No 1 US defence contractor Lockheed Martin Corp on Tuesday posted a 16-percent rise in first-quarter profit and raised its 2004 outlook on soaring demand for its combat aircraft and government information technology services.
All five of Lockheed's business units posted higher earnings and sales as the US-led war in Iraq boosted defence spending and on upgraded military technology and satellite launches.
Lockheed shares rose 3 percent in early trading.
"We had an outstanding quarter with lots of deliveries," said Lockheed's Chief Financial Officer Chris Kubasik in an interview.
He said the company sent out a total of 19 F-16s fighters and C-130J transport planes, compared with a total of six last year.
Bethesda, Maryland-based Lockheed posted earnings of $291 million, or 65 cents per share, compared with $250 million, or 55 cents per share, in the year-ago quarter.
Sales rose 18 percent to $8.35 billion, compared with analysts' forecast of $7.73 billion.
The company also said that operating profit margins rose to 8 percent in the first quarter, from 7.8 percent a year ago. That's the highest first-quarter level in five years, according to Kubasik.
Looking ahead, Lockheed said it expected 2004 earnings of $2.50 to $2.60 per share, on revenue of $33.80 billion to $34.80 billion. That's up from its earlier forecast of $2.40 to $2.50 per share, on revenue of $33.50 billion to $34.50 billion.