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Segment Financial Data
 9 Months Ended
Sep. 30, 2025
Segment Reporting [Abstract]  
Segment Financial Data
Note 18: Segment Financial Data
Our operations, for the periods presented herein, are classified into three principal segments: Collins, Pratt & Whitney, and Raytheon. Our segments are generally based on the management structure of the businesses and the grouping of similar operating companies, where each management organization has general operating autonomy over diversified products and services.
RTX’s chief operating decision maker (CODM) is our Chairman and Chief Executive Officer. The CODM uses segment operating profit as a profitability measure to assess actual and forecasted segment performance to make decisions regarding incentive compensation and the allocation of capital and other investments. Total sales and operating profit by segment include inter-segment sales which are generally recorded at cost-plus a specified fee or at a negotiated fixed price. These pricing arrangements may result in margins different than what the purchasing segment realizes on the ultimate third-party sale.
We present a FAS/CAS operating adjustment outside of segment results, which represents the difference between the service cost component of our pension and PRB expense under the Financial Accounting Standards (FAS) requirements of U.S. Generally Accepted Accounting Principles (GAAP) and our pension and PRB expense under U.S. government Cost Accounting Standards (CAS) primarily related to our Raytheon segment. While the ultimate liability for pension and PRB costs under FAS and CAS is similar, the pattern of cost recognition is different. Over time, we generally expect to recover the related Raytheon pension and PRB liabilities through the pricing of our products and services to the U.S. government. Collins and Pratt & Whitney generally record pension and PRB expense on a FAS basis.
Acquisition accounting adjustments include the amortization of acquired intangible assets related to acquisitions, the amortization of the property, plant, and equipment fair value adjustment acquired through acquisitions, the amortization of customer contractual obligations related to loss making or below market contracts acquired, and goodwill impairment, if applicable. These adjustments are not considered part of management’s evaluation of segment results.
Results for the quarters ended September 30, 2025 and 2024 are as follows:
2025
(dollars in millions)Net SalesResearch and Development
Other Segment Items (1)
Operating ProfitOperating Profit Margin
Collins Aerospace$7,621 $(307)$(6,054)$1,260 16.5 %
Pratt & Whitney8,423 (267)(7,405)751 8.9 %
Raytheon7,045 (115)(6,071)859 12.2 %
Total segment23,089 $(689)$(19,530)2,870 12.4 %
Eliminations and other (2)
(611)(14)
Corporate expenses and other unallocated items— (25)
FAS/CAS operating adjustment— 199 
Acquisition accounting adjustments— (507)
Consolidated$22,478 $2,523 11.2 %
(1)    Includes Cost of sales, Selling, general, and administrative expenses, and Other income (expense), net.
(2)    Includes the operating results of certain smaller operations.
2024
(dollars in millions)Net SalesResearch and Development
Other Segment Items (1)
Operating ProfitOperating Profit Margin
Collins Aerospace$7,075 $(369)$(5,644)$1,062 15.0 %
Pratt & Whitney7,239 (257)(6,425)557 7.7 %
Raytheon6,386 (125)(5,614)647 10.1 %
Total segment20,700 $(751)$(17,683)2,266 10.9 %
Eliminations and other (2)
(611)(14)
Corporate expenses and other unallocated items— 100 
FAS/CAS operating adjustment— 210 
Acquisition accounting adjustments— (534)
Consolidated$20,089 $2,028 10.1 %
(1)    Includes Cost of sales, Selling, general, and administrative expenses, and Other income (expense), net.
(2)    Includes the operating results of certain smaller operations.

Results for the nine months ended September 30, 2025 and 2024 are as follows:
2025
(dollars in millions)Net SalesResearch and Development
Other Segment Items (1)
Operating ProfitOperating Profit Margin
Collins Aerospace$22,460 $(948)$(17,991)$3,521 15.7 %
Pratt & Whitney23,420 (746)(20,851)1,823 7.8 %
Raytheon20,386 (334)(17,710)2,342 11.5 %
Total segment66,266 $(2,028)$(56,552)7,686 11.6 %
Eliminations and other (2)
(1,901)22 
Corporate expenses and other unallocated items— (110)
FAS/CAS operating adjustment— 570 
Acquisition accounting adjustments— (1,464)
Consolidated$64,365 $6,704 10.4 %
(1)    Includes Cost of sales, Selling, general, and administrative expenses, and Other income (expense), net.
(2)    Includes the operating results of certain smaller operations.
2024
(dollars in millions)Net SalesResearch and Development
Other Segment Items (1)
Operating ProfitOperating Profit Margin
Collins Aerospace$20,747 $(1,036)$(16,682)$3,029 14.6 %
Pratt & Whitney20,497 (800)(18,186)1,511 7.4 %
Raytheon (3)
19,556 (294)(17,492)1,770 9.1 %
Total segment60,800 $(2,130)$(52,360)6,310 10.4 %
Eliminations and other (2)
(1,685)(55)
Corporate expenses and other unallocated items (4)
— (926)
FAS/CAS operating adjustment— 636 
Acquisition accounting adjustments— (1,538)
Consolidated$59,115 $4,427 7.5 %
(1)    Includes Cost of sales, Selling, general, and administrative expenses, and Other income (expense), net.
