Textron Inc. (NYSE:TXT ) Q4 2024 Earnings Call Transcript January 22, 2025 8:00 AM ET Company Participants Dave Rosenberg - VP, IR Scott Donnelly - Chairman and CEO Frank Connor - CFO Conference Call Participants Sheila Kahyaoglu - Jefferies Peter Arment - Baird Robert Stallard - Vertical Research Noah Poponak - Goldman Sachs Seth Seifman - JPMorgan Myles Walton - Wolfe Research David Strauss - Barclays Ron Epstein - Bank of America Gavin Parsons - UBS Pete Skibitski - Alembic Global Operator Good morning, everyone. Welcome to the Textron Q4 2024 Earnings Release Call.
While the top- and bottom-line numbers for Textron (TXT) give a sense of how the business performed in the quarter ended December 2024, it could be worth looking at how some of its key metrics compare to Wall Street estimates and year-ago values.
Textron (TXT) came out with quarterly earnings of $1.34 per share, beating the Zacks Consensus Estimate of $1.25 per share. This compares to earnings of $1.60 per share a year ago.
Textron forecast 2025 profit below estimates on Wednesday, after missing quarterly revenue expectations due to the impact of the September strike on its aviation segment and demand softness in its industrial segment.
TXT's Q4 results are likely to be impacted by the dismal sales performance delivered by two of its major business segments.
Get a deeper insight into the potential performance of Textron (TXT) for the quarter ended December 2024 by going beyond Wall Street's top -and-bottom-line estimates and examining the estimates for some of its key metrics.
Textron (TXT) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Textron Inc. is a mid-cap blend conglomerate, undervalued and overlooked, offering a potential shelter from overpriced tech stocks, with strong brand awareness. Textron's diverse revenue streams include aviation, helicopters, industrial products, and defense systems, with significant backlogs and promising future contracts like the FLRAA project. Textron's financial health is solid, with a BBB credit rating, consistent share buybacks, and steady debt reduction, supporting long-term EPS growth.
TXT's business unit, Bell, secures a contract to provide program management, engineering and logistics services for UH-1Y and AH-1Z helicopters.
Textron is exploring strategic alternatives for its Powersports product line due to persistent weak demand, the Cessna jet maker said on Wednesday.
Textron's stock has underperformed, gaining only 9.5% compared to the S&P 500's 53.6%, due to pressures in its Industrials business and a recent strike. EBITDA estimates for Textron have been revised downward, with a 9.7% drop for 2024, affecting future projections and reducing the CAGR from 7.8% to 7.3%. Free cash flow estimates have also declined, with a 25.7% drop for 2024, and the CAGR falling from 10.4% to 8.3%, driven by higher labor costs.
Textron's unit, Textron Aviation Defense, delivers five Beechcraft T-6C Texan II planes to support Vietnam's pilot training program.