All US Majors continued the momentum in sales and profit growth across the board as demonstrated by the last quarter recorded earning given the volatile world situation.
Boeing
27 Jan 26. Boeing Reports Fourth Quarter Results
Fourth Quarter 2025
* Acquired Spirit AeroSystems in December underscoring commitment to safety, quality, and production stability
* Revenue increased to $23.9bn primarily reflecting 160 commercial deliveries
* Earnings reflects $9.6bn gain on sale associated with closing the Digital Aviation Solutions transaction
* Operating cash flow of $1.3bn and free cash flow (non-GAAP)* of $0.4bn
Full Year 2025
* Revenue of $89.5bn and 600 commercial deliveries reflect the highest annual totals since 2018
* Total company backlog grew to a record $682bn, including over 6,100 commercial airplanes
primarily reflecting 1,173 Commercial Airplanes net orders in the year, with all three segments at record levels.
“We made significant progress on our recovery in 2025 and have set the foundation to keep our momentum going in the year ahead,” said Kelly Ortberg, Boeing president and chief executive officer. “We completed the acquisition of Spirit AeroSystems and the sale of portions of the Digital Aviation Solutions business and remain focused on promoting stable operations, completing our development programs, rebuilding trust with our stakeholders, and fully restoring Boeing to the iconic company we all know it can be.”
Operating cash flow was $1.3bn in the quarter reflecting higher commercial deliveries, as well as working capital timing. Additions to property, plant and equipment primarily reflects higher investments in Charleston and Saint Louis sites.
Cash and investments in marketable securities totaled $29.4bn, compared to $23.0 bn at the beginning of the quarter, primarily driven by $10.6bn in proceeds associated with closing the Digital Aviation Solutions transaction and free cash flow generated in the quarter, partially offset by debt repayment associated with the acquisition of Spirit AeroSystems. Debt was $54.1bn, up from $53.4bn at the beginning of the quarter, primarily reflecting the acquisition of Spirit AeroSystems. The company maintains access to credit facilities of $10.0bn, which remain undrawn.
Segment Results
Commercial Airplanes
Commercial Airplanes fourth quarter revenue of $11.4bn and operating margin of (5.6) percent primarily reflect higher deliveries and improved operational performance. Results also include impacts associated with the acquisition of Spirit AeroSystems.
During the quarter, the 737 program increased the production rate to 42 per month and received approval from the Federal Aviation Administration to begin the final phase of 737-10 certification flight testing. The 787 program began transitioning production to eight per month and remains focused on stabilizing at that rate. In the quarter, the 777X program began the Type Inspection Authorization 3 phase of 777-9 certification flight testing, and the company still anticipates first delivery in 2027.
Commercial Airplanes booked 336 net orders in the quarter, including 105 737-10 and 5 787-9 airplanes for Alaska Airlines and 65 777-9 airplanes for Emirates. Commercial Airplanes delivered 160 airplanes and backlog included over 6,100 airplanes valued at a record $567 bn.
Defense, Space & Security
Defense, Space & Security fourth quarter revenue of $7.4bn and operating margin of (6.8) percent reflect stabilizing operational performance and higher volume. Results also include $0.6 bn of losses on the KC-46A program primarily driven by higher estimated production support and supply chain costs.
During the quarter, Defense, Space & Security captured an award from the U.S. Air Force for 15 KC-46A Tankers, secured a contract from the U.S. Army for 96 AH-64E Apache helicopters, and delivered the first operational T-7A Red Hawk to the U.S. Air Force at Joint Base San Antonio-Randolph. Backlog at Defense, Space & Security grew to a record $85 bn, with 26 percent representing orders from customers outside the U.S.
Global Services
Global Services fourth quarter revenue was $5.2bn driven by higher government volume. Operating margin of 202.4 percent primarily reflects a $9.6 bn gain on sale associated with closing the Digital Aviation Solutions transaction.
Global Services secured record annual orders of $28bn, including an award in the quarter for C-17 flight deck replacement from the U.S. Air Force, and ended the year with a record backlog of $30bn.
General Dynamics
28 Jan 26. General Dynamics Reports Fourth-Quarter and Full-Year 2025 Financial Results
* Fourth-quarter net earnings of $1.1bn, diluted EPS of $4.17, on $14.4bn in revenue
* Full-year net earnings of $4.2bn, diluted EPS of $15.45, on $52.6bn in revenue
* $1.6 bn cash provided by operating activities in the quarter, 137% of net earnings
* $1.2 bn in capital expenditures for the year, up 27% from 2024
* Book-to-bill of 1.6x in the quarter and 1.5x for the full year, ending the year with $118bn in backlog
General Dynamics (NYSE: GD) today reported quarterly net earnings of $1.1bn on revenue of $14.4bn. Diluted earnings per share (EPS) was $4.17.
For the full year, net earnings were $4.2bn, up 11.3% from 2024, on revenue of $52.6bn, up 10.1% from 2024. Diluted EPS for the full year was $15.45, up 13.4% from 2024.
“We had a solid fourth quarter, capping off a year that saw growth in revenue and earnings in all four segments coupled with an impressive 30% growth in company-wide backlog,” said Phebe N. Novakovic, chairman and chief executive officer. “As we focus on execution of programs for our customers, we are also preparing aggressively for future growth, investing nearly $1.2bn in capital expenditures in 2025 – with even more investments planned in the year ahead.”
Cash
Cash provided by operating activities in the quarter totaled $1.6bn, or 137% of net earnings. For the year, cash provided by operating activities increased by $1bn over 2024 to $5.1bn, or 122% of net earnings.
During the year, the company invested $1.2bn in capital expenditures, made tax payments of $568m, reduced total debt by $749m and paid dividends of $1.6bn, ending 2025 with $2.3bn in cash and equivalents on hand.
