Anticipated Outcomes for RTX Corporation's Second Quarter 2025 Financial Report
In the dynamic world of aerospace and defence, RTX Corporation is poised for continued profit growth, with strong defence sector tailwinds and a recovering commercial aerospace segment supporting near- and medium-term earnings prospects.
Analysts predict a 4.46% year-over-year revenue growth for Q2 2025, driven by robust performance in both defence and commercial aerospace segments. The consensus estimate for earnings per share (EPS) stands at approximately $1.43 for Q2 2025, a 2.8% increase from the year-ago quarter.
RTX's growth is underpinned by robust demand in the defence sector, where global military spending remains elevated. The company boasts a substantial order backlog of $218 billion as of June 2025, with defence contracts making up roughly 40% of this backlog. Their leadership in advanced technologies like hypersonic systems and electronic warfare positions RTX well for future earnings growth amid ongoing geopolitical tensions and modernization efforts.
Commercial aerospace is also on the recovery path, with rising passenger numbers boosting demand for RTX’s aviation products. The global defence market is projected to grow at a CAGR of 6.4% through 2028, providing a solid foundation for RTX’s defence revenues.
Looking ahead, analysts expect steady revenue and earnings growth for fiscal years 2025 and 2026, aligned with broad defence market trends. RTX's EPS is expected to further grow 12.6% year-over-year to $6.72 in fiscal 2026.
RTX's Q1 earnings were impressive, with the company reporting an EPS of $1.47, outpacing the forecasted figure by 8.9%. The Q1 revenue was $20.3 billion, up 5.2% year-over-year and 3% above consensus estimates.
Despite the solid Q1 execution, a lack of upward revisions to full-year profit targets might have lowered investor confidence. However, the Street-high price target for RTX is $162, suggesting an 11.1% premium to its current price levels.
Over the past 52 weeks, RTX has rallied 44.7%, outperforming both the S&P 500 Index's 13.4% uptick and the Industrial Select Sector SPDR Fund's 22.8% return.
RTX Corporation (RTX), headquartered in Arlington, Virginia, provides systems and services for commercial, military, and government customers. Among 24 analysts covering the stock, 15 recommend "Strong Buy," one suggests a "Moderate Buy," and eight advise "Hold."
RTX is expected to announce its fiscal Q2 earnings for 2025 before the market opens on Tuesday, Jul. 22. Analysts expect RTX to report a profit of $1.45 per share for fiscal Q2 2025.
[1] RTX Corporation Investor Relations. (n.d.). Retrieved from https://investor.rtx.com/ [2] RTX Corporation Earnings Dates. (n.d.). Retrieved from https://finance.yahoo.com/quote/RTX/earnings?p=RTX [3] RTX Corporation Q1 Earnings Release. (2025). Retrieved from https://investor.rtx.com/news-events/press-releases/press-release-details/2025/RTX-Reports-First-Quarter-2025-Results/default.aspx [4] Global Defence Market Outlook to 2028 - By Type (Land, Naval, Air, and Missile & UAV), By Region (North America, Europe, Asia Pacific, Middle East, and Rest of the World), and By Country (United States, United Kingdom, China, India, Russia, Saudi Arabia, South Korea, Israel, France, Canada, Japan, Germany, Brazil, Australia, Italy, Turkey, and Others). (2021). Retrieved from https://www.globenewswire.com/news-release/2021/03/04/2183343/0/en/Global-Defence-Market-Outlook-to-2028-By-Type-Land-Naval-Air-and-Missile-UAV-By-Region-North-America-Europe-Asia-Pacific-Middle-East-and-Rest-of-the-World-and-By-Country-United-States-United-Kingdom-China-India-Russia-Saudi-Arabia-South-Korea-Israel-France-Canada-Japan-Germany-Brazil-Australia-Italy-Turkey-and-Others-Report-Available-on-MarketResearch.com.html
- The robust defence sector, which contributes nearly 40% of RTX Corporation's $218 billion order backlog, is a key driver of their financial growth, as global military spending remains elevated.
- For the forthcoming fiscal Q2 2025, analysts anticipate RTX Corporation to report a profit of $1.45 per share, fostering further speculation about the company's future financial performance.
