RTX lifts 2026 forecasts on sustained aerospace and defence demand

RTX has raised its 2026 sales and profit forecasts, citing sustained demand for commercial aircraft maintenance and military systems. The Arlington, Virginia-based aerospace and defence company reported a 22 per cent rise in its backlog to $289 billion, driven by airlines extending the life of older jets and governments replenishing weapons stockpiles.

The firm now expects 2026 adjusted sales to be in the range of $95 billion to $96 billion, up from a previous forecast of $92.5 billion to $93.5 billion. Full-year adjusted profit is forecast at $7.10 to $7.25 per share, exceeding the Wall Street average expectation of $6.92 per share. Analysts on average expect 2026 adjusted sales of $94.08 billion, according to data compiled by LSEG.

RTX reported second-quarter adjusted profit of $1.89 per share, compared with $1.56 a year earlier. The company’s Pratt & Whitney unit reported a 16 per cent rise in sales to $8.89 billion, driven by engines for Airbus A320neo-family jets and Lockheed Martin’s F-35 fighter. Sales at the Raytheon defence business rose 18 per cent to $8.27 billion, supported by demand for air and missile defence systems, including Patriot, Standard, and AMRAAM missiles.

Demand for maintenance, repair and overhaul services has remained strong as shortages of new commercial aircraft, caused by supply-chain snags and delayed deliveries, have forced airlines to rely longer on older, more expensive fleets. The backlog comprises $170 billion in commercial aerospace orders and $119 billion in defence.

Defense contractors have benefited from elevated global security spending as the Pentagon and allied governments seek to rebuild inventories depleted by conflicts in Ukraine, the Middle East and elsewhere. U.S. President Donald Trump has urged defense companies to increase output and expand factory capacity, while proposing a record $1.5 trillion military budget for fiscal 2027.