Textron's Aviation Business Is Set To Fly From Multiple Catalysts
Alpha Gen Capital
Alpha Gen Capital
Wed, Jan. 27, 9:22 AM
Wed, Jan. 27, 8:39 AM
- Net income of $226M, or $0.81 per share, vs. $212M, or $0.76 per share in the same quarter a year ago.
- Revenue by segment: Textron Aviation -2%; Bell -3%; Textron Systems -25%; Industrial +6%; Finance -9%.
- Outlook for 2016: EPS from continuing operations of $2.60-$2.80 (vs. consensus of $2.88), on revenues of approximately $14.3B (in-line with consensus).
- TXT -9.7% premarket
- Q4 results
Nov. 16, 2015, 10:33 AM
- Aerospace and defense shares are on the rise after calls to increase efforts to crush ISIS, the terrorist group responsible for Friday's attacks in France.
- Previously: World leaders wrap up G20 summit (Nov. 16 2015)
- Previously: French warplanes strike Islamic State targets in Syria (Nov. 15 2015)
- Related tickers: General Dynamics (GD +0.6%), Boeing (BA +0.2%), Northrop Grumman (NOC +3.2%), Lockheed Martin (LMT +2.5%), Raytheon (RTN +2.4%), Orbital ATK (OA +3.8%), Rolls-Royce (OTCPK:RYCEY +2.2%), Huntington Ingalls (HII +1.1%), Honeywell (HON +0.9%), United Technologies (UTX +0.4%), Airbus (OTCPK:EADSF), ITT (ITT +0.6%), Textron (TXT +1.7%), L-3 Communications (LLL +2.3%), BAE Systems (OTCPK:BAESY +2%), Finmeccanica (OTCPK:FINMY), Rockwell Collins (COL +1.7%).
Oct. 27, 2015, 3:37 PM
- Textron (TXT +4.1%) surges more than 4% after Q3 earnings and sales reassured investors that the maker of Bell helicopters and Cessna jets is evading turbulence in the aerospace market.
- TXT's aviation unit posted a 9.2% margin, its best since 2008, while Bell's 13.1% margin topped estimates and grew from a year ago even though the unit has been hurt by slumping oil and gas industry demand, Citigroup aerospace analyst Jason Gursky says.
- “Robust Aviation & Bell margins in tough end-markets should be enough to support the recently underperforming stock in a sign that management is focusing on what it can control,” Gursky says.
Oct. 27, 2015, 8:58 AM
- Net income of $176M, or $0.63 per share, vs. $159M, or $0.57 per share in the third quarter of 2014.
- Revenue by segment: Textron Aviation +7%; Bell -36%; Textron Systems +17%; Industrial +5%; Finance -32%.
- The company revises its 2015 EPS from continuing operations guidance to $2.40-$2.50 from $2.30-$2.50.
- Q3 results
- TXT +3.3% premarket
Jul. 28, 2015, 8:20 AM
- Net income of $167M, or $0.60 per share, vs. $144M, or $0.51 per share in the second quarter of 2014.
- Revenue by segment: Textron Aviation -5%; Bell -24%; Textron Systems +14%; Industrial +4%; Finance -11%.
- The company confirmed its 2015 EPS from continuing operations guidance of $2.30-$2.50.
- Q2 results
- TXT +2.4% premarket
Jul. 10, 2015, 3:04 PM
- Lockheed Martin (LMT +1.7%) is in advanced talks to buy the Sikorsky helicopter unit from United Technologies (UTX +1.3%), and an agreement could be reached in the coming days, Dow Jones reports.
- Earlier reports had said Textron (TXT +0.1%) also was a finalist in the bidding for the maker of Black Hawk helicopters.
- At a speculated price of $8B or more, a purchase of Sikorsky would be LMT’s largest since it bought Martin Marietta for ~$10B 20 years ago.
Jan. 28, 2015, 3:35 PM
- The two top makers of business jets say demand continues to improve, with General Dynamics (GD +0.1%) planning to boost output of its high-end Gulfstream planes as more U.S. companies place orders.
- Gulfstream and Cessna-maker Textron (TXT +2.7%) are both introducing new aircraft but had trimmed production of existing models after weaker global demand in the wake of the financial crisis.
- Gulfstream's performance helped GD's Q4 results beat Wall Street expectations; CEO Phebe Novakovic says Q4 was Gulfstream's best sales quarter in three years, and that GD plans to boost production of its midsize jets in 2015 while leaving output of larger planes at existing levels.
- TXT CEO Scott Donnelly says the company had yet to boost Cessna production, though it had the capacity to increase output later in the year.
