Textron Reports 22% Aviation Revenue Growth, Plans $786M Industrial Spin-Off
TXT•Textron delivered Q1 2026 net income of $1.25 per share and adjusted EPS of $1.45, up from $1.13 and $1.28 a year ago, on a 22% rise in Aviation revenues to $1.5B. It plans to separate its $786M Industrial segment via sale or tax-free spin-off to sharpen aerospace and defense focus.
1. Strong Q1 2026 Earnings and Shareholder Returns
Textron reported first-quarter net income of $1.25 per share and adjusted EPS of $1.45, up 11% and 13% year-over-year, driven by double-digit revenue growth. Net cash used by operations improved to $107 million, and the company returned $168 million to shareholders through share repurchases.
2. Segment Results Highlight Aviation and Bell Growth
Aviation revenues climbed 22% to $1.5 billion with deliveries of 37 jets and 35 turboprops, lifting backlog to $8.0 billion. Bell posted $1.1 billion in revenue, up 9% on higher military volume, while Systems grew revenues 13% to $338 million. Industrial revenues edged down 1% to $786 million but saw profit rise to $40 million.
3. Plans to Separate Industrial Segment
Textron intends to spin off or sell its $786 million Industrial segment to enhance strategic and operational focus on its core aerospace and defense businesses. The company is evaluating multiple separation options without a set timeline, aiming to unlock long-term value for stakeholders.
