Grizzly Bulls
Financial research concept

Aerospace and Defense Backlog

Aerospace and defense backlog measures firm contracted work that has not yet been recognized as revenue under the issuer's backlog definition.

By Lee BaileyPublished Sep 22, 2026
Research context

See what supports this page, how current it is, and where comparable or historical context is available.

Research date
Sep 22, 2026Use the dated article and cited sources for the definition, examples, and stated limitations.
Operating-model context
12 connected conceptsPart of the reviewed Aerospace & Defense Program Economics; issuer definitions remain distinct where disclosed.
Company examples
1 reviewed companyRelationships reflect supported examples, not a normalized cross-company KPI ranking.
  1. The $17.6B increase came with slightly more funded mix
  2. Backlog is firm work, but not guaranteed revenue
  3. Part of the Aerospace & Defense Program Economics
  4. See It in Company Research
  5. Continue Research

Aerospace and defense backlog measures firm contracted work that has not yet been recognized as revenue under the issuer's definition.

Lockheed Martin's backlog increased from $176.0 billion at the end of 2024 to $193.6 billion at the end of 2025, exactly 10.0%.

The $17.6B increase came with slightly more funded mix

Funded backlog increased from $107.8 billion to $120.2 billion. Reconstructed unfunded backlog increased from about $68.2 billion to $73.4 billion.

The funded share therefore rose from roughly 61.3% to 62.1%. See backlog funded mix for the calculation.

Backlog is firm work, but not guaranteed revenue

Lockheed includes funded and unfunded firm orders, while excluding unexercised options and potential IDIQ orders. Contract terminations, funding changes, schedule changes, and execution can still alter conversion.

The issuer-specific backlog definition must be preserved before making peer comparisons.

Source:

Part of the Aerospace & Defense Program Economics

Connect backlog funding and conversion, contract and delivery mix, and long-cycle contract balances to understand aerospace and defense program economics.

Browse the full operating model in Company Analysis →
Where this concept fits
  • Backlog funding and conversionCurrent relationship
    Total backlog combines funded and unfunded firm orders under the issuer-specific backlog definition. Funded mix separates appropriated work from backlog still dependent on future funding, while 12-month and 24-month conversion estimates add expected revenue timing without turning backlog into guaranteed sales.
    Aerospace & Defense BacklogCurrent concept12-Month Backlog Conversion24-Month Backlog ConversionBacklog Funded MixFunded BacklogUnfunded Backlog
  • Contract and delivery mix
    Fixed-price and cost-reimbursable sales mix show how contract risk is allocated, while product and services sales mix show what type of work is being delivered. These issuer-reported or analyst-derived mix views are not standardized peer profitability measures.
    Cost-Reimbursable Sales MixFixed-Price Sales MixProduct Sales MixServices Sales Mix
  • Contract-balance working capital
    Contract assets represent recognized revenue that has not yet been billed, while contract liabilities reflect customer payments ahead of revenue recognition. They describe billing and cash timing on long-cycle work and are not backlog.
    Contract AssetsContract Liabilities

See It in Company Research

These companies are examples of how the concept is reported or discussed in public filings. Definitions can differ by issuer; these links open company research rather than a normalized metric comparison.

Continue Research

Continue from the concept into the Grizzly Bulls research surface that best matches the next question. These links are research continuations, not recommendations or required steps.

Compare stocks

Compare aerospace and defense stocks

Compare total backlog with funded status and expected conversion timing while preserving each contractor's firm-order definition.

Continue research

Explore more topics in the Financial Research Encyclopedia.