🔹 Revenue: $18.2B (Est. $18.58B) 🔴; FLAT YoY
🔹 EPS: $1.46 (Est. $6.54) 🔴; DOWN -79% YoY
FY25 Guidance (Reaffirmed)
🔹 EPS: $21.70–$22.00 (Prior: $27.00–$27.30) 🔴
🔹 Sales: $73.75B–$74.75B
🔹 Free Cash Flow: $6.6B–$6.8B
🔹 Cash from Operations: $8.5B–$8.7B
🔹 CapEx: ~$1.9B
🔹 Segment Op. Profit: $6.6B–$6.7B (Prior: $8.1B–$8.2B) 🔴
Major Charges This Quarter
🔸 $950M pre-tax loss on classified Aeronautics program
🔸 $570M loss on Canadian Maritime Helicopter Program (CMHP)
🔸 $95M loss on Turkish Utility Helicopter Program (TUHP)
🔸 $66M impairment related to NGAD program asset write-off
🔸 $103M tax charge related to IRS accounting method dispute
🔹 EPS impact of these charges: -$5.83
Segment Performance
Aeronautics
🔹 Revenue: $7.42B; UP +2% YoY
🔹 Operating Loss: -$98M (vs. $751M profit YoY)
🔸 Hit by $950M loss on a classified program
Missiles & Fire Control (MFC)
🔹 Revenue: $3.43B; UP +11% YoY
🔹 Operating Profit: $479M; UP +6% YoY
🔹 Margin: 14.0% (vs. 14.5%)
Rotary & Mission Systems (RMS)
🔹 Revenue: $3.99B; DOWN -12% YoY
🔹 Operating Loss: -$172M (vs. $495M profit YoY)
🔸 Driven by CMHP (-$570M) & TUHP (-$95M) losses
Space
🔹 Revenue: $3.31B; UP +4% YoY
🔹 Operating Profit: $362M; UP +5% YoY
🔹 Margin: 10.9%
Other Key Metrics
🔹 Operating Profit: $748M (vs. $2.15B YoY)
🔹 Effective Tax Rate: 18.0% (vs. 15.8% YoY)
🔹 CapEx: $351M
🔹 Dividend Paid: $771M
🔹 Shares Repurchased: 1.0M for $500M
🔹 Net Income: $342M; DOWN -79% YoY
🔹 Free Cash Flow: -$150M (vs. +$1.5B YoY)
🔹 Cash from Operations: $201M (vs. $1.88B YoY)
🔹 Returned $1.3B to shareholders via buybacks & dividends
