RTX (NYSE: RTX) reported stronger-than-expected second-quarter 2026 results, with double-digit growth across both its commercial aerospace and defense segments driving the beat.
The aerospace and defense giant posted adjusted earnings per share of $1.89, well above the consensus estimate of $1.66 from analysts.
Revenues reached $24.71 billion for the quarter, topping the consensus mark of $22.88 billion by a significant margin.
Adjusted sales climbed 14% year over year, or 16% on an organic basis, supported by strong commercial aftermarket and defense operations performance.
Chairman and CEO Chris Calio said the company delivered another quarter of strong operational execution as demand remained robust across both commercial aerospace and defense markets.
RTX ended the quarter with a record $289 billion backlog, representing a 22% increase compared to the same period a year ago.
On the defense side, Raytheon secured nearly $20 billion in awards during the quarter, including more than $5 billion of Patriot GEM-T interceptor orders, over $4 billion of classified awards, and $1.8 billion in AMRAAM missile contracts.
Pratt & Whitney made notable progress on its geared turbofan fleet management plan, with aircraft-on-ground counts for the PW1100 engine family now down 25% year to date.
Pratt & Whitney also received certification for its next-generation GTF Advantage engine and began deliveries to Airbus, with full production transition anticipated in 2028.
Raytheon announced an additional $100 million investment to expand Patriot GEM-T production and LTAMDS radar testing capacity, while Pratt & Whitney is investing more than $100 million to expand GTF maintenance capacity across multiple U.S. facilities.
Collins Aerospace generated $8.21 billion in revenues, up 8%, while Pratt & Whitney reported $8.89 billion in revenues, rising 16% year over year with commercial aftermarket sales surging 25%.
Raytheon delivered revenues climbing 18% year over year, driven by higher production of Patriot, Standard Missile, and AMRAAM systems, with operating margins expanding across all three business segments.
International awards exceeded $10 billion during the first half of the year, underlining the strength of global defense demand supporting RTX’s long-term growth outlook.
Executives indicated that framework defense agreements currently under negotiation are not yet included in backlog, representing additional upside potential if finalized.
RTX raised its full-year 2026 adjusted sales guidance to between $95.0 billion and $96.0 billion, up from its previous range of $92.5 billion to $93.5 billion.
The company now expects organic sales growth of 8% to 9%, compared to its prior forecast of 5% to 6%, reflecting sustained momentum heading into the second half.
Adjusted EPS guidance was lifted to a range of $7.10 to $7.25, up from the previous guidance of $6.70 to $6.90, reflecting improved earnings visibility across all segments.
Free cash flow guidance was raised to between $8.50 billion and $8.75 billion, with the lower end of the range increased by $250 million from prior guidance.
Management noted that supply-chain performance continues improving, defense demand remains exceptionally strong both domestically and internationally, and Raytheon’s growing mix of mature international programs should continue supporting margin expansion.
