Textron Inc. FY25 (Jan year-end ending Jan 2026) revenue $14.80B (+8%); op income $1.25B (+46%); NI $921M (+12%); EPS $5.11 (+18%); adjusted EPS $6.10 FY / Q4 $1.73. Q4 revenue +16%; segment profit +34%. Textron Aviation: Q4 revenue $1.7B (+36%); FY $6B (+13%); segment profit $694M (+23%); backlog $7.7B. Bell: Q4 $1.3B (+11%); FY $4.3B (+20%); segment profit $363M; backlog $7.8B; MV-75 FLRAA program progress (engineering drawings, supplier contracts, manufacturing capacity). Textron Systems: Q4 $323M (+4%); FY $1.2B; segment profit $175M (+14%); backlog $3.3B; Ship to Shore Connector program. Industrial: Q4 $821M (-$48M); FY $3.2B; segment profit $145M; organic growth post powersports divestiture. eAviation: $27M / -$63M segment loss. Finance: $75M / $49M profit. CEO Lisa Atherton priorities: execution, portfolio focus, building resilience. FCF $884M; buyback $1.08B (-8% YoY); total debt $4.28B (+8%). FY26 guide: revenue ~$15.5B (+4.5%); adj EPS $6.40-$6.60; manufacturing cash flow before pension $700-$800M; Aviation ~$6.5B (+9%) margin 11-12%; Bell ~$4.4B low single-digit margin 8-9%; Systems ~$1.35B (+7%) margin 12-13%; Industrial ~$3.2B margin 4.5-5.5%; Finance ~$20M segment profit. Risks: Aviation cycle, MV-75 execution, defense budget cyclicality, Industrial competition (John Deere, Polaris, BRP, Honda, Yamaha), eAviation losses, supply chain, pension funding.

Textron 2025-26: Aviation Backlog $7.7B, FY26 EPS $6.40-$6.60

FY25 revenue $14.80B (+8%); op income $1.25B (+46%); NI $921M (+12%); EPS $5.11 (+18%); adjusted EPS $6.10 (FY); Q4 adj EPS $1.73. Q4 revenue +16%; segment profit +34%. Textron Aviation: Q4 revenue $1.7B (+36%); FY $6B (+13%); segment profit $694M (+23%); backlog $7.7B. Bell: Q4 $1.3B (+11%); FY $4.3B (+20%); segment profit $363M; backlog $7.8B; MV-75 program progress (engineering drawings, supplier contracts, manufacturing capacity). Textron Systems: Q4 $323M (+4%); FY $1.2B; segment profit $175M (+14%); backlog $3.3B; Ship to Shore Connector program. Industrial: Q4 $821M (-$48M); FY $3.2B; segment profit $145M; organic growth post powersports divestiture. eAviation: $27M revenue / $63M segment loss. Finance: $75M revenue / $49M profit. CEO Lisa Atherton priorities: execution, portfolio focus, building resilience. FCF $884M; buyback $1.08B; total debt $4.28B (+8%). FY26 guide: revenue ~$15.5B (+4.5%); adj EPS $6.40-$6.60; manufacturing cash flow before pension $700-$800M; Aviation ~$6.5B (+9%) margin 11-12%; Bell ~$4.4B low single-digit margin 8-9%; Systems ~$1.35B (+7%) margin 12-13%; Industrial ~$3.2B margin 4.5-5.5%; Finance ~$20M segment profit.

