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UPM Interim Report Q1 2025: Good start to the year with actions to sharpen competitiveness

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HELSINKI, April 24, 2025 /PRNewswire/ — UPM-Kymmene Corporation Stock Exchange Release (Interim report) April 24, 2025 at 09:50 EEST

UPM Interim Report Q1 2025: Good start to the year with actions to sharpen competitiveness

Q1 2025 highlights

Sales totaled €2,646 million (2,640 million in Q1 2024)Comparable EBIT decreased by 14% to €287 million, 10.8% of sales (333 million, 12.6%)Operating cash flow was €289 million (335 million)Gradually improving markets in pulp and advanced materialsActions to sharpen competitiveness started to bear fruitUPM acquired Metamark, a UK-based company, to accelerate UPM Raflatac’s growthUPM Communication Papers announced a plan to reduce paper capacity in Germany and streamline its structureUPM commenced a share buy-back program and repurchased 6 million shares for a total of approximately €160 millionUPM was listed as the only forest and paper industry company in the Dow Jones Global and European Sustainability Indices (DJSI) for the years 2024-2025UPM was recognized among the top sustainability performers by CDP and S&P Global

Key figures

Q1/2025

Q1/2024

Q4/2024

Q1-Q4/2024

Sales, € million

2,646

2,640

2,632

10,339

Comparable EBITDA, € million

421

489

436

1,734

% of sales

15.9

18.5

16.5

16.8

Operating profit (loss), € million

198

354

-105

604

Comparable EBIT, € million

287

333

418

1,224

% of sales

10.8

12.6

15.9

11.8

Profit (loss) before tax, € million

173

332

-131

500

Comparable profit before tax, € million

262

311

392

1,123

Profit (loss) for the period, € million

143

279

-95

463

Comparable profit for the period, € million

223

258

328

953

Earnings per share (EPS), €

0.26

0.51

-0.19

0.82

Comparable EPS, €

0.41

0.47

0.61

1.74

Return on equity (ROE), %

5.2

9.6

-3.4

4.0

Comparable ROE, %

8.1

8.9

11.5

8.3

Return on capital employed (ROCE), %

5.5

9.6

-2.6

4.1

Comparable ROCE, %

7.9

9.1

11.1

8.2

Operating cash flow, € million

289

335

570

1,352

Operating cash flow per share, €

0.54

0.63

1.07

2.54

Equity per share at the end of period, €

19.29

21.42

20.89

20.89

Capital employed at the end of period, € million

14,449

15,028

15,452

15,452

Net debt at the end of period, € million

2,954

2,312

2,869

2,869

Net debt to EBITDA (last 12 months)

1.77

1.46

1.66

1.66

Personnel at the end of period                                                        .

15,890

16,132

15,827

15,827

UPM presents certain measures of performance, financial position and cash flows, which are alternative performance measures in accordance with the guidance issued by the European Securities and Markets Authority (ESMA). The definitions of alternative performance measures are presented in » UPM Annual Report 2024

Massimo Reynaudo, President and CEO, comments on the results:

“We had a good start to the year and improved performance compared to the previous quarter. Markets were gradually recovering in pulp and advanced materials, while our actions to sharpen competitiveness started to bear fruit in several businesses. We made progress towards our growth ambition with the acquisition of Metamark, and we completed our first share buy-back program by early April.

In Q1, our sales were €2,646 million, broadly in line with the preceding quarter as well as with Q1 2024. Comparable EBIT was €287 million, down 14% from last year’s corresponding quarter. Operating cash flow was €289 million. Our financial position continues to be solid, with net debt to EBITDA ratio of 1.77 at the end of March.

UPM Fibres delivered solid results. In Uruguay, our pulp production and logistics infrastructure are now fully operational, driving production costs lower. In Finland, despite the unsustainably high wood prices we continued to operate profitably thanks to our new operating model and efficient mills. Average pulp prices were cyclically low, although market prices increased slightly during the quarter.

In advanced materials, markets for self-adhesive label materials continued to grow moderately. UPM Raflatac captured its share of the growth, and the efficiency measures started to bear fruit. UPM Specialty Papers showed robust performance and benefited from lower production costs. UPM Plywood delivered steady results.

