Lockheed Boosts Forecast as Profit Defies U.S. Budget Cut

Lockheed Martin Corp., the world’s largest defense contractor, raised its full-year profit forecast as U.S. budget cuts ended up hurting less than executives had predicted.

The across-the-board reductions known as sequestration probably won’t slice revenue by the $825 million anticipated in April, said Bruce Tanner, the company’s chief financial officer. Programs such as the F-35 jet, the Pentagon’s most expensive weapons system, so far have survived the cuts and helped Lockheed boost profit in the second quarter.