Financial Performance - RTX reported Q1 2025 sales of $20.3 billion, a 5% increase year-over-year, with 8% organic sales growth excluding divestitures[4]. - Adjusted EPS for Q1 2025 was $1.47, up 10% compared to the prior year, while GAAP EPS was $1.14[4][9]. - Operating cash flow in Q1 2025 was $1.3 billion, resulting in free cash flow of $0.8 billion[7][8]. - Net sales for Q1 2025 reached $20,306 million, a 5.2% increase from $19,305 million in Q1 2024[24]. - Operating profit for Q1 2025 was $2,035 million, compared to $1,870 million in Q1 2024, reflecting an 8.8% increase[24]. - Total segment operating profit for Q1 2025 was $2,346 million, compared to $2,257 million in Q1 2024, an increase of 3.9%[25]. - Net income for the quarter ended March 31, 2025, was $1,625 million, a decrease of 6.8% compared to $1,743 million in the same quarter of 2024[27]. - Adjusted net income attributable to common shareowners was $1,991 million for Q1 2025, up 11.2% from $1,791 million in Q1 2024[29]. - The operating profit margin improved to 10.0% in Q1 2025, compared to 9.7% in Q1 2024[31]. Segment Performance - Collins Aerospace reported Q1 2025 sales of $7.2 billion, an 8% increase year-over-year, driven by a 13% rise in commercial aftermarket sales[11][12]. - Pratt & Whitney's Q1 2025 sales were $7.4 billion, up 14% year-over-year, with a 28% increase in commercial aftermarket sales[13][14]. - Raytheon reported Q1 2025 sales of $6.3 billion, down 5% year-over-year, but up 2% when excluding the impact of a divestiture[15][16]. - Collins Aerospace segment reported net sales of $7,217 million in Q1 2025, up from $6,673 million in Q1 2024, marking an increase of 8.2%[25]. - Pratt & Whitney segment net sales increased to $7,366 million in Q1 2025 from $6,456 million in Q1 2024, a growth of 14.1%[25]. - Raytheon segment net sales decreased to $6,340 million in Q1 2025 from $6,659 million in Q1 2024, a decline of 4.8%[25]. Guidance and Projections - RTX expects adjusted sales for the full year 2025 to be between $83.0 billion and $84.0 billion, with 4% to 6% organic growth[7]. - The company anticipates adjusted EPS for 2025 to be in the range of $6.00 to $6.15[7]. - Free cash flow guidance for 2025 is projected to be between $7.0 billion and $7.5 billion[7]. Cash Flow and Assets - Free cash flow for the quarter was not specified but is a key focus for future guidance[22]. - Total assets increased to $164,864 million as of March 31, 2025, up from $162,861 million at December 31, 2024, representing a growth of 1.3%[26]. - Total current liabilities rose to $52,624 million as of March 31, 2025, compared to $51,499 million at the end of 2024, reflecting an increase of 2.2%[26]. - Free cash flow for the quarter was $792 million, a significant improvement compared to a negative $125 million in the same quarter of the previous year[32]. Tax and Non-Operational Costs - The effective tax rate for Q1 2025 was 17.0%, compared to 5.8% in Q1 2024, indicating a significant increase in tax expense[24]. - The effective tax rate for Q1 2025 was 17.0%, up from 5.8% in Q1 2024, indicating a significant increase in tax burden[29]. - The quarter ended March 31, 2025 included a tax benefit of $26 million from the closure of multiple state tax audits[36]. - An unfavorable decision related to an international tax matter resulted in a net interest expense of $35 million for the quarter ended March 31, 2025[36]. - The company incurred significant non-operational costs related to segment transformation and divestiture activities[36]. Risks and Challenges - RTX Corporation is actively managing risks related to geopolitical factors, supply chain disruptions, and changes in defense spending, which may impact future performance[22]. Organic Sales Changes - Collins Aerospace reported an organic sales change of 9% with adjusted sales of $6,673 million[34]. - Pratt & Whitney experienced a 14% organic sales change, achieving adjusted sales of $6,456 million[34]. - Raytheon had a 2% organic sales change with adjusted sales of $6,659 million[34]. - Consolidated adjusted sales reached $19,305 million, reflecting an 8% organic change[34].

