RTX reported strong financial results for 2025, exceeding prior year sales, adjusted EPS, and free cash flow, driven by operational performance and execution. The company anticipates continued growth in sales, earnings, and cash flow for 2026, supported by investments in capabilities and production capacity.
Consolidated sales of $24.2 billion in Q4 FY2025, up 12% year-over-year and 14% organically.
positiveFull year 2025 sales of $88.6 billion, up 10% year-over-year and 11% organically.
positiveFull year 2025 free cash flow of $7.9 billion, a significant increase of $3.4 billion compared to the prior year.
positiveCompany backlog remains strong at $268 billion, comprising $161 billion commercial and $107 billion defense.
positivePratt & Whitney Q4 FY2025 sales increased 25% year-over-year, driven by strong performance in commercial OE, commercial aftermarket, and military segments.
positiveAdjusted EPS in Q4 FY2025 was $1.55, a marginal increase of 1% compared to the prior year, indicating a slowdown in earnings growth.
attentionCollins Aerospace adjusted operating profit margin decreased by 20 bps year-over-year in Q4 FY2025, despite overall sales growth.
attentionPratt & Whitney adjusted operating profit margin decreased by 130 bps year-over-year in Q4 FY2025, impacted by mix and higher SG&A.
attentionSignificant non-recurring items and adjustments impacted GAAP results, including $0.31 per share of acquisition accounting adjustments and $0.02 of restructuring in Q4 FY2025.
attentionInventory levels increased to $13.4 billion in Q4 FY2025 from $12.8 billion in Q4 FY2024.
attentionMargin expansion indicates improving profitability and operational efficiency. Measured in basis points (bps): 100 bps = 1.0%.
| Segment | Current | Prior Yr | YoY | % Total |
|---|---|---|---|---|
Collins Aerospace | N/A | — | — | — |
Pratt & Whitney | N/A | — | — | — |
Raytheon | N/A | — | — | — |
| Total Revenue | $0.00M | — | — | 100.0% |
Segment performance shows business unit health and growth drivers.
Forward-looking guidance is subject to change and does not constitute a guarantee. Actual results may differ materially from these estimates.
Special items are non-recurring events that may distort period-over-period comparisons. Analysts typically adjust for these when calculating normalized earnings.
RTX delivered strong sales, adjusted EPS and free cash flow in 2025, enabled by our continued focus on operational performance and execution.
We enter 2026 with great momentum and are well positioned to deliver our 2026 financial outlook.
We remain focused on investing in new capabilities, expanding production capacity, and executing on our backlog to meet the growing needs of our customers.
Commentary excerpts from earnings call transcripts provide management's perspective on performance, strategy, and outlook. Always review full transcripts for complete context.
Operational metrics provide insight into business drivers and customer engagement beyond traditional financial measures.