In decarbonization solutions, the market conditions continued to be challenging. In UPM Energy, the high season of the electricity market was muted by the mild winter and high hydro reservoirs in the Nordic countries. UPM Biofuels took a step towards restoring profitability with solid deliveries and decreased variable costs.

In UPM Biochemicals, the sequential start-up of the Leuna biorefinery continued and we expect to start the integrated commercial production in H2 2025. Commercial interest in the products and side streams is confirmed with an opportunity pipeline multiple times the annual capacity of the refinery.

In UPM Communication Papers performance was steady, deliveries and prices were down sequentially. We continued to safeguard our future performance with new efficiency measures and the planned closure of UPM Ettringen paper mill in Germany, which would reduce the annual capacity of uncoated mechanical paper by 270,000 tonnes during July 2025.

Towards the end of Q1, the uncertainty of the business environment increased significantly due to the escalating global trade tensions. We expect the direct impact of tariffs on our businesses to be relatively limited and the tariffs in general to be broadly passed through to prices. However, the uncertainty related to tariffs may impact trade flows, cause hesitation among customers, disrupt supply chains and weaken consumer confidence in the coming months. Furthermore, the scale of the trade conflict may cause currency fluctuations, which would have a direct impact on us.

With our solid balance sheet, competitive portfolio and broad geographic presence we are well positioned to face the uncertainty. Since last fall, we have been implementing efficiency and margin management measures that continue to strengthen our competitive position and prepare us to face what lies ahead.

In this uncertain environment, we remain focused on improving our competitiveness, pursuing long-term growth and developing a portfolio of world-class businesses.

Our commitment to sustainability also remains intact. In Q1, we were listed as the only forest and paper industry company in the Dow Jones Global and European Sustainability Indices (DJSI) for the years 2024-2025. We were also recognized among the top performers by the CDP, a global non-profit that runs the world’s only independent disclosure system for managing environmental impacts.”

Profit guidance

UPM’s comparable EBIT in H1 2025 is expected to be approximately in the range of €400-625 million (€515 million in H1 2024).

Outlook

UPM’s performance in H1 2025 is expected to benefit from higher delivery volumes and lower fixed costs, but be held back by lower sales margins, compared with H1 2024. The year 2025 has started with lower pulp and electricity prices than 2024.

2025 will be the first year of full production at the UPM Paso de los Toros mill, which is expected to grow pulp deliveries. Deliveries are expected to continue to increase for labeling materials, specialty papers and plywood. Communication paper deliveries are expected to decrease.

UPM Biofuels is expected to improve its performance in H1 2025, compared with H1 2024.

UPM’s operations in Q2 2025 will be impacted by significantly higher maintenance activity than in Q1 2025.

There are significant uncertainties in geopolitics and global trade relations, which may impact the development of UPM’s product deliveries, sales prices, various input cost factors and currency exchange rates.

Sensitivity to pulp and electricity prices

UPM’s comparable EBIT is sensitive to pulp and electricity prices. The figures below represent group earnings sensitivities on annual level.

UPM is a large producer and consumer of chemical pulp. A €50/tonne change in average pulp price would impact annual comparable EBIT by approximately €170 million (net impact: assuming no correlation between pulp and paper prices) to approximately €270 million (gross impact: assuming paper pricing would match changes in pulp costs).

UPM is a large producer and consumer of electricity in Finland and separately hedges part of its electricity sales and purchases. Based on UPM’s estimated unhedged net electricity sales position in Finland in 2025, a €10/MWh change in average electricity market price in Finland would impact annual comparable EBIT by approximately €30 million.

Foreign exchange exposure

Fluctuations in monetary policies and economic conditions can significantly impact the value of various currencies, which in turn may affect UPM. Additionally, the escalation of global trade tensions could influence currency exchange rates. These currency fluctuations could impact UPM’s cash flow, earnings, or balance sheet, and may also affect the relative competitiveness between different currency regions. 

