$TXT

TEXTRON INC

CIK:0000217346|SEC Filings

Consolidated Statements of Operations (Unaudited) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