Core Insights - L3Harris Technologies has secured a new U.S. Navy contract to support Marine Corps strike modernization efforts, focusing on the Red WolfTM vehicles for long-range precision missions [1][2] - The contract follows extensive operational testing and transitions from demonstrations to production and fielding [2] - The military is increasingly prioritizing affordable systems that can deploy at scale, especially in light of vulnerabilities exposed by recent conflicts involving mass-produced drones [3] Program Scope and Timing - The Navy's selection of L3Harris was announced after 52 successful vehicle flights in various environments, including low-altitude firings from a Marine AH-1Z helicopter [2] Battlefield Advantages - The Red Wolf system enhances engagement distance for weapons launched from vertical takeoff platforms, demonstrating ranges of about 200 nautical miles during testing [4] - The vehicle supports beyond line-of-sight communications and autonomous over-the-horizon engagements, allowing more aircraft to participate in strike operations [5] Financial Guidance - For fiscal 2026, L3Harris expects adjusted earnings per share between $11.30 and $11.50, below the Street's estimate of $12.46, while raising its revenue outlook to $23.0 billion to $23.5 billion, slightly above the consensus estimate [6] - By segment, projected revenues include approximately $11.5 billion from Space & Mission Systems, around $8.0 billion from Communication & Spectrum Dominance, and approximately $4.4 billion from Missiles Solutions, with total operating margins expected in the low 16% range [7] - The company anticipates free cash flow of approximately $3.0 billion [8]