Supplier Delays Force Lockheed Martin to Lower F-35 Jet Delivery Outlook

Supplier Delays Force Lockheed Martin to Lower F-35 Jet Delivery Outlook

Time Stamp: September 8, 2023 2:01 PM
Source Node: 2869713

The American weapons manufacturer and aerospace company Lockheed Martin was recently forced to cut its full-year delivery forecast of its F-35 jets September 6. The lowered outlook was caused by delays at supplier L3Harris Technologies, which had to postpone the development of an upgraded version of the aircraft, according to Reuters.

Lockheed Martin is now expecting to deliver 97 aircraft this year that run on existing technology, the company said in a filing, down from the previous forecast of 100 to 120 jets. Despite the decrease in deliveries, the company maintained its yearly financial outlook for 2023.

“We have updated our F-35 TR-3 schedule projections with a first TR-3 aircraft delivery between April and June 2024,” Lockheed said. “The development of the Integrated Core Processor (ICP) by L3Harris has driven delays due to unexpected challenges associated with hardware and software development, component and system integration testing and system qualification testing.”

Previously, Lockheed Martin was expecting to deliver its first F-35 jets by the end of 2023.

The delays caused Lockheed Martin’s stock to fall by 4.7% on September 6 while L3Harris’ shares experienced a 1.3% decline on the same day.

In an emailed response, L3Harris said it was able to overcome early design challenges and deliver a fully qualifiable ICP to Lockheed Martin over a year ago.

“We continue to work closely with Lockheed to support them in the integration of their software into the TR3 hardware. L3Harris remains fully committed to the F-35 program,” the company said.

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