RTX Corp
For the period ended Jun 30, 2026. Filed Jul 23, 2026.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Jun 30, 2026 · Filed Jul 23, 2026
RTX$189.53-1.2%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2026-03-31; filed 2026-04-21.
0000101829-26-000011
Item 2. Managements Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2026-06-30; filed 2026-07-23.
0000101829-26-000027
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 135 previous paragraphs and 159 current paragraphs.
86 unchanged; 46 reworded; 25 added; 3 removed; 0 previous and 2 current paragraphs rearranged.
Tables are not compared: 33 previous and 40 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (25)
Current report
Net sales increased $5.6 billion organically in the six months ended June 30, 2026, primarily due to higher organic net sales of $2.0 billion at Pratt & Whitney, $1.8 billion at Raytheon, and $1.7 billion at Collins.
Current report
Net products sales increased $3.6 billion in the six months ended June 30, 2026 compared to the six months ended June 30, 2025 primarily driven by increases in external products sales of $1.9 billion at Raytheon, $0.8 billion at Pratt & Whitney, and $0.8 billion at Collins.
Current report
Net services sales increased $1.3 billion in the six months ended June 30, 2026 compared to the six months ended June 30, 2025 primarily driven by increases in external services sales of $1.3 billion at Pratt & Whitney and $0.1 billion at Collins, partially offset by a decrease in external service sales of $0.1 billion at Raytheon.
Current report
Net products cost of sales increased $2.5 billion in the six months ended June 30, 2026 compared to the six months ended June 30, 2025, primarily driven by increases in external products cost of sales at Raytheon, Pratt & Whitney, and Collins, each driven by the products sales changes noted above.
Current report
Net services cost of sales increased $1.1 billion in the six months ended June 30, 2026 compared to the six months ended June 30, 2025, primarily driven by increases in external products cost of sales at Pratt & Whitney and Collins, each driven by the products sales changes noted above.
Current report
Selling, general, and administrative expenses increased for the six months ended June 30, 2026 compared to the six months ended June 30, 2025, primarily driven by higher compensation and other costs across the businesses, partially offset by the absence of a charge related to a customer bankruptcy recorded at Pratt & Whitney in 2025 and lower restructuring costs in 2026 as compared to 2025 as a result of ongoing cost reduction efforts driven by various workforce reductions at Collins.
Current report
The increase in Other income, net in the six months ended June 30, 2026 compared to the six months ended June 30, 2025, was primarily due to higher gains related to the increase in fair value on investments in 2026 and favorable foreign exchange impacts, partially offset by the impact of a litigation matter in 2026.
Current report
The increase in Operating profit of $1.2 billion for the six months ended June 30, 2026 compared to the six months ended June 30, 2025 was primarily driven by an increase in the organic operating profit of our segments of approximately $0.9 billion, the absence of a charge related to a customer bankruptcy recorded at Pratt & Whitney in 2025, and lower restructuring costs in 2026 as compared to 2025.
Current report
The effective tax rate for the quarter ended June 30, 2026 is higher compared to June 30, 2025. The effective tax rate for the quarter ended June 30, 2025 included a tax benefit associated with the conclusion of the Internal Revenue Service (IRS) examination of RTX’s 2020 tax year as well as a higher tax benefit from stock based compensation as compared to the quarter ended June 30, 2026. The effective tax rate for the quarter ended June 30, 2026 includes a net benefit associated with legal entity reorganizations.
Current report
Net income attributable to common shareowners for the six months ended June 30, 2026 includes the following:
Current report
•acquisition accounting adjustments of $0.7 billion, net of tax, which had an unfavorable impact on diluted EPS of $0.54.
Current report
Net income attributable to common shareowners for the six months ended June 30, 2025 includes the following:
Current report
•acquisition accounting adjustments of $0.7 billion, net of tax, which had an unfavorable impact on diluted EPS of $0.55;
Current report
The organic operating profit increase of $0.1 billion in the quarter ended June 30, 2026 compared to the quarter ended June 30, 2025 was due to higher commercial aerospace operating profit of $0.2 billion driven by the higher sales volume discussed above. Defense operating profit decreased slightly, principally driven by the impact of mix that more than offset the higher sales volume discussed above. Operating profit was also impacted by higher selling, general and administrative expenses.
Current report
The organic operating profit increase of $0.3 billion in the six months ended June 30, 2026 compared to the six months ended June 30, 2025 was primarily due to higher commercial aerospace operating profit of $0.2 billion primarily due to the volume increases discussed above, partially offset by the impact of higher tariffs. Defense operating profit in the six months ended June 30, 2026 compared to the six months ended June 30, 2025 increased $0.1 billion as the benefit of higher volume was partially offset by mix. Operating profit was also impacted by higher selling, general and administrative expenses.
Current report
The decrease in net sales due to acquisitions / divestitures, net in thesix months ended June 30, 2026 compared to thesix months ended June 30, 2025 relates to the divestitures of the actuation and flight control business and the Simmonds Precision Products business completed in 2025.
Current report
The decrease in restructuring costs in the six months ended June 30, 2026 compared to the six months ended June 30, 2025 was primarily due to lower severance related costs recognized in 2026.
