Get All Access for FREEMarket News & Research,
Live Transcripts & Audio,
and a whole lot more…
$TXT's cash flows from operating activities for 9 months of 2015 fell $150MM from last year, largely on unfavorable change in working capital, partially offset by higher net income. A significant factor contributing to working capital change was rise in cash used for inventory at Textron Aviation and Textron Systems to support sales growth.
Textron Aviation, a $TXT company, begun delivery to CanWest Air, a division of Nor-Alta Aviation Leasing Inc. When completed, this delivery will include nine Beechcraft King Air turboprop aircraft -- 8 King Air 250 and 1 King Air 350 aircraft -- which CanWest is buying to provide air ambulance support to Alberta Health Services in Alberta, Canada.
$TXT company Textron Aviation has obtained supplemental type certificate approval for the ‘Gogo AVANCE L5 connectivity system upgrade’ for its Cessna Citation X business jet. The system providers faster inflight connectivity speeds and enhanced network capacity. The company plans to introduce the AVANCE L5 system to more products.
$TXT company Textron Aviation has signed FedEx Express, a unit of $FDX, as launch customer for its new Cessna SkyCourier 408 cargo plane. FedEx, a long-time customer of Textron, will be purchasing 100 units, with an initial fleet order of 50 units and options for 50 more. The twin-engine, high-wing aircraft is expected to begin operation by 2020.
Textron Aviation, a $TXT company, begun delivery to Tuareg Aviation Ltd for 10 Cessna Grand Caravan EX turboprops. The aircraft will be operated by Mack Air to provide charter, cargo and logistic services between a network of independently owned bush safari lodges in the popular Okavango Delta and Kalahari Plains regions of Botswana.
$TXT increased its 2017 non-GAAP manufacturing cash flow before pension contribution estimate by $150MM to a range of $800-900MM. With expected pension contributions of about $355MM, net cash provided by operating activities of continuing operations of the manufacturing group is now expected to be in a range of $895-995MM.
$TXT's revenue at Textron Systems for 3Q17 were up $45MM, primarily due to higher volume in the Marine and Land Systems product line, partially offset by lower volume in the Weapons and Sensors product line. Segment profit was down $4MM. Textron Systems' backlog at the end of 3Q17 was $1.5Bil, down $85MM from the end of 2Q17.
$TXT's revenue at Bell for 3Q17 were up $78MM, as Bell delivered 39 commercial helicopters, 8 H-1’s, and 5 V-22’s. Segment profit was up $9MM primarily due to a favorable impact from performance and other. Bell backlog at the end of 3Q17 was $5.0Bil, down $413MM from the end of 2Q17.
$TXT's revenue at Textron Aviation for 3Q17 were down $44MM, as Textron Aviation delivered 41 new Citation jets, 24 King Air turboprops and 5 Beechcraft T-6 trainers. Segment profit fell to $93MM from $100MM, due to unfavorable performance and lower volume and mix, partially offset by a favorable impact from pricing.
$TXT reported a drop in 3Q17 earnings due to last year's income tax settlement benefit as well as lower segment profit in Textron Aviation. Net income fell to $159MM or $0.60 per share from $421MM or $1.55 per share last year. Revenue grew to $3.48Bil from $3.25Bil. Adjusted EPS increased to $0.65 from $0.61.
$TXT has secured a fleet order from Babcock Scandinavian Air Ambulance for 11 aircraft. The aircraft will support Babcock’s contract with Air Ambulance Services of Norway to provide communities across Norway with vital air ambulance support. The deliveries are scheduled throughout the next 18 months and are expected to conclude in 2019.
$TXT is expanding channel partner Aerolineas Ejecutivas’ role to include new aircraft sales and service for its full jet and turboprop portfolio. Customers can now access the company’s complete new aircraft portfolio through Aerolineas Ejecutivas, expanding upon its role as a sales representative for Textron Aviation’s special mission aircraft.
$TXT reiterated its FY17 GAAP EPS from continuing operations guidance of $2.22-2.45 or $2.40-2.60 on an adjusted basis. Textron also confirmed its net cash provided by operating activities of continuing operations of the manufacturing group guidance of $1.045-1.145Bil and manufacturing cash flow before pension contributions of $650-750MM.
$TXT posted 2Q17 income from continuing operations of $0.57 per share or $0.60 per share of adjusted income from continuing operations, compared to $0.66 per share a year ago. Revenues in the quarter were up 2.6% to $3.6Bil. Net income fell to $153MM or $0.57 per diluted share from last year's $177MM or $0.65 per share.