Fourth-quarter net earnings were $1.3 billion, or $5.80 per share, compared with $527 million, or $2.22 per share, in the prior-year period that included losses tied to classified programs. Cash from operations reached $8.6 billion for the full year, with free cash flow of $6.9 billion after an $860 million pension contribution that fulfilled a 2026 obligation.
“With a record $194 billion backlog, 6% year-over-year sales growth, and free cash flow generation above our prior expectation, 2025 marked a year of unprecedented demand for Lockheed Martin capabilities,” said Jim Taiclet, chairman, president and chief executive officer of Lockheed Martin. He said demand was driven by combat-proven performance, noting that during Operation Absolute Resolve, F-35 and F-22 fighter jets, RQ-170 stealth drones and Sikorsky Black Hawk helicopters “were decisive contributors to enable American soldier, sailors, marines, and airmen to successfully execute extremely difficult missions and return safely.”
Taiclet said the company invested more than $3.5 billion in 2025 to expand production capacity and advance next-generation technologies. “Having long advocated for a new way of doing business between government and industry, we are well positioned to perform under the Department of War’s Acquisition Transformation Strategy,” he said, citing a seven-year framework agreement for PAC-3 missiles and ongoing cooperation with the Department of War and Congress.