Current report
$0.1 billion driven by the sales volume discussed above and favorable mix. These increases were partially offset by higher selling, general, and administrative expenses of $0.1 billion.
Current report
The increase in other operating profit of $0.1 billion in the quarter ended June 30, 2026, compared to the quarter ended June 30, 2025, primarily relates to the absence of a $0.1 billion charge related to a customer bankruptcy in 2025.
Current report
The organic net sales increase of $2.0 billion in the six months ended June 30, 2026 compared to the six months ended June 30, 2025, was driven by higher commercial aftermarket sales of $1.6 billion, primarily reflecting higher volume. The increase also includes higher military sales of $0.6 billion due to higher F135 production volume which includes the benefit from the Q3 2025 contract award timing. These increases were partially offset by a $0.2 billion decrease in commercial OEM sales as higher volume was more than offset by mix in large commercial engines.
Current report
The organic operating profit increase of $0.2 billion in the six months ended June 30, 2026, compared to the six months ended June 30, 2025 was primarily driven by higher commercial aerospace profit of $0.2 billion. The increase was primarily driven by higher commercial aftermarket volume as discussed above, partially offset by lower commercial OEM operating profit contribution driven by the higher volume and mix, including higher production costs, as discussed above. Organic operating profit also included higher military operating profit of $0.1 billion, driven by F135 production sales discussed above as well as favorable mix. These increases were partially offset by an increase in selling, general, and administrative expenses of $0.1 billion.
Current report
The increase in other operating profit of $0.1 billion in the six months ended June 30, 2026, compared to the six months ended June 30, 2025, primarily relates to the absence of a $0.1 billion charge related to a customer bankruptcy in 2025.
Current report
(1) See “Segment Review” above for definition of organic. A reconciliation of this measure to the reported U.S. GAAP amount is provided in the table above.
Current report
The organic net sales increase of $1.8 billion in the six months ended June 30, 2026 compared to the six months ended June 30, 2025 was primarily due to higher net sales of $1.0 billion from land and air defense systems programs driven by higher net sales on Patriot programs, higher net sales of $0.6 billion from naval power programs primarily driven by higher volume on Standard Missile programs, and higher net sales of $0.2 billion on air and space defense systems programs principally due to higher volume on AMRAAM programs.
Current report
On April 30, 2026, the Board of Directors declared a dividend of $0.73 per share payable June 11, 2026 to shareowners of record at the close of business on May 22, 2026. On June 26, 2026, the Board of Directors declared a dividend of $0.73 per share payable September 3, 2026 to shareowners of record at the close of business on August 14, 2026.
Removed paragraphs (3)
Previous report
(1) Excludes foreign military sales through the U.S. government.
Previous report
The organic operating profit increase of $0.1 billion in the quarter ended March 31, 2026 compared to the quarter ended March 31, 2025 was primarily due to the commercial and defense sales volume increases as discussed above, partially offset by the impact of higher tariffs and unfavorable commercial OEM mix. Operating profit also benefited from lower research and development expenses.
Previous report
The decrease in restructuring costs during thequarter ended March 31, 2026 compared to thequarter ended March 31, 2025 relates primarily to higher workforce reductions initiated in thequarter ended March 31, 2025.
Reworded paragraphs (46)
Previous wording
We operate in three segments: Collins Aerospace (Collins), Pratt & Whitney, and Raytheon. Raytheon follows a fiscal calendar, while Collins and Pratt & Whitney use calendar quarter ends. Throughout this Form 10-Q, references to the quarters ended March 31, 2026 and 2025 for Raytheon correspond to its fiscal quarter ends of March 29, 2026 and March 30, 2025, respectively.
Current wording
We operate in three segments: Collins Aerospace (Collins), Pratt & Whitney, and Raytheon. Raytheon follows a fiscal calendar, while Collins and Pratt & Whitney use calendar quarter ends. Throughout this Form 10-Q, references to the quarters and six months ended June 30, 2026 and 2025 for Raytheon correspond to its fiscal quarter ends of June 28, 2026 and June 29, 2025, respectively.
Previous wording
The global trade environment is highly dynamic. Since February 2025, the U.S. government has imposed tariffs on imports from all countries with which the U.S. engages in trade. In response, certain countries have announced, and in some cases imposed, tariffs, and non-tariff countermeasures on goods that are imported from the U.S. Our businesses and suppliers import goods subject to U.S. imposed tariffs, as well as goods subject to counter tariffs imposed by other countries. In February 2026, the U.S. Supreme Court ruled that U.S. tariffs imposed under the International Emergency Economic Powers Act (IEEPA) on goods imported into the U.S. were unauthorized. The Company is the importer of record for certain products that were previously subject to tariffs under IEEPA and paid approximately $0.5 billion of IEEPA tariffs since their inception. The U.S. Court of International Trade (CIT) has ordered the U.S. Customs and Border Protection (CBP) to refund the collected IEEPA tariffs. The administrative process for seeking refunds of IEEPA tariffs previously paid remains under development and the CIT’s order may be subject to U.S. government challenge. Accordingly, there is uncertainty regarding our ability to obtain refunds for IEEPA tariffs previously paid, and as such we have not recorded an anticipated recovery of IEEPA tariffs paid as of March 31, 2026. We will continue to monitor developments, including actions by the CIT and CBP to establish and execute on a refund process and take appropriate actions when or if they become available. Further, following the Supreme Court’s ruling invalidating IEEPA tariffs, the U.S. government imposed new and revised tariffs under various available regimes.
