How much do depreciation assumptions change LOCKHEED MARTIN CORPORATION's earnings?
Gross property and equipment, depreciation and capital spending, with an alternative useful-life calculator. Cash spending is kept separate.
Depreciation against the asset base
Gross property and equipment of $23.10B against $1.69B of depreciation and amortization implies an average life of about 13.7 years (gross assets ÷ annual charge). The charge includes amortization where the company reports them together.
| Fiscal year | Gross PP&E | Net PP&E | Depreciation & amortization | Implied life (yrs) | Capital expenditure (cash) |
|---|---|---|---|---|---|
| 2020 | $18.15B | $7.21B | $1.02B | 17.8 | $1.77B |
| 2021 | $19.10B | $7.60B | $1.36B | 14.0 | $1.52B |
| 2022 | $20.14B | $7.97B | $1.40B | 14.3 | $1.67B |
| 2023 | $21.18B | $8.37B | $1.43B | 14.8 | $1.69B |
| 2024 | $22.22B | $8.73B | $1.56B | 14.3 | $1.69B |
| 2025 | $23.10B | $8.88B | $1.69B | 13.7 | $1.65B |
10-K filed 2026-01-29 · DepreciationAmortizationAndAccretionNet
Compare an alternative useful life
A 15-year average life gives an annual charge of $1.54B instead of $1.69B. After tax at 21%, net income would be higher by $116.0M. Cash spending ($1.65B) is unchanged.
Straight-line on gross assets, no salvage value; land and construction in progress are not separated. Treat as an order-of-magnitude comparison.