It has been about a month since the last earnings report for Textron (TXT) . Shares have lost about 7.4% in that time frame, underperforming the S&P 500.Will the recent negative trend continue leading up to its next earnings release, or is Textron due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important drivers. Textron Posts Better-Than-Expected Q4 Earnings, Misses ...

Backlog and Revenue Growth - Textron Aviation's backlog increased to $7,845 million in 2024 from $7,169 million in 2023, reflecting a growth of approximately 9.4%[34] - Bell's backlog rose significantly to $7,469 million in 2024, up from $4,780 million in 2023, marking a growth of about 56.3%[34] - Textron Systems' backlog also saw an increase, reaching $2,594 million in 2024 compared to $1,950 million in 2023, which is a growth of approximately 33.1%[34] - Total backlog for Textron reached $17,908 million in 2024, up from $13,899 million in 2023, indicating an overall growth of about 28.8%[34] - Total revenues for 2024 increased to $13,702 million, a slight increase of 0.14% compared to $13,683 million in 2023[189] - Total revenues for 2024 reached $13.702 billion, a slight increase from $13.683 billion in 2023, representing a year-over-year growth of 0.14%[1] - Textron Aviation generated revenues of $5,284 million in 2024, compared to $5,373 million in 2023, with aircraft sales contributing $3,374 million[288] - Bell segment revenues increased to $3,579 million in 2024, up from $3,147 million in 2023, driven by military aircraft and support programs[288] - Textron Systems reported revenues of $1,241 million in 2024, consistent with $1,235 million in 2023[288] - Industrial segment revenues decreased to $3,515 million in 2024 from $3,841 million in 2023, with specialized vehicles contributing $1,624 million[288] Financial Performance - Net income for 2024 was $824 million, a decrease of 10.55% from $921 million in 2023[190] - Basic earnings per share for continuing operations decreased to $4.38, down from $4.62 in 2023[189] - Total assets decreased slightly to $16,838 million from $16,856 million in 2023[191] - Total liabilities decreased to $9,634 million, down from $9,869 million in 2023[191] - Cash and equivalents at the end of 2024 were $1,441 million, a decrease of 33.94% from $2,181 million at the end of 2023[196] - Comprehensive income for 2024 increased to $1,164 million, up from $889 million in 2023[190] - Income from continuing operations for the Manufacturing Group decreased to $796 million in 2024 from $884 million in 2023, a decline of approximately 10%[197] - Net cash provided by operating activities of continuing operations for the Manufacturing Group was $1,008 million in 2024, down from $1,270 million in 2023, representing a decrease of about 21%[197] - The Finance Group reported net cash provided by operating activities of $8 million in 2024, down from $14 million in 2023[197] - The company reported a net cash used in financing activities of $1,438 million in 2024, an increase from $776 million in 2023[197] Research and Development - Research and development costs decreased to $491 million, down 13.86% from $570 million in 2023[189] - Research and development costs totaled $491 million in 2024, compared to $570 million in 2023[286] - The company adopted ASU 2023-07 in Q4 2024, impacting the presentation of research and development costs in financial statements[284] Employee and Labor Relations - Textron employed approximately 34,000 employees worldwide as of December 28, 2024, with 80% located in the U.S.[43] - A new five-year labor contract was ratified on October 20, 2024, following a strike that impacted about 5,000 employees at Textron Aviation[43] - The company aims to improve performance, innovation, collaboration, and talent retention by employing highly talented employees who feel valued and respected[49] Pension and Benefits - Net periodic benefit cost (income) for pension benefits was $(192) million in 2024, compared to $(167) million in 2023, and $(129) million in 2022[306] - The projected benefit obligation for pension benefits decreased from $7,205 million in 2023 to $6,788 million in 2024, while the fair value of plan assets increased from $8,413 million to $8,772 million[307] - The funded status for pension benefits improved from $1,208 million in 2023 to $1,984 million in 2024[307] - The accumulated benefit obligation for all defined benefit pension plans was $6.5 billion in 2024, down from $6.9 billion in 2023[308] - The service cost for pension benefits was $69 million in 2024, slightly up from $67 million in 2023[306] Special Charges and Restructuring - Special charges recorded in 2024 totaled $78 million, with $43 million in severance costs and $32 million in contract termination costs[318] - The company initiated a restructuring plan in Q4 2023, resulting in headcount reductions of approximately 1,800 positions, representing 5% of the global workforce[320] - In 2024, the company recorded an inventory valuation charge of $38 million related to powersports inventory[321] Tax and Compliance - The effective income tax rate for 2024 was 12.5%, down from 15.2% in 2023[326] - Unrecognized tax benefits decreased to $215 million in 2024 from $222 million in 2023[327] - Deferred tax assets decreased to $261 million in 2024 from $349 million in 2023[332] Cash Flow and Capital Expenditures - Total capital expenditures for the Manufacturing Group were $364 million in 2024, a decrease from $402 million in 2023[197] - The company has a senior unsecured revolving credit facility of $1.0 billion, with the option to increase it to $1.3 billion, expiring in October 2027[264] Inventory and Assets - Total inventories increased from $3,914 million at December 30, 2023, to $4,071 million at December 28, 2024, with finished goods rising from $1,072 million to $1,138 million[256] - Property, plant, and equipment, net increased from $2,477 million at December 30, 2023, to $2,529 million at December 28, 2024, with total accumulated depreciation rising from $5,247 million to $5,471 million[257] Shareholder Actions - The company repurchased $12.89 million shares in 2024, reducing outstanding common stock from 192,898 thousand shares in 2023 to 182,964 thousand shares in 2024[273] - Basic weighted-average shares outstanding decreased from 199,719 thousand in 2023 to 188,318 thousand in 2024[275] - The company declared dividends of $0.08 per share for 2024, consistent with the previous year[192]

