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Textron Q3 Earnings Beat Estimates, Revenues Improve Y/Y
ZACKSยท 2025-10-23 14:01
Core Insights - Textron Inc. reported third-quarter 2025 adjusted earnings of $1.55 per share, exceeding the Zacks Consensus Estimate of $1.47 by 5.4% and reflecting a 10.7% increase from $1.40 in the same quarter last year [1][8] - Total revenues for the company were $3.6 billion, falling short of the Zacks Consensus Estimate of $3.71 billion by 2.8%, but showing a 4.9% increase from $3.43 billion in the previous year [2][8] Textron's Revenues - The company achieved total revenues of $3.6 billion, which was below expectations but represented a 4.9% year-over-year growth [2][8] Segmental Performance of Textron - **Textron Aviation**: Revenues increased by 10% year-over-year to $1.5 billion, driven by higher volumes in Citation jets and commercial turboprops, with a backlog of $7.7 billion [3][8] - **Bell**: Revenues reached $1 billion, also up 10% year-over-year, supported by increased military revenues, with a backlog of $8.2 billion [4][8] - **Textron Systems**: Revenues were $307 million, a slight increase from the previous year, with a backlog of $3.2 billion [5] - **Industrial**: Revenues declined by $79 million to $761 million due to the divestiture of the Powersports business [5] - **Textron eAviation**: Revenues totaled $5 million, down from $6 million in the prior year [5] - **Finance**: Revenues increased to $26 million from $12 million in the year-ago quarter [6] Textron's Financials - As of September 27, 2025, cash and cash equivalents were $1.45 billion, up from $1.39 billion at the end of 2024 [7] - Cash generated from operating activities in the first nine months of 2025 was $629 million, compared to $561 million in the same period last year [9] - Capital expenditures were $210 million, slightly down from $211 million in the prior year [9] - Long-term debt increased to $3.04 billion from $2.89 billion at the end of 2024 [9] Textron's Guidance - The company expects adjusted earnings to be in the range of $6.00 to $6.20 per share, with the Zacks Consensus Estimate at $6.15 per share [10] Textron's Zacks Rank - Textron currently holds a Zacks Rank 2 (Buy) [11]