Two defense contractors posted divergent earnings Tuesday, with profits rising at
and falling, before items, at
Bethesda, Md.-based Lockheed earned $250 million, or 55 cents a share, in its first quarter compared with $218 million, or 49 cents a share, a year earlier. Sales rose 18% to $7.1 billion on a 57% jump in sales in its aeronautics segment. Analysts were forecasting earnings of 42 cents.
Among segments, the company's system integration division had sales of $2.2 billion in the quarter, up from $2.1 billion; its aeronautics division had sales of $2.1 billion, up from $1.3 billion; its space systems division had sales of $2.1 billion, up from $1.9 billion; and its technology services division had sales of $687 million, up from $670 million.
The company also raised its full-year guidance to $2.20 to $2.30 a share from $2.15 to $2.20 a share, citing lower interest and pension costs.
Meanwhile, Raytheon said it earned $95 million, or 23 cents a share, in the first quarter, with earnings from continuing operations coming in at $111 million, or 27 cents a share. It lost $583 million, or $1.44 a share, a year ago, but had earnings from continuing operations of $149 million, or 37 cents a share. Net sales rose to $4.2 billion from $3.9 billion.
The latest quarter was weighed down with pension costs that reduced earnings by 14 cents a share, year over year.
Among segments, its integrated defense systems unit had first quarter 2003 net sales of $654 million, up 11%; its intelligence and information systems unit had sales of $462 million, up 11%; its missile systems unit had sales of $857 million, up 18%;its network centric systems unit had net sales were $771 million, up 3%; and its space and airborne systems had net sales were $894 million, up 26%.
Raytheon was recently up 3.5% to $29.85. Lockheed was gaining 7% to $48.41.