Group 1 - Textron Inc. is positioned well in the Aerospace and Defense industry and is highlighted on GARP screens despite historical growth challenges [1] - The company has underperformed against most benchmarks, but its medium-term growth prospects are improving [1] - The analysis utilizes Cash Flow Returns On Investment based DCF valuation tools from ROCGA Research, which has over 20 years of investment analysis experience [1]

POLAND - 2025/01/09: In this photo illustration, the Textron Inc company logo is seen displayed on a ... [+] smartphone screen. (Photo Illustration by Piotr Swat/SOPA Images/LightRocket via Getty Images)SOPA Images/LightRocket via Getty ImagesTextron (NYSE: TXT) recently reported its Q4 results, with the top line missing and the bottom-line exceeding the street estimates. The company reported revenues of $3.6 billion and adjusted earnings of $1.34 per share, compared to the consensus estimates of $3.8 billi ...

Earnings Performance - Adjusted earnings per share (EPS) for Q4 2024 was $1.34, beating the Zacks Consensus Estimate of $1.25 by 7.2%, but declined 16.3% from $1.60 in the year-ago quarter [1] - GAAP earnings per share for Q4 2024 was 76 cents, down from $1.61 in Q4 2023 [2] - Full-year 2024 adjusted EPS was $5.48, surpassing the Zacks Consensus Estimate of $5.42 but declined 2% from $5.59 in the previous year [2] Revenue Performance - Q4 2024 total revenues were $3.61 billion, missing the Zacks Consensus Estimate of $3.74 billion by 3.5% and declining 7.2% from $3.89 billion in the year-ago quarter [3] - Manufacturing revenues improved 7.2% year-over-year to $3.60 billion [3] - Full-year 2024 revenues were $13.70 billion, missing the Zacks Consensus Estimate of $13.83 billion but improved 0.1% from $13.68 billion in the previous year [3] Segmental Performance Textron Aviation - Revenues declined 15.9% year-over-year to $1.28 billion due to lower volume caused by production disruptions from a labor strike [4] - Operating profit was $100 million, down from $193 million in the year-ago period, attributed to lower volume, manufacturing inefficiencies, and strike-related costs [5] - Delivered 32 jets (down from 50) and 38 commercial turboprops (down from 44) compared to the year-ago quarter [5] - Order backlog at the end of the quarter totaled $7.8 billion [5] Bell - Revenues increased 5.4% year-over-year to $1,129 million, driven by higher military revenues from the FLRAA program [6] - Operating profit declined 6.8% to $110 million due to lower volume on the V-22 program [6] - Delivered 78 commercial helicopters, down from 91 in the previous year [6] - Order backlog at the end of the quarter totaled $7.5 billion [6] Textron Systems - Revenues declined 1% year-over-year to $311 million [7] - Operating profit increased 20% to $42 million [7] - Order backlog at the end of the quarter totaled $2.6 billion [7] Industrial - Revenues declined 9.6% year-over-year to $869 million due to lower volumes and mix, particularly in the Specialized Vehicles product line [7] - Operating profit was $48 million, down from $57 million in the prior-year quarter [8] Textron eAviation - Revenues increased 10% year-over-year to $11 million [9] - Reported a loss of $18 million, narrower than the $22 million loss in the prior-year period [9] Finance - Revenues declined 