Lockheed Martin COO: We are probably at the beginning of a 3-to-5-year surge in defense spending

Defense Spending & Market Trends - Lockheed Martin's COO anticipates a 3 to 5 year surge in defense spending, particularly in Europe [2] - European countries are beginning to implement budgets reflecting the demand for deterrence capabilities [3] - The US is also showing increases in domestic defense spending [3] Missile Defense System - Lockheed Martin is participating in bringing President Trump's vision of a Golden Dome missile defense system to fruition [5] - A basic missile defense capability could be fielded within a couple of years [7] - More advanced threat deterrence, such as space-based interceptors, are being developed in parallel [7] Drone Threat & Countermeasures - Larger drone threats are being handled by existing systems operating in the Middle East [7] - Lockheed Martin is actively developing laser weapon systems and high-powered microwaves to counter smaller drone threats [7] Financial Outlook - Lockheed Martin issued cautious guidance after Q1 due to uncertainty about executive orders and trade war implications [8] - Greater clarity on program issues and the budget for 2025-2026 reconciliation is expected around June-July [9] F-35 Validation - The F-35 is proving itself as the "quarterback of the battlefield" due to its sensing, command and control, and data fusion capabilities [10] - The F-35 is being utilized in the Red Sea and Southwest Asia [10] - 200 new processor configuration F-35s have been delivered since the last meeting at Farnborough [11]