Orders and Backlog
Demand remained strong across the company, with orders of $22.4bn during the quarter. Consolidated book-to-bill ratio, defined as orders divided by revenue, was 1.6-to-1 for the quarter and 1.5-to-1 for the year, with full-year book-to-bill exceeding 1-to-1 in each of the four segments. The company ended the year with backlog of $118 bn and estimated potential contract value, representing management’s estimate of additional value in unfunded indefinite delivery, indefinite quantity (IDIQ) contracts and unexercised options, of $60.9bn. Total estimated contract value, the sum of all backlog components, was $179bn at year end, up 24% from a year earlier. (Source: PR Newswire)
Honeywell
29 Jan 26. Honeywell Reports Fourth Quarter 2025 Results, With Adjusted Sales and Adjusted Earnings
Above High End of Guidance; Issues 2026 Outlook
* Fourth Quarter Sales of $9.8bn, Up 6%, Adjusted Sales1 of $10.1bn, Up 10%, Up 11% Organic1
* Fourth Quarter GAAP Earnings Per Share (EPS) of $0.49 and Adjusted EPS1 of $2.59
* Fourth Quarter Orders Up 23% Organically, Driving Backlog to Over $37 Bn
* Expect 2026 Adjusted EPS2,3 of $10.35 – $10.65, Up 6% – 9%
* Honeywell Aerospace Spin-Off Now Expected in Third Quarter 2026; Leadership Team Announced
Honeywell (NASDAQ: HON) today announced results for the fourth quarter and full year 2025 and issued its outlook for 2026. The company also provided an update on anticipated timing for the spin-off of Honeywell Aerospace into an independent publicly traded company, now expected to be completed in the third quarter of 2026, ahead of the company’s prior expectations.
Fourth-quarter sales growth was driven primarily by strong demand in the Aerospace and Building Automation segments. Orders grew 23% organically, led by double-digit growth in Aerospace Technologies and Energy and Sustainability Solutions (ESS), which drove a 4% sequential increase in backlog to over $37bn.
Operating income decreased 35% and operating margin contracted 640 basis points to 10.2% primarily due to a one-time impairment charge related to the classification of the Productivity Solutions and Services (PSS) and Warehouse and Workflow Solutions (WWS) businesses as assets held for sale, and a one-time charge within the Aerospace Technologies segment related to the previously disclosed Flexjet-related litigation matters in the fourth quarter of 2025. Excluding these charges and other items, adjusted segment profit1 increased 23%, or 2% excluding the impact of the Bombardier agreement (“BBD”) signed in the fourth quarter of 20244, to $2.3bn led by growth in Aerospace Technologies and Building Automation, driving adjusted segment margin1 expansion of 240 basis points (or margin contraction of 70 basis points ex. BBD4) to 22.8%.
EPS for the fourth quarter of $0.49 was down 72% primarily driven by the aforementioned one-time charges. Excluding these charges and other items, adjusted EPS1 of $2.59 was up 17%, or down 3% ex. BBD4, driven by higher adjusted segment profit and a lower share count, partially offset by a higher effective tax rate. Finally, operating cash flow was $1.2bn, down 38%, and free cash flow1,5 was $2.5bn, up 48%, or up 13% ex. BBD4.
For the full year, reported sales increased 8% and adjusted sales increased 9%, with organic sales1 up 7% (or 6% organically ex. BBD4), exceeding the high end of original full year guidance by 2 points. Operating income decreased 6% and operating margin contracted 250 basis points, while adjusted segment profit1 grew 11% (or 6% ex. BBD4) with adjusted segment margin1 expansion of 40 basis points (or contraction of 40 basis points ex. BBD4) to 22.5%. Full-year EPS was $7.57, flat year over year, and full-year adjusted EPS1 was $9.78, up 12% year over year (or 7% ex. BBD4). Operating cash flow was $6.1bn, up 19%, and free cash flow1,5 was $5.1bn, up 20% (or up 7% ex. BBD4).
Management Commentary
“We concluded 2025 with strong results that exceeded the high end of our guidance for adjusted sales and adjusted EPS. Orders grew 23% stemming from robust demand in the Aerospace Technologies and Energy and Sustainability Solutions segments, including from our LNG acquisition that closed last year. As a result, we exited 2025 with a record backlog of over $37 bn which positions us well for 2026,” said Vimal Kapur, chairman and CEO of Honeywell.
Kapur added, “During the quarter, we also made considerable progress on our portfolio optimization, with the spin off of Solstice Advanced Materials complete. Building on this momentum, we now expect the separation of our automation and aerospace businesses to be completed in the third quarter of 2026. In preparation, this quarter we established our go-forward segment structure for Honeywell, built on complementary business models that will drive cross-portfolio synergies and accelerate profitable growth over the long term, and announced the leadership team for Honeywell Aerospace. These actions all marked critical steps in our simplification journey. With strong management teams and clear strategies in place for both automation and aerospace, we are confident in our ability to deliver on our 2026 commitments,” concluded Kapur.
Aerospace Technologies sales for the fourth quarter grew 21% organically1 year over year, or 11% excluding the impact of the prior year’s Bombardier agreement4, led by ongoing strength in commercial aftermarket and defense and space. Commercial aftermarket sales1 increased 13% organically with double-digit growth in both business jet and air transport end markets. Defense and space sales rose 10% driven by sustained elevated global demand. Commercial original equipment growth accelerated from the prior quarter, supported by higher output from an improving supply chain. Orders and backlog both increased at a strong double-digit rate compared to the previous year. Adjusted segment margin1 expanded 620 basis points to 26.5% as a result of the impact of the prior year’s Bombardier agreement4. Excluding this prior year impact, adjusted segment margin1 declined 60 basis points as commercial excellence and volume leverage were more than offset by cost inflation.
Industrial Automation sales for the fourth quarter grew 1% year over year on an organic basis1 and 4% sequentially. Growth was driven by WWS, up 5% on steady conversion of our robust pipeline, continued strength in sensing, up 3% on strong tailwinds in industrial and aerospace and defense end markets, and a return to growth of 1% in PSS, which also delivered double-digit orders growth. Process solutions sales were flat on an organic basis, as strength in aftermarket services was offset by declines in measurement and controls products. Segment margin contracted 120 basis points year over year to 18.4% driven by cost inflation, partially offset by commercial excellence and benefit from the personal protective equipment (PPE) sale. Beginning in 2026, the core Process Solutions business will be reported as part of Process Automation and Technology (PA&T).
Building Automation sales for the fourth quarter increased 8% organically1 year over year. Building solutions grew 9%, led by double-digit growth in services and building products grew 8%, highlighted by continued strength in North America and the Middle East. Orders increased both year over year and sequentially, driven by demand across both building solutions and building products. Segment margin expanded 20 basis points from the prior year to 27.0%, supported by commercial excellence and volume leverage partially offset by inflation.
