
|
744
|
|
|
|
Total consolidated
operating profit
|
|
$
|
2,008
|
|
|
$
|
1,795
|
|
|
$
|
4,291
|
|
|
$
|
3,520
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net sales and operating profit of the corporation's business
segments exclude intersegment sales, cost of sales, and profit as
these activities are eliminated in consolidation. Operating profit
of the corporation's business segments includes the corporation's
share of earnings or losses from equity method investees as the
operating activities of the investees are closely aligned with the
operations of its business segments.
Operating profit of the corporation's business segments also
excludes the FAS/CAS operating adjustment described below, a
portion of corporate costs not considered allowable or allocable to
contracts with the U.S. Government under the applicable U.S.
government cost accounting standards (CAS) or federal acquisition
regulations (FAR), and other items not considered part of
management's evaluation of segment operating performance such as a
portion of management and administration costs, legal fees and
settlements, environmental costs, stock-based compensation expense,
retiree benefits, significant severance actions, significant asset
impairments, gains or losses from significant divestitures, and
other miscellaneous corporate activities.
The corporation recovers CAS pension cost through the pricing of
its products and services on U.S. Government contracts and,
therefore, recognizes CAS pension cost in each of its business
segment's net sales and cost of sales. The corporation's
consolidated financial statements must present pension and other
postretirement benefit plan expense calculated in accordance with
U.S. generally accepted accounting principles (referred to as FAS
pension expense). The operating portion of the net FAS/CAS pension
adjustment represents the difference between the service cost
component of FAS pension expense and CAS pension cost. The
non-service FAS pension cost component is included in other
non‑operating expense, net on the corporation's consolidated
statements of earnings. The net FAS/CAS pension adjustment
increases or decreases CAS pension cost to equal total FAS pension
expense (both service and non-service).
Changes in net sales and operating profit generally are
expressed in terms of volume. Changes in volume refer to increases
or decreases in sales or operating profit resulting from varying
production activity or service levels on individual contracts.
Volume changes in segment operating profit are typically based on
the current profit booking rate for a particular contract. In
addition, comparability of the corporation's segment sales,
operating profit and operating margin may be impacted favorably or
unfavorably by changes in profit booking rates on the corporation's
contracts for which it recognizes revenue over time using the
percentage-of-completion cost-to-cost method to measure progress
towards completion. Increases in profit booking rates, typically
referred to as risk retirements, usually relate to revisions in the
estimated total costs to fulfill the performance obligations that
reflect improved conditions on a particular contract. Conversely,
conditions on a particular contract may deteriorate, resulting in
an increase in the estimated total costs to fulfill the performance
obligations and a reduction in the profit booking rate. Increases
or decreases in profit booking rates are recognized in the current
period and reflect the inception-to-date effect of such
changes.
Segment operating profit and margin may also be impacted
favorably or unfavorably by other items, which may or may not
impact sales. Favorable items may include the positive resolution
of contractual matters, cost recoveries on severance and
restructuring charges, insurance recoveries and gains on sales of
assets. Unfavorable items may include the adverse resolution of
contractual matters; restructuring charges, except for significant
severance actions which are excluded from segment operating
results; reserves for disputes; certain asset impairments; and
losses on sales of certain assets.
The corporation's consolidated net adjustments not related to
volume, including net profit booking rate adjustments, represented
approximately 27 percent of total segment operating profit in the
second quarter of 2019 as compared to 32 percent in the second
quarter of 2018.
Aeronautics
|
(in millions)
|
|
Quarters
Ended
|
|
Six Months
Ended
|
|
|
|
|
June 30,
2019
|
|
June 24,
2018
|
|
June 30,
2019
|
|
June 24,
2018
|
|
|
Net
sales
|
|
$
|
5,550
|
|
|
$
|
5,321
|
|
|
$
|
11,134
|
|
|
$
|
9,719
|
|
|
|
Operating
profit
|
|
$
|
592
|
|
|
$
|
572
|
|
|
$
|
1,177
|
|
|
$
|
1,046
|
|
|
|
Operating
margin
|
|
10.7
|
%
|
|
10.7
|
%
|
|
10.6
|
%
|
|
10.8
|
%
|
|
Aeronautics' net sales in the second quarter of 2019 increased
$229 million, or 4 percent, compared
to the same period in 2018. The increase was primarily attributable
to higher net sales of approximately $205 million for the
F-35 program due to increased volume on production,
development and sustainment contracts.
Aeronautics' operating profit in the second quarter of 2019
increased $20 million, or 3 percent,
compared to the same period in 2018. Operating profit increased
approximately $15 million for the
F-35 program due to increased recurring volume on higher margin
production contracts, partially offset by lower risk retirements on
production and sustainment contracts. Adjustments not related to
volume, including net profit booking rate adjustments and other
matters, were $25 million lower in
the second quarter of 2019 compared to the same period in 2018.