8.3% year-over-year to $11 million [9] - Operating profit was $5 million, up from $4 million in the year-ago period [9] Financial Position - Cash and cash equivalents totaled $1.39 billion as of Dec 28, 2024, down from $2.12 billion as of Dec 30, 2023 [10] - Cash flow from operating activities in 2024 was $1.01 billion, down from $1.27 billion in the prior year [10] - Capital expenditures were $153 million, down from $178 million in the prior year [10] - Long-term debt totaled $2.89 billion as of Dec 28, 2024, down from $3.17 billion as of Dec 30, 2023 [10] Guidance - Textron issued 2025 adjusted EPS guidance in the range of $6.00-$6.20, below the Zacks Consensus Estimate of $6.53 [11] Upcoming Defense Releases - Leidos Holdings (LDOS) is set to report Q4 2024 earnings on Feb 11, 2025, with a Zacks Consensus Estimate of $2.18 EPS and $4.12 billion in sales, indicating 3.6% year-over-year growth [13] - Northrop Grumman (NOC) is set to report Q4 2024 results on Jan 30, 2025, with a Zacks Consensus Estimate of $6.26 EPS and $11.02 billion in sales, indicating 3.6% year-over-year growth [14] - CurtissWright (CW) is set to report Q4 2024 results on Feb 12, 2025, with a Zacks Consensus Estimate of $3.08 EPS and $785.5 million in sales [14]

The industrial company reported mixed fourth-quarter results.Textron (TXT -4.48%), a multifaceted industrial company known for its aviation and defense businesses, released its fourth-quarter 2024 earnings results on Jan. 22. The company posted adjusted earnings per share (EPS) of $1.34, surpassing the consensus expectation of $1.28 by 4.7%. Revenue reached $3.613 billion, slightly missing the expected $3.748 billion. Despite certain segmental headwinds, Textron ended the quarter on a positive note.MetricQ4 ...

Financial Data and Key Metrics Changes - Revenues in Q4 2024 were $3.6 billion, down from $3.9 billion in Q4 2023 [4] - Segment profit for the quarter was $283 million, a decrease of $101 million from the previous year's fourth quarter [4] - Adjusted income from continuing operations was $1.34 per share, compared to $1.60 per share in Q4 2023 [4] - Manufacturing cash flow before pension contributions totaled $306 million, down $74 million from last year's fourth quarter [4] Business Line Data and Key Metrics Changes - Specific business line performance details were not provided in the available content Market Data and Key Metrics Changes - Market performance details were not provided in the available content Company Strategy and Development Direction and Industry Competition - Company strategy and competitive landscape details were not provided in the available content Management's Comments on Operating Environment and Future Outlook - Management indicated that future estimates and expectations are subject to various risk factors, which are detailed in SEC filings [3] Other Important Information - The earnings call presentation can be found in the Investor Relations section of the company's website [3] Q&A Session Summary - No specific questions and answers from the Q&A session were provided in the available content

© 2025 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. These forward-looking statements speak only as of the date on which they are made, and we undertake no obligation to update or revise any forward-looking statements. Th ...