Energy and Sustainability Solutions sales for the fourth quarter decreased 7% organically1 year over year, driven by demand softness in petrochemical catalysts. Orders growth continued in UOP, led by strong demand in LNG and robust double-digit growth in refining and petrochemicals projects. Segment margin contracted 300 basis points to 23.7% driven by unfavorable mix from lower catalyst volumes and cost inflation. The advanced materials (AM) business is excluded from the ESS reportable business segment in the fourth quarter and full-year 2025 results following the spin-off of Solstice Advanced Materials and subsequent classification of AM as discontinued operations. Beginning in 2026, the businesses in ESS will be reported as part of Process Automation and Technology (PA&T).
L3Harris Technologies
29 Jan 26. L3Harris Technologies Reports Strong Full Year and Fourth Quarter 2025 Results, Initiates
2026 Guidance
L3Harris Technologies (NYSE: LHX) reports full year and fourth quarter 2025 results.
Highlights*
Full Year
* Orders of $27.5bn; book-to-bill of 1.3x
* Cash from operations of $3.1bn, up 21%; Adjusted free cash flow of $2.8 bn, up 21%
* Revenue of $21.9bn, up 3%, 5% organically
* Operating margin of 9.7%; Adjusted segment operating margin of 15.8%
* Diluted EPS of $8.53; Non-GAAP diluted EPS of $10.73
Fourth Quarter
* Revenue of $5.6bn, up 2% versus prior year, 6% organically
* Operating margin of 7.0%; Adjusted segment operating margin of 15.7%
* Diluted EPS of $1.59; Non-GAAP diluted EPS of $2.86
“2025 was a clear inflection point for L3Harris. Our portfolio is directly aligned with the most critical national and global defense priorities, which drove record orders and strong organic growth, margins and cash flow. Throughout the year, we saw customers move with greater urgency, and our investments and agility allowed us to deliver on their missions with speed and scale,” said Christopher Kubasik, Chairman and CEO, L3Harris.
Kubasik added, “As we look to 2026, our investments in technology and capacity along with a record backlog and strong demand signals give us confidence to deliver strong results. We remain disciplined in creating value for shareholders while continuing to invest in the business via capex and R&D.”Revenue: 2025 revenue increased 3%, 5% organically, reflecting organic growth across all segments, including new program ramps and increased international deliveries. The government shutdown resulted in delayed awards within the fourth quarter, impacting fourth quarter and 2025 revenue, primarily in SAS.
SEGMENT RESULTS*
Communication Systems
Revenue: 2025 revenue increased 4%, primarily driven by increased international deliveries for software-defined resilient communications products, as well as the Next Generation Jammer Electronic Warfare program ramp, partially offset by lower volumes related to our civil communication products.
Operating Margin:
GAAP Operating Margin: Fourth quarter increased 220 bps to 24.9% and 2025 increased 90 bps to 25.2%.
Adjusted Segment Operating Margin: Fourth quarter increased 50 bps to 24.9% and 2025 increased 50 bps to 25.2%.
Fourth quarter and 2025 operating margin increased due to LHX NeXt driven cost savings and the absence of a prior year non-cash impairment of other assets related to the Tactical Data Links acquisition, partially offset by unfavorable mix associated with a higher proportion of domestic development volume. Adjusted segment operating margin increase excludes the impact of the prior year non-cash impairment of other assets.
Integrated Mission Systems
Revenue: 2025 revenue remained flat. Excluding the impact of the divestiture of our CAS business, organic revenue increased 8%, primarily due to ramping activity in our ISR business on multiple classified programs and our Airborne Early Warning and Control aircrafts for the Republic of Korea Air Force.
Operating Margin: Fourth quarter operating margin decreased 270 bps to 11.1%, driven by the CAS divestiture and unfavorable Maritime program performance. 2025 operating margin decreased 30 bps to 12.2%, primarily due to the divestiture of our CAS business, unfavorable program performance in Maritime and the resolution of a legacy contract matter, partially offset by the monetization of legacy end-of-life assets aligned with our transformation and value creation priorities, favorable mix impact from higher airborne electro-optical sensors volume and LHX NeXt driven cost savings.
Space and Airborne Systems
Revenue: 2025 revenue increased 1%. Excluding the impact of the divestiture of our antenna business, organic revenue increased 2%, primarily from increased FAA volume in our Mission Networks business, partially offset by lower volume from program timing in our Space Systems business and lower classified volume in our Intel and Cyber business. The government shutdown resulted in later award timing that delayed expected fourth quarter and 2025 revenue.
Operating Margin: Fourth quarter operating margin increased 290 bps to 13.7% driven by stabilized program performance on classified space programs. 2025 operating margin increased 50 bps to 12.3%, primarily due to stabilized program performance, monetization of legacy end-of-life assets aligned with our transformation and value creation priorities and LHX NeXt driven cost savings, partially offset by unfavorable mix.
Aerojet Rocketdyne
Revenue: 2025 revenue increased 10%. Excluding the impact of the divestiture of our AOT business, organic revenue increased 12% from increased production volumes across key missile, munitions, and space programs, as well as development program ramps.
Operating Margin:
GAAP Operating Margin: Fourth quarter decreased 980 bps to 0.7% and 2025 decreased 240 bps to 9.5%.
Adjusted Segment Operating Margin: Fourth quarter increased 130 bps to 11.8% and 2025 increased 60 bps to 12.5%.
Fourth quarter and 2025 operating margin decreased due to a non-cash impairment of goodwill related to the Space Technology disposal group1, partially offset by favorable mix and LHX NeXt driven cost savings. Adjusted segment operating margin benefits from higher volume and LHX NeXt driven cost savings.
On January 5, 2026, we announced the sale of a majority stake in our Space Technology disposal group2; the financials of this business are included in our 2026 guidance. We expect the transaction to close in the second half of 2026 at which time our guidance will be updated.
Lockheed Martin
29 Jan 26. Lockheed Martin Corporation [NYSE: LMT] today reported fourth quarter 2025 sales of $20.3bn, compared to $18.6bn in the fourth quarter of 2024. Net earnings in the fourth quarter of 2025 were $1.3bn, or $5.80 per share, compared to $527m, or $2.22 per share, including $1.7bn ($1.3bn, or $5.45 per share, after tax) of losses for classified programs, in the fourth quarter of 2024. Cash from operations was $3.2 bn in the fourth quarter of 2025, compared to $1.0 bn in the fourth quarter of 2024. Free cash flow was $2.8 bn in the fourth quarter of 2025, after a pension contribution of $860m, compared to $441 m in the fourth quarter of 2024, after a pension contribution of $990m.
