RTX Corporation, a prominent player in the aerospace and defense sector, has reported robust financial results for the fourth quarter of 2024, leading to a significant uptick in its stock price.
As of January 28, 2025, RTX shares surged nearly 3.69%, reaching an all-time high of $129.66 following the release of its earnings report. Financial Performance Overview
In its fourth quarter, RTX achieved sales of $21.6 billion, marking a 9% increase from the previous year.
This growth was bolstered by an 11% rise in organic sales, excluding divestitures.
The company reported a GAAP earnings per share (EPS) of $1.10, which included adjustments related to acquisitions and restructuring costs.
Notably, the adjusted EPS rose to $1.54, reflecting a 19% increase compared to the same quarter last year.
The total net income attributable to common shareholders for the quarter was approximately $1.5 billion.
For the full year 2024, RTX’s sales totaled $80.7 billion, with adjusted sales at $80.8 billion, representing a 9% growth year-over-year.
The company also reported an adjusted EPS of $5.73, which is a 13% increase from 2023. 2025 Outlook
Looking ahead, RTX has provided a positive outlook for 2025, projecting adjusted sales between $83 billion and $84 billion, with anticipated organic growth of 4% to 6%.
The company expects adjusted EPS in the range of $6.00 to $6.15 and free cash flow between $7 billion and $7.5 billion.
RTX President and CEO Chris Calio emphasized the company’s strong momentum heading into 2025, citing a backlog of $218 billion, which includes substantial demand for both commercial and defense products.
“We remain focused on advancing our strategic priorities of executing on our commitments, innovating for growth, and harnessing the breadth and scale of RTX,” Calio stated. Market Reaction
The market’s response to RTX’s earnings report has been overwhelmingly positive, with shares climbing significantly post-announcement.
Analysts have noted that despite some concerns regarding the company’s sales forecast being slightly below expectations, the overall performance reflects strong demand in the aerospace and defense sectors.
In summary, RTX Corporation’s impressive financial results and optimistic outlook for 2025 have not only boosted investor confidence but also resulted in a notable increase in its stock price, showcasing the company’s resilience and growth potential in a competitive market landscape.