Textron (TXT) came out with quarterly earnings of $1.34 per share, beating the Zacks Consensus Estimate of $1.25 per share. This compares to earnings of $1.60 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 7.20%. A quarter ago, it was expected that this maker of Cessna small planes and Bell helicopters would post earnings of $1.46 per share when it actually produced earnings of $1.40, delivering a surprise of -4.11%.Over the ...

Financial Performance - Q4 2024 income from continuing operations was $0.76 per share, down from $1.01 per share in Q4 2023, with adjusted income from continuing operations at $1.34 per share, compared to $1.60 per share in Q4 2023[2] - Full-year 2024 income from continuing operations was $4.34 per share, down from $4.57 in 2023, with adjusted income from continuing operations at $5.48, compared to $5.59 in 2023[3] - Adjusted income from continuing operations for Q4 2024 was $248 million, compared to $316 million in Q4 2023, a decrease of 21.5%[27] - Full-year 2024 adjusted income from continuing operations was $1,042 million, down 7.5% from $1,127 million in 2023[27] - Q4 2024 diluted EPS (Non-GAAP) was $1.34, a 16.3% decrease from $1.60 in Q4 2023[27] - Adjusted diluted earnings per share for Q4 2024 was $1.34, compared to $1.60 in Q4 2023[39] - Full-year 2024 adjusted diluted earnings per share was $5.48, compared to $5.59 in 2023[39] Cash Flow and Capital Expenditures - Full-year 2024 manufacturing cash flow before pension contributions was $692 million, down from $931 million in 2023[4] - Net cash from operating activities for 2024 was $1.008 billion, a 20.6% decrease from $1.270 billion in 2023[32] - Capital expenditures for 2024 totaled $364 million, down 9.5% from $402 million in 2023[32] - Manufacturing cash flow before pension contributions (Non-GAAP) for 2024 was $692 million, down 25.7% from $931 million in 2023[32] - Manufacturing cash flow before pension contributions for Q4 2024 was $306 million, compared to $380 million in Q4 2023[43] - Full-year 2024 manufacturing cash flow before pension contributions was $692 million, compared to $931 million in 2023[43] - 2025 outlook for manufacturing cash flow before pension contributions is projected between $800 million and $900 million[44] Shareholder Returns - Textron returned $232 million to shareholders through share repurchases in Q4 2024, with full-year 2024 share repurchases totaling $1.1 billion[5] Revenue and Profit by Segment - Bell revenues in Q4 2024 were $1.1 billion, up $58 million from Q4 2023, with segment profit of $110 million, down $8 million from a year ago[12][13] - Textron Systems revenues in Q4 2024 were $311 million, down $3 million from Q4 2023, with segment profit of $42 million, up $7 million from a year ago[14] - Industrial segment revenues in Q4 2024 were $869 million, down $92 million from Q4 2023, with segment profit of $48 million, down $9 million from a year ago[15] - Textron eAviation segment revenues in Q4 2024 were $11 million, with a segment loss of $22 million, largely associated with R&D expenses on new products[16] Backlog and Future Outlook - Textron Aviation backlog at the end of Q4 2024 was $7.8 billion, up $676 million from year-end 2023[8] - Textron forecasts 2025 revenues of approximately $14.7 billion, up from $13.7 billion in 2024, with full-year 2025 GAAP EPS from continuing operations expected to be in the range of $5.19 to $5.39, or $6.00 to $6.20 on an adjusted basis[6] - 2025 outlook for adjusted income from continuing operations is projected between $1,105 million and $1,140 million[40] - 2025 outlook for adjusted diluted earnings per share is projected between $6.00 and $6.20[40] Special Charges and Inventory Impact - Textron recorded $78 million in pre-tax special charges in 2024, including $43 million in severance costs and $32 million in contract termination costs[28] - Inventory valuation charge was incurred due to the indefinite pause in powersports production, impacting the Industrial segment[28] Balance Sheet and Cash Position - Total assets as of December 28, 2024 were $16.838 billion, slightly down from $16.856 billion at the end of 2023[30] - Cash and equivalents decreased by $735 million in 2024, ending at $1.386 billion compared to $2.121 billion at the end of 2023[30]