Core Insights - RTX reported strong operational and financial performance in Q1 2025, with 8% organic sales growth and 10% adjusted EPS growth, alongside a 120 basis points segment margin expansion [1][2][5] - The company achieved reported and adjusted sales of $20.3 billion, reflecting a 5% increase year-over-year, with adjusted EPS rising to $1.47, up 10% from the previous year [2][4][5] - The company’s backlog reached $217 billion, with $125 billion in commercial and $92 billion in defense [5] Financial Performance - Reported sales for Q1 2025 were $20.3 billion, a 5% increase from $19.3 billion in Q1 2024 [4][5] - Net income attributable to common shareholders was $1.5 billion, down 10% from $1.7 billion in the prior year, while adjusted net income rose 11% to $2.0 billion [3][4][27] - Operating cash flow was $1.3 billion, with capital expenditures of $0.5 billion, resulting in free cash flow of $0.8 billion [3][5] Segment Performance - Collins Aerospace reported sales of $7.2 billion, an 8% increase year-over-year, driven by a 21% rise in commercial aftermarket sales [6][7] - Pratt & Whitney's sales increased by 14% to $7.4 billion, supported by a 28% rise in commercial aftermarket sales [8][9] - Raytheon experienced a 5% decline in sales to $6.3 billion, primarily due to the divestiture of its Cybersecurity, Intelligence and Services business [10][11] Outlook - RTX anticipates adjusted sales for the full year 2025 to be between $83.0 billion and $84.0 billion, with organic growth projected at 4% to 6% [5] - Adjusted EPS for the full year is expected to be in the range of $6.00 to $6.15 [5]

Core Insights - Collins Aerospace demonstrated new technology for military applications, enhancing real-time situational awareness by integrating data from various military and commercial sensors during Project Convergence Capstone 5 [1][2][3] - The integration of data allows for faster decision-making and improved operational effectiveness for military commanders, particularly in dynamic battlefield scenarios [3][4] Company Overview - Collins Aerospace is a leader in integrated solutions for the aerospace and defense industry, employing 80,000 individuals dedicated to advancing technologies for sustainable aviation and mission success [5] - RTX, the parent company of Collins Aerospace, is the largest aerospace and defense company globally, with over 185,000 employees and projected sales exceeding $80 billion in 2024 [6]

Group 1 - The Defense sector is anticipating significant earnings reports from three of the Big 4 US defense companies on April 22nd, 2025 [1] Group 2 - Uttam is a growth-oriented investment analyst focusing on technology sectors such as Semiconductors, Artificial Intelligence, and Cloud software, while also researching MedTech, Defense Tech, and Renewable Energy [2]

RTX Corp. (RTX) is slated to release first-quarter 2025 results on April 22, before the opening bell.  The Zacks Consensus Estimate for first-quarter revenues is pegged at $19.76 billion, implying 2.4% growth from the year-ago quarter's reported figure. The consensus mark for first-quarter earnings is pegged at $1.33 per share, suggesting no change from the prior-year quarter’s reported figure. The bottom-line estimate has also remained unchanged in the past 60 days. (Find the latest EPS estimates and surpr ...

Nvidia (NVDA -7.03%) has now filled out its lineup of Blackwell-based gaming graphics cards with the unveiling of the RTX 5060 and RTX 5060 Ti. Two variants of the RTX 5060 Ti are available now, priced at $379 and $429, while the cheaper $299 RTX 5060 goes on sale in May.Nvidia faces plenty of competition in the mainstream and budget portions of the graphics card market, not only from AMD, but also from Intel. AMD launched higher-end graphics cards as part of its RX 9000 series last month, and mainstream ca ...

Wall Street analysts expect RTX (RTX) to post quarterly earnings of $1.34 per share in its upcoming report, which indicates no change from the year-ago quarter. Revenues are expected to be $19.76 billion, up 2.4% from the year-ago quarter.Over the past 30 days, the consensus EPS estimate for the quarter has remained unchanged. This demonstrates the covering analysts' collective reassessment of their initial projections during this period.Ahead of a company's earnings disclosure, it is crucial to give due co ...

Wall Street expects flat earnings compared to the year-ago quarter on higher revenues when RTX (RTX) reports results for the quarter ended March 2025. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on April 22. On ...

If you want full access to all our reports, data and investing ideas, join The Aerospace Forum , the #1 aerospace, defense and airline investment research service on Seeking Alpha, with access to evoX Data Analytics, our in-house developed data analytics platform.Recently, I have started adjusting price targets for many stocks. In the semiconductor industry, we see some pressure on earnings estimates. For aerospace stocks, there is also some pressure but less prominent.Dhierin runs the investing group The A ...

I am an individual investor with over five years of experience in personal investing, holding a PhD in Economics from UCEMA. I serve as Chief Economist at CEEAXXI and Director of Financial Development at Luxury Entertainment CrowdTech. My investment approach focuses on value companies with solid long-term potential. I share my knowledge with the community by offering analysis to support individual investors. My articles reflect personal opinions and do not constitute financial advice.Analyst’s Disclosure: I ...