Missiles and Fire Control
|
(in millions)
|
|
Quarters
Ended
|
|
Six Months
Ended
|
|
|
|
|
June 30,
2019
|
|
June 24,
2018
|
|
June 30,
2019
|
|
June 24,
2018
|
|
|
Net
sales
|
|
$
|
2,411
|
|
|
$
|
2,085
|
|
|
$
|
4,761
|
|
|
$
|
3,762
|
|
|
|
Operating
profit
|
|
$
|
327
|
|
|
$
|
279
|
|
|
$
|
744
|
|
|
$
|
540
|
|
|
|
Operating
margin
|
|
13.6
|
%
|
|
13.4
|
%
|
|
15.6
|
%
|
|
14.4
|
%
|
|
MFC's net sales in the second quarter of 2019 increased
$326 million, or 16 percent, compared
to the same period in 2018. The increase was primarily attributable
to higher net sales of approximately $195 million for tactical
and strike missile programs due to increased volume (primarily
precision fires, new hypersonic missile programs and classified
programs); and about $100 million for
sensors and global sustainment programs due to increased volume
(primarily the Special Operations Forces Global Logistics Support
Services (SOF GLSS) and Apache).
MFC's operating profit in the second quarter of 2019 increased
$48 million, or 17 percent, compared
to the same period in 2018. Operating profit increased
approximately $35 million for sensors
and global sustainment programs due to $65
million of charges recorded in the second quarter of 2018
which did not recur for performance matters on the Warrior
Capability Sustainment Program and higher volume (primarily
SOF GLSS and Apache), partially offset by current period
charges of $30 million for
performance matters on an international military program and lower
risk retirements (primarily Low Altitude Navigation and Targeting
Infrared for Night (LANTIRN®) and Sniper Advanced Targeting
Pod (SNIPER®)); and about $15
million for tactical and strike missile programs due to
higher volume (primarily precision fires). Adjustments not related
to volume, including net profit booking rate adjustments and other
matters, were comparable in the second quarter of 2019 to the same
period in 2018.
Rotary and Mission Systems
|
(in millions)
|
|
Quarters
Ended
|
|
Six Months
Ended
|
|
|
|
|
June 30,
2019
|
|
June 24,
2018
|
|
June 30,
2019
|
|
June 24,
2018
|
|
|
Net
sales
|
|
$
|
3,768
|
|
|
$
|
3,566
|
|
|
$
|
7,530
|
|
|
$
|
6,789
|
|
|
|
Operating
profit
|
|
$
|
347
|
|
|
$
|
341
|
|
|
$
|
726
|
|
|
$
|
652
|
|
|
|
Operating
margin
|
|
9.2
|
%
|
|
9.6
|
%
|
|
9.6
|
%
|
|
9.6
|
%
|
|
RMS' net sales in the second quarter of 2019 increased
$202 million, or 6 percent, compared to the same period in
2018. The increase was primarily attributable to higher net sales
of approximately $190 million for
integrated warfare systems and sensors (IWSS) programs due to
higher volume (primarily Multi Mission Surface Combatant (MMSC),
Littoral Combat Ship (LCS), and Aegis Combat System (Aegis)) and
about $95 million for various
training and logistics solutions (TLS) programs due to higher
volume. These increases were partially offset by a decrease of
approximately $115 million for
Sikorsky helicopter programs due to lower volume (primarily Black
Hawk production, the combat rescue helicopter program and
commercial aircraft services).
RMS' operating profit in the second quarter of 2019 was
comparable to the same period in 2018. Operating profit increased
approximately $60 million for IWSS
programs due to higher risk retirements (primarily Radar
Surveillance Systems, Aegis and LCS). This increase was partially
offset by a decrease of $60 million for TLS programs due to a
$60 million charge for an army
sustainment program. Adjustments not related to volume, including
net profit booking rate adjustments and other matters, were about
$40 million lower in the second quarter of 2019 compared to
the same period in 2018.
Space
|
(in millions)
|
|
Quarters
Ended
|
|
Six Months
Ended
|
|
|
|
|
June 30,
2019
|
|
June 24,
2018
|
|
June 30,
2019
|
|
June 24,
2018
|
|
|
Net
sales
|
|
$
|
2,698
|
|
|
$
|
2,426
|
|
|
$
|
5,338
|
|
|
$
|
4,763
|
|
|
|
Operating
profit
|
|
$
|
288
|
|
|
$
|
274
|
|
|
$
|
622
|
|
|
$
|
538
|
|
|
|
Operating
margin
|
|
10.7
|
%
|
|
11.3
|
%
|
|
11.7
|
%
|
|
11.3
|
%
|
|
Space's net sales in the second quarter of 2019 increased
$272 million, or 11 percent, compared
to the same period in 2018. The increase was primarily attributable
to higher net sales of approximately $170 million for
government satellite programs due to higher volume (primarily Next
Generation Overhead Persistent Infrared (Next Gen OPIR); Global
Positioning System (GPS) III; and government satellite services)
and about $70 million for strategic
and missile defense programs due to higher volume (primarily
hypersonic programs).