Key takeaways

Aviation Q4 +36% / FY +13% with $7.7B backlog — Cessna + Beechcraft cycle peak compounding. Textron Aviation (Cessna jets + Beechcraft turboprops + piston aircraft + service) delivered Q4 revenue $1.7B (+36% YoY) and FY $6B (+13%); segment profit $694M (+23%). Backlog of $7.7B at year-end provides multi-year delivery visibility. The cycle drivers: business jet demand from corporate fleet upgrades + fractional ownership platforms (NetJets, FlexJet) + emerging international demand + Citation lineup refresh. FY26 Aviation guide ~$6.5B (+9%) reflects backlog-supported delivery cadence with continued aftermarket parts/service growth.
Bell MV-75 Future Long Range Assault Aircraft program progress + $7.8B backlog — multi-year defense compounder. Bell, Textron's helicopter + tiltrotor business, delivered Q4 +11% / FY +20% revenue with $7.8B backlog. Multi-year MV-75 (Future Long Range Assault Aircraft / FLRAA) program made meaningful progress: engineering drawings, supplier contracts, manufacturing capacity. MV-75 is the Army's replacement for Black Hawk + Apache aerial assault aircraft — a multi-decade program worth tens of billions across the lifecycle. Combined with V-22 Osprey ongoing + commercial helicopter portfolio, Bell is in multi-year structural growth mode driven by the post-2022 European rearmament + US defense modernization environment.
FY26 guide: revenue $15.5B (+4.5%); adj EPS $6.40-$6.60 (+5-8%); cash flow $700-$800M — multi-segment growth + cash conversion. From FY25 adj EPS $6.10 → FY26 midpoint $6.50 = +6.6% growth. Revenue $15.5B (+4.5%) supported by: Aviation +9% (delivery cadence), Bell low single-digit (MV-75 ramp + commercial), Systems +7% (Ship to Shore + military), Industrial flat ($3.2B). Manufacturing cash flow before pension contributions $700-$800M provides multi-year capital return capacity.
Textron Systems +14% segment profit; Ship to Shore Connector program — focused defense growth pillar. Textron Systems (unmanned systems + electronic warfare + air-launched effects + Ship to Shore Connector + UH-72 Lakota assembly) delivered FY segment profit $175M (+14%) on $1.2B revenue. The Ship to Shore Connector (SSC) is the Navy's amphibious landing craft program. FY26 Systems guide $1.35B (+7%) at 12-13% margin = highest-margin segment.
CEO Lisa Atherton priorities: execution, portfolio focus, resilience — strategic clarity from new leadership. Lisa Atherton (CEO since June 2025, prior Bell President) outlined priorities: (a) execution discipline, (b) portfolio focus (continued non-core / underperforming asset divestitures), (c) building resilience (capital allocation + talent + capacity investments). The priorities match the multi-year evolution: powersports divestiture FY25 (Industrial), eAviation continued investment / loss management ($63M segment loss FY25 on $27M revenue is meaningful), and aerospace + defense focus.

Business

Textron Inc. is a multi-segment industrial conglomerate with aerospace + defense + industrial portfolio:

Textron Aviation (~40% of revenue): Cessna business jets + Beechcraft turboprops + piston aircraft + service. ~$6B FY25 revenue. Backlog $7.7B. Growth driven by business jet cycle + fractional ownership + international.
Bell (~30% of revenue): Military helicopters (V-22 Osprey, MV-75 FLRAA) + commercial helicopters. ~$4.3B FY25 revenue. Backlog $7.8B. MV-75 multi-year program progressing.
Industrial (~20% of revenue): Specialized vehicles (golf cars, off-road, ground support equipment), powersports divested. ~$3.2B FY25 revenue. Lower-margin business; portfolio focus.
Textron Systems (~10% of revenue): Unmanned systems + electronic warfare + air-launched effects + Ship to Shore Connector. ~$1.2B FY25 revenue. Backlog $3.3B. Multi-year defense growth.
eAviation (<1%): Electric / hybrid / sustainable aviation development. $27M FY25 revenue; $63M segment loss (multi-year R&D phase).
Finance (<1%): Captive finance for aviation + Bell customers. $75M FY25 revenue; $49M segment profit.

Strategic moves FY25:

Q4 +16% revenue + 34% segment profit growth
Aviation Q4 +36% / FY +13%
Bell FY +20% revenue with MV-75 progress
Systems FY segment profit +14%
Industrial powersports business divested
Lisa Atherton appointed CEO (prior Bell President)
Aviation product portfolio certifications
Ship to Shore Connector program at Systems
Buyback $1.08B FY25 (-8% YoY)

FY25 financial performance

Metric (FY)	Jan-22	Dec-22	Dec-23	Dec-24	Jan-26 (FY25)
Revenue ($B)	12.38	12.87	13.68	13.70	14.80
Revenue YoY	n/a	+4%	+6%	+0%	+8%
Op income ($M)	864	883	1,053	855	1,249
Op margin	7.0%	6.9%	7.7%	6.2%	8.4%
Net income ($M)	746	861	921	824	921
Diluted EPS GAAP ($)	3.30	4.01	4.56	4.33	5.11
Adj EPS ($)	n/a	n/a	n/a	n/a	6.10
FCF ($M)	451	1,223	864	864	884
Capex ($M)	-317	-375	-402	-402	-384
Total debt ($B)	4.15	3.94	4.26	3.96	4.28
Buyback ($M)	-183	-921	-1,168	-1,168	-1,077
Dividends ($M)	-18	-18	-16	-16	-19

The earnings progression: revenue trajectory roughly flat at $12-14B before FY25 acceleration to $14.80B (+8%). Operating income inflected +46% in FY25 to $1.25B (margin 8.4% vs 6.2% FY24). The combination of Aviation backlog conversion + Bell MV-75 ramp + Systems growth + Industrial restructuring drove the FY25 inflection.

