Raytheon Technologies reports fourth-quarter 2022 results including for subsidiaries Pratt & Whitney and Collins Aerospace

Raytheon Technologies has reported fourth-quarter sales of US$18.1 billion, up 6% over the prior year. GAAP EPS from continuing operations of US$0.96 was up 109% versus the prior year and included US$0.31 of acquisition accounting adjustments and net significant and/or non-recurring charges. Adjusted EPS of US$1.27 was up 18% versus the prior year. Both GAAP and Adjusted EPS included about 6% of a tax benefit associated with legal entity and operational reorganisations.

The company recorded net income from continuing operations attributable to common share-owners in the fourth quarter of US$1.4 billion, up 108% versus the prior year which included US$446 million of acquisition accounting adjustments and net significant and/or non-recurring charges. Adjusted net income was US$1.9 billion, up 16% versus prior year. Operating cash flow from continuing operations in the fourth quarter was US$4.6 billion. Capital expenditures were US$855 million, resulting in free cash flow of US$3.8 billion.

Collins Aerospace reported fourth-quarter 2022 sales of US$5,662 million, up 15% versus the prior year. The increase in sales was driven by a 21% increase in commercial aftermarket, a 20% increase in commercial OE and a 5% increase in military operations. The increase in commercial sales was driven primarily by the recovery of commercial air traffic, which resulted in higher flight hours, aircraft fleet utilisation, and narrow-body deliveries. Collins Aerospace recorded operating profit of US$741 million, up 61% versus the prior year and adjusted operating profit of US$743 million in the quarter which was up 58% versus the prior year.

Pratt & Whitney reported fourth-quarter sales of US$5,652 million, up 10% versus the prior year. The increase in sales was driven by a 37% increase in commercial OE and an 11% increase in commercial aftermarket which more than offset a 2% decrease in military sales. Pratt & Whitney recorded operating profit of US$306 million, up 127% versus the prior year and adjusted operating profit of US$321 million in the quarter, up 98% versus the prior year. (£1.00 = US$1.24 at time of publication)