Lockheed Martin, the Pentagon’s top weapons supplier, has reported a quarterly profit that handily beat analysts’ expectations, as sales of its Sikorsky helicopters pushed total revenue up 14.8 per cent.
The company also raised its adjusted profit and sales outlook for the year.
Lockheed shares were up 1.4 per cent in premarket trading on Tuesday.
The company said third-quarter sales in its rotary and mission systems business unit jumped 55 per cent to US$3.35 billion, which included about $1.2bn from sales of Sikorsky military and commercial helicopters. Lockheed completed the $9bn acquisition of Sikorsky from United Technologies in June.
According to Reuters calculations, the company’s income from continuing operations was $3.27 per share, versus the average analyst estimate of $2.87.
Net income more than doubled to $2.4bn, or $7.93 per share, in the third quarter ended September 25, from $865 million, or $2.77 per share, a year earlier.
Net income included a one-time special cash payment of $1.8bn from the company’s $5bn tax-free deal to merge its information systems business with Leidos Holdings earlier this year.
The company said it raised its adjusted outlook 2016 profit forecast of $11.15-11.45 per share to $12.10, and adjusted sales of $45bn to $46.2bn to $46.5bn.
Net sales rose to $11.55bn from $10.06bn a year earlier.
* Reuters
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