Space's operating profit in the second quarter of 2019 increased
$14 million, or 5 percent, compared
to the same period in 2018. Operating profit increased
approximately $35 million for
commercial satellite programs, which reflect a lower amount of
charges recorded for performance matters; and about
$30 million for government satellite programs due to higher
volume (primarily GPS III and government satellite services) and
higher risk retirements (primarily Advanced Extremely High
Frequency (AEHF) and GPS III). These increases were partially
offset by a decrease of approximately $35
million due to lower equity earnings for ULA driven by fewer
launches and about $20 million
for strategic and missile defense programs due to lower risk
retirements (primarily Fleet Ballistic Missiles). Adjustments not
related to volume, including net profit booking rate adjustments
and other matters, were about $15 million higher in the second
quarter of 2019, compared to the same period in 2018.
Total equity earnings recognized by Space (primarily ULA)
represented approximately $15 million, or 5 percent, of
Space's operating profit in the second quarter of 2019, compared to
approximately $50 million, or 18 percent, in the second
quarter of 2018.
Income Taxes
The corporation's effective income tax rate was
15.6 percent in the second quarter of 2019, compared to
18.1 percent in the second quarter of 2018. The rate for the
second quarter of 2019 benefited from additional tax deductions
based on proposed tax regulations released on March 4, 2019, which clarified that foreign
military sales qualify for foreign derived intangible income
treatment. The rates for both periods benefited from tax deductions
for dividends paid to the corporation's defined contribution plans
with an employee stock ownership plan feature, tax deductions for
foreign derived intangible income related to direct commercial
sales, tax deductions for employee equity awards, and the research
and development tax credit.
Use of Non-GAAP Financial Measures
This news release contains the following non-generally accepted
accounting principles (non-GAAP) financial measures (as defined by
U.S. Securities and Exchange Commission (SEC) Regulation G). While
the corporation believes that these non-GAAP financial measures may
be useful in evaluating the financial performance of Lockheed
Martin Corporation, this information should be considered
supplemental and is not a substitute for financial information
prepared in accordance with GAAP. In addition, the corporation's
definitions for non-GAAP financial measures may differ from
similarly titled measures used by other companies or analysts.
Business segment operating profit represents the total earnings
from the corporation's business segments before unallocated income
and expense. This measure is used by the corporation's senior
management in evaluating the performance of its business segments
and is a performance goal in the corporation's annual incentive
plan. Business segment operating margin is calculated by dividing
business segment operating profit by sales. The table below
reconciles the non-GAAP measure business segment operating profit
with the most directly comparable GAAP financial measure,
consolidated operating profit included in the corporation's 2019
financial outlook.
|
(in
millions)
|
|
2019 Financial
Outlook
|
|
|
|
|
Current
Update
|
|
April
Outlook
|
|
|
|
|
|
|
|
|
|
Business segment
operating profit (non-GAAP)
|
|
$6,325 -
$6,475
|
|
$6,100 -
$6,250
|
|
|
FAS/CAS operating
adjustment1
|
|
~2,050
|
|
~2,050
|
|
|
Other, net
|
|
~(115)
|
|
~(125)
|
|
|
Consolidated
operating profit (GAAP)
|
|
$8,260 -
$8,410
|
|
$8,025 -
$8,175
|
|
|
|
|
|
|
|
|
1
|
Refer to the
supplemental table "Other Financial and Operating Information"
included in this news release for a detail of the FAS/CAS
operating adjustment, which excludes $575 million of expected
non-service FAS cost that will be recorded in other non-operating
expense,
net.
|
|
Conference Call Information
Lockheed Martin Corporation will webcast live its second quarter
2019 earnings results conference call (listen-only mode) on
Tuesday, July 23, 2019, at 11:00 a.m.
ET. The live webcast and relevant financial charts will be
available for download on the Lockheed Martin Investor Relations
website at www.lockheedmartin.com/investor.
For additional information, visit our website:
www.lockheedmartin.com.
About Lockheed Martin
Headquartered in Bethesda,
Maryland, Lockheed Martin Corporation is a global security
and aerospace company that employs approximately 105,000 people
worldwide and is principally engaged in the research, design,
development, manufacture, integration and sustainment of advanced
technology systems, products and services.
Forward-Looking Statements
This news release contains statements that, to the extent they
are not recitations of historical fact, constitute forward-looking
statements within the meaning of the federal securities laws, and
are based on Lockheed Martin's current expectations and
assumptions. The words "believe," "estimate," "anticipate,"
"project," "intend," "expect," "plan," "outlook," "scheduled,"
"forecast" and similar expressions are intended to identify
forward-looking statements. These statements are not guarantees of
future performance and are subject to risks and uncertainties.
Actual results may differ materially due to factors such as:
- the corporation's reliance on contracts with the U.S.