“With a record $194 bn backlog, 6% year-over-year sales growth, and free cash flow generation above our prior expectation, 2025 marked a year of unprecedented demand for Lockheed Martin capabilities. This escalating demand for our signature programs and systems has been driven by combat-proven performance over recent years that has already been again demonstrated in 2026. During the U.S. military’s recent Operation Absolute Resolve, F-35 and F-22 fighter jets, RQ-170 stealth drones, and Sikorsky Black Hawk helicopters were decisive contributors to enable American soldier, sailors, marines, and airmen to successfully execute extremely difficult missions and return safely,” said Lockheed Martin Chairman, President and CEO Jim Taiclet. “To ensure we continue delivering overwhelming capability at speed and scale, we invested more than $3.5bn during 2025 in production capacity and next-generation technologies throughout the year, underscoring our disciplined capital allocation.
“Having long advocated for a new way of doing business between government and industry, we are well positioned to perform under the Department of War’s Acquisition Transformation Strategy, as evidenced by our landmark, seven-year framework agreement for PAC-3 missiles early in the first quarter,” Taiclet continued. “We look forward to continuing our partnership with the DoW and Congress to definitize this contract and officially unleash a new era of increased innovation, accountability and execution within the defense industrial base.
“This notable start to 2026 reinforces our confidence in Lockheed Martin’s continued operational and financial growth in the year ahead. We expect sales and reported segment operating profit growth of approximately 5% and 25% year-over-year, respectively, and free cash flow between $6.5 to $6.8bn, an increase compared to our prior expectation. With a strong emphasis on operational performance and clear alignment with our customers’ national defense priorities, we will continue to deliver superior, reliable capabilities to U.S. and Allied militaries to strengthen deterrence and provide overwhelming combat advantage, while providing strong results and value to our shareholders.”
Summary Financial Results
Cash from operations in the quarter and year ended Dec. 31, 2025 was $3.2bn and $8.6bn with free cash flow of $2.8bn and $6.9bn compared to $1.0bn and $7.0 bn with $441m and $5.3bn in free cash flow in the quarter and year ended Dec. 31, 2024. The increase in cash from operations was primarily due to various changes in working capital (primarily timing of cash payments for accounts payable and contract liabilities at RMS) and lower tax payments, reflecting the impact of the One Big Beautiful Bill Act (the Tax Act).
The company’s cash activities in the quarter and year ended Dec. 31, 2025, included the following:
* capital expenditures of $463m and $1.6bn;
* independent research and development of $665 m and $2.0bn;
* cash dividends of $799m and $3.1bn;
* $750 m to repurchase 1.6m shares and $3.0bn to repurchase 6.6 m shares;
* pension contribution of $860m; and
* scheduled long-term debt repayments of $500m and $642m.
Program Losses and Other Charges
The table below provides supplemental information regarding the impacts of the program losses and other charges as previously disclosed:
Segment Results
The company operates in four business segments organized based on the nature of products and services offered: Aeronautics, Missiles and Fire Control (MFC), Rotary and Mission Systems (RMS) and Space.
Consolidated net profit booking rate adjustments increased segment operating profit by approximately $275m and $75m in the quarter and year ended Dec. 31, 2025. Net profit booking rate adjustments for the year ended Dec. 31, 2025 include a loss of $950 m on a classified program and $140m of unfavorable profit adjustments on C-130 program at Aeronautics, and losses of $570m on CMHP and $95 m on TUHP at RMS.
Consolidated net profit booking rate adjustments decreased segment operating profit by approximately $1.2bn and $180m in the quarter and year ended Dec. 31, 2024, which include losses of $1.7bn and $2.0bn recognized on classified programs as previously described.
Aeronautics
Sales in the fourth quarter of 2025 increased $515m, or 6%, compared to the same period in 2024. The increase was primarily attributable to higher sales of $300m on classified programs due to the sales impact of losses recognized on a classified contract in 2024, partially offset by lower volume; and $200m on the F-35 program due to higher volume and contract mix.
Operating profit in the fourth quarter of 2025 increased $348m, or 80%, compared to the same period in 2024. This increase was attributable to $290 m of higher profit rate adjustments and $35m from higher sales volume previously described. The higher profit rate adjustments were primarily driven by the fourth quarter 2024 adjustments ($410m of losses recognized on a classified contract, offset by a $70 m favorable profit rate adjustment associated with the resolution of a completed C-5 Galaxy aircraft contract).
Sales in 2025 increased $1.6bn, or 6%, compared to 2024. This increase was primarily attributable to higher sales of $1.9bn on the F-35 program due to higher volume on production and sustainment contracts, partially offset by lower sales of $215 m due to lower volume on classified contracts.
Operating profit in 2025 decreased $437m, or 17%, compared to 2024. The decrease was attributable to $585m of lower profit rate adjustments, partially offset by $160 m from higher sales volume previously described. The lower profit rate adjustments were primarily driven by a net impact of $395m of reach-forward losses recognized on a classified contract ($950m recognized in 2025 and $555m recognized in 2024), and $140m of unfavorable profit adjustments on C-130 program.
Missiles and Fire Control
Sales in the fourth quarter of 2025 increased $608m, or 18%, compared to the same period in 2024. This increase was primarily attributable to production ramp-up of $380m at tactical and strike missile programs (precision fires) and $180m at integrated air and missile defense programs (existing contracts on PAC-3).
Operating profit in the fourth quarter of 2025 increased $1.3bn, compared to the same period in 2024. This increase was attributable to a $1.2bn increase in profit booking rate adjustments and $65 m from higher sales volume previously described. The increase in profit booking rate adjustments was primarily driven by the fourth quarter 2024 reach-forward loss of $1.3bn recognized on a classified program.
Sales in 2025 increased $1.8bn, or 14%, compared to 2024. This increase was primarily attributable to production ramp-up of $1.4bn at tactical and strike missile programs (Joint Air-to-Surface Standoff Missile (JASSM), Long Range Anti-Ship Missile (LRASM) and precision fires) and $450 m at integrated air and missile defense programs (existing contracts on PAC-3).
Operating profit in 2025 increased $1.6bn, or 382%, compared to 2024. This increase was attributable to a $1.3bn increase in profit booking rate adjustments primarily driven by reach-forward losses of $1.4bn recognized in 2024 on a classified program and $190m from higher sales volume previously described.
