Net earnings in the three-month period that ended on 26 June 2022 were $309m, or $1.16 per share. The figure was $1.8bn, or $6.52 per share, in the same quarter a year ago.
The company said that net earnings included non-operational charges of $1.7bn ($1.4bn after-tax).
The drop in revenue was due to supply chain impacts and the timing of customer contract negotiations.
Cash from operations stood at $1.3bn in the second quarter and free cash flow was $1bn.
Among Lockheed Martin’s business segments, Aeronautics net sales decreased $804m, or 12% against the same period last year. Despite this, the segment’s operating profits increased by 7%.
The company’s Missiles and Fire Control (MFC) unit also saw a $197m decrease in net sales.
Net sales of Rotary and Mission Systems dropped by $230m or 5%, compared to the same period in the year prior.
In the Space segment, the company’s net sales decreased $352m. The segment also reported a 20% dip in operating profits during the quarter.
Lockheed Martin chairman, president, and CEO James Taiclet said: “Lockheed Martin continued to deliver strong and consistent cash generation, returning over $1bn in cash to shareholders in the second quarter through our industry leading dividend and our ongoing share repurchase programme.
“Our robust cash generation also continues to provide the resources to invest in building the foundation for future revenue and margin growth opportunities through our classified programme capex projects, hypersonics development efforts, and our 21st century Security and Internal Digital Transformation initiatives.”
On its 2022 financial outlook, the company expects to generate net sales of $65.25bn.
In June this year, Lockheed Martin supplied the first five Sentinel A4 radars to the STARE Project Office of the US Army Sentinel Product Office.