(2)    Includes the operating results of certain smaller operations.
(3)    Operating Profit and Margin includes a $0.6 billion charge in the second quarter of 2024 related to the Raytheon Contract Termination and a $0.4 billion gain, net of transaction and other related costs, in the first quarter of 2024 related to the sale of our CIS business. See “Note 5: Changes in Contract Estimates at Completion” and “Note 2: Acquisitions and Dispositions,” respectively, for additional information.
(4)    Includes a $0.9 billion charge in the second quarter of 2024 related to the Resolution of Certain Legal Matters.
Capital Expenditures and Depreciation and Amortization segment information for the quarters ended September 30, 2025 and 2024 are as follows:
 Capital ExpendituresDepreciation & Amortization
(dollars in millions)2025202420252024
Collins Aerospace$191 $165 $215 $197 
Pratt & Whitney236 218 189 196 
Raytheon128 142 138 128 
Total segment555 525 542 521 
Corporate, eliminations, and other59 27 23 20 
Acquisition accounting adjustments526 553 
Consolidated$614 $552 $1,091 $1,094 
Capital Expenditures and Depreciation and Amortization segment information for the nine months ended September 30, 2025 and 2024 are as follows:
 Capital ExpendituresDepreciation & Amortization
(dollars in millions)2025202420252024
Collins Aerospace$474 $437 $652 $607 
Pratt & Whitney568 564 577 581
Raytheon487 478 404 380
Total segment1,529 1,479 1,633 1,568 
Corporate, eliminations, and other128 77 65 59
Acquisition accounting adjustments1,521 1,598 
Consolidated$1,657 $1,556 $3,219 $3,225 
Total assets by segment are as follows:
(dollars in millions)September 30, 2025December 31, 2024
Collins Aerospace (1)
$72,292 $72,372 
Pratt & Whitney (1)
50,082 44,307 
Raytheon (1)
44,983 44,936 
Total segment167,357 161,615 
Corporate, eliminations, and other1,315 1,246 
Consolidated$168,672 $162,861 
(1)    Total assets include acquired intangible assets and the property, plant, and equipment fair value adjustment. Related amortization expense is included in Acquisition accounting adjustments.
We disaggregate our contracts from customers by geographic region based on customer location, by type of customer, and by sales type. Our geographic region based on customer location uses end user customer location where known or practical to determine, or in instances where the end user customer is not known or not practical to determine, uses “ship to” location as the customer location. In addition, for our Raytheon segment, we disaggregate our contracts from customers by contract type. We believe these categories best depict how the nature, amount, timing, and uncertainty of our revenue and cash flows are affected by economic factors.
Segment sales disaggregated by geographic region based on customer location for the quarters ended September 30, 2025 and 2024 are as follows:
20252024
(dollars in millions)Collins AerospacePratt & WhitneyRaytheonOtherTotalCollins AerospacePratt & WhitneyRaytheonOtherTotal
United States$3,631 $3,198 $4,858 $47 $11,734 $3,401 $3,346 $4,615 $49 $11,411 
Europe1,690 2,227 1,306 2 5,225 1,611 1,535 973 1 4,120 
Asia Pacific1,001 2,003 561 2 3,567 825 1,449 515 — 2,789 
Middle East and North Africa291 215 226 — 732 236 179 213 — 628 
Other regions387 781 52 — 1,220 380 730 31 — 1,141 
Consolidated net sales7,000 8,424 7,003 51 22,478 6,453 7,239 6,347 50 20,089 
Inter-segment sales621 (1)42 (662)— 622 — 39 (661)— 
Business segment sales$7,621 $8,423 $7,045 $(611)$22,478 $7,075 $7,239 $6,386 $(611)$20,089 
Segment sales disaggregated by geographic region for the nine months ended September 30, 2025 and 2024 are as follows:
20252024
(dollars in millions)Collins AerospacePratt & WhitneyRaytheonOtherTotalCollins AerospacePratt & WhitneyRaytheonOtherTotal
United States$10,493 $9,876 $14,214 $154 $34,737 $10,128 $9,629 $14,511 $129 $34,397 
Europe5,170 5,605 3,065 3 13,843 4,871 4,612 2,056 3 11,542 
Asia Pacific2,761 5,114 1,692 2 9,569 2,296 3,977 1,603 1 7,877 
Middle East and North Africa801 540 1,143 — 2,484 612 489 1,167 — 2,268 
Other regions1,291 2,285 156 — 3,732 1,131 1,789 111 — 3,031 
Consolidated net sales20,516 23,420 20,270 159 64,365 19,038 20,496 19,448 133 59,115 
Inter-segment sales1,944 — 116 (2,060)— 1,709 1 108 (1,818)— 
Business segment sales$22,460 $23,420 $20,386 $(1,901)$64,365 $20,747 $20,497 $19,556 $(1,685)$59,115 
Segment sales disaggregated by type of customer for the quarters ended September 30, 2025 and 2024 are as follows:
20252024
(dollars in millions)Collins AerospacePratt & WhitneyRaytheonOtherTotalCollins Aerospace Pratt & WhitneyRaytheonOtherTotal
Sales to the U.S. government (1)
$1,766 $1,759 $4,834 $50 $8,409 $1,757 $1,595 $4,595 $49 $7,996 
Foreign military sales through the U.S. government141 607 1,119 — 1,867 85 433 984 — 1,502 
Foreign government direct commercial sales264 188 1,025 — 1,477 319 196 702 1 1,218 
Commercial aerospace and other commercial sales4,829 5,870 25 1 10,725 4,292 5,015 66 — 9,373 
Consolidated net sales7,000 8,424 7,003 51 22,478 6,453 7,239 6,347 50 20,089 
Inter-segment sales621 (1)42 (662)— 622 — 39 (661)— 
Business segment sales$7,621 $8,423 $7,045 $(611)$22,478 $7,075 $7,239 $6,386 $(611)$20,089 
(1)    Excludes foreign military sales through the U.S. government.
