RTX Wins a Contract for F135 Propulsion System in Support of F-35 Jets

Core Insights - RTX Corporation's Raytheon segment secured a $60 million modification contract for the F135 propulsion system, awarded by the Naval Air Systems Command, expected to be completed by December 2027 [1][2][9] Summary by Sections Contract Details - The contract is valued at $60 million and supports the production and supply of F135 propulsion systems for the 18th lot of F-35 aircraft, serving U.S. Air Force, Marine Corps, Navy, Foreign Military Sales customers, and F-35 Cooperative Program Partners [2][9] - The majority of the work will be conducted in Cromwell, CT; San Diego, CA; and Portland, OR [2][9] Market Dynamics - Rising global geopolitical tensions are driving nations to invest in advanced combat jets, increasing demand for fighter jets and their engines like the F135 [3] - The global fighter aircraft market is projected to grow at a CAGR of 3.7% from 2025 to 2030, indicating strong growth prospects for the fighter jet market [4] Competitive Position - RTX is well-positioned to secure more contracts due to over 7,500 Pratt and Whitney military engines currently in service with 30 armed forces worldwide [5] - Other defense companies benefiting from the expanding fighter jet market include Northrop Grumman, Lockheed Martin, and Boeing, each with their respective growth rates and market positions [6][7][8][10] Stock Performance - RTX shares have increased by 13.1% over the past three months, outperforming the industry growth of 9.4% [11]