The group’s policy is to hedge an average of 50% of its estimated net currency cash flows on a rolling basis over the next 12-month period. At the end of Q1 2025, UPM’s estimated net currency cash flows for the next 12 months totaled approximately €1.6 billion. USD was the largest exposure at approximately €1.2 billion, followed by UYU, GBP and CNY. In addition, the earnings of UPM’s foreign subsidiaries are translated to euros in reporting. UPM has significant foreign subsidiaries in Uruguay, the U.S. and China. Foreign exchange risks are discussed in UPM’s Annual Report 2024 on pages 305-306.

Invitation to UPM’s webcast on Q1 2025 Interim Report

A webcast and a conference call for analysts and investors will start at 13:15 EEST. The Interim Report will be presented in English by President and CEO Massimo Reynaudo and CFO Tapio Korpeinen. Participants can follow the webcast online via this link.

Participants wishing to ask questions after the presentation must register for the conference call. To participate in the conference call, please register here. After registering, you will be provided with telephone numbers, a user ID and a conference ID to access the call. To ask a question, press *5 on your telephone keypad to join the queue.

The webcast will be available at www.upm.com for 12 months after the call.

It should be noted that certain statements herein, which are not historical facts, including, without limitation, those regarding expectations for market growth and developments; expectations for growth and profitability; and statements preceded by “believes”, “expects”, “anticipates”, “foresees”, or similar expressions, are forward-looking statements. Since these statements are based on current plans, estimates and projections, they involve risks and uncertainties which may cause actual results to materially differ from those expressed in such forward-looking statements. Such factors include, but are not limited to: (1) operating factors such as continued success of manufacturing activities and the achievement of efficiencies therein including the availability and cost of production inputs, continued success of product development, acceptance of new products or services by the Group’s targeted customers, success of the existing and future collaboration arrangements, changes in business strategy or development plans or targets, changes in the degree of protection created by the Group’s patents and other intellectual property rights, the availability of capital on acceptable terms; (2) industry conditions, such as strength of product demand, intensity of competition, prevailing and future global market prices for the Group’s products and the pricing pressures thereto, financial condition of the customers and the competitors of the Group, the potential introduction of competing products and technologies by competitors; and (3) general economic conditions, such as rates of economic growth in the Group’s principal geographic markets or fluctuations in exchange and interest rates. The main earnings sensitivities and the group’s cost structure are presented on pages 271-272 of the Annual Report 2024. Risks and opportunities are discussed on pages 33-35, and risks and risk management are presented on pages 120-124.

UPM, Media relations
Mon-Fri 9:00-16:00 EEST
tel. +358 40 588 3284
media@upm.com

UPM

UPM is a material solutions company, renewing products and entire value chains with an extensive portfolio of renewable fibres, advanced materials, decarbonization solutions, and communication papers. Our performance in sustainability has been recognized by third parties, including EcoVadis and the Dow Jones Sustainability Indices. We operate globally and employ approximately 15,800 people worldwide, with annual sales of approximately €10.3 billion. Our shares are listed on Nasdaq Helsinki Ltd.

UPM – we renew the everyday
Read more: upm.com 

Follow us on LinkedIn | Facebook | YouTube | Instagram | X  | #UPM #materialsolutions #WeRenewTheEveryday 

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Products That Count Announces the Winners of the 2026 CPO Awards, Honoring the Product Leaders Redefining Their Craft in the AI Era

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The annual Awards recognize Chief Product Officers whose scope, influence, and impact have expanded dramatically as AI reshapes every organization.

SAN FRANCISCO, May 1, 2026 /PRNewswire-PRWeb/ — Products That Count, the world’s largest nonprofit community of product managers with over 600,000 members, today announced the winners of the 2026 CPO Awards. The Awards, produced in partnership with Mighty Capital, celebrate the Chief Product Officers whose leadership is shaping how products are built, shipped, and scaled in a moment of unprecedented change.

“The CPO mandate has fundamentally expanded,” said SC Moatti, Founder and Managing Partner of Products That Count. “Our winners this year are setting the standard for what the role becomes when AI is woven into every layer of the business. They are the builders other builders learn from.”

The role of the Chief Product Officer has never been broader. Today’s CPOs are architecting the systems, teams, and decisions that determine whether their companies win in the AI era.

The 2026 CPO Award Winners, by category:

President / CEO: Former CPOs who have elevated to the top role.