Government, which are conditioned upon the availability of funding
and can be terminated by the U.S. Government for convenience, and
the corporation's ability to negotiate favorable contract
terms;
- budget uncertainty; affordability initiatives; the risk of
future sequestration under the Budget Control Act of 2011 or other
budget cuts; the impact of any future government shutdowns
(including the potential that the corporation works on unfunded
contracts to preserve their cost and/or schedule);
- risks related to the development, production, sustainment,
performance, schedule, cost and requirements of complex and
technologically advanced programs including the corporation's
largest, the F-35 program;
- economic, industry, business and political conditions including
their effects on governmental policy (including government actions
that disrupt our supply chain or prevent the sale or delivery of
the corporation's products, such as delays in obtaining
Congressional approvals for exports requiring Congressional
notification to the Kingdom of Saudi
Arabia, the United Arab
Emirates and Turkey and the
suspension of the sale of F-35 aircraft to Turkey and potential sanctions), or other
trade policies or sanctions (including potential sanctions on the
Kingdom of Saudi Arabia);
- the corporation's success expanding into and doing business in
adjacent markets and internationally; the differing risks posed by
international sales, including those involving commercial
relationships with unfamiliar customers and different cultures; its
ability to recover investments, which is frequently dependent upon
the successful operation of ventures that it does not control; and
changes in foreign national priorities, and foreign government
budgets;
- the competitive environment for the corporation's products and
services, including increased pricing pressures, aggressive pricing
in the absence of cost realism evaluation criteria, competition
from outside the aerospace and defense industry, and increased bid
protests;
- planned production rates for significant programs; compliance
with stringent performance and reliability standards; materials
availability;
- the performance and financial viability of key suppliers,
teammates, ventures, venture partners, subcontractors and
customers;
- the timing and customer acceptance of product deliveries;
- the corporation's ability to continue to innovate and develop
new products and to attract and retain key personnel and transfer
knowledge to new personnel; the impact of work stoppages or other
labor disruptions;
- the impact of cyber or other security threats or other
disruptions to the corporation's businesses;
- the corporation's ability to implement and continue and the
timing and impact of capitalization changes such as share
repurchases and dividend payments;
- timing and estimates regarding pension funding and the success
of the corporation's efforts to reduce volatility of its
outstanding pension obligations and to accelerate CAS cost recovery
and recover certain associated costs from the U.S. Government;
- the corporation's ability to recover certain costs under U.S.
Government contracts and changes in contract mix;
- the accuracy of the corporation's estimates and
projections;
- movements in interest rates and other changes that may affect
pension plan assumptions, equity, the level of the FAS/CAS
adjustment and actual returns on pension plan assets;
- realizing the anticipated benefits of acquisitions or
divestitures, ventures, teaming arrangements or internal
reorganizations, and the corporation's efforts to increase the
efficiency of its operations and improve the affordability of its
products and services;
- risk of an impairment of goodwill and intangible assets,
investments or other long-term assets, including the potential
impairment of goodwill, intangible assets and inventory recorded as
a result of the acquisition of the Sikorsky business and the
potential further impairment of its equity investment in Advanced
Military Maintenance, Repair and Overhaul Center LLC (AMMROC);
- the adequacy of the corporation's insurance and
indemnities;
- the effect of changes in (or in the interpretation of)
procurement and other regulations and policies affecting the
corporation's industry, including export of its products from the
U.S. and other countries, cost allowability or recovery, aggressive
government positions with respect to the use and ownership of
intellectual property and potential changes to the DoD's
acquisition regulations relating to progress payments and
performance-based payments and a preference for fixed-price
contracts;
- the effect of changes in accounting, taxation, or export laws,
regulations, and policies; and
- the outcome of legal proceedings, bid protests, environmental
remediation efforts, government investigations or government
allegations that the corporation has failed to comply with law,
other contingencies and U.S. Government identification of
deficiencies in the corporation's business systems.
These are only some of the factors that may affect the
forward-looking statements contained in this news release. For a
discussion identifying additional important factors that could
cause actual results to vary materially from those anticipated in
the forward-looking statements, see the corporation's filings with
the U.S. Securities and Exchange Commission including, but not
limited to, "Management's Discussion and Analysis of Financial
Condition and Results of Operations" and "Risk Factors" in the
corporation's Annual Report on Form 10-K for the year ended
Dec. 31, 2018 and subsequent quarterly reports on Form
10-Q. The corporation's filings may be accessed through the
Investor Relations page of its website,
www.lockheedmartin.com/investor, or through the website maintained
by the SEC at www.sec.gov.
The corporation's actual financial results likely will be
different from those projected due to the inherent nature of
projections. Given these uncertainties, forward-looking statements
should not be relied on in making investment decisions. The
forward-looking statements contained in this news release speak
only as of the date of its filing. Except where required by
applicable law, the corporation expressly disclaims a duty to
provide updates to forward-looking statements after the date of
this news release to reflect subsequent events, changed
circumstances, changes in expectations, or the estimates and
assumptions associated with them. The forward-looking statements in
this news release are intended to be subject to the safe harbor
protection provided by the federal securities laws.
