RTX Soars to Strong Q1 2026 Performance: $22.1B in Adjusted Sales, Record Backlog of $271B
RTX, the leading provider of technology and services for the commercial, defense, and space industries, has kicked off the year on a high note with its first quarter (Q1) 2026 results. The company delivered a strong performance, driven by continued execution enabled by its core operating system and a consistent focus on productivity across RTX.
Adjusted sales reached $22.1 billion, representing a 10% organic growth, with increases seen across all three channels. Adjusted earnings per share (EPS) of $1.78 was up 21% year-over-year, driven by a 14% growth in segment operating profit. Free cash flow of $1.3 billion marked a solid start to the year and a significant increase from Q1 last year.
On the orders front, demand for RTX's commercial and defense products and services remains robust. The company's book-to-bill ratio stood at 1.14x in the quarter, with a record backlog of $271 billion – up 25% year-over-year. This growth was fueled by strong commercial and defense awards, including notable GTF wins such as Vietjet Air selecting the engine to power an additional 44 aircraft and Finnair announcing their intention to purchase up to 46 GTF-powered Embraer E2 aircraft.
In the defense segment, RTX saw significant awards across all three segments. The company's Pratt subsidiary was awarded over $3 billion for F-135 Lot 19 production, while Collins booked close to $3 billion of awards, including $1.7 billion for mission systems capabilities and $400 million for avionics equipment supporting multiple platforms. Raytheon, meanwhile, secured $6.6 billion of awards in the quarter, including over $600 million to supply the Netherlands with Patriot equipment and over $400 million from the U.S. Army for lower-tier air and missile defense sensors.
RTX is also working closely with the Department of War to accelerate munitions production, a move that has been hailed as a significant step forward in the department's transformation initiative. The company signed five landmark framework agreements with the department for critical munitions, including Tomahawk, AMRAAM, and the Standard Missile family. These agreements would provide firm demand signals for RTX and its suppliers to invest in ramp production well above existing rates over the next decade.
The operating environment is dynamic right now, but the underlying demand for RTX's OE products and aftermarket services remains durable. With a strong start to the year under its belt, RTX is poised to make significant additional investments going forward to advance production capabilities and add new manufacturing lines to support these agreements.