Eglae Recchia, CPO, Keyway

Maria Thomas, CEO (promoted from CPO), Rebrandly

Nabil Bukhari, President, Extreme Networks

Shiven Ramji, President & Chief Product Officer, Okta

Investor Mindset: Treating product like a portfolio of bets, with M&A as a strategic lever.

Achuth Rao, CPO, New York Life Insurance Company

Andrew Tsao, CPO & Analytics Officer, Audible

Dane Glasgow, CPO, Paramount/Skydance

Diana Benli, Chief Product Officer, Cognizant

Diego Dugatkin, Chief Product Officer, Box

Mike Bidgoli, CPO & CTO, Tubi

Vasu Murthy, CPO, Cohesity

Vrushali Paunikar, CPO, Carta

Ambrish Verma, Chief Product Officer, Ingram Micro

Enterprise Scale: Operating in complexity. Not speed alone, but transformation at scale.

Carla Guzzetti, Chief Product Officer, Cloud Applications, Extreme Networks

Eddie Garcia, Chief Product Officer, eBay

Gautam Shah, Chief Product Officer, Carelon

Ghazal Badiozamani, SVP of Product Management, Cengage

Kelli Fielding, Chief Product Officer, Europe, TransUnion

Mikhail Vaysbukh, Chief Product Officer, Elsevier

Monica Ugwi, GM, Copilot + Agents for Manufacturing & Mobility, formerly Microsoft

Randall Hounsell, SVP Connected Living Product, Comcast

Rita Khan, Chief Consumer & Digital Officer, formerly Optum

Ryan Bergstrom, Chief Product Officer, Paychex

Tim Simmons, Chief Product Officer, formerly Walmart International

Tina Tarquinio, Chief Product Officer, IBM Z and LinuxONE, IBM

Todd Garner, CPO, Sam’s Club

Trey Courtney, Global Chief Product & Partnerships Officer, Mood Media

Wyatt Jenkins, SVP Product, Intuit

Shayani Roy, SVP Product Management and Design, OpenTable

Scale Up: Growth-stage leaders putting the scale in place.

Aaron Seevers, Chief Product Officer, Noom

Avijit Sinha, SVP Corporate Development, EDB

Hannah Park, Chief Product Officer, Planned Parenthood

Joe Futty, CPO & CTO, Pipedrive

Jonathan Shottan, Chief Product Officer, Tonal

Kimberly Bloomston, CPO, 6sense

Kousthub Raghavan, Chief Product & Digital Officer, CLEAR

Natalia Williams, Chief Product Officer, Qonto

Nikita Miller, Chief Product Officer, Perk

Nilesh Khandelwal, Chief Product Officer, Rakuten Rewards

Paul Burke, CPO, Reveleer

Randhir Vieira, CPO, formerly Healthify

Renn Turiano, CPO, Gannett – USA Today Network

Sarah Turrin, CPO, Color

Emerging: On an amazing trajectory, regardless of tenure.

Adam Kelsey, EVP, Product Management, SignalWire

Apurva Garware, SVP, Head of Product, Invisible Technologies

Chai Atreya, Chief Product Officer, ActiveCampaign

Jack Brody, Chief Product Officer, Suno

John Barrus, VP of Product Management, Niobium

Kevin Swint, former Co-Founder & CPO, RemixAI

Nirmal Kumar, CPO, Aliaswire

Rafael Flores, Chief Product Officer, Treasure Data.ai

Sarah Jacob Singh, CPO & CTO, Medbridge

Sarosh Waghmar, CPO & Co-Founder, Spotnana

Vanessa Davis, CPO, LegalOn

Vikas Seth, CPO, ARIS

Platform: Multiplying impact beyond their own product by leveraging the ecosystem at scale.

Arnab Bose, CPO, Asana

Kishan Chetan, EVP & GM, Agentforce Service Cloud, Salesforce

Shardul Vikram, Chief Product Officer, SAP Application AI, SAP

Tom Occhino, Chief Product Officer, Vercel

Rohit Badlaney, CPO & General Manager, IBM Cloud Platform, IBM

Terre Layton, former CPO, BetterHealth

B.J. Boyle, Chief Product Officer, MacroHealth

Winners were selected by an Independent Advisory Council of seasoned product executives based on impact and leadership.

