At 17 times earnings and 10% growth, is this defense contractor a buy or a sell ?Shares of defense contractor Textron (TXT -11.67%) tumbled 11.8% through 10:35 a.m. ET Thursday despite the company reporting better-than-expected results for Q1 2024.Analysts forecast the maker of armored cars, military drones, Cessna airplanes, and Bell helicopters would earn only $1.13 per share (non-GAAP) on sales of $3.1 billion in Q1. But Textron surprised to the upside with $1.20 per share in earnings and sales of $3.14 ...

Textron Inc. (TXT) reported first-quarter 2024 adjusted earnings of $1.20 per share, which lagged the Zacks Consensus Estimate of $1.28 by 6.3%. However, the bottom line improved 14.3% from the year-ago quarter’s figure of $1.05 per share.The company reported GAAP earnings of $1.03 per share, up from 92 cents registered in the first quarter of 2023.RevenuesTXT reported total revenues of $3.14 billion, which missed the Zacks Consensus Estimate of $3.34 billion by 6.1%. However, the reported figure increased ...

Textron (TXT) reported $3.14 billion in revenue for the quarter ended March 2024, representing a year-over-year increase of 3.7%. EPS of $1.20 for the same period compares to $1.05 a year ago.The reported revenue compares to the Zacks Consensus Estimate of $3.34 billion, representing a surprise of -6.11%. The company delivered an EPS surprise of -6.25%, with the consensus EPS estimate being $1.28.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they ...

Financial Data and Key Metrics Changes - Revenue for Q1 2024 was $3.1 billion, an increase from $3 billion in Q1 2023 [6] - Segment profit for the quarter was $290 million, up $31 million from the previous year [6] - Adjusted income from continuing operations was $1.20 per share, compared to $1.05 per share in Q1 2023 [6] - Manufacturing cash flow before pension contributions showed a cash use of $81 million, compared to cash provided of $104 million in Q1 2023 [6] Business Line Data and Key Metrics Changes - **Aviation**: Revenues were $1.2 billion, up $39 million from Q1 2023, with segment profit at $143 million, an increase of $18 million [12] - **Bell**: Revenues increased to $727 million, up $106 million from last year, with segment profit at $80 million, up $20 million [13] - **Textron Systems**: Revenues were flat at $306 million, with segment profit up $4 million to $38 million [14] - **Industrial**: Revenues decreased to $892 million, down $40 million from last year, with segment profit down $12 million to $29 million [14] Market Data and Key Metrics Changes - Textron Aviation's backlog ended the quarter at $7.3 billion, reflecting strong demand [7][12] - Bell's backlog was $4.5 billion, driven by military volume related to the FLRAA program [13] - Textron Systems' backlog ended at $1.8 billion [14] Company Strategy and Development Direction - The company is focusing on improving supply chain efficiencies and production capabilities to support delivery growth [8] - Textron is expanding its restructuring plan to address cost structures in light of program cancellations, with expected savings of approximately $185 million [16][81] - The company is optimistic about the future of the FLRAA program, expecting to complete milestone B and enter the engineering and manufacturing development phase [8][50] Management's Comments on Operating Environment and Future Outlook - Management noted continued improvements in supply chain and factory productivity, contributing to positive delivery trends [19] - The company anticipates a slight decline in industrial revenue due to softness in high-end consumer demand, while maintaining a positive outlook for aviation and Bell segments [23][44] - Management reiterated full-year adjusted earnings per share guidance of $6.20 to $6.40 [17] Other Important Information - The company repurchased approximately 3.6 million shares, returning $317 million in cash to shareholders [16] - Special charges of $14 million were incurred under the restructuring plan, with additional severance costs expected in Q2 [16] Q&A Session Summary Question: Can you provide insights on deliveries in the quarter? - Management expects growth in deliveries year-over-year, with improvements in supply chain and productivity [18][19] Question: Is there softness in the industrial segment? - Management confirmed softness in high-end consumer demand, particularly in recreational and personal transportation sectors [22][23] Question: What are the expectations for Bell's margins? - Management anticipates margins to remain strong, supported by cost actions and new orders [26][28] Question: How is the supply chain performing in Aviation? - Management acknowledged ongoing challenges with specific components but noted overall improvements [74][75] Question: What is the outlook for the E-Aviation segment? - Management is optimistic about the Pipistrel business and the Nexus program, expecting growth in the coming years [62][63] Question: How will the restructuring impact cash flow? - Management expects restructuring savings to be around $185 million, with a cash impact of approximately $60 million to $65 million for 2024 [25][81]

Q1 2024 Earnings Call Presentation APRIL 25TH, 2024 The data in this package should be read in conjunction with the Textron earnings release and accompanying tables. © 2024 TEXTRON INC. 1 Forward-looking Information Certain statements in this package and other oral and written statements made by Textron from time to time are forward-looking statements, including those that discuss strategies, goals, outlook or other non-historical matters; or project revenues, income, returns or other financial measures. Th ...

Corporate Communications Department NEWS Release Textron Reports First Quarter 2024 Results • EPS of $1.03; adjusted EPS of $1.20, up from $1.05 from prior year • Segment profit of $290 million, up $31 million from prior year Providence, Rhode Island – April 25, 2024 – Textron Inc. (NYSE: TXT) today reported first quarter 2024 net income of $1.03 per share, as compared to $0.92 per share in the first quarter of 2023. Adjusted net income, a non-GAAP measure that is defined and reconciled to GAAP in an attach ...

Textron Inc. (TXT) is scheduled to release its first-quarter 2024 earnings on Apr 25 before market open.The company holds a four-quarter average earnings surprise of 13.53%. Solid revenue performance across the majority of its business segments is likely to have contributed to the overall performance of Textron in the first quarter of 2024.Textron Aviation, a Key Contributor to RevenuesSolid growth in aftermarket revenues, backed by strong aircraft utilization driven by improved air travel in recent times, ...

The Aerospace group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Is Textron (TXT) one of those stocks right now? By taking a look at the stock's year-to-date performance in comparison to its Aerospace peers, we might be able to answer that question.Textron is a member of the Aerospace sector. This group includes 45 individual stocks and currently holds a Zacks Sector Rank of #11. The Zacks Sector Rank considers 16 different groups, meas ...

Wall Street analysts expect Textron (TXT) to post quarterly earnings of $1.28 per share in its upcoming report, which indicates a year-over-year increase of 21.9%. Revenues are expected to be $3.37 billion, up 11.4% from the year-ago quarter.The consensus EPS estimate for the quarter has undergone a downward revision of 0.3% in the past 30 days, bringing it to its present level. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this timeframe.Before a comp ...

Textron Inc. (TXT) recently announced that a handful of upgraded aircraft from its Cessna fleet of jets have entered into service following their first delivery.  These aircraft are the Cessna Skyhawk, Cessna Skylane, Turbo Skylane and Turbo Stationair.  These should enhance TXT’s position in the expanding commercial aircraft market.With this latest upgrade, Textron aims at offering its commercial customers a fleet of jets that have a modern and appealing tone like that of the newest Cessna Citation jets wh ...