RTX Q2 2026: 16% Organic Sales Growth, $2.9B Free Cash Flow, and a Raised Outlook
RTX sits 40% above its 52-week low of $149.11 on elevated volume (1.8× avg).
Summary
RTX reported Q2 2026 results featuring 16% organic sales growth, adjusted EPS of $1.89 (up 21%), and $2.9 billion in free cash flow. Strong aftermarket and defense demand prompted the company to raise its full-year outlook well above consensus.
Key Events · Earnings and Guidance · RTX
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Q2 2026 Results Beat Across the Board
Total net sales reached $24.7 billion, up 14% year-over-year, with 16% organic growth. Adjusted EPS of $1.89 rose 21%, and the operating profit margin expanded to 11.4% from 9.9% a year ago.
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Free Cash Flow Surge
Operating cash flow for the first half hit $5.4 billion, up from $1.8 billion a year ago, driven by higher net income and favorable working capital. Free cash flow came in at $2.9 billion in Q2.
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Raised Full-Year 2026 Outlook
Citing strong aftermarket services and defense order momentum, management raised its 2026 sales and profit outlook well above consensus. The $289 billion backlog provides multi-year visibility.
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Segment Strength Across the Board
Year-over-year, Collins Aerospace operating profit rose 11%, Pratt & Whitney surged 50%, and Raytheon climbed 29%. Defense bookings reached $23 billion in Q2, including $3.7 billion for Patriot GEM-T interceptors for Ukraine.
Analysis · RTX · Manufacturing
A standout quarter saw RTX deliver 16% organic sales growth, adjusted EPS of $1.89 (up 21%), and $2.9 billion in free cash flow. Booming aftermarket services and defense orders drove the company to raise its full-year 2026 sales and profit outlook well above consensus. The $289 billion backlog, up from $268 billion at year-end, provides exceptional visibility. This performance demonstrates strong execution across all three segments, even amid ongoing Pratt & Whitney GTF engine issues and a complex regulatory environment.
At the time of this filing, RTX was trading at $208.80 on NYSE in the Manufacturing sector, with a market capitalization of approximately $281.7B. The 52-week trading range was $149.11 to $214.50. This filing was assessed with positive market sentiment and an importance score of 9 out of 10.