Current wording
The global trade environment is highly dynamic. Since February 2025, the U.S. government has imposed tariffs on imports from all countries with which the U.S. engages in trade. In response, certain countries have announced, and in some cases imposed, tariffs, and non-tariff countermeasures on goods that are imported from the U.S. Our businesses and suppliers import goods subject to U.S. imposed tariffs, as well as goods subject to counter tariffs imposed by other countries. In February 2026, the U.S. Supreme Court ruled that tariffs imposed under the International Emergency Economic Powers Act (IEEPA) on goods imported into the United States were unauthorized. The Company is the importer of record for certain products that were previously subject to IEEPA tariffs and has paid approximately $0.5 billion of such tariffs since their inception. The U.S. Court of International Trade (CIT) has ordered U.S. Customs and Border Protection (CBP) to refund the collected IEEPA tariffs. On April 20, 2026, CBP established an online portal through which companies can submit certain IEEPA tariff refund requests. On June 2, 2026, the U.S. government appealed the CIT’s order to issue refunds, however, the precise basis and scope of this appeal is currently unknown. As of June 30, 2026, the Company has submitted refund claims and has received and recognized an immaterial amount of refunds. The Company expects to submit additional refund claims and will recognize refunds if and when approved. Following the Supreme Court’s ruling invalidating IEEPA tariffs, the U.S. government imposed new and revised tariffs under various available regimes which may apply to certain products for which the Company is the importer of record.
Previous wording
We continue to pursue available options to mitigate the impact of tariffs and countermeasures, including (i) utilizing available exemptions or exclusions to tariffs, such as trade agreements, treaties or other statutory relief, (ii) evaluating operational and supply chain changes, and (iii) where feasible, increasing the prices of our goods and services. Our results for the quarter ended March 31, 2026, reflect our best estimate of the impact of the tariffs then in effect. As the duration, extent and enforceability of the tariffs and counter tariffs in effect remain uncertain, we are continuing to evaluate the potential future impacts of the imposition of tariffs to our business and financial condition. Based on current conditions, we do not believe that the tariffs announced by the U.S. or counter tariffs or other actions taken by other countries will have a material adverse effect upon our results of operations, financial condition, or cash flows. However, the actual financial impacts of tariffs are dependent upon various factors, most notably, the scope of goods covered by tariffs, the value of our imports subject to tariffs, the rate of tariffs applied, the timing and duration of tariffs, the enforceability of tariffs and counter-tariffs, the implementation of tariff and non-tariff countermeasures by countries subject to U.S. tariffs, and our and our suppliers’ ability to mitigate the impacts of tariffs. Changes in any of these factors and actual tariff costs incurred could significantly affect the estimates inherent in our financial statements, including those used in our estimates-at-completion (EACs), and estimates supporting the recoverability of our inventories, contract fulfillment costs, deferred tax assets, intangible assets and goodwill, and could have a material effect on our results of operations and cash flows in the periods recognized and paid.
Current wording
We continue to pursue available options to mitigate the impact of tariffs and countermeasures, including (i) utilizing available exemptions or exclusions to tariffs, such as trade agreements, treaties or other statutory relief, (ii) evaluating operational and supply chain changes, and (iii) where feasible, increasing the prices of our goods and services. Our results for the quarter and six months ended June 30, 2026, reflect our best estimate of the impact of the tariffs then in effect. As the duration, extent and enforceability of the tariffs and counter tariffs in effect remain uncertain, we are continuing to evaluate the potential future impacts of the imposition of tariffs to our business and financial condition. Based on current conditions, we do not believe that the tariffs announced by the U.S. or counter tariffs or other actions taken by other countries will have a material adverse effect upon our results of operations, financial condition, or cash flows. However, the actual financial impacts of tariffs are dependent upon various factors, most notably, the scope of goods covered by tariffs, the value of our imports subject to tariffs, the rate of tariffs applied, the timing and duration of tariffs, the recoverability and timing of refunds, the enforceability of tariffs and counter-tariffs, the implementation of tariff and non-tariff countermeasures by countries subject to U.S. tariffs, and our and our suppliers’ ability to mitigate the impacts of tariffs. Changes in any of these factors and actual tariff costs incurred could significantly affect the estimates inherent in our financial statements, including those used in our estimates-at-completion (EACs), and estimates supporting the recoverability of our inventories, contract fulfillment costs, deferred tax assets, intangible assets and goodwill, and could have a material effect on our results of operations and cash flows in the periods recognized and paid.
Previous wording
U.S. Government’s Budget, Tax Legislation and Executive Orders. On February 3, 2026, Congress passed and the President signed a spending package to end a U.S. government shutdown. The spending package funds the majority of the government through the end of the government’s fiscal year.
