Textron Inc. Earnings Report

NEW YORK – Textron Inc. (NYSE:TXT) shares dropped 3.2% in early trading Thursday after the aerospace and defense company reported third quarter earnings and revenue that fell short of analyst expectations and lowered its full-year outlook.

The Providence, Rhode Island-based company posted adjusted earnings per share of $1.40 for the quarter, missing the consensus estimate of $1.50. Revenue came in at $3.43 billion, below the $3.5 billion that analysts were expecting.

Textron said its Textron Aviation segment was negatively impacted by a strike upon the expiration of its labor agreement with bargaining unit employees. The labor disruption reduced the segment's third quarter revenues by approximately $50 million and profit by about $30 million.

> "The labor disruption adversely impacted our third quarter results, and we expect it to negatively affect fourth quarter financials," said Textron Chairman and CEO Scott C. Donnelly.

For the full year 2024, Textron now expects adjusted earnings per share of $5.40 to $5.60, down from its previous guidance of $6.20 to $6.40 and below the $6.17 consensus estimate.

The company also lowered its manufacturing cash flow forecast to a range of $650 million to $750 million, compared to the prior outlook of $900 million to $1 billion.

On a positive note, Textron's Bell segment achieved a key milestone on the FLRAA program with U.S. Army approval establishing it as a program of record. The company's backlog at Bell increased by $2.3 billion in the quarter to $6.5 billion.

This article was generated with the support of AI and reviewed by an editor. For more information, see our T&C.