# RTX Corporation (RTX) — Financial Analysis

**Exchange:** NYSE  
**Coverage as of:** 2026-Q2  
**Updated:** 2026-05-12  
**Tier:** Free primer (step 2 of 19)  
**Sibling pages:** /stocks/RTX/thesis · /stocks/RTX/memo

## Financial Snapshot

---
ticker: RTX
step: 04
generated: 2026-05-12
source: quick-research
---

### RTX Corporation (RTX) — Financial Snapshot

#### Income Statement Summary

| Metric | FY2023 | FY2024 | FY2025 | YoY |
|--------|--------|--------|--------|-----|
| Adj. Revenue | $74.3B | $80.8B | $88.6B | +10% |
| Revenue Growth (organic) | +11% | +11% | +12% | |
| Adj. Operating Margin | 11% | 13% | 14% | +100bps |
| Adj. Net Income | $5.4B | $7.2B | $9.1B | +26% |
| Adj. EPS | $4.95 | $5.02 | $5.85 | +17% |
| Free Cash Flow | $4.7B | $4.5B | $7.0B | +56% |

#### Segment Revenue (FY2025)

| Segment | Revenue | Op Margin |
|---------|---------|-----------|
| Collins Aerospace | ~$28B | ~17% |
| Pratt & Whitney | ~$27B | ~10% (GTF drag) |
| Raytheon | ~$34B | ~10% |

#### Backlog (key metric)

| Period | Total Backlog |
|--------|---------------|
| Q4 2024 | $218B ($125B commercial + $93B defense) |
| Q3 2025 | $251B |
| Q4 2025 | $268B |
| Q1 2026 | $271B (record) |
| Defense Backlog | $107B |
| Commercial Backlog | ~$160B |

#### Major Defense Contracts

| Program | Value |
|---------|-------|
| Patriot multi-year | $50B+ (DoD) |
| F-35 engines | 156 deliveries 2025 → 200 by 2028 |
| LRHW + hypersonics | Multi-billion development |
| Tomahawk + Standard Missile | Ongoing replenishment + EU orders |
| Replenishment for Ukraine/Israel/EU | Multi-year |

#### GTF Recall Status

| Metric | Value |
|--------|-------|
| Recall scope | ~1,200 engines (powder metal defect) |
| 2025 cash compensation | $1B paid |
| 2025 P&W aftermarket charges | Cumulative ~$3-5B over 2023-2025 |
| Status 2026 | Groundings declining as maintenance ramps |

#### Other Charges

| Item | Value |
|------|-------|
| Missile settlement (Feb 2026) | $1B |
| 2026 Tariff exposure | ~$850M |
| Patriot R&D investment | Ongoing |

#### Cash Flow & Balance Sheet (FY2025)

| Metric | Value |
|--------|-------|
| Operating Cash Flow | ~$10B |
| Capital Expenditures | ~$3B |
| Free Cash Flow | $7.0B |
| Cash & Investments | ~$10B |
| Total Debt | ~$40B |

#### Key Ratios (approximate, May 2026)
- P/E (forward): ~21x | EV/EBITDA: ~14x | Dividend Yield: ~1.9%
- ROIC: ~10%
- FCF Margin: ~8%

#### Growth Profile
FY25 adj. revenue +10% to $88.6B; EPS $5.85 (+17%). Q1 2026 raised full-year outlook on record $271B backlog. 2026 capex stepping up from $2.6B to $3.1B for missile production capacity. GTF maintenance ramp + groundings declining. Defense spending tailwinds from Israel, Ukraine, Patriot orders.

#### Forward Estimates
- **FY2026E Adj Revenue:** ~$96B (+8-9%)
- **FY2026E Adj EPS:** ~$6.40-6.60 (consensus, +9-13%)
- **FY2027E EPS:** ~$7.50-8.00
- **2028 F-35 Engine Deliveries:** 200 (ramped from 156)

#### Capital Return
- Quarterly dividend $0.63 = $2.52 annual (~$3.3B paid)
- 32+ consecutive years of dividend payments
- Buybacks: ~$2-3B annual run rate
- Total return: ~3-5% combined yield

## Deeper Financial Analysis

The fundamental tier ($1.00) adds 8 dimensions not included here:

- Revenue Breakdown — segment revenue, geographic mix, product-line margins
- Financial Trends — QoQ momentum, leading indicators, inflection points
- Balance Sheet — debt structure, dilution risk, working capital dynamics
- Capital Allocation — ROIC, buyback cadence, reinvestment efficiency
- Earnings Analysis — beats/misses, guidance vs actuals, transcript highlights
- Competitive Positioning — market share, pricing power, peer benchmarks
- Industry Context — TAM, sector tailwinds/headwinds, regulatory backdrop

**API endpoint:** GET /api/v1/research/RTX/fundamental

## Navigation

- Overview: /stocks/RTX
- Financials (this page): /stocks/RTX/financials
- Thesis: /stocks/RTX/thesis
- Investment Memo: /stocks/RTX/memo
- Coverage universe: /stocks