Rotary and Mission Systems
Sales in the fourth quarter of 2025 increased $355m, or 8%, compared to the same period in 2024. The increase was primarily attributable to higher net sales of $225 m on Integrated warfare systems and sensors (IWSS) programs due to higher volume on radar programs and the River Class Destroyer (RCD) (formally known as Canadian Surface Combatant) program; and $145m on Sikorsky helicopter programs primarily due to higher production volume on Black Hawk programs.
Operating profit in the fourth quarter of 2025 decreased $45m, or 9%, compared to the same period in 2024. This decrease was attributable to a $40m decrease in profit booking rate adjustments and $40m from lower cost recoveries and contract mix, partially offset by $35m increase from higher sales volume previously described. The decrease in profit booking rate adjustments was primarily due to unfavorable profit adjustments on Black Hawk programs. The decrease in cost recoveries and contract mix includes a $30m intellectual property license arrangement in the fourth quarter of 2024.
Sales in 2025 were comparable to 2024. Sales increased $95m on Sikorsky helicopter programs primarily due to higher production volume on Black Hawk programs, partially offset by the impact of unfavorable cumulative adjustments to sales driven by recognizing reach-forward losses on CMHP and TUHP in the second quarter of 2025 and lower production volume on Seahawk programs. Additionally, sales increased $75m on IWSS programs due to higher volume on the RCD program and radar programs, partially offset by lower volume on Littoral Combat Ship (LCS). These increases were offset by lower net sales of $165m for various TLS programs due to lower volume.
Operating profit in 2025 decreased $598 m, or 31%, compared to 2024. This decrease was attributable to a $610m decrease in profit booking rate adjustments. The decrease in profit booking rate adjustments was primarily due to the reach-forward losses recognized on CMHP and TUHP in the second quarter of 2025, partially offset by unfavorable profit adjustments on Seahawk programs in the first quarter of 2024.
Space
Sales in the fourth quarter of 2025 increased $221m, or 8%, compared to the same period in 2024. This increase was primarily attributable to higher sales volume of $135m for strategic and missile defense programs on the NGI and FBM programs, $45m for national security space programs on Transport Layer program, and $30 m for commercial civil space programs primarily on the Orion program.
Operating profit in the fourth quarter of 2025 decreased $10m, or 4%, compared to the same period in 2024. This decrease was due to $20m of lower equity earnings from the company’s investment in United Launch Alliance (ULA), partially offset by $15m increase from higher sales volume previously described.
Sales in 2025 increased $550m, or 4%, compared to 2024. This increase was primarily attributable to higher sales volume of $380m for strategic and missile defense programs on the NGI and FBM programs, and $255m for commercial civil space programs primarily on the Orion program. These increases were partially offset by a decrease of $135m on national security space programs due to program lifecycle in the OPIR mission.
Operating profit in 2025 increased $119m, or 10%, compared to 2024. This increase was attributable to a $145m increase in profit booking rate adjustments, and $30m increase from higher sales volume previously described; which were partially offset by $40m of lower equity earnings from the company’s investment in ULA. The increase in profit booking rate adjustments was primarily due to favorable performance at completion on certain commercial civil space programs.
Total equity (losses) and earnings (ULA) were not significant during both the quarter and year ended Dec. 31, 2025, compared to approximately $15m, or 5%, and $45m, or 4%, of Space’s operating profit for the same periods in 2024.
Northrop Grumman
27 Jan 26. Northrop Grumman Reports Fourth Quarter and Full-Year 2025 Financial
Results
- Backlog grows to new company record of $95.7bn driven by full year book to bill of 1.10
- Q4 sales increase 10 percent to $11.7 bn; 2025 sales of $42.0bn
- Q4 operating income increases 17 percent to $1.3bn; OM rate of 10.9 percent
- Q4 segment operating income1 increases 10 percent; segment OM rate1 of 11.2 percent
- 2025 diluted earnings per share (EPS) of $29.08; MTM-adjusted EPS1 of $26.34
- 2025 operating cash flow of $4.8bn; free cash flow1 of $3.3bn
- 2026 financial guidance projects mid-single digit sales growth and continued strong performance and free cash flow1 consistent with the outlook provided in October
Northrop Grumman Corporation (NYSE: NOC) reported fourth quarter 2025 sales increased 10 percent to $11.7 bn, as compared with $10.7bn in the fourth quarter of 2024. Sales increased 2 percent to $42.0bn in 2025, as compared with $41.0bn in 2024. Organic sales1 increased 3 percent to $41.8 bn in 2025, as compared with $40.7bn in 2024.
Fourth quarter 2025 net earnings totaled $1.4bn, or $9.99 per diluted share, and 2025 net earnings were $4.2bn, or $29.08 per diluted share. Excluding the after-tax mark-tomarket (MTM) benefit of $394m, fourth quarter 2025 MTM-adjusted net earnings1 totaled $1.0bn, or $7.23 per diluted share, and 2025 MTM-adjusted net earnings1 totaled $3.8bn, or $26.34 per diluted share.
“We delivered outstanding results in 2025 through strongperformance and a laser focus on our customers’ and stakeholders’ highest priorities,” said Kathy Warden, chair, chief executive officer and president. “Investments in anticipation of our customers’ requirements and ability to deliver differentiating technology at speed and scale position us well to continue to meet the moment for our nation and our partners around the globe. Our record backlog supports our 2026 outlook of mid-single digit sales growth and we are confident in our ability to deliver continued strong performance.”
Three Months Ended December 31
Year Ended Fourth quarter 2025 sales increased $1.0bn, or 10 percent, due to higher sales of $591m at Aeronautics Systems, $305m at Mission Systems, $149m at Space Systems and $144m at Defense Systems, net of a $78m reduction related to the
training services divestiture, partially offset by $163m of higher intercompany eliminations. 2025 sales increased $921 m, or 2 percent, due to higher sales of $1.1bn at Mission Systems, $603m at Defense Systems, net of a $192m reduction related to the training services divestiture, and $596 m at Aeronautics Systems. These increases were partially offset by $960m of lower sales at Space Systems, largely due to a $738m sales reduction associated with wind-down of work on the restricted space and NGI programs, and $425m of higher intercompany eliminations.
Operating Income and Margin Rate
Fourth quarter 2025 operating income increased $182m, or 17 percent, primarily due to a $120m increase in segment operating income and a $57m increase in the FAS/CAS operating adjustment. Operating margin rate increased to 10.9 percent from 10.2 percent reflecting the items above.