ABOUT PRODUCTS THAT COUNT

Products That Count is the world’s largest nonprofit community, engaging 600,000+ product managers and Chief Product Officers (CPOs) united by a mission: to empower everyone to build products that truly count. In a world flooded with products, only a few ignite passion, deliver value at scale, and transform lives. Behind those exceptional products are visionary CPOs and high-performing product teams driving innovation at the most bleeding-edge companies. We recognize these trailblazers through our coveted Awards, accelerate careers from PM to the C-suite and beyond through daily best practices, and serve as the trusted advisor to nearly all Fortune 1000 CPOs. Our Corporate Alliance includes Walmart, Ford, Cisco, Johnson & Johnson, Amplitude, and more. The most admired product leaders across industries serve on our Advisory Council, guiding the future of product leadership. Together, we’re shaping a future where every product counts. Learn more at productsthatcount.org

ABOUT MIGHTY CAPITAL

Mighty Capital is the VC firm that leverages the Product Alpha Effect, a data-backed framework for outperformance that proves great products drive great businesses. Founded in 2018 by SC Moatti, a product visionary and former Meta product leader, and Jennifer Vancini, a veteran of tech investing and M&A, we bring a differentiated edge to venture. Through Moatti’s 600,000-strong Products That Count network of product leaders, we see where the world is going before others do. That proprietary signal gives us an advantage in sourcing, diligence, and post-investment value creation. Our portfolio speaks for itself: 1 in 5 companies is a category leader like Amplitude (NASDAQ:AMPL), Groq, and Netskope (NASDAQ:NTSK). Founders consistently call us the most value-add investor on their cap table, and use our global product ecosystem as a marketplace to accelerate time to revenue, scale, and exit. Anchored by GCM Grosvenor, we’re deploying Fund III with both prior funds in top decile DPI and TVPI, more than $20B in value created, and 6 IPOs to date. Learn more at Mighty.Capital.

Media Contact

Emma Shirlin, Products That Count, 1 8287020154, emmashirlin@productsthatcount.com

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Thomson Reuters Announces Cash Distribution Per Share and Share Consolidation Ratio for Return of Capital and Share Consolidation Transactions

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Participating shareholders to receive cash distribution of US$1.435518 per common share

Shares to begin trading on a post-consolidated basis on May 4, 2026

TORONTO, May 1, 2026 /PRNewswire/ — Thomson Reuters (TSX/Nasdaq: TRI) today announced the cash distribution per share and the share consolidation ratio for its return of capital and share consolidation transactions, which have received the requisite approvals and will be effective at 3:01 a.m. (Toronto time) on May 4, 2026. The company’s common shares will begin trading on the Toronto Stock Exchange (TSX) and the Nasdaq on a post-consolidated basis when the markets open on May 4, 2026. The company’s trading symbol will remain “TRI” on both exchanges. The new CUSIP number for the post-consolidated common shares is 884903881 and the new ISIN number is CA8849038812.

The return of capital and share consolidation transactions consist of a distribution of US$1.435518 per common share (US$605 million in the aggregate) and a consolidation of the company’s outstanding common shares (or “reverse stock split”) at a ratio of 1 pre-consolidated share for 0.984560 post-consolidated shares. The share consolidation is proportional to the special cash distribution and the share consolidation ratio was based on the volume weighted average trading price of the shares on the Nasdaq for the five trading day period which ended today.Eligible shareholders who duly exercised their right to opt out of the return of capital will not receive the cash distribution. Each opting-out shareholder will still participate in the transactions through a share exchange and the share consolidation, but will continue to hold the same number of shares that it currently holds. Such opting-out shareholders will realize a proportionate increase in their equity and voting interests in the company by virtue of the consolidation of the participating shares under the share consolidation.

As promptly as practicable after the transactions are effective, Computershare Investor Services Inc., the company’s depositary for the transactions, will deliver cash distribution amounts to registered participating shareholders, subject to the terms and conditions of the transactions. The effects of the share consolidation will be reflected in the company’s share register. Beneficial or non-registered shareholders participating in the return of capital will receive cash distributions from their intermediary and the effects of the share consolidation will be recorded in their accounts.

