RTX raises 2026 outlook on aircraft repair and defense demand

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RTX 2026 outlook raised

Highlights

RTX raises its 2026 adjusted sales forecast to $95-96 billion and adjusted profit outlook to $7.10-7.25 per share, exceeding LSEG consensus estimates.
Backlog grows 22% year-over-year to $289 billion, with $170 billion in commercial aerospace and $119 billion in defense orders supporting future revenue growth.
Q2 adjusted profit rises to $1.89 per share from $1.56, as Pratt & Whitney sales climb 16% to $8.89 billion and Raytheon defense sales increase 18% to $8.27 billion.

Higher guidance backed by backlog growth

As reported by Reuters, RTX raised its 2026 adjusted sales forecast to $95 billion to $96 billion, up from its previous range of $92.5 billion to $93.5 billion. The company also lifted its full-year adjusted profit outlook to $7.10 to $7.25 per share, compared with its earlier forecast of $6.70 to $6.90 per share.

The Arlington, Virginia-based company says its backlog rises 22% from a year earlier to $289 billion, including $170 billion in commercial aerospace orders and $119 billion in defense. RTX also reports second-quarter adjusted profit of $1.89 per share, up from $1.56 a year earlier.

At Pratt & Whitney, sales rise 16% to $8.89 billion, helped by demand for engines used on Airbus A320neo-family aircraft and Lockheed Martin's F-35 fighter. Sales at the Raytheon defense business increase 18% to $8.27 billion, supported by demand for air and missile defense systems including Patriot, Standard and AMRAAM missiles.

Supply constraints and security spending support demand

Maintenance, repair and overhaul demand remains firm as supply-chain disruptions and delayed aircraft deliveries limit the availability of new commercial jets. That is forcing airlines to operate older and more expensive fleets for longer, supporting aftermarket revenue across the aerospace sector.

On the defense side, contractors continue to benefit from elevated security spending as the Pentagon and allied governments replenish inventories depleted by conflicts in Ukraine, the Middle East and other regions. U.S. President Donald Trump has also urged defense companies to increase output and expand factory capacity, while proposing a record $1.5 trillion military budget for fiscal 2027.

RTX's updated outlook comes in above analyst expectations compiled by LSEG, which show consensus estimates of $94.08 billion in sales and $6.92 in adjusted earnings per share. The revised guidance signals continued momentum across both its commercial aerospace and defense operations.

Our earlier coverage of the House’s FY2027 budget resolution vote explained how lawmakers narrowly advanced H. Con. Res. 113, a measure tied to military support and election security, as part of the reconciliation process. The article highlighted the political sensitivity of the razor-thin outcome and the push to move the package to the Senate, underscoring how budget planning can shape defense funding priorities.

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