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Textron Reports Higher Profit and Cash Flow Led by Aviation and Bell Units

Textron Reports Higher Profit and Cash Flow Led by Aviation and Bell Units
Textron announced a notable increase in its third-quarter 2025 earnings, with income from continuing operations rising to $1.31 per share, up from $1.18 in the same period last year. Adjusted income also improved, reaching $1.55 per share compared to $1.40 a year earlier. The company’s revenue grew by 5%, driven primarily by strong performances in its Aviation, Bell, and Textron Systems segments.
Financial Performance and Operational Highlights
Chairman and CEO Scott C. Donnelly attributed the company’s robust results to several key factors, including increased aircraft deliveries, accelerated production of the MV-75 at Bell, and consistent outcomes from Textron Systems. Net cash provided by operating activities for the manufacturing group rose significantly to $348 million, up from $208 million in the previous year. Manufacturing cash flow before pension contributions also saw a substantial increase, climbing to $281 million from $147 million in 2024.
Despite these positive trends, Textron’s Aviation unit encountered some challenges. Jet deliveries declined to 42 in the third quarter, down from 49 in the prior quarter, although the division still reported a strong profit of $179 million. In a strategic move, the company announced plans to dissolve its eAviation business unit next year, reallocating its electric aircraft programs, including Pipistrel, across other segments.
Market Dynamics and Strategic Initiatives
Textron operates in a highly competitive environment. Gulfstream Aerospace recently reported a 56% surge in business jet sales alongside a 39% increase in deliveries, highlighting intensified competition in the sector. Embraer Executive Jets is also on track to meet its delivery targets for 2025. Meanwhile, Bell Helicopter has signed a Memorandum of Understanding with Ukraine to collaborate on aviation technology development, signaling potential market expansion and new strategic partnerships.
During the quarter, Textron returned $206 million to shareholders through share repurchases, bringing the total buybacks for the year to $635 million. This ongoing repurchase activity underscores the company’s confidence in its financial position and growth prospects.
For the full year 2025, Textron reaffirmed its guidance, projecting GAAP earnings per share from continuing operations in the range of $5.19 to $5.39. Adjusted earnings are expected between $6.00 and $6.20 per share, with manufacturing cash flow before pension contributions forecasted between $900 million and $1.0 billion. With sustained demand across its core segments, strong cash generation, and strategic initiatives in both established and emerging markets, Textron is positioned to maintain its growth trajectory through the remainder of the year.

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