Fractional shares will not be issued as part of the return of capital and share consolidation transactions and shareholders will receive the value of any fractional shares in cash, subject to certain exceptions described in the company’s management proxy circular dated March 13, 2026 (the “Circular”).

The Canadian and U.S. tax consequences of the return of capital and share consolidation transactions are complex. Shareholders are encouraged to review the Circular and related materials carefully and to consult their financial, tax and legal advisors.

Further details of the return of capital and share consolidation transactions are described in the Circular and related materials, which are available on www.thomsonreuters.com/2026specialmeeting. The return of capital and share consolidation documents were previously filed with the Canadian securities regulatory authorities on SEDAR+ and are available at www.sedarplus.ca. The documents were also furnished to the U.S. Securities and Exchange Commission through EDGAR and are available at www.sec.gov.  

About Thomson Reuters

Thomson Reuters (TSX/Nasdaq: TRI) informs the way forward by bringing together the trusted content and technology that people and organizations need to make the right decisions. The company serves professionals across legal, tax, audit, accounting, compliance, government, and media. Its products combine highly specialized software and insights to empower professionals with the data, intelligence, and solutions needed to make informed decisions, and to help institutions in their pursuit of justice, truth and transparency. Reuters, part of Thomson Reuters, is the world’s leading provider of trusted journalism and news. For more information, visit thomsonreuters.com.

SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS

Certain statements in this news release are forward-looking within the meaning of applicable Canadian and U.S. securities laws, including the Private Securities Litigation Reform Act of 1995, including statements relating to the completion of the return of capital and share consolidation transactions and the anticipated tax treatment for shareholders participating in the return of capital and those opting out. These forward-looking statements are based on certain assumptions and reflect our company’s current expectations. As a result, forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations, including the risk factors discussed in materials that Thomson Reuters from time to time files with, or furnishes to, the Canadian securities regulatory authorities and the U.S. Securities and Exchange Commission. There is no assurance that the return of capital and share consolidation transactions will be completed or that other events described in any forward-looking statement will materialize. Except as may be required by applicable law, Thomson Reuters disclaims any obligation to update or revise any forward-looking statements.

CONTACTS
MEDIA
Zoe Zanettos
Director, Corporate Affairs
+1 647 202 8948
zoe.zanettos@thomsonreuters.com 

INVESTORS
Gary E. Bisbee, CFA
Head of Investor Relations 
+1 646 540 3249
gary.bisbee@thomsonreuters.com 

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Lockheed Martin Awarded U.S. Space Force Space-Based Interceptor Contracts to Meet Layered Missile Defense Demand

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HUNTSVILLE, Ala., May 1, 2026 /PRNewswire/ — Lockheed Martin (NYSE: LMT) has been selected by U.S. Space Force Space Systems Command to develop capabilities supporting the Space-Based Interceptor (SBI) program. These agreements mark progress toward fielding core elements of an integrated, layered homeland defense solution. 

This work will accelerate development, testing and integration of SBI capabilities, delivering an early engagement layer that expands coverage, enhances survivability and strengthens deterrence against emerging missile threats.

Lockheed Martin’s SBI system leverages our experience with combat-proven interceptors like THAAD and PAC-3 as well as the Next Generation Interceptor, hypersonic strike systems and missile warning and tracking systems.

The result is an early, additional layer to the multi-domain, layered shield that protects the homeland and critical infrastructure from evolving missile threats.

“Lockheed Martin is already making next generation integrated air and missile defense a reality with our proven capabilities and the expertise across our entire network,” said Robert Lightfoot, Lockheed Martin Space president. “We’re investing in technology and infrastructure, while bringing together the strength of the full industrial base, to deliver advanced capabilities like SBI faster and are committed to delivering an integrated demonstration by 2028.” 

About Lockheed Martin

Lockheed Martin is a global defense technology company driving innovation and advancing scientific discovery. Our all-domain mission solutions and 21st Century Security® vision accelerate the delivery of transformative technologies to ensure those we serve always stay ahead of ready. More information at www.Lockheedmartin.com.

The views and conclusions contained in this document are those of the authors and should not be interpreted as representing the official policies, either expressed or implied, of the U.S. Government.

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SOURCE Lockheed Martin

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