2025 operating income increased $141m, or 3 percent, primarily due to a $231m pre-tax gain on sale for the training services divestiture and a $218 m increase in the FAS/CAS operating adjustment. These increases were partially offset by a $167m decrease in segment operating income, primarily driven by $423 m of lower operating income at Aeronautics Systems reflecting the first quarter B-21 loss provision, and a $126m increase in non-divestiture-related unallocated corporate expense largely driven by higher deferred state
tax expense. 2025 operating margin rate increased to 10.8 percent from 10.6 percent reflecting the items above.
Segment Operating
Fourth quarter 2025 segment operating income1 increased $120m, or 10 percent, primarily due to higher operating income of $61m at Aeronautics Systems, $47m at
Space Systems and $41m at Mission Systems. Segment operating margin rate1 of 11.2 percent was comparable to the prior year and reflects a higher operating margin rate at Space Systems, partially offset by a lower operating margin rate at Defense Systems.
2025 segment operating income1 decreased $167m, or 4 percent, primarily due to the $423m of lower operating income at Aeronautics Systems described above and $71m of lower operating income at Space Systems, partially offset by higher operating income of $229m at Mission Systems and $155m at Defense Systems. Segment operating margin rate1 decreased to 10.4 percent primarily due to the B-21 loss provision at Aeronautics Systems, partially offset by higher operating margin rates at Defense Systems, Mission Systems and
Space Systems.
Fourth quarter 2025 net earnings increased $163m, or 13 percent, primarily due to the $182m increase in operating income described above and an $84m increase in our MTM benefit, partially offset by a $47m decrease in Other, net driven by lower returns on our marketable securities and a $26m increase in income tax expense. 2025 net earnings were comparable to the prior year and reflect the $141m increase in operating income described above and an $84 m increase in our MTM benefit, partially offset by a $115m decrease in the non-operating FAS pension benefit, $44m of higher interest expense and a $44m increase in income tax expense.
Cash Flows
Fourth quarter 2025 net cash provided by operating activities increased $1.3bn as compared with the same period in 2024 primarily due to a $1.1bn decrease in net tax payments. Fourth quarter 2025 free cash flow1 increased $1.5bn, or 84 percent, due to an increase in net cash provided by operating activities and lower capital expenditures. Fourth quarter 2025 capital expenditures totaled 5.7 percent of sales.
2025 cash provided by operating activities increased $369m, or 8 percent, primarily due to $149m of lower net cash tax payments and improvements in trade working capital. 2025 free cash flow1 increased $686m, or 26 percent, due to higher net cash provided by operating activities as well as lower capital expenditures. 2025 capital expenditures totaled 3.5 percent of sales.
Fourth quarter 2025 and year to date 2025 net awards totaled $15.9bn and $46.3bn, respectively, and backlog totaled $95.7bn. Significant fourth quarter new awards include $4.0bn for restricted programs (primarily at Aeronautics Systems, Space Systems and
Mission Systems), $1.3bn for F-35 (at Aeronautics Systems and Mission Systems), $2.5bn for Graphite Epoxy Motor 63 (GEM 63), $0.9bn for Virginia Class submarines and $0.8bn for Space Development Agency (SDA) Tranche 3 Tracking Layer. Significant 2025 new awards include $14.8bn for restricted programs (primarily at Aeronautics Systems, Space Systems, and Mission Systems), $3.3bn for F-35 (at Mission Systems and Aeronautics Systems), $2.5 bn for GEM 63, $1.8bn for Ground-based Midcourse Defense Weapon System (GWS), and $1.3 bn for Virginia Class submarines.
Segment Operating Results
Effective January 1, 2025, the company realigned the Strike and Surveillance Aircraft Solutions (SSAS) business unit from Defense Systems to Aeronautics Systems. This realignment is reflected in the financial information contained in this report.
AERONAUTICS SYSTEMS
Fourth quarter 2025 sales increased $591m, or 18 percent, primarily due to a $274m increase on the F-35 program largely driven by materials volume, a $153m increase on the E-130J TACAMO (“TACAMO”) program as it ramps up, and higher volume on the B-21 and E-2 programs. 2025 sales increased $596m, or 5 percent, primarily due to a $385m increase on F-35 largely driven by material volume, a $379m increase on TACAMO as that program ramps, and higher volume on the E-2 and B-21 programs. These increases were partially offset by lower sales on other restricted programs and a $106m decrease on F/A-18 as final production deliveries were completed.
Operating Income
Fourth quarter 2025 operating income increased $61m, or 20 percent, primarily due to higher sales. Operating margin rate of 9.4 percent was comparable to the prior year. Each of the fourth quarters in 2025 and 2024 include operating margin rate impacts from higher B-21 sales related to the exercise of LRIP contract options.
2025 operating income decreased $423m and operating margin rate decreased to 6.3 percent primarily due to a $477m loss provision recorded on the LRIP phase of the B-21 program in the first quarter of 2025. This was partially offset by higher net EAC adjustments across the portfolio.
DEFENSE SYSTEMS
Sales
Fourth quarter 2025 sales increased $144m, or 7 percent, primarily due to higher volume due to the timing of materials on the Guided Multiple Launch Rocket System (GMLRS), increased volume from new awards across the Integrated Battle Command System (IBCS) program portfolio, higher volume on Sentinel as that program continues to ramp, and higher volume on armament programs, including military ammunition programs. These increases were partially offset by a reduction in sales related to the divested training services business. 2025 sales increased $603m, or 8 percent, primarily due to a $224m increase on Sentinel as that program continues to ramp, a $185m increase on armament programs, including military ammunition programs, a $153m increase in sales from new awards across the IBCS program portfolio, and higher volume due to material timing on the GMLRS program. These increases were partially offset by a $192m reduction in sales related to the divested training services business.
Operating Income
Fourth quarter 2025 operating income decreased $4m, or 2 percent, due to a lower operating margin rate, partially offset by higher sales. Operating margin rate decreased to 9.5 percent from 10.4 percent principally due to lower net EAC adjustments. 2025 operating income increased $155m, or 22 percent, due to a higher operating margin rate and higher sales. Operating margin rate increased to 10.9 percent from 9.7 percent primarily due to higher net EAC adjustments, including a $76m favorable EAC adjustment on the Sentinel program during the second quarter of 2025.
