RTX raises 2025 outlook after double-digit Q3 growth, massive order book 

RTX, the parent company of Collins Aerospace, Pratt & Whitney, and Raytheon, posted stronger-than-expected third-quarter results and raised its full-year forecast for 2025 as demand for jet engines, aircraft parts, avionics, and air-defense systems remained strong.   The US company reported that revenue rose 12% to $22.5 billion, while profit came in at $1.70 per share on an adjusted basis. The company generated $4.6 billion in operating cash flow and $4 billion in free cash flow. 

RTX also booked $37 billion in new awards during the quarter and ended September 2025 with a $251 billion order backlog — about $148 billion tied to commercial aerospace and $103 billion to defense — giving the company a long runway of future work. Management returned $900 million to shareholders and paid down $2.9 billion of debt, while also closing the sale of Collins’ actuation and flight-control business.  

On the strength of those trends, RTX raised its 2025 guidance. It now expects adjusted sales of $86.5-$87.0 billion (up from $84.75-$85.5 billion) and adjusted earnings of $6.10-$6.20 per share, while keeping free cash flow guidance at $7.0-$7.5 billion. The company said robust demand across its businesses supports the higher view. 

What drove the quarter 

Collins Aerospace, which supplies avionics, interiors and other aircraft systems, posted revenue of $7.62 billion, up 8%. Growth came from both original equipment for new jets — especially single-aisle models — and from airlines buying more parts, and repairs as global flying remains busy. Collins also saw higher military sales on programs including the US Air Force’s Survivable Airborne Operations Center.  

Pratt & Whitney, RTX’s engine maker, reported a 16% revenue increase to $8.42 billion. Commercial aftermarket work — inspections, parts and shop visits — was a major contributor, and military sales rose as well, helped by the F135 engine that powers the F-35 fighter. In August, Pratt won a roughly $2.8 billion Lot 18 production contract for the F135, which supported higher military volume in the quarter.  

Raytheon, which builds missiles, radars and air-defense systems, grew revenue 10% to $7.05 billion. Demand remained strong for Patriot air-defense systems internationally and for naval programs such as SM-6 and Evolved SeaSparrow Missile, reflecting heightened global security needs.  

RTX is the world’s largest aerospace and defense company by sales, formed from the 2020 merger of United Technologies’ aerospace units with Raytheon. Its three businesses touch much of commercial and military aviation: Collins equips aircraft with critical systems; Pratt & Whitney designs and services jet engines; and Raytheon provides air- and missile-defense, sensors and command-and-control gear. That mix gives RTX exposure to airline and business aviation growth, increasing demand for engines, and rising defense spending.  

The latest quarter underscores that balance. Air travel has kept demand high for parts and engine shop visits, while governments are ordering more air-defense and naval systems. Together, those trends helped RTX beat expectations and lift its outlook for the year.  

RTX says it’s focused on working down its record order book by increasing output on “critical programs,” such as the F135 engine, while investing in next-generation products and services. The post RTX raises 2025 outlook after double-digit Q3 growth, massive order book  appeared first on AeroTime.

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