United Technologies Corporation Reports Unaudited Consolidated Earnings Results for the Fourth Quarter and Year Ended December 31, 2016; Provides Earnings Guidance for the First Quarter and Full Year of 2017
January 25, 2017 at 05:25 pm IST
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United Technologies Corporation reported unaudited consolidated earnings results for the fourth quarter and year ended December 31, 2016. For the quarter, the company reported net sales of $14,659 million against $14,300 million a year ago. Operating profit was $1,639 million against $392 million a year ago. Income from continuing operations before income taxes was $1,273 million against $186 million a year ago. Income from continuing operations was $1,124 million against loss from continuing operations of $177 million a year ago. Income from continuing operations attributable to common shareowners was $1,024 million or $1.26 per diluted share against loss from continuing operations attributable to common shareowners of $256 million or $0.30 per diluted share a year ago. Net income attributable to common shareowners was $1,013 million against $3,278 million a year ago. Adjusted net sales were $14,659 million against $14,652 million a year ago. Adjusted income from continuing operations attributable to common shareowners was $1,270 million against $1,298 million a year ago. Adjusted diluted earnings per share from continuing operations were $1.56 against $1.53 per share a year ago. Adjusted consolidated operating profit was $2,160 million against $2,155 million a year ago. Net cash flows provided by operating activities of continuing operations were $1,845 million against $2,703 million a year ago. Capital expenditures were $656 million against $608 million a year ago. Free cash flow from continuing operations was $1,189 million against $2,095 million a year ago.
For the year, the company reported net sales of $57,244 million against $56,098 million a year ago. Operating profit was $8,172 million against $7,291 million a year ago. Income from continuing operations before income taxes was $7,133 million against $6,467 million a year ago. Income from continuing operations was $5,436 million against $4,356 million a year ago. Income from continuing operations attributable to common shareowners was $5,065 million or $6.13 per diluted share against $3,996 million or $4.53 per diluted share a year ago. Net income attributable to common shareowners was $5,055 million against $7,608 million a year ago. Adjusted net sales were $57,428 million against $56,450 million a year ago. Adjusted income from continuing operations attributable to common shareowners was $5,460 million against $5,563 million a year ago. Adjusted diluted earnings per share from continuing operations were $6.61 against $6.30 per share a year ago. Adjusted consolidated operating profit was $9,012 million against $9,133 million a year ago. Net cash flows provided by operating activities of continuing operations were $6,412 million against $6,755 million a year ago. Capital expenditures were $1,699 million against $1,652 million a year ago. Free cash flow from continuing operations was $4,713 million against $5,103 million a year ago.
For the year 2017, the company expects adjusted EPS of $6.30 to $6.60 on $57.5 to $59 billion. The company expects free cash flow in the range of 90 to 100% of net income attributable to common shareowners.
The company also expect EPS for first quarter to be in the range of $1.35 to $1.40.
RTX Corporation (formerly Raytheon Technologies Corporation) is among the world's leading aeronautics and defense groups. Net sales (including intragroup) break down by sector of activity as follows:
- aerial navigation systems (29.3%; Collins Aerospace): manufacturing of electrical, electronical and mechanical systems for aircrafts (compressors, airplane control, etc.), civil and military helicopters, etc.;
- aeronautics (29.2%; Pratt & Whitney): design and manufacturing of civil and military aircraft engines, gas turbines, rocket engines and propulsion systems;
- missile systems, and integrated air and anti-missile defense systems (21.1%; Raytheon Missiles & Defense): design and manufacturing of weapons systems, missiles, munitions, projectiles, radars systems, control and monitoring equipment, communication, information, detection and imaging systems, etc. ;
- aerospace systems (20.4%; Raytheon Intelligence & Space): production of radars, airborne sensors, tactical airborne communications systems, software-defined radio solutions, advanced tactical networking systems, cryptographic systems, real-time sensor networking systems, etc.
Net sales break down by source of revenue between sales of products (76.7%) and services (24.3%).
Net sales are distributed geographically as follows: the United States (86.3%), Europe (5.8%), Asia/Pacific (2.7%), North Africa and Middle East (0.2%) and other (5%).
United Technologies Corporation Reports Unaudited Consolidated Earnings Results for the Fourth Quarter and Year Ended December 31, 2016; Provides Earnings Guidance for the First Quarter and Full Year of 2017