MISSION SYSTEMS
Sales
Fourth quarter 2025 sales increased $305m, or 10 percent, primarily due to ramp-up on restricted airborne radar programs, as well as higher volume on F-35, the Surface Electronic Warfare Improvement Program (SEWIP) and international ground-based radar programs. These increases were partially offset by lower sales on restricted advanced microelectronics programs. 2025 sales increased $1.1bn, or 10 percent, primarily due to continued ramp-up on restricted airborne radar programs, as well as higher sales of $161m on marine systems programs, $141m on international ground-based radar programs and $105m on communications programs, as several programs ramp up following new awards. Fourth quarter 2025 operating income increased $41m, or 9 percent, primarily due to higher sales. Operating margin rate of 14.8 percent was comparable to the prior year. Lower net EAC adjustments were largely offset by favorable changes in contract mix driven by sales growth on programs with accretive margin rates.
2025 operating income increased $229m, or 14 percent, due to higher sales and a higher operating margin rate. Operating margin rate increased to 14.6 percent from 14.0 percent primarily due to higher net EAC adjustments, including a $68m favorable EAC adjustment recorded in the third quarter of 2025 in the restricted advanced microelectronics portfolio, partially offset by investments made by the sector in connection with restricted business opportunities during the first quarter of 2025.
SPACE SYSTEMS
Sales
Fourth quarter 2025 sales increased $149m, or 5 percent, primarily due to production ramp-up on the GEM 63 program, increased sales from new program awards in the restricted space portfolio, and higher volume on the Habitation and Logistics Outpost (HALO) program, partially offset by wind-down of work on the Next Generation Interceptor (NGI) program. 2025 sales decreased $960m, or 8 percent, primarily due to wind-down of work on the ,restricted space and NGI programs, which reduced sales by $738m, as well as a $172m decrease for the SDA satellite programs due to the timing of materials and a $102m decrease driven by lower volume on the SLS Booster program. These decreases were partially offset by a $168m increase on GEM 63 and higher volume on HALO as those programs continue to ramp.
Operating Income
Fourth quarter 2025 operating income increased $47m, or 17 percent, due to a higher operating margin rate and higher sales. Operating margin rate increased to 11.3 percent from 10.1 percent principally due to higher net EAC adjustments and more favorable contract mix. 2025 operating income decreased $71m, or 6 percent, due to lower sales, partially offset by a higher operating margin rate. Operating margin rate increased to 11.0 percent from 10.7 percent principally due to more favorable contract mix.
RTX
27 Jan 26. RTX (NYSE: RTX) reports fourth quarter and full year 2025 results, and announces 2026 outlook.
Fourth quarter 2025
* Sales of $24.2bn, up 12 percent versus prior year, and up 14 percent organically*
* GAAP EPS of $1.19, including $0.31 of acquisition accounting adjustments, $0.02 of restructuring, and $0.03 of other net significant and/or non-recurring items
* Adjusted EPS* of $1.55, up 1 percent versus prior year
* Operating cash flow of $4.2bn; free cash flow* of $3.2bn
* Company backlog of $268bn, including $161bn of commercial and $107bn of defense
* Completed the divestiture of Collins’ Simmonds Precision Products business
Full year 2025
* Sales of $88.6bn, up 10 percent versus prior year, and up 11 percent organically*
* GAAP EPS of $4.96, including $1.15 of acquisition accounting adjustments, $0.14 of restructuring, and $0.04 of other net significant and/or non-recurring items
* Adjusted EPS* of $6.29, up 10 percent versus prior year
* Operating cash flow of $10.6bn; free cash flow* of $7.9bn, up $3.4bn versus prior year
Outlook for full year 2026
* Adjusted sales* of $92.0 to $93.0bn
* Organic sales growth* of 5 to 6 percent
* Adjusted EPS* of $6.60 – $6.80
* Free cash flow* of $8.25 – $8.75bn
“RTX delivered strong sales, adjusted EPS* and free cash flow* in 2025, enabled by our continued focus on operational performance and execution,” said RTX Chairman and CEO Chris Calio. “We enter 2026 with great momentum and are well positioned to deliver our 2026 financial outlook. We remain focused on investing in new capabilities, expanding production capacity, and executing on our backlog to meet the growing needs of our customers.”
Fourth quarter 2025
RTX fourth quarter reported and adjusted sales were $24.2bn, up 12 percent over the prior year. GAAP EPS of $1.19 included $0.31 of acquisition accounting adjustments, $0.02 of restructuring, and $0.03 of other net significant and/or non-recurring items. Adjusted EPS* of $1.55 was up 1 percent versus the prior year.
The company reported net income attributable to common shareowners in the fourth quarter of $1.6bn which included $0.4bn of acquisition accounting adjustments and $0.1 bn of restructuring and other net significant and/or non-recurring items. Adjusted net income* of $2.1bn was up 2 percent versus the prior year driven by adjusted segment operating profit growth* across all three segments, partially offset by higher corporate expenses and taxes. Operating cash flow in the fourth quarter was $4.2bn and capital expenditures were $1.0bn, resulting in free cash flow* of $3.2bn.
Collins Aerospace
Collins Aerospace fourth quarter 2025 reported and adjusted sales of $7,736m were up 3 percent versus the prior year. Excluding the impact of divestitures, the increase in adjusted sales* was driven by a 9 percent increase in commercial OE, a 13 percent increase in commercial aftermarket, and a 2 percent increase in defense. The increase in commercial OE sales was driven primarily by higher volume on widebody and narrowbody platforms, and the increase in commercial aftermarket sales was driven by growth in provisioning and parts and repairs. The increase in defense sales was driven by higher volume across multiple programs.
Collins Aerospace reported operating profit of $1,402m was up 27 percent versus the prior year. Reported operating profit included a gain on the sale of the Simmonds Precision Products business. Adjusted operating profit* of $1,223m was up 1 percent versus the prior year. Drop through on higher commercial aftermarket and commercial OE volume was partially offset by the impact of divestitures completed during the year and higher tariffs across the business.
Pratt & Whitney fourth quarter reported and adjusted sales of $9,496m were up 25 percent versus the prior year. The sales growth was driven by a 28 percent increase in commercial OE, a 21 percent increase in commercial aftermarket, and a 30 percent increase in military. The increase in commercial OE sales was driven by higher volume and favorable mix in large commercial engines, while the increase in commercial aftermarket was driven by higher volume, including heavier content, in large commercial engines and Pratt Canada. The increase in military sales was driven by higher F135 production volume and higher sustainment volume across multiple platforms, including the F135 and F100.
