Textron reports higher profit, revenue in 4Q

THE ACQUISITION of planemaker Beechcraft again boosted profit and revenue for Textron Inc. / COURTESY BEECHCRAFT CORP.
THE ACQUISITION of planemaker Beechcraft again boosted profit and revenue for Textron Inc. / COURTESY BEECHCRAFT CORP.

PROVIDENCE – The acquisition of planemaker Beechcraft again boosted profit and revenue for Textron Inc.
Net income rose 27 percent in the fourth quarter to $212 million, or 76 cents per share, for the diversified manufacturer, compared with $167 million, or 60 cents a share, a year earlier, Textron reported on Wednesday.
Textron also had a 16.8 percent increase in revenue to $4.1 billion in the fourth quarter, compared with $3.5 billion in the fourth quarter 2013.
Beechcraft, acquired in March 2014, contributed $556 million to the revenue increase, the company stated in a news release.
Textron’s brands include Bell Helicopter, Cessna, Hawker, Jacobsen, Kautex, Lycoming, E-Z-GO and Greenlee.
“Overall, we had a strong fourth quarter, with double-digit revenue growth at Textron Aviation, Textron Systems and Industrial,” Textron Chairman and CEO Scott C. Donnelly said in a statement. “Operationally, we achieved year-over-year margin improvement in the quarter at Textron Aviation, Bell and Industrial and solid cash generation across all of our businesses.”?
Donnelly said 2014 was “an important year as we made significant investments in both acquisitions and new product development to support the long-term growth of our businesses. Our outlook for 2015 reflects the early benefits of those actions, and we intend to continue making investments to support ongoing growth and create long-term shareholder value.”
Textron’s Textron Aviation segment delivered 55 new jets in the fourth quarter, a decrease of 62 jets in the previous year’s quarter. Textron Aviation had nearly 65 percent revenue growth in the fourth quarter to $1.5 billion, and nearly 300 percent growth in profit to $130 million. The company said the increase reflects improved performance, including the Beechcraft acquisition.
Bell Helicopter revenue, however, decreased 22 percent to $1.1 billion in the fourth quarter, while profit dropped 18 percent to $146 million. The company blamed the result of lower V-22 and commercial deliveries on the revenue decrease.
Textron Systems saw revenue increase $212 million, or 52 percent, to $621 million, and profit increase 25 percent to $50 million. The industrial division had a revenue increase of 12 percent to $862 million, and profit increase of 24 percent to $67 million.
For the year, Textron reported profit of $600 million, or $2.15 per share, compared with $498 million, or $1.75 per share, a 20 percent increase.
Revenue in 2014 totaled $13.9 billion, a 15 percent increase from $12.1 billion in 2013.
Textron is forecasting 2015 revenue at approximately $14.4 billion and earnings per share ranging from $2.30 to $2.50.

No posts to display