June 2008 -- Lockheed Martin Corp. announced $3 billion in net earnings for 2007, compared with $2.5 billion in 2006. Net sales increased by $2.3 billion to $41.9 billion for the year, with cash from operations up $400 million from the $3.8 billion reported in 2006. Return on Invested Capital (ROIC) was 21.4% compared to 19.2% in 2006.
The company ended the year with net earnings of $799 million in the fourth quarter 2007, which exceeded the $729 million Lockheed Martin reported the same quarter in 2006. Net sales of $10.8 billion for the quarter matched fourth-quarter sales a year prior, while cash from operations rose $87 million in 2007 to $420 million. Bob Stevens, chairman, president and CEO of Lockheed Martin said in a prepared statement he was pleased with the company's performance across the board in 2007.
"Our program execution was solid, we won important new business and we continued to shape a balanced business portfolio—all while achieving outstanding financial performance,” Stevens said. “This success is a tribute to our dedicated and talented employees who understand the important challenges that face our customers."
Challenges were faced in all four of Lockheed Martin's business segments in 2007, however net sales improved in each. The company's information systems and global services segment (IS&GS) led sales with a 14% jump for the year, followed by electronic systems (up 6%), space systems (up 4%) and aeronautics, which lost 11% in the fourth quarter but still finished the year up 1%.