FCF $884M FY25 stable; buyback $1.08B (-8%) — meaningful capital return relative to ~$15B market cap. Total debt $4.28B (+8%) reflects financing flexibility.

Capital allocation

Capex: $-384M FY25 (-5% YoY).
Dividends: $-19M FY25 (small).
Buybacks: $-1.08B FY25 (-8% YoY).
Total capital return FY25: ~$1.10B.
Total debt: $4.28B (+8% YoY).
FCF: $884M FY25.
FY26 manufacturing cash flow before pension: $700M-$800M.

FY26 outlook (per Q4 FY25 call, 2026-01-28)

FY26 framework	Detail
Total revenue	~$15.5B (+4.5% YoY)
Adjusted EPS	$6.40 to $6.60 (+5-8%)
Manufacturing cash flow (before pension)	$700M to $800M
Aviation revenue	~$6.5B (+9%); margin 11-12%
Bell revenue	~$4.4B (low single-digit growth); margin 8-9%
Systems revenue	~$1.35B (+7%); margin 12-13%
Industrial revenue	~$3.2B; margin 4.5-5.5%
Finance segment profit	~$20M

Management noted continued execution: Aviation backlog conversion, Bell MV-75 ramp, Systems Ship to Shore + military growth, Industrial portfolio focus + organic growth, eAviation continued investment.

Key risks

Aviation cycle dependency. Business jet demand cyclical — sensitive to corporate confidence, GDP growth, fractional ownership demand, used aircraft inventory. Cycle reversal would compress Aviation segment.

Bell MV-75 program execution. Multi-decade FLRAA program requires multi-year execution: engineering, manufacturing, supply chain, customer acceptance. Any program delays / cost overruns affect Bell trajectory.

Defense budget cyclicality. Bell + Systems revenue depends on US DoD + foreign military sales. Multi-year budget cycles + appropriation timing matter.

Industrial competitive landscape. Industrial segment competes with John Deere, Polaris, BRP, Honda, Yamaha in subsets. Multi-region competitive intensity.

eAviation execution + losses. $63M segment loss on $27M revenue is meaningful. Multi-year R&D investment without clear path to profitability creates portfolio focus tension.

Powersports divestiture transition. Multi-quarter divestiture impact on Industrial revenue + earnings.

Manufacturing supply chain. Multi-region manufacturing requires supply chain reliability + cost optimization. Aviation engine + avionics supply matters.

Labor + talent retention. Engineering + manufacturing + technical talent multi-year competitive market.

Pension funding. Multi-billion pension obligations require ongoing funding. Manufacturing cash flow guide explicitly notes "before pension contributions" — pension drag matters.

Regulatory landscape. FAA + EASA + FAR + ITAR + foreign defense regulations create compliance overhead.

Geopolitical / FX. Multi-region operations expose Textron to FX + geopolitical dynamics.

Customer concentration in Bell. US Army + Marines + foreign militaries concentrate Bell revenue. Multi-program lifecycle dynamics.

Aviation aftermarket dynamics. Aftermarket parts + service growth depends on installed base + utilization.

M&A integration. Future portfolio actions (acquisitions / divestitures) carry integration / valuation risk.

Cybersecurity. Multi-region defense + manufacturing operations create cybersecurity attack surface.

Bottom line

Textron FY25 is the multi-segment growth + leadership transition + portfolio focus year: revenue $14.80B (+8%); op income $1.25B (+46%); NI $921M (+12%); EPS $5.11 (+18%); adj EPS $6.10 (FY) / Q4 $1.73. Q4 revenue +16%; segment profit +34%. Aviation Q4 $1.7B (+36%); FY $6B (+13%); segment profit $694M (+23%); backlog $7.7B. Bell Q4 $1.3B (+11%); FY $4.3B (+20%); segment profit $363M; backlog $7.8B; MV-75 progress. Systems Q4 $323M (+4%); FY $1.2B; segment profit $175M (+14%); backlog $3.3B. Industrial Q4 $821M (-$48M); FY $3.2B; segment profit $145M; powersports divested. eAviation $27M / -$63M; Finance $75M / $49M profit. Lisa Atherton CEO priorities: execution, portfolio focus, resilience. Buyback $1.08B; FCF $884M.

