LMT · 10-Q · 2026Q2 · Full report
U.S. Budget and Procurement Uncertainty
LOCKHEED MARTIN CORP · 2026-07-23 · Importance 29 · Surprise 24 · In source text
Management expects the federal budget, potential tax-law changes and regulatory environment to remain subject to debate and compromise amid political tensions, inflation and broader macroeconomic conditions. Shifting funding priorities could materially affect defense spending and Lockheed Martin programs. Administration reviews of government-wide and defense-specific staffing, procurement methods, mission priorities and program performance could affect current and future business prospects, but the timing and outcome remain uncertain.
Key facts
- The One Big Beautiful Bill Act (the Tax Act), signed into law on July 4, 2025, provides more than $150 billion of additional mandatory funding for Defense available through September 30, 2029. source
- The National Defense Authorization Act (NDAA) for FY 2026 authorizes $901 billion for national defense. source
- The Consolidated Appropriations Act, 2026 provided $839.2 billion of discretionary funding for national defense through September 30, 2026, an increase of $8.4 billion over the President’s FY2026 Budget Request. source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| revenue | positive | committed | — | The One Big Beautiful Bill Act (the Tax Act), signed into law on July 4, 2025, provides more than $150 billion of additional mandatory… |
| revenue | positive | probable | — | The National Defense Authorization Act (NDAA) for FY 2026 authorizes $901 billion for national defense. |
| revenue | positive | committed | — | The Consolidated Appropriations Act, 2026 provided $839.2 billion of discretionary funding for national defense through September 30,… |