“we are maintaining our previously provided range of $6.6 to $6.8 billion for free cash flow in 2025.”

In context

“ramps in the second half of the year, we are reaffirming our sales guidance of $73.75 billion to $74.75 billion. On a related note, we have line of sight to increase backlog in 2025 with a handful of significant awards expected in the second half of the year. Including F-35 lot eighteen nineteen, JASSM LARASM large lot procurement, PAC-3 production, CH-53K multiyear, and classified space, providing a solid foundation for sustained future growth. Segment operating profit is now expected to be in the range of $6.6 billion to $6.7 billion with an implied midpoint margin of 9%, reflecting the $1.6 billion of program charges. We've lowered our earnings per share estimate to a range of $21.70 to $22, incorporating the impacts from the charges impairments, and tax reserve. Turning to cash flow, we are maintaining our previously provided range of $6.6 to $6.8 billion for free cash flow in 2025. There are a few offsetting items worth discussing. First, the Aeronautics Classified program challenges negatively impact cash flow and that, along with the tariff impacts, combine to $500 million of headwind this year. On the other hand, the administration's legislation is anticipated to provide approximately $400 million to $600 million in cash tax benefits, primarily related to R&D capitalization. The 2025 outlook does not include a pension contribution. Before wrapping it up, I'd like to take a moment to look beyond 2025 for free cash flow specifically. Previously, we discussed a baseline case of low single-digit absolute free cash flow growth through 2027 with an upside case of mid-single-digit growth being possible if we could unlock working capital improvements and offset the multi”