Lockheed Martin Reports 80% Drop in Second-Quarter Profit

BENGALURU, India — Lockheed Martin reported a significant decline in its second-quarter profit on Tuesday, with a drop of about 80% linked to a pre-tax loss of $1.6 billion. The losses were primarily attributed to a classified program within its Aeronautics segment.

The defense giant’s shares fell by 8% in premarket trading following the announcement. Lockheed Martin’s net income decreased to $342 million, or $1.46 per share, compared to $1.64 billion, or $6.85 per share, from the same period last year.

Lockheed Martin indicated that the financial hit was due to complications in its Aeronautics operations and certain international helicopter programs under its Sikorsky unit. This major charge has raised concerns among investors about the stability of the company’s future performance.

“We are committed to resolving these issues in our classified programs and returning to growth,” said a spokesperson from Lockheed Martin. The company’s leadership is focused on strategies that can recover customer trust and financial stability.

As the largest U.S. defense contractor, Lockheed Martin’s performance is often seen as an indicator of broader trends within the defense sector. Analysts will be closely watching how the company navigates these challenges in the upcoming quarters.