Lockheed Martin
Corporation
|
|
|
|
|
|
|
|
|
Consolidated
Statements of Earnings1
|
|
|
|
|
|
|
|
|
(unaudited; in
millions, except per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Quarters
Ended
|
|
Six Months
Ended
|
|
|
|
June 30,
2019
|
|
June 24,
2018
|
|
June 30,
2019
|
|
June 24,
2018
|
Net
sales
|
|
$
14,427
|
|
$
13,398
|
|
$
28,763
|
|
$
25,033
|
Cost of
sales2
|
|
(12,434)
|
|
(11,645)
|
|
(24,582)
|
|
(21,622)
|
Gross
profit
|
|
1,993
|
|
1,753
|
|
4,181
|
|
3,411
|
Other income,
net3
|
|
15
|
|
42
|
|
110
|
|
109
|
Operating
profit
|
|
2,008
|
|
1,795
|
|
4,291
|
|
3,520
|
Interest
expense
|
|
(163)
|
|
(165)
|
|
(334)
|
|
(320)
|
Other non-operating
expense, net
|
|
(162)
|
|
(210)
|
|
(329)
|
|
(420)
|
Earnings before
income taxes
|
|
1,683
|
|
1,420
|
|
3,628
|
|
2,780
|
Income tax
expense4
|
|
(263)
|
|
(257)
|
|
(504)
|
|
(460)
|
Net
earnings
|
|
$
1,420
|
|
$
1,163
|
|
$
3,124
|
|
$
2,320
|
Effective tax
rate
|
|
15.6
%
|
|
18.1 %
|
|
13.9
%
|
|
16.5 %
|
|
|
|
|
|
|
|
|
|
|
Earnings per
common share
|
|
|
|
|
|
|
|
|
Basic
|
|
$
5.03
|
|
$
4.08
|
|
$
11.07
|
|
$
8.13
|
Diluted
|
|
$
5.00
|
|
$
4.05
|
|
$
11.00
|
|
$
8.07
|
|
|
|
|
|
|
|
|
|
|
Weighted average
shares outstanding
|
|
|
|
|
|
|
|
|
Basic
|
|
282.2
|
|
285.0
|
|
282.3
|
|
285.2
|
Diluted
|
|
283.9
|
|
287.1
|
|
284.1
|
|
287.5
|
|
|
|
|
|
|
|
|
|
|
Common shares
reported in stockholders' equity at end of period
|
|
|
|
|
281
|
|
283
|
|
|
|
|
|
|
|
|
|
|
1 The
corporation closes its books and records on the last Sunday of the
calendar quarter to align its financial closing with its
business
processes, which was on June 30 for
the second quarter of 2019 and June 24 for the second quarter of
2018. The consolidated
financial statements and tables of
financial information included herein are labeled based on that
convention. This practice only affects
interim periods, as the
corporation's fiscal year ends on Dec. 31.
|
2 In
the second quarter and first six months of 2018, the corporation
recorded severance and restructuring charges totaling
$96 million
($76 million, or $0.26 per
share, after tax) associated with planned workforce reductions and
the consolidation of certain operations at
the corporation's Rotary and Mission
Systems business segment.
|
3 In
the first six months of 2019, the corporation recognized a
previously deferred non-cash gain of $51 million ($38 million, or
$0.13 per
share, after tax) related to
properties sold in 2015 as a result of completing its remaining
obligations.
|
4 Net
earnings in the second quarter and first six months of 2019 include
benefits of $15 million ($0.05 per share) and $90 million
($0.32
per share), respectively, from
additional tax deductions, based on proposed tax regulations
released on March 4, 2019, which clarified
that foreign military sales qualify
as foreign derived intangible income. Approximately $65 million
($0.23 per share) of the total benefit
was recorded discretely in the first
quarter of 2019 because it relates to the prior year.