Current wording
U.S. Government’s Budget, Tax Legislation and Executive Orders. On February 3, 2026, Congress passed and the President signed a spending package providing full-year funding for most federal agencies through September 30, 2026. On April 21, 2026, the President’s proposed Fiscal Year 2027 defense budget seeking $1.5 trillion was released, consisting of $1.15 trillion in base discretionary budget and $350 billion of mandatory funding through reconciliation. The President submitted a separate supplemental funding request to Congress on June 24, 2026, with approximately $67 billion of the request intended for defense spending, including $21 billion for munitions replenishment. We are closely monitoring the movement of the requests through Congress.
Previous wording
The Act also provides a supplementary $156.2 billion to the DoW for obligations through 2029, which includes $24.4 billion for the Golden Dome for America project. The project, outlined in a January 27, 2025 Executive Order, calls for the development and deployment of a next-generation missile defense shield. On May 20, 2025, the DoW announced a draft architecture and implementation plan for the system. With next generation technologies across land, sea and space that build upon existing, proven defense capabilities, RTX’s portfolio is well-positioned to play a role in delivering reliable solutions for the Golden Dome for America initiative. Whether this Executive Order or corresponding funding will have a material impact on our business or results of operations will depend on a variety of factors, including actual awards, award timelines, mission priorities, and future budget determinations. The Act also includes $25.4 billion in funding to enhance DoW resources for munitions and supply chain resiliency. As a leading munitions manufacturer, RTX is strategically situated to play a key role in supporting this initiative.
Current wording
The Act also provides a supplementary $156.2 billion to the DoW for obligations through 2029, which includes $24.4 billion for the Golden Dome for America project. The project, outlined in a January 27, 2025 Executive Order, calls for the development and deployment of a next-generation missile defense shield. RTX’s portfolio is well-positioned to deliver key solutions for the project. Whether this Executive Order or corresponding funding will have a material impact on our business or results of operations will depend on a variety of factors, including actual awards, award timelines, mission priorities, and future budget determinations. The Act also includes $25.4 billion in funding to enhance DoW resources for munitions and supply chain resiliency. As a leading munitions manufacturer, RTX is strategically situated to play a key role in supporting this initiative.
Previous wording
Preparation of our financial statements requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues, and expenses. Management believes the most complex and sensitive judgments, because of their significance to the Condensed Consolidated Financial Statements, result primarily from the need to make estimates about the effects of matters that are inherently uncertain. See “Critical Accounting Estimates” within Item 7 and “Note 1: Basis of Presentation and Summary of Accounting Principles” within Item 8 of our 2025 Annual Report on Form 10-K, which describe the significant accounting estimates and policies used in preparation of the Consolidated Financial Statements. Actual results in these areas could differ from management’s estimates. There have been no significant changes in our critical accounting estimates during the quarter ended March 31, 2026.
Current wording
Preparation of our financial statements requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues, and expenses. Management believes the most complex and sensitive judgments, because of their significance to the Condensed Consolidated Financial Statements, result primarily from the need to make estimates about the effects of matters that are inherently uncertain. See “Critical Accounting Estimates” within Item 7 and “Note 1: Basis of Presentation and Summary of Accounting Principles” within Item 8 of our 2025 Annual Report on Form 10-K, which describe the significant accounting estimates and policies used in preparation of the Consolidated Financial Statements. Actual results in these areas could differ from management’s estimates. There have been no significant changes in our critical accounting estimates during the six months ended June 30, 2026.
Previous wording
The factors contributing to the change year-over-year in total net sales for the quarter ended March 31, 2026 are as follows:
Current wording
The factors contributing to the change year-over-year in total net sales for the quarter and six months ended June 30, 2026 are as follows:
Previous wording
Net sales increased $2.1 billion organically in the quarter ended March 31, 2026, primarily due to higher organic net sales of $0.8 billion at Pratt & Whitney, $0.7 billion at Collins, and $0.6 billion at Raytheon.
Current wording
Net sales increased $3.5 billion organically in the quarter ended June 30, 2026, primarily due to higher organic net sales of $1.3 billion at Pratt & Whitney, $1.3 billion at Raytheon, and $1.0 billion at Collins.
Previous wording
The decrease in net sales due to Acquisitions and divestitures, net of $0.4 billion for the quarter ended March 31, 2026 was driven by divestitures within our Collins segment of the actuation and flight control business and the Simmonds Precision Products business completed in 2025.
Current wording
The decrease in net sales due to Acquisitions and divestitures, net of $0.4 billion and $0.8 billion for the quarter and six months ended June 30, 2026, respectively, was driven by divestitures within our Collins segment of the actuation and flight control business and the Simmonds Precision Products business completed in 2025.
Previous wording
Net products sales increased $1.2 billion in the quarter ended March 31, 2026 compared to the quarter ended March 31, 2025 primarily due to increases in external products sales of $0.6 billion at Raytheon, $0.3 billion at Pratt & Whitney, and $0.3 billion at Collins.
