UPDATE: Textron Posts Upbeat Q3 Earnings, Lifts Forecast

Textron

reported better-than-expected third-quarter earnings and raised its forecast for the year. Textron now expects full-year earnings of $2.05 to $2.15 per share, versus its earlier forecast of $1.92 to $2.12 per share. The Providence, the Rhode Island-based company posted quarterly earnings of $159 million, or $0.57 per share, compared to $99 million, or $0.35 per share, in the year-ago period. The recent quarter included $3 million in acquisition and restructuring costs. Excluding non-recurring items, the company earned $0.60 per share. Its total revenue rose 18% to $3.43 billion. However, analysts were expecting earnings of $0.52 per share on revenue of $3.63 billion. Textron Aviation's revenue climbed 82% y/y to $1.08 billion. The segment posted a profit of $62 million, versus a year-earlier loss of $23 million. Bell revenue rose 1.7%, primarily in the quarter, while profit climbed 11.5% to $146 million. Textron Systems revenue declined 11.6% in the quarter, while industrial revenue surged 10.4%. “Revenues at Textron Aviation, Industrial and Bell were up during the quarter, primarily reflecting the success of our new product investment and acquisition strategies,” said Textron Chairman and CEO Scott C. Donnelly. Donnelly continued, “Operationally, we achieved significant margin improvement in the quarter at Textron Aviation, reflecting higher volumes and better performance. Bell also had improved performance, leading to an increase in quarterly margins compared to last year.” Textron shares declined 0.27% to close at $33.66 yesterday.