Pratt & Whitney reported operating profit of $773m was up 53 percent versus the prior year. Adjusted operating profit* of $776m was up 8 percent versus the prior year. The increase was driven by drop through on higher military and commercial aftermarket volume as well as favorable military and commercial OE mix. This growth was partially offset by the impact of commercial aftermarket mix, higher tariffs across the business, higher SG&A expense, and the absence of a prior year insurance recovery of approximately $70m. Q4 2024 reported operating profit included a $157 m charge related to a customer bankruptcy.
Raytheon fourth quarter reported and adjusted sales of $7,657m were up 7 percent versus the prior year. This increase was driven by higher volume on land and air defense systems, including Patriot and GEM-T, as well as higher volume on naval programs, including Evolved SeaSparrow Missile and Tomahawk. Q4 2024 sales included a benefit related to the restart of contracts with a Middle East customer.
Raytheon reported operating profit of $885m was up 7 percent versus the prior year. Adjusted operating profit* of $885 m was up 22 percent versus the prior year. The increase was driven by improved net productivity, higher volume, and favorable program mix. Q4 2024 reported operating profit included a $102m benefit related to the restart of contracts with a Middle East customer.
Textron
27 Jan 26. Textron Reports Fourth Quarter 2025 Results; Announces 2026 Financial Outlook
* Revenue of $4.2bn, up 16% from the fourth quarter of 2024
* Full-year revenue of $14.8bn, up 8% from the prior year
* Full-year segment profit of $1.4bn, up 14% from the prior year
* EPS of $1.33; adjusted EPS of $1.73
* Full-year adjusted EPS of $6.10
* Continued investment in the MV-75 program in support of the Army Transformation Initiative
Textron Inc. (NYSE: TXT) today reported fourth quarter 2025 income from continuing operations of $1.33 per share, as compared to $0.76 per share in the fourth quarter of 2024. Adjusted income from continuing operations, a non-GAAP measure that is defined and reconciled to GAAP in an attachment to this release, was $1.73 per share for the fourth quarter of 2025, compared to $1.34 per share in the fourth quarter of 2024.
Full year 2025 income from continuing operations was $5.12 per share, up from $4.34 in 2024. Full year 2025 adjusted income from continuing operations was $6.10 per share, up from $5.48 in 2024.
“2025 was a significant year of accomplishments as Textron delivered strong revenue and profit growth,” said Textron CEO Lisa M. Atherton. “Aviation completed three certification programs while significantly growing revenue as it recovered from the strike in 2024. Bell demonstrated a second consecutive year of 20% growth in military revenues as the MV-75 program continues to accelerate. Systems secured key wins, positioning the business for growth. Industrial streamlined the portfolio with the divestiture of the Powersports business.”
Cash Flow
Net cash provided by operating activities of the manufacturing group for the full year was $1.3bn. Manufacturing cash flow before pension contributions, a non-GAAP measure that is defined and reconciled to GAAP in an attachment to this release, totaled $969m for the full year, up from $692m in 2024. In the quarter, Textron returned $187m to shareholders through share repurchases. Full year 2025 share repurchases totaled $822m.
Outlook
Textron is forecasting 2026 revenues of approximately $15.5bn, up from $14.8bn in 2025. Textron expects full-year 2026 GAAP earnings per share from continuing operations will be in the range of $5.39 to $5.59, or $6.40 to $6.60 on an adjusted basis, which is reconciled to GAAP in an attachment to this release.
The Company is estimating net cash provided by operating activities of the manufacturing group will be between $1.3bn and $1.4bn and manufacturing cash flow before pension contributions, a non-GAAP measure, will be between $700m and $800m, with planned pension contributions of about $50m. This cash outlook reflects increased investments at Bell related to acceleration of the MV-75 program.
“As we move into 2026, our momentum remains strong supported by significant bookings, healthy demand across our markets, continued program execution, and ongoing operational improvements,” Atherton added. “We are well positioned to continue investing in our products and capabilities to drive growth and long-term value for our shareholders.”
Fourth Quarter Segment Results
Textron Aviation
Revenues at Textron Aviation of $1.7bn were up $467m, or 36%, from the fourth quarter of 2024, reflecting higher aircraft revenues of $400m and higher aftermarket parts and services revenues of $67m. The increase in aircraft revenues was primarily due to higher volume and mix largely reflecting higher Citation jet and commercial turboprop volume as we recovered from the strike in late 2024.
Textron Aviation delivered 49 jets in the quarter, up from 32 last year, and 43 commercial turboprops, up from 38 last year.
Segment profit was $208m in the fourth quarter, up $108m compared with the fourth quarter of 2024, largely due to higher volume and mix.
Textron Aviation backlog at the end of the fourth quarter was $7.7bn.
Bell
Revenues at Bell of $1.3bn were up $128 m, or 11%, from the fourth quarter of 2024. The revenue increase in the quarter was driven by higher military revenues of $139m, primarily due to higher volume on the U.S. Army’s MV-75 program, partially offset by lower commercial revenues of $11m, reflecting the mix of aircraft sold in the period, offset in part by higher pricing.
Bell delivered 78 commercial helicopters in the quarter, flat with 78 in last year’s fourth quarter.
Segment profit of $101m was down $9m from a year ago.
Bell backlog at the end of the fourth quarter was $7.8bn.
Textron Systems
Revenues at Textron Systems of $323m were up $12m, or 4%, from last year’s fourth quarter, primarily due to higher volume.
Segment profit of $43m was up $1m from last year’s fourth quarter.
Textron Systems’ backlog at the end of the fourth quarter was $3.3bn.
Industrial
Industrial revenues were $821m, down $48 m from last year’s fourth quarter.
Textron Specialized Vehicles’ revenues decreased $69m, largely reflecting a $72m impact from the divestiture of the Powersports business. Kautex revenues increased $21m, largely due to a favorable impact from foreign exchange rate fluctuations. On an organic basis, Industrial revenues were up slightly from last year’s fourth quarter.
Segment profit of $30m was down $18m from the fourth quarter of 2024, largely due to higher selling and administrative costs and lower volume and mix.
Textron eAviation
Textron eAviation segment revenues were $7 m in the fourth quarter of 2025, as compared to $11m in last year’s fourth quarter, and segment loss was $15 m, as compared to a segment loss of $22m in the fourth quarter of 2024.
Finance
Finance segment revenues were $18m, and profit was $13m in the fourth quarter of 2025, as compared to segment revenues of $11m and profit of $5m in the fourth quarter of 2024. The increase in revenues and segment profit included a $5m gain on the disposition of non-captive assets in the fourth quarter of 2025.