Current wording
Net products sales increased $2.4 billion in the quarter ended June 30, 2026 compared to the quarter ended June 30, 2025 primarily due to increases in external products sales of $1.3 billion at Raytheon, $0.5 billion at Pratt & Whitney, and $0.5 billion at Collins.
Previous wording
Net services sales increased $0.6 billion in the quarter ended March 31, 2026 compared to the quarter ended March 31, 2025 primarily due to increases in external services sales of $0.6 billion at Pratt & Whitney.
Current wording
Net services sales increased $0.7 billion in the quarter ended June 30, 2026 compared to the quarter ended June 30, 2025 primarily due to increases in external services sales of $0.7 billion at Pratt & Whitney and $0.1 billion at Collins, partially offset by a decrease in external service sales of $0.1 billion at Raytheon.
Previous wording
The factors contributing to the change year-over-year in total cost of sales for the quarter ended March 31, 2026 are as follows:
Current wording
The factors contributing to the change year-over-year in total cost of sales for the quarter and six months ended June 30, 2026 are as follows:
Previous wording
Total cost of sales increased $1.6 billion organically for the quarter ended March 31, 2026, primarily driven by the organic net sales increases at Raytheon, Pratt & Whitney, and Collins noted above.
Current wording
Total cost of sales increased $2.7 billion and $4.3 billion organically for the quarter and six months ended June 30, 2026, respectively, primarily driven by the organic net sales increases at Pratt & Whitney, Raytheon, and Collins noted above.
Previous wording
The decrease in total cost of sales due to Acquisitions and divestitures, net of $0.3 billion for the quarter ended March 31, 2026, was driven by the divestitures within our Collins segment of the actuation and flight control business and the Simmonds Precision Products business completed in 2025.
Current wording
The decrease in total cost of sales due to Acquisitions and divestitures, net of $0.4 billion and $0.7 billion for the quarter and six months ended June 30, 2026, respectively, was driven by divestitures within our Collins segment noted above.
Previous wording
The decrease in restructuring costs in thequarter ended March 31, 2026, relates primarily to higher workforce reductions initiated in thequarter ended March 31, 2025 at Collins.
Current wording
The decrease in restructuring costs in thesix months ended June 30, 2026, was primarily due to lower severance related costs recognized in 2026 at Collins.
Previous wording
Other cost of sales increased $0.1 billion in the quarter ended March 31, 2026, primarily driven by unfavorable foreign exchange rate impacts.
Current wording
The increase in Other cost of sales in thesix months ended June 30, 2026, was primarily driven by unfavorable foreign exchange rate impacts.
Previous wording
Net products cost of sales increased $0.7 billion in the quarter ended March 31, 2026 compared to the quarter ended March 31, 2025, primarily driven by increases in external products cost of sales at Raytheon, Pratt & Whitney, and Collins, each driven by the products sales changes noted above.
Current wording
Net products cost of sales increased $1.8 billion in the quarter ended June 30, 2026 compared to the quarter ended June 30, 2025, primarily driven by increases in external products cost of sales at Raytheon, Pratt & Whitney, and Collins, each driven by the products sales changes noted above.
Previous wording
Net services cost of sales increased $0.6 billion in the quarter ended March 31, 2026 compared to the quarter ended March 31, 2025, primarily due to increases in external services cost of sales at Pratt & Whitney, driven by the services sales changes noted above.
Current wording
Net services cost of sales increased $0.6 billion in the quarter ended June 30, 2026 compared to the quarter ended June 30, 2025, primarily driven by increases in external services cost of sales at Pratt & Whitney and Collins, each driven by the services sales changes noted above.
Previous wording
Selling, general, and administrative expenses increased for the quarter ended March 31, 2026 compared to the quarter ended March 31, 2025, primarily driven by increased employee compensation costs, partially offset by lower restructuring costs.
Current wording
Selling, general, and administrative expenses increased for the quarter ended June 30, 2026 compared to the quarter ended June 30, 2025, primarily driven by higher compensation and other costs across the businesses, partially offset by the absence of a charge related to a customer bankruptcy recorded at Pratt & Whitney in 2025.
Previous wording
The increase in Operating profit of $0.5 billion for the quarter ended March 31, 2026 compared to the quarter ended March 31, 2025 was primarily driven by an increase in the organic operating performance of our segments of approximately $0.4 billion and a decrease in restructuring charges of $0.1 billion.
Current wording
The increase in Operating profit of $0.7 billion for the quarter ended June 30, 2026 compared to the quarter ended June 30, 2025 was primarily driven by an increase in the organic operating profit of our segments of approximately $0.5 billion and the absence of a charge related to a customer bankruptcy recorded at Pratt & Whitney in 2025.
Previous wording
The decrease in Interest expense of $0.1 billion for the quarter ended March 31, 2026 compared to the quarter ended March 31, 2025, was primarily driven by long-term debt repayments.
Current wording
The decrease in Interest expense for the quarter and six months ended June 30, 2026 compared to the quarter and six months ended June 30, 2025, was primarily driven by long-term debt repayments.
