Overview

• RTX exceeded Q1 earnings expectations with $1.47 EPS on $20.31 billion in revenue, driven by strong jet repair and maintenance demand.
• The company warned that U.S. tariffs and reciprocal measures could reduce 2025 profits by $850 million, impacting its outlook despite reaffirmed guidance.
• Northrop Grumman reported a 47% profit drop due to a $477 million pre-tax loss from B-21 bomber production, leading to a sharp decline in its stock price.
• Lockheed Martin posted $7.28 EPS on $17.96 billion in revenue, outperforming forecasts thanks to strong F-35 fighter jet sales.
• Geopolitical tensions and record defense budgets continue to support contractor backlogs, but tariffs and supply chain challenges pose risks to margins.