RTX Corp SEC 10-Q Report

RTX Corp, a leading aerospace and defense company, has released its latest Form 10-Q report, showcasing robust financial and operational performance for the quarter ended June 30, 2025. The report highlights significant improvements in key financial metrics and provides insights into the company's business operations and future outlook.

Financial Highlights

• Total Net Sales: $21,581 million, reflecting a year-over-year increase from $19,721 million, driven by growth in both product and service sales.
• Operating Profit: $2,146 million, a significant improvement from $529 million in the prior year, indicating enhanced operational efficiency and cost management.
• Net Income: $1,725 million, compared to $175 million in the previous year, showcasing strong bottom-line growth.
• Net Income Attributable to Common Shareowners: $1,657 million, up from $111 million, highlighting improved profitability.
• Basic EPS: $1.24, a substantial increase from $0.08, reflecting higher earnings per share for common shareholders.
• Diluted EPS: $1.22, compared to $0.08 in the prior year, indicating improved earnings performance on a diluted basis.

Business Highlights

• Revenue Segments: Collins Aerospace, Pratt & Whitney, and Raytheon are the three principal segments. Collins Aerospace reported net sales of $7,622 million, Pratt & Whitney $7,631 million, and Raytheon $7,001 million for the quarter ended June 30, 2025.
• Operating Profit by Segment: Collins Aerospace achieved an operating profit of $1,173 million with a margin of 15.4%, Pratt & Whitney reported $492 million with a margin of 6.4%, and Raytheon reported $805 million with a margin of 11.5% for the quarter ended June 30, 2025.
• Research and Development: The company invested significantly in research and development, with Collins Aerospace spending $329 million, Pratt & Whitney $249 million, and Raytheon $121 million during the quarter ended June 30, 2025.
• Future Outlook: The company anticipates continued elevated aircraft on ground levels for the PW1100 powered A320neo fleet through 2026 due to the Powder Metal Matter, impacting Pratt & Whitney's operations.
• Operational Adjustments: The company is managing the impact of the Powder Metal Matter, which has led to increased shop visits and customer compensation, particularly affecting Pratt & Whitney's operations.
• Compliance and Legal Matters: The company is under several compliance and legal obligations, including a deferred prosecution agreement with the DOJ and a consent agreement with the DOS, which require ongoing compliance monitoring and remedial measures.
• Segment Performance: Collins Aerospace and Raytheon segments showed strong operating profit margins, while Pratt & Whitney faced challenges due to the Powder Metal Matter, impacting its operational efficiency.
• Production and Capacity: The company is managing production and capacity challenges, particularly in Pratt & Whitney, due to increased maintenance requirements and customer compensation related to the Powder Metal Matter.

SEC Filing: RTX Corp [ RTX ] - 10-Q - Jul. 22, 2025