Previous wording
The lower effective tax rate for the quarter ended March 31, 2026 compared to quarter ended March 31, 2025 was primarily driven by a higher tax benefit from stock based compensation in the current quarter as well as a lower forecasted annualized effective tax rate for 2026 principally due to a higher Foreign Derived Deduction Eligible Income (FDDEI) benefit from the U.S. tax legislation enacted in 2025.
Current wording
The effective tax rate for the six months ended June 30, 2026 and June 30, 2025 are relatively consistent. However, the effective tax rate for the six months ended June 30, 2026 includes a higher tax benefit from stock based compensation, a lower forecasted annualized effective tax rate for 2026 principally due to a higher Foreign Derived Deduction Eligible Income benefit resulting from the U.S. tax legislation enacted in 2025, and a net tax benefit for certain legal entity reorganizations. In addition, the effective tax rate for the six months ended June 30, 2025 includes the impact from the IRS examination noted above.
Previous wording
•acquisition accounting adjustments of $0.4 billion, net of tax, which had an unfavorable impact on diluted EPS of $0.27; and
Current wording
•acquisition accounting adjustments of $0.4 billion, net of tax, which had an unfavorable impact on diluted EPS of $0.28.
Previous wording
•restructuring charges of $0.1 billion, net of tax, which had an unfavorable impact on diluted EPS of $0.07.
Current wording
•restructuring charges of $0.1 billion, net of tax, which had an unfavorable impact on diluted EPS of $0.10.
Previous wording
Backlog and Bookings. Total backlog was $271 billion and $268 billion as of March 31, 2026 and December 31, 2025, respectively. Total backlog includes commercial backlog of $162 billion and $161 billion as of March 31, 2026 and December 31, 2025, and defense backlog of $109 billion and $107 billion as of March 31, 2026 and December 31, 2025, respectively.
Current wording
Backlog and Bookings. Total backlog was $289 billion and $268 billion as of June 30, 2026 and December 31, 2025, respectively. Total backlog includes commercial backlog of $170 billion and $161 billion as of June 30, 2026 and December 31, 2025, and defense backlog of $119 billion and $107 billion as of June 30, 2026 and December 31, 2025, respectively.
Previous wording
We believe bookings are an important measure of future performance for our defense businesses. Our defense operations consist primarily of our Raytheon segment and operations in the defense businesses within our Collins and Pratt & Whitney segments. Defense bookings were approximately $14 billion and $9 billion for the quarters ended March 31, 2026 and 2025, respectively.
Current wording
We believe bookings are an important measure of future performance for our defense businesses. Our defense operations consist primarily of our Raytheon segment and operations in the defense businesses within our Collins and Pratt & Whitney segments. Defense bookings were approximately $23 billion and $12 billion for the quarters ended June 30, 2026 and 2025, respectively, and approximately $37 billion and $21 billion for the six months ended June 30, 2026 and 2025, respectively.
Previous wording
The organic net sales increase of $0.7 billion in the quarter ended March 31, 2026 compared to the quarter ended March 31, 2025 primarily relates to higher commercial aerospace OEM sales of $0.3 billion, higher commercial aerospace aftermarket sales of $0.2 billion, and higher defense sales of $0.2 billion. The increase in commercial OEM sales was primarily driven by higher volume on narrowbody and widebody programs and the increase in commercial aftermarket sales was driven by higher provisioning and parts and repair volume. The increase in defense sales was primarily due to higher volume across multiple programs and platforms.
Current wording
The organic net sales increase of $1.0 billion in the quarter ended June 30, 2026 compared to the quarter ended June 30, 2025 primarily relates to higher commercial aerospace OEM sales of $0.5 billion, higher commercial aerospace aftermarket sales of $0.3 billion, and higher defense sales of $0.2 billion. The increase in commercial OEM sales was primarily driven by higher volume on narrowbody and widebody programs and the increase in commercial aftermarket sales was driven by higher volume across all aftermarket sales channels. The increase in defense sales was primarily due to higher volume across multiple programs and platforms.
Previous wording
The decrease in net sales and operating profit due to acquisitions / divestitures, net in thequarter ended March 31, 2026 compared to thequarter ended March 31, 2025 relates to the divestiture of the actuation and flight control business and the Simmonds Precision Products business completed in 2025.
Current wording
The decrease in net sales and operating profit due to acquisitions / divestitures, net in thequarter ended June 30, 2026 compared to thequarter ended June 30, 2025 relates to the divestitures of the actuation and flight control business and the Simmonds Precision Products business completed in 2025.
Previous wording
Defense Bookings– In the quarter ended March 31, 2026, Collins recorded $3 billion in defense bookings, comprised of a number of smaller individual bookings under $0.5 billion.
Current wording
Defense Bookings– In the quarter and six months ended June 30, 2026, Collins recorded $2 billion and $5 billion, respectively, in defense bookings, comprised of a number of smaller individual bookings under $0.5 billion.
Previous wording
The organic net sales increase of $0.8 billion in the quarter ended March 31, 2026, compared to the quarter ended March 31, 2025, was driven by a $0.7 billion increase in commercial aftermarket sales, primarily reflecting higher volume. Military sales increased $0.1 billion primarily due to higher F135 production volume. These increases were partially offset by lower commercial OEM sales volume.