Jan. 28, 2015, 7:16 AM
- Net income of $212M, or $0.76 per share, vs. $167M, or $0.59 per share in the fourth quarter of 2013.
- Revenue by segment: Bell -$304M; Textron Systems +$212M; Industrial +$89M; Finance -$4M.
- "Overall, we had a strong fourth quarter, with double digit revenue growth at Textron Aviation, Textron Systems and Industrial," said Textron CEO Scott Donnelly.
- However, the company gave a muted outlook for 2015, as its Bell helicopter unit struggles with tepid demand.
- Textron (NYSE:TXT) expects to post per-share earnings of $2.30-$2.50 on revenue of $14.4B vs. analyst expectations of $2.56 a share in earnings on revenue of 14.73B.
- TXT -0.9% premarket
- Q4 results
Oct. 17, 2014, 11:28 AM
- Textron (TXT +11%) jumps more than 10% after easily topping analyst expectations for Q3 earnings, surging 61% Y/Y, and raising its full-year guidance.
- Total Q3 revenues rose 18% to $3.43B, with aviation revenue soaring 82% to $1.08B, boosted by the Beechcraft acquisition and higher jet deliveries, as 33 new jets were delivered in Q3 vs. 25 the year before, as well as 30 King Air turboprops; the division swung to a profit of $62M from a year-ago loss of $23M.
- Bell helicopter revenue rose 1.7%, primarily because of higher volume, while industrial revenue gained 10.4% but systems revenue fell 11.6%.
- TXT now expects EPS of $2.05-$2.15, up from its previous estimates of $1.92-$2.12 and in line with analyst consensus estimates of $2.12.
Oct. 17, 2014, 9:20 AM
Jan. 22, 2014, 2:41 PM
- Textron (TXT +5.5%) shares have turned around after seemingly headed for losses after the aircraft manufacturer reported in-line Q4 earnings and predicted FY 2014 earnings would come in below forecasts.
- TXT sees 2014 EPS of $2.00-$2.20 vs. $2.20 consensus, and sees revenue of ~$13.2B vs. $13.23B consensus; cash flow from continuing operations of the manufacturing group before pension contributions is estimated at $600M-$700M.
- While noting the lackluster guidance, RBC analyst Robert Stallard notes that the state of the market for Cessna also would be in focus, and that prediction proved accurate.
- Management made positive comments about the current state of the business-jet market, and any pick up there could have a huge impact, Stallard says; “if this market recovers, there is a lot of potential (thinking 2015 and beyond).”
Jan. 22, 2014, 8:48 AM
- Textron (TXT -3.5%) net profit rises to $167M from $148M a year earlier.
- Cessna revenue +2.4%, delivered 62 new Citation jets vs 53 a year ago. Profit +43% to $33M.
- Bell revenue +20%, profit +0.6% to $178M.
- Textron Systems revenue -28%, due to lower volumes, industrial revenue +9.5%.
- Expects 2014 EPS from continuing operations of $2.00-2.20 vs consensus of $2.23, and revenue growth of 9% to $13.2B vs $13.11B. (PR)
Jan. 3, 2014, 5:41 PM
Oct. 18, 2013, 10:35 AM
- Shares of Textron (TXT +2.1%) erase opening losses to trade notably higher.
- The company turned in a not-so-inspiring quarter Friday morning.
- Y/Y revenue growth was negative during Q3 and income from continuing operations dropped 27%.
- One problem area was Cessna. Segment revenues dropped $185M and deliveries fell 39% from Q3 2012, reflecting a "soft" light-to-midsize jet market.
- Outlook: FY13 EPS now seen at $1.75-1.85 versus previous guidance of $1.90-2.10 reflecting "lower margins at Bell due to manufacturing inefficiencies associated with the labor disruptions resulting from negotiations with bargained employees and implementation of a new enterprise resource planning system, and lower aircraft deliveries at Cessna." (PR)
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Jul. 22, 2013, 9:55 AMTextron (TXT +1.5%) may be a new activist target given that its broad portfolio and relatively modest valuation make it a potential restructuring opportunity, RBC analyst Robert Stallard says, claiming a breakup could unlock $42/share value. TXT could generate $8/share from disposing of its Kautex automotive systems, E-Z-GO light transportation, Greenlee test instruments and Jacobsen turf care businesses. | Jul. 22, 2013, 9:55 AM
Textron, Inc. is a multi-industry company, which leverages global network of aircraft, defense, industrial and finance businesses to provide customers innovative solutions and services. The company operates its business through five segments: Textron Aviation, Bell, Textron Systems, Industrial... More
Country: United States