|
Lockheed Martin
Corporation
|
|
|
|
|
|
|
|
|
|
|
|
|
Business Segment
Summary Operating Results
|
|
|
|
|
|
|
|
|
|
|
(unaudited; in
millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Quarters
Ended
|
|
|
|
Six Months
Ended
|
|
|
|
|
|
June 30,
2019
|
|
June 24,
2018
|
|
%
Change
|
|
June 30,
2019
|
|
June 24,
2018
|
|
%
Change
|
Net
sales
|
|
|
|
|
|
|
|
|
|
|
|
|
Aeronautics
|
|
$
5,550
|
|
$
5,321
|
|
4 %
|
|
$
11,134
|
|
$
9,719
|
|
15 %
|
Missiles and
Fire Control
|
|
2,411
|
|
2,085
|
|
16 %
|
|
4,761
|
|
3,762
|
|
27 %
|
Rotary and
Mission Systems
|
|
3,768
|
|
3,566
|
|
6 %
|
|
7,530
|
|
6,789
|
|
11 %
|
Space
|
|
2,698
|
|
2,426
|
|
11 %
|
|
5,338
|
|
4,763
|
|
12 %
|
Total net
sales
|
|
$
14,427
|
|
$
13,398
|
|
8 %
|
|
$
28,763
|
|
$
25,033
|
|
15 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
profit
|
|
|
|
|
|
|
|
|
|
|
|
|
Aeronautics
|
|
$
592
|
|
$
572
|
|
3 %
|
|
$
1,177
|
|
$
1,046
|
|
13 %
|
Missiles and
Fire Control
|
|
327
|
|
279
|
|
17 %
|
|
744
|
|
540
|
|
38 %
|
Rotary and
Mission Systems
|
|
347
|
|
341
|
|
2 %
|
|
726
|
|
652
|
|
11 %
|
Space
|
|
288
|
|
274
|
|
5 %
|
|
622
|
|
538
|
|
16 %
|
Total
business segment operating profit
|
|
1,554
|
|
1,466
|
|
6 %
|
|
3,269
|
|
2,776
|
|
18 %
|
Unallocated
items
|
|
|
|
|
|
|
|
|
|
|
|
|
FAS/CAS
operating adjustment
|
|
512
|
|
451
|
|
|
|
1,024
|
|
902
|
|
|
Severance and restructuring charges 1
|
|
-
|
|
(96)
|
|
|
|
-
|
|
(96)
|
|
|
Other,
net 2
|
|
(58)
|
|
(26)
|
|
|
|
(2)
|
|
(62)
|
|
|
Total
unallocated items
|
|
454
|
|
329
|
|
38 %
|
|
1,022
|
|
744
|
|
37 %
|
Total
consolidated operating profit
|
|
$
2,008
|
|
$
1,795
|
|
12 %
|
|
$
4,291
|
|
$
3,520
|
|
22 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
margin
|
|
|
|
|
|
|
|
|
|
|
|
|
Aeronautics
|
|
10.7
%
|
|
10.7 %
|
|
|
|
10.6
%
|
|
10.8 %
|
|
|
Missiles and Fire
Control
|
|
13.6
%
|
|
13.4 %
|
|
|
|
15.6
%
|
|
14.4 %
|
|
|
Rotary and Mission
Systems
|
|
9.2
%
|
|
9.6 %
|
|
|
|
9.6
%
|
|
9.6 %
|
|
|
Space
|
|
10.7
%
|
|
11.3 %
|
|
|
|
11.7
%
|
|
11.3 %
|
|
|
Total
business segment operating margin
|
|
10.8
%
|
|
10.9 %
|
|
|
|
11.4
%
|
|
11.1 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total consolidated
operating margin
|
|
13.9
%
|
|
13.4 %
|
|
|
|
14.9
%
|
|
14.1 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1
|
In the second quarter
and first six months of 2018, the corporation recorded severance
and restructuring charges totaling $96 million
($76 million, or $0.26 per share, after tax) associated with
planned workforce reductions and the consolidation of certain
operations at
the corporation's Rotary and Mission Systems business
segment.
|
|
|
2
|
In the first six
months of 2019, the corporation recognized a previously deferred
non-cash gain of $51 million ($38 million, or $0.13
per share, after tax) related to properties sold in 2015 as a
result of completing its remaining obligations.
|
|
|
Lockheed Martin
Corporation
|
|
|
|
|
Consolidated
Balance Sheets
|
|
|
|
|
(in millions,
except par value)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
June 30,
2019
|
|
Dec. 31,
2018
|
|
|
|
(unaudited)
|
|
|
Assets
|
|
|
|
|
Current
assets
|
|
|
|
|
Cash and cash
equivalents
|
|
$
1,167
|
|
$
772
|
Receivables,
net
|
|
2,546
|
|
2,444
|
Contract
assets
|
|
10,388
|
|
9,472
|
Inventories
|
|
3,599
|
|
2,997
|
Other current
assets
|
|
400
|
|
418
|
Total current
assets
|
|
18,100
|
|
16,103
|
|
|
|
|
|
Property, plant and
equipment, net
|
|
6,170
|
|
6,124
|
Goodwill
|
|
10,775
|
|
10,769
|
Intangible assets,
net
|
|
3,351
|
|
3,494
|
Deferred income
taxes
|
|
3,163
|
|
3,208
|
Other noncurrent
assets1
|
|
6,281
|
|
5,178
|
Total
assets
|
|
$
47,840
|
|
$
44,876
|
|
|
|
|
|
Liabilities and
equity
|
|
|
|
|
Current
liabilities
|
|
|
|
|
Accounts
payable
|
|
$
2,611
|
|
$
2,402
|
Contract
liabilities
|
|
6,766
|
|
6,491
|
Salaries, benefits
and payroll taxes
|
|
2,077
|
|
2,122
|
Current maturities of
long-term debt and commercial paper
|
|
900
|
|
1,500
|
Other current
liabilities1
|
|
2,778
|
|
1,883
|
Total current
liabilities
|
|
15,132
|
|
14,398
|
|
|
|
|
|
Long-term debt,
net
|
|
12,637
|
|
12,604
|
Accrued pension
liabilities
|
|
11,426
|
|
11,410
|
Other postretirement
benefit liabilities
|
|
688
|
|
704
|
Other noncurrent
liabilities1
|
|
5,061
|
|
4,311
|
Total
liabilities
|
|
44,944
|
|
43,427
|
|
|
|
|
|
|
Stockholders'
equity
|
|
|
|
|
Common stock, $1 par
value per share
|
|
281
|
|
281
|
Additional paid-in
capital
|
|
-
|
|
-
|
Retained
earnings
|
|
16,408
|
|
15,434
|
Accumulated other
comprehensive loss
|
|
(13,839)
|
|
(14,321)
|
Total stockholders'
equity
|
|
2,850
|
|
1,394
|
Noncontrolling
interests in subsidiary
|
|
46
|
|
55
|
Total
equity
|
|
2,896
|
|
1,449
|
Total liabilities and
equity
|
|
$
47,840
|
|
$
44,876
|
|
|
|
|
|
|
1 Effective
Jan. 1, 2019, the corporation adopted Accounting Standards Update
(ASU) 2016-02, Leases
(Topic 842). As of June 30, 2019,
right-of-use operating lease assets were $971 million and
operating
lease liabilities were $1.1 billion.