Segment sales disaggregated by type of customer for the nine months ended September 30, 2025 and 2024 are as follows:
20252024
(dollars in millions)Collins AerospacePratt & WhitneyRaytheonOtherTotalCollins AerospacePratt & WhitneyRaytheonOtherTotal
Sales to the U.S. government (1)
$5,277 $4,814 $14,169 $154 $24,414 $4,951 $4,664 $14,432 $128 $24,175 
Foreign military sales through the U.S. government361 1,390 3,222 — 4,973 248 1,129 2,643 — 4,020 
Foreign government direct commercial sales912 516 2,833 1 4,262 945 514 2,136 2 3,597 
Commercial aerospace and other commercial sales13,966 16,700 46 4 30,716 12,894 14,189 237 3 27,323 
Consolidated net sales20,516 23,420 20,270 159 64,365 19,038 20,496 19,448 133 59,115 
Inter-segment sales1,944 — 116 (2,060)— 1,709 1 108 (1,818)— 
Business segment sales$22,460 $23,420 $20,386 $(1,901)$64,365 $20,747 $20,497 $19,556 $(1,685)$59,115 
(1)    Excludes foreign military sales through the U.S. government.
Segment sales disaggregated by sales type for the quarters ended September 30, 2025 and 2024 are as follows:
20252024
(dollars in millions)Collins AerospacePratt & WhitneyRaytheonOtherTotalCollins AerospacePratt & WhitneyRaytheonOtherTotal
Products$5,441 $4,767 $6,013 $43 $16,264 $5,024 $4,119 $5,524 $41 $14,708 
Services1,559 3,657 990 8 6,214 1,429 3,120 823 9 5,381 
Consolidated net sales7,000 8,424 7,003 51 22,478 6,453 7,239 6,347 50 20,089 
Inter-segment sales621 (1)42 (662)— 622 — 39 (661)— 
Business segment sales$7,621 $8,423 $7,045 $(611)$22,478 $7,075 $7,239 $6,386 $(611)$20,089 
Segment sales disaggregated by sales type for the nine months ended September 30, 2025 and 2024 are as follows:
20252024
(dollars in millions)Collins AerospacePratt & WhitneyRaytheonOtherTotalCollins AerospacePratt & WhitneyRaytheonOtherTotal
Products $15,959 $12,922 $17,394 $131 $46,406 $14,884 $11,925 $16,648 $116 $43,573 
Services 4,557 10,498 2,876 28 17,959 4,154 8,571 2,800 17 15,542 
Consolidated net sales20,516 23,420 20,270 159 64,365 19,038 20,496 19,448 133 59,115 
Inter-segment sales1,944 — 116 (2,060)— 1,709 1 108 (1,818)— 
Business segment sales$22,460 $23,420 $20,386 $(1,901)$64,365 $20,747 $20,497 $19,556 $(1,685)$59,115 
Raytheon segment sales disaggregated by contract type for the quarters ended September 30, 2025 and 2024 are as follows:
(dollars in millions)20252024
Fixed-price$4,089 $3,409 
Cost-type2,914 2,938 
Consolidated net sales7,003 6,347 
Inter-segment sales42 39 
Business segment sales$7,045 $6,386 
Raytheon segment sales disaggregated by contract type for the nine months ended September 30, 2025 and 2024 are as follows:
(dollars in millions)20252024
Fixed-price$11,685 $10,020 
Cost-type8,585 9,428 
Consolidated net sales20,270 19,448 
Inter-segment sales116 108 
Business segment sales$20,386 $19,556