-- RTX (RTX) and Northrop Grumman (NOC) on Tuesday reported stronger-than-expected first-quarter results, driven by revenue gains across different businesses.
Aerospace and defense company RTX's adjusted earnings increased to $1.78 per share from $1.47 a year earlier, while beating the FactSet-polled consensus of $1.51. Net sales jumped 9% to $22.08 billion, ahead of Wall Street's view for $21.46 billion.
"RTX delivered a very strong start to 2026 with organic sales and adjusted operating profit growth across all three segments," RTX Chief Executive Chris Calio said in a statement.
Sales for the engine segment, Pratt & Whitney, rose 11% to $8.17 billion, while RTX's Raytheon defense solutions division grew 10% to $6.95 billion. Collins Aerospace revenue increased 5% to $7.60 billion.
Separately, Northrop Grumman reported first-quarter EPS of $6.14, up from $3.32 a year earlier and higher than the Street's $6.05 view. Sales increased to $9.88 billion from $9.47 billion, above the $9.75 billion projected by analysts. Northrop's aeronautics, defense and mission system businesses all logged revenue gains year-over-year.
"Northrop Grumman delivered strong first-quarter results, with continued robust bookings, mid-single-digit organic sales growth, and solid operating performance, underscoring our ability to deliver in today's unprecedented global demand environment," CEO Kathy Warden said.
RTX lifted its 2026 adjusted sales outlook to between $92.5 billion and $93.5 billion from $92 billion to $93 billion previously expected. Adjusted EPS is pegged at $6.70 to $6.90, up from an earlier guidance of $6.60 to $6.80. Analysts expect $93.58 billion in full-year revenue and $6.85 in adjusted EPS.
"Given our first-quarter performance and the strength we're seeing in our defense business, we are increasing adjusted sales and EPS in our full-year outlook," Calio said.
Northrop maintained its sales and adjusted EPS guidance for the full year. The company expects revenue in the range of $43.5 billion to $44 billion and earnings of $27.40 to $27.90. Wall Street anticipates the company reporting $43.94 billion in revenue this year and $27.97 in adjusted EPS.
Shares of RTX declined 4% in Tuesday trading, while those of Northrop were down 5.6%.
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