By Mike Stone and Aishwarya Jain
Jan 27 (Reuters) - Aerospace and defense giant RTX posted a higher fourth-quarter revenue and profit on Tuesday, driven by a rise in sales for its engines and a strong appetite
for commercial aircraft maintenance and repair services.
RTX was helped by increased sales for its F135 turbofan engine, which powers all variants of Lockheed Martin's F-35, as well as continued maintenance demand for its decades‑old F100 engine.
In August, the company's engine business, Pratt and Whitney, bagged a $2.8 billion contract for 141 F135 engines. It also received a $1.6 billion F135 sustainment contract in December.
The unit, which also makes engines for Airbus' A320neo jets, posted a 25% rise in adjusted sales during the fourth quarter.
Arlington, Virginia-based RTX also benefited from strong demand for its maintenance and repair services as a shortage of new commercial aircraft has pushed airlines to fly older, more cost-intensive fleets.
Adjusted sales at RTX's aerospace and avionics business Collins rose 3% in the fourth quarter while its defense arm, Raytheon, reported a 7% rise during the same period.
RTX forecast 2026 adjusted sales in the range of $92 billion to $93 billion, the midpoint of which was slightly ahead of Wall Street expectations of $92.46 billion, according to data compiled by LSEG.
It reported a total revenue of $24.24 billion for the quarter ended December 31, up about 12% from a year earlier.
Excluding items, its per-share profit stood at $1.55 in the quarter, compared with $1.54 a year earlier.
RTX paid $3.57 billion in dividends in 2025, up 11.1% from the previous year.
However, earlier this month President Donald Trump signed an executive order linking share buybacks, dividends and executive compensation to weapons delivery schedules, a move that could add uncertainty around future capital returns.
He singled out Raytheon, warning the unit's government contracts could be at risk if it failed to curb stock buybacks.
(Reporting by Aishwarya Jain in Bengaluru; Editing by Krishna Chandra Eluri)