FY26 guide: revenue ~$15.5B (+4.5%); adj EPS $6.40-$6.60 (+5-8%); manufacturing cash flow before pension $700-$800M; Aviation ~$6.5B (+9%) margin 11-12%; Bell ~$4.4B low single-digit margin 8-9%; Systems ~$1.35B (+7%) margin 12-13%; Industrial ~$3.2B margin 4.5-5.5%; Finance ~$20M segment profit.

The risks are real — Aviation cycle dependency, Bell MV-75 program execution, defense budget cyclicality, Industrial competitive landscape (John Deere, Polaris, BRP, Honda, Yamaha), eAviation execution + losses, powersports divestiture transition, manufacturing supply chain, labor + talent retention, pension funding, regulatory landscape (FAA + EASA + ITAR), geopolitical / FX, customer concentration in Bell, Aviation aftermarket dynamics, M&A integration, cybersecurity.

But the structural thesis (multi-segment industrial conglomerate + Textron Aviation backlog $7.7B + Cessna + Beechcraft + Bell helicopter + tiltrotor backlog $7.8B + MV-75 FLRAA multi-decade program + Textron Systems backlog $3.3B + Ship to Shore Connector + military growth + Industrial portfolio focus + Lisa Atherton CEO leadership + FY26 +4.5% revenue + adj EPS +5-8% + manufacturing cash flow $700-$800M + Aviation +9% + Systems +7% + multi-year defense modernization + buyback $1.08B) is intact and FY25 confirms.

Quality multi-segment aerospace + defense + industrial compounder mid-cycle, with Aviation backlog visibility + Bell MV-75 multi-decade program + Systems defense growth + multi-year capital return + Lisa Atherton portfolio focus. The FY25 +8% revenue + +46% op income + adj EPS $6.10 + Aviation +13% with $7.7B backlog + Bell +20% with MV-75 progress + Systems +14% segment profit + Industrial divestiture + FY26 +4.5% revenue + adj EPS $6.40-$6.60 + manufacturing cash flow $700-$800M + buyback $1.08B creates one of the cleaner aerospace + defense + industrial compounding setups for investors seeking exposure to business jet cycle + military helicopter + FLRAA + Ship to Shore Connector + Industrial portfolio focus + multi-year capital return + leadership clarity. The conservative FY26 framework + multi-year backlog visibility + MV-75 ramp + Aviation cycle + Lisa Atherton priorities + buyback discipline provides multiple paths to outperformance over a multi-year horizon. Aviation cycle + MV-75 execution + defense budgets + eAviation losses + pension dynamics remain ongoing risks, but the multi-segment diversification + Aviation backlog + Bell + Systems + capital return + leadership focus support continued compounding through cycles.

Citations

Textron Inc. FY25 Form 10-K (filed February 2026, SEC EDGAR).
TXT Q4 FY25 earnings call, 2026-01-28 — Q4 revenue +16%; segment profit +34%; adj EPS $1.73; FY revenue +8%; segment profit +14%; adj EPS $6.10. Textron Aviation: Q4 revenue $1.7B (+36%); FY $6B (+13%); segment profit $694M (+23%); backlog $7.7B; product portfolio certifications. Bell: Q4 $1.3B (+11%); FY $4.3B (+20%); segment profit $363M; backlog $7.8B; MV-75 program progress (engineering drawings, supplier contracts, manufacturing capacity). Textron Systems: Q4 $323M (+4%); FY $1.2B; segment profit $175M (+14%); backlog $3.3B; Ship to Shore Connector program. Industrial: Q4 $821M (-$48M); FY $3.2B; segment profit $145M; organic growth post powersports divestiture. eAviation: $27M / -$63M segment loss. Finance: $75M / $49M profit. Lisa Atherton priorities: execution, portfolio focus, building resilience. FY26: revenue ~$15.5B (+4.5%); adj EPS $6.40-$6.60; manufacturing cash flow before pension $700-$800M; Aviation ~$6.5B (+9%) margin 11-12%; Bell ~$4.4B low single-digit margin 8-9%; Systems ~$1.35B (+7%) margin 12-13%; Industrial ~$3.2B margin 4.5-5.5%; Finance ~$20M segment profit.
TXT Q3 / Q2 / Q1 FY25 earnings calls — supporting Aviation backlog + Bell MV-75 + Systems trajectory + Industrial portfolio progression.
Internal financial_statements view (consolidated annual + cash flow + capital structure).

[TXT] Textron Thesis 2026: Aviation Backlog Strength and Defense Growth Sustain Earnings Guidance