Current wording
The organic net sales increase of $1.3 billion in the quarter ended June 30, 2026, compared to the quarter ended June 30, 2025, was driven by a $0.9 billion increase in commercial aftermarket sales, primarily reflecting higher volume. Military sales increased $0.5 billion primarily due to higher F135 production volume, which includes the benefit from the Q3 2025 contract award timing. These increases were partially offset by lower commercial OEM sales of $0.1 billion as higher volume was more than offset by mix in large commercial engines.
Previous wording
The organic operating profit increase of $0.1 billion in the quarter ended March 31, 2026, compared to the quarter ended March 31, 2025 was primarily driven by higher commercial aerospace operating profit of $0.1 billion. This increase resulted from higher commercial aftermarket volume as discussed above, partially offset by lower commercial OEM operating profit contribution due to higher operational costs, including tariffs. Organic operating profit also benefited from higher military operating profit driven by the sales volume discussed above. These increases were partially offset by higher selling, general, and administrative expenses.
Current wording
The organic operating profit increase of $0.1 billion in the quarter ended June 30, 2026, compared to the quarter ended June 30, 2025 was primarily driven by higher commercial aerospace operating profit of $0.1 billion. This increase resulted from higher commercial aftermarket volume as discussed above, partially offset by lower commercial OEM operating profit contribution due to the volume and mix discussed above. Organic operating profit also benefited from higher military operating profit of
Previous wording
Defense Bookings– In the quarter ended March 31, 2026, Pratt & Whitney recorded $4 billion in defense bookings. In addition to a number of smaller individual bookings, Pratt & Whitney booked $3.4 billion for F135 production.
Current wording
Defense Bookings– In the quarter ended June 30, 2026, Pratt & Whitney recorded $1 billion in defense bookings, comprised of a number of smaller individual bookings under $0.5 billion. In the six months ended June 30, 2026, Pratt & Whitney recorded $5 billion in defense bookings. In addition to a number of smaller individual bookings, Pratt & Whitney booked $3.8 billion for F135 production.
Previous wording
The organic net sales increase of $0.6 billion in the quarter ended March 31, 2026 compared to the quarter ended March 31, 2025 was primarily due to higher net sales of $0.5 billion from land and air defense systems programs driven by higher net sales on Patriot programs. Also contributing to the increase was higher net sales of $0.3 billion from naval power programs primarily driven by higher volume on Standard Missile programs.
Current wording
The organic net sales increase of $1.3 billion in the quarter ended June 30, 2026 compared to the quarter ended June 30, 2025 was primarily due to higher net sales of $0.5 billion from land and air defense systems programs driven by higher net sales on Patriot programs, higher net sales of $0.4 billion from naval power programs primarily driven by higher volume on Standard Missile programs, and higher net sales of $0.2 billion on air and space defense systems programs principally due to higher volume on advanced medium-range air-to-air missile (AMRAAM) programs.
Previous wording
The organic operating profit increase of $0.2 billion in the quarter ended March 31, 2026 compared to the quarter ended March 31, 2025 was primarily due to a favorable change in mix and other performance of approximately $0.1 billion, and higher volume of approximately $0.1 billion. The favorable change in mix and other performance was primarily driven by increased production on Patriot programs. The increase in volume was principally driven by higher net sales described above. Operating profit also benefited from a favorable change in net EAC adjustments spread across numerous programs.
Current wording
The organic operating profit increase of $0.2 billion in the quarter ended June 30, 2026 compared to the quarter ended June 30, 2025 was primarily due to higher volume of approximately $0.1 billion, and a favorable change in mix and other performance of approximately $0.1 billion. The increase in volume was principally driven by the higher net sales discussed above. The favorable change in mix and other performance was primarily driven by increased production on Patriot programs including the timing of contract awards received in the quarter. Operating profit also benefited from a favorable change in net EAC adjustments spread across numerous programs.
Previous wording
Defense Backlog and Bookings– Backlog was $74 billion as of March 31, 2026 and $75 billion as of December 31, 2025. In the quarter ended March 31, 2026, Raytheon recorded $7 billion in defense bookings. In addition to a number of smaller individual bookings, Raytheon booked $628 million to provide Patriot systems for the Netherlands and $1.6 billion on a number of classified contracts.
