Aircraft maker Lockheed Martin Corporation (NYSE:LMT) lost altitude in pre-market trading after earnings guidance for the current year did not land well.
The shares were off 3.5% at US$248.43 in screen-based trading as the company indicated earnings per share (EPS) for the current year will be somewhere between US$12.25 and US$12.55.
Even the top end of the range failed to get adjacent to market expectations, which prior to this morning’s announcement were for EPS of US$12.87.
The aerospace firm said revenue would likely land somewhere between US$49.4bn and US$50.bn in 2016, comfortably meeting the Street’s expectation of US$49.59bn.
For the quarter just ended, Lockheed reported net sales of US$13.8bn, up from US$11.5bn a year earlier.
Underlying EPS in the fourth quarter of 2016 was US$3.25 a share, versus US$2.63 a year earlier.
"Looking ahead to 2017, we remain focused on meeting commitments to customers, pursuing new business growth opportunities, investing in innovative solutions to drive affordability and prepare for the future, and returning value to our shareholders,” said Marillyn Hewson, who is not only chairman and president but also chief executive officer of Lockheed Martin.