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Textron Inc. TXT reported first-quarter 2025 adjusted earnings of $1.28 per share, which beat the Zacks Consensus Estimate of $1.17 by 9.4%. The bottom line also increased 6.7% from $1.20 in the year-ago quarter. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)
The company reported GAAP earnings of $1.13 per share, up from $1.03 reported in the first quarter of 2024.
The year-over-year improvement can be attributed to higher revenues and lower average shares outstanding.
TXT’s Revenues
The company reported total revenues of $3.31 billion, which beat the Zacks Consensus Estimate of $3.25 billion by 1.9%. Moreover, revenues increased 5.5% from the year-ago quarter’s level of $3.14 billion.
Manufacturing revenues improved 5.4% year over year to $3.29 billion.
Textron Inc. Price, Consensus and EPS Surprise
Textron Inc. price-consensus-eps-surprise-chart | Textron Inc. Quote
Segmental Performance of Textron
Textron Aviation: Revenues from this segment increased 2% year over year to $1.21 billion. This was primarily driven by higher aftermarket parts and services revenues.
The segment generated an operating profit of $127 million compared with $143 million in the year-ago period. This deterioration can be attributed to the unfavorable mix of aircraft sold.
Textron Aviation delivered 31 jets, down from 36 in the year-ago quarter. It also delivered 30 commercial turboprops, up from 20 in the first quarter of 2024.
The segment’s order backlog at the end of the quarter totaled $7.9 billion.
Bell: Revenues from this segment amounted to $983 million, up 35.2% from the year-ago quarter’s registered number. This was driven by increased military revenues, primarily related to the FLRAA program and military sustainment programs, as well as higher commercial revenues.
The segment’s profit increased 12.5% to $90 million due to higher volume and mix of products and services.
Bell delivered 29 commercial helicopters, up from 18 delivered in the first quarter of 2024.
Its order backlog at the end of the quarter totaled $7.1 billion.
Textron Systems: This segment’s revenues amounted to $296 million, down 3.3% from the year-ago quarter’s registered number, due to lower volume, which included the impact of the cancellation of the Shadow program.
The segment’s profits totaled $40 million, up 5.3% from the prior-year figure. The improvement was primarily driven by lower research and development costs.
Textron Systems’ backlog at the end of the quarter totaled $2.3 billion.
Industrial: Revenues from this segment declined 11.2% to $792 million due to lower volumes and mix, notably in the Specialized Vehicles product line.
Moreover, the segment’s profit totaled $30 million compared with $29 million in the prior-year quarter.
Textron eAviation: Revenues from the segment totaled $7 million, in line with the prior-year period. It reported a loss of $17 million, narrower than the loss of $18 million incurred in the prior-year period.
Finance: This segment’s revenues increased 6.7% to $16 million. Its profit totaled $10 million compared with $18 million in the year-ago period.