Current wording
Defense Backlog and Bookings– Backlog was $86 billion as of June 30, 2026 and $75 billion as of December 31, 2025. In the quarter ended June 30, 2026, Raytheon recorded $20 billion in defense bookings. In addition to a number of smaller individual bookings, Raytheon booked $3.7 billion to provide Patriot GEM-T interceptors for Ukraine, $1.1 billion to provide AIM-9X Sidewinder Block II short-range air-to-air missiles for U.S. and international customers, $1.1 billion to provide AMRAAM to the U.S. Air Force and international customers, $988 million to provide Patriot GEM-T interceptors to Poland through the North Atlantic Treaty Organization (NATO) Support and Procurement Agency (NSPA), $833 million for Evolved SeaSparrow Missiles (ESSM) for the U.S. Navy and international customers, $827 million to provide Lower Tier Air and Missile Defense Sensors (LTAMDS) to the U.S. Army, $821 million for National Advanced Surface-to-Air Missile Systems (NASAMS) for an international customer, $658 million to provide StormBreaker to the U.S. Air Force, U.S. Navy, and international customers, $542 million for Standard Missile-3 (SM-3) for the Missile Defense Agency (MDA), and $4.1 billion on a number of classified and confidential contracts. In the six months ended June 30, 2026, Raytheon recorded $27 billion in defense bookings. In addition to these bookings above, Raytheon booked $628 million to provide Patriot systems for the Netherlands and $1.6 billion on a number of classified contracts.
Previous wording
The increase in Other income, net of $0.1 billion in the quarter ended March 31, 2026 compared to the quarter ended March 31, 2025, was primarily due to gains related to the increase in fair value on investments in the quarter ended March 31, 2026.
Current wording
The increase in eliminations and other operating profit of in the quarter and six months ended June 30, 2026 compared to the quarter and six months ended June 30, 2025 was primarily due to higher gains related to the increase in fair value on investments.
Previous wording
At March 31, 2026, we had cash and cash equivalents of $6.8 billion, of which approximately 30%was held by RTX’s foreign subsidiaries. We manage our worldwide cash requirements by reviewing available funds among the many subsidiaries through which we conduct our business and the cost effectiveness with which those funds can be accessed. The Company intends to repatriate certain undistributed earnings of its international subsidiaries that have been previously taxed in the U.S. Taxes associated with the future remittance of these earnings have been recorded. For the remainder of the Company’s undistributed international earnings, unless tax effective to repatriate, RTX will continue to permanently reinvest these earnings.
Current wording
At June 30, 2026, we had cash and cash equivalents of $8.3 billion, of which approximately 27%was held by RTX’s foreign subsidiaries. We manage our worldwide cash requirements by reviewing available funds among the many subsidiaries through which we conduct our business and the cost effectiveness with which those funds can be accessed. The Company intends to repatriate certain undistributed earnings of its international subsidiaries that have been previously taxed in the U.S. Taxes associated with the future remittance of these earnings have been recorded. For the remainder of the Company’s undistributed international earnings, unless tax effective to repatriate, RTX will continue to permanently reinvest these earnings.
Previous wording
Our ability to access global debt markets and the related cost of these borrowings depends on the strength of our credit rating and market conditions. Our S&P Global rating remains at BBB+/stable. In February 2026, our Moody’s Investors Service outlook improved from Baa1/stable to Baa1/positive. Though the Company expects to continue having adequate access to funds, declines in our credit ratings or Company outlook could result in higher borrowing costs.
Current wording
Our ability to access global debt markets and the related cost of these borrowings depends on the strength of our credit rating and market conditions. In May 2026, our S&P Global rating was affirmed and our outlook was revised from BBB+/stable to BBB+/positive. In February 2026, our Moody’s Investors Service outlook improved from Baa1/stable to Baa1/positive. Though the Company expects to continue having adequate access to funds, declines in our credit ratings or Company outlook could result in higher borrowing costs.
Previous wording
We made the following repayment of long-term debt during the quarter ended March 31, 2026:
Current wording
We made the following repayment of long-term debt during the six months ended June 30, 2026:
Previous wording
We have an existing universal shelf registration statement, which we filed with the SEC on September 18, 2025, for an indeterminate amount of debt and equity securities for future issuance, subject to our internal limitations on the amount of debt to be issued under this shelf registration statement.
Current wording
We have an existing universal shelf registration statement, which we filed with the Securities and Exchange Commission (SEC) on September 18, 2025, for an indeterminate amount of debt and equity securities for future issuance, subject to our internal limitations on the amount of debt to be issued under this shelf registration statement.
Showing the first 40 of 46 pairs. Open the source sections for the rest.
Rearranged current paragraphs (2)
Current report — wording carried from elsewhere
The organic net sales increase of $1.7 billion in the six months ended June 30, 2026 compared to the six months ended June 30, 2025 primarily relates to higher commercial aerospace OEM sales of $0.8 billion, higher commercial aerospace aftermarket sales of $0.5 billion, and higher defense sales of $0.4 billion. The increase in commercial OEM sales was primarily driven by higher volume on narrowbody and widebody programs and the increase in commercial aftermarket sales was driven by higher volume across all aftermarket sales channels. The increase in defense sales was primarily due to higher volume across multiple programs and platforms.
Current report — wording carried from elsewhere
The organic operating profit increase of $0.4 billion in the six months ended June 30, 2026 compared to the six months ended June 30, 2025 was primarily due to higher volume of approximately $0.2 billion and a favorable change in mix and other performance of approximately $0.2 billion. The increase in volume was principally driven by the higher net sales discussed above. The favorable change in mix and other performance was primarily driven by increased production on Patriot programs including the timing of contract awards received in the second quarter of 2026. Operating profit also benefited from a favorable change in net EAC adjustments spread across numerous programs.