LMT · 10-Q · 2026Q2 · Full report

Inflationary Cost Pressures

LOCKHEED MARTIN CORP · 2026-07-23 · Importance 29 · Surprise 24

Elevated inflation, supply chain delays, supplier shortages and workforce limitations have increased costs and created potential delivery and performance challenges for Lockheed Martin, its suppliers and customers. The company specifically warns that significant supply chain issues or high inflation could adversely affect profits, margins and cash flows, particularly on existing fixed-price contracts. Management is mitigating these pressures through long-term contracts, alternative sourcing, customer collaboration, supply-chain digital transformation and workforce development.