Approximately $815 million of operating lease liabilities were
classified
as noncurrent. There was no impact to the
corporation's consolidated statements of earnings or cash
flows as a result of adopting this
standard. The 2018 periods were not restated for the adoption of
ASU
2016-02.
|
Lockheed Martin
Corporation
|
|
|
|
|
Consolidated
Statements of Cash Flows
|
|
|
|
|
(unaudited; in
millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months
Ended
|
|
|
|
June 30,
2019
|
|
June 24,
2018
|
Operating
activities
|
|
|
|
|
Net
earnings
|
|
$
3,124
|
|
$
2,320
|
Adjustments to
reconcile net earnings to net cash provided by operating
activities
|
|
|
|
|
Depreciation
and amortization
|
|
565
|
|
566
|
Stock-based
compensation
|
|
104
|
|
98
|
Severance and
restructuring charges
|
|
-
|
|
96
|
Gain on
property sale
|
|
(51)
|
|
-
|
Changes in
assets and liabilities
|
|
|
|
|
Receivables,
net
|
|
(102)
|
|
(217)
|
Contract
assets
|
|
(916)
|
|
(1,289)
|
Inventories
|
|
(602)
|
|
(160)
|
Accounts
payable
|
|
237
|
|
1,224
|
Contract
liabilities
|
|
275
|
|
(615)
|
Postretirement
benefit plans
|
|
552
|
|
(2,790)
|
Income
taxes
|
|
112
|
|
928
|
Other,
net
|
|
33
|
|
399
|
Net cash
provided by operating activities
|
|
3,331
|
|
560
|
|
|
|
|
|
Investing
activities
|
|
|
|
|
Capital
expenditures
|
|
(533)
|
|
(480)
|
Other, net
|
|
25
|
|
151
|
Net cash used for
investing activities
|
|
(508)
|
|
(329)
|
|
|
|
|
|
Financing
activities
|
|
|
|
|
Dividends
paid
|
|
(1,260)
|
|
(1,156)
|
Repurchases of common
stock
|
|
(500)
|
|
(610)
|
Repayments of
commercial paper, net
|
|
(600)
|
|
-
|
Other, net
|
|
(68)
|
|
(145)
|
Net cash used for
financing activities
|
|
(2,428)
|
|
(1,911)
|
|
|
|
|
|
Net change in cash
and cash equivalents
|
|
395
|
|
(1,680)
|
Cash and cash
equivalents at beginning of period
|
|
772
|
|
2,861
|
Cash and cash
equivalents at end of period
|
|
$
1,167
|
|
$
1,181
|
Lockheed Martin
Corporation
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated
Statement of Equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(unaudited; in
millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common
Stock
|
|
Additional
Paid-in
Capital
|
|
Retained
Earnings
|
|
Accumulated
Other
Comprehensive
Loss
|
|
Total
Stockholders'
Equity
|
|
Noncontrolling
Interests
in Subsidiary
|
|
Total
Equity
|
Balance at Dec.
31, 2018
|
|
$
281
|
|
$
-
|
|
$
15,434
|
|
$
(14,321)
|
|
$
1,394
|
|
$
55
|
|
$
1,449
|
Net
earnings
|
|
-
|
|
-
|
|
3,124
|
|
-
|
|
3,124
|
|
-
|
|
3,124
|
Other comprehensive
income, net of tax1
|
|
-
|
|
-
|
|
-
|
|
482
|
|
482
|
|
-
|
|
482
|
Repurchases of common
stock
|
|
(2)
|
|
(220)
|
|
(278)
|
|
-
|
|
(500)
|
|
-
|
|
(500)
|
Dividends
declared2
|
|
-
|
|
-
|
|
(1,872)
|
|
-
|
|
(1,872)
|
|
-
|
|
(1,872)
|
Stock-based awards,
ESOP activity and
other
|
|
2
|
|
220
|
|
-
|
|
-
|
|
222
|
|
-
|
|
222
|
Net decrease in
noncontrolling interests in
subsidiary
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(9)
|
|
(9)
|
Balance at June
30, 2019
|
|
$
281
|
|
$
-
|
|
$
16,408
|
|
$
(13,839)
|
|
$
2,850
|
|
$
46
|
|
$
2,896
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 Primarily
represents the reclassification adjustment for the recognition of
prior period amounts related to pension and other postretirement
benefit plans.
|
2 Represents
dividends of $2.20 per share declared for each of the first, second
and third quarters of 2019. In the second quarter, the corporation
declared the second and third
quarter dividends. However, the
third quarter dividend will be paid in Sept. 2019.
|
Lockheed Martin
Corporation
|
|
|
|
|
|
|
|
|
Other Financial
and Operating Information
|
|
|
|
|
|
|
|
|
(unaudited; in
millions, except aircraft deliveries and weeks)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2019
Outlook
|
|
2018
Actual
|
Total FAS expense
and CAS costs
|
|
|
|
|
|
|
|
|
FAS
pension expense
|
|
|
|
|
|
$
(1,090)
|
|
$
(1,431)
|
Less:
CAS pension cost
|
|
|
|
|
|
2,565
|
|
2,433
|
Net FAS/CAS pension
adjustment
|
|
|
|
|
|
$
1,475
|
|
$
1,002
|
|
|
|
|
|
|
|
|
|
Service and
non-service cost reconciliation
|
|
|
|
|
|
|
|
|
FAS
pension service cost
|
|
|
|
|
|
$
(515)
|
|
$
(630)
|
Less:
CAS pension cost
|
|
|
|
|
|
2,565
|
|
2,433
|
FAS/CAS operating
adjustment
|
|
|
|
|
|
2,050
|
|
1,803
|
Non-operating FAS pension cost1
|
|
|
|
|
|
(575)
|
|
(801)
|
Net FAS/CAS pension
adjustment
|
|
|
|
|
|
$
1,475
|
|
$
1,002
|
|
|
|
|
|
|
|
|
|
|
1 The corporation records the non-service cost
components of FAS pension expense as part of other non-operating
expense, net in the
consolidated statements of earnings. The
non-service cost components in the table above relate only to the
corporation's qualified defined benefit
pension plans. The corporation expects total
non-service costs for its qualified defined benefit pension plans
in the table above, along with non-
service costs for its other postretirement
benefit plans of $115 million, to total $690 million for 2019. The
corporation recorded non-service costs
for its other postretirement benefit plans of
$67 million in 2018, in addition to its total non-service costs for
its qualified defined benefit pension
plans in the table above, for a total of $868
million in 2018.
|
|
|
|
|
|
|
|
|
|
|
Backlog
|
|
|
|
|
|
June 30,
2019
|
|
Dec. 31,
2018
|
Aeronautics
|
|
|
|
|
|
$
51,906
|
|
$
55,601
|
Missiles and Fire
Control
|
|
|
|
|
|
26,237
|
|
21,363
|
Rotary and Mission
Systems
|
|
|
|
|
|
32,309
|
|
31,320
|
Space
|
|
|
|
|
|
26,231
|
|
22,184
|
Total
backlog
|
|
|
|
|
|
$
136,683
|
|
$
130,468
|
|
|
|
|
|
|
|
|
|
|
|
|
Quarters
Ended
|
|
Six Months
Ended
|
Aircraft
Deliveries
|
|
June 30,
2019
|
|
June 24,
2018
|
|
June 30,
2019
|
|
June 24,
2018
|
F-35
|
|
29
|
|
25
|
|
55
|
|
39
|
C-130J
|
|
8
|
|
8
|
|
13
|
|
11
|
C-5
|
|
-
|
|
2
|
|
-
|
|
3
|
Government helicopter
programs
|
|
26
|
|
29
|
|
41
|
|
47
|
Commercial helicopter
programs
|
|
-
|
|
-
|
|
-
|
|
1
|
International
military helicopter programs
|
|
1
|
|
-
|
|
3
|
|
1
|
|
|
|
|
|
|
|
|
|
Number of Weeks in
Reporting Period
|
|
|
|
|
|
2019
|
|
2018
|
First
quarter
|
|
|
|
|
|
13
|
|
12
|
Second
quarter
|
|
|
|
|
|
13
|
|
13
|
Third
quarter
|
|
|
|
|
|
13
|
|
14
|
Fourth
quarter
|
|
|
|
|
|
13
|
|
13
|
View original
content:http://www.prnewswire.com/news-releases/lockheed-martin-reports-second-quarter-2019-results-300889003.html
SOURCE Lockheed Martin