Textron Inc Earnings: Profit Streak Snapped by a Loss

S&P 500 (NYSE:SPY) component Textron Inc (NYSE:TXT) reported its results for the fourth quarter. Textron is a multi-industry company that leverages its global network of aircraft, defense, industrial and finance businesses to provide customers with innovative solutions and services.

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Textron Inc Earnings Cheat Sheet for the Fourth Quarter

Results: Reported a loss of $19 million (7 cents per diluted share) in the quarter. The conglomerate had net income of $60 million or 19 cents per share in the year earlier quarter.

Revenue: Rose 4.1% to $3.25 billion from the year earlier quarter.

Actual vs. Wall St. Expectations: TXT reported adjusted net income of 49 cents per share. By that measure, the company beat the mean estimate of 34 cents per share. Analysts were expecting revenue of $3.24 billion.

Quoting Management: “Fourth quarter operating results reflected outstanding performance at Bell, continued improvement at Cessna, good performance in our Industrial segment, and actions we’re taking to strengthen our competitive position at Systems in a difficult defense environment,” said Textron Chairman and CEO Scott C. Donnelly.

Key Stats:

Revenue has risen the past four quarters. Revenue increased 13.5% to $2.81 billion in the third quarter. The figure rose 0.7% in the second quarter from the year earlier and climbed 12.2% in the first quarter from the year-ago quarter.

The company has now topped analyst estimates for the last three quarters. It beat the mark by 14 cents in the third quarter and by 4 cents in the second quarter.

The company’s loss in the latest quarter follows profits in the previous three quarters. The company reported a profit of $142 million in the third quarter, a profit of $90 million in the second quarter and $29 million in the first.

Looking Forward: The average estimate for the first quarter of the next fiscal year is steady at 31 cents a share. The average estimate for the fiscal year has remained at $1.16 per share.

Competitors to Watch: The Boeing Company (NYSE:BA), General Electric Company (NYSE:GE), Embraer SA (NYSE:ERJ), 3M Company (NYSE:MMM), Spirit AeroSystems Hldgs., Inc. (NYSE:SPR), Honeywell Intl. Inc. (NYSE:HON), Tyco International Ltd. (NYSE:TYC), Carlisle Companies, Inc. (NYSE:CSL), United Technologies Corp. (NYSE:UTX), and Siemens AG (NYSE:SI).

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(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)

To contact the reporter on this story: Derek Hoffman at staff.writers@wallstcheatsheet.com

To contact the editor responsible for this story: Damien Hoffman at editors@wallstcheatsheet.com