RTX beats Q3 expectations, raises 2024 outlook

Investing.com  -- RTX reported third-quarter earnings that surpassed analyst estimates, driven by strong demand in commercial aftermarket and defense sectors. The aerospace and defense company also raised its full-year guidance for adjusted sales and earnings per share.

RTX posted adjusted earnings per share of $1.45 for Q3, beating the analyst consensus of $1.34. Revenue came in at $20.1 billion, above the $19.84 billion estimate. The company's sales increased 6% year-over-year on an adjusted basis, or 8% organically excluding a recent divestiture.

"RTX delivered another strong quarter of organic sales growth, adjusted segment margin expansion, and free cash flow," said RTX President and CEO Chris Calio. He noted robust demand across the company's portfolio, particularly in commercial aftermarket and defense.

For the full year 2024, RTX now expects adjusted sales between $79.25 billion and $79.75 billion, up from its previous forecast of $78.75 billion to $79.5 billion. The company also raised its adjusted EPS guidance to a range of $5.50 to $5.58, compared to its earlier projection of $5.35 to $5.45.

RTX's Collins Aerospace segment saw sales rise 7% YoY to $7.08 billion, while Pratt & Whitney's adjusted sales jumped 14% to $7.24 billion. The Raytheon (NYSE:RTN ) segment reported a 1% dip in sales to $6.39 billion, though organic sales grew 5% excluding a divestiture impact.

The company's backlog reached a record $221 billion at the end of Q3, consisting of $131 billion in commercial and $90 billion in defense orders.

RTX shares edged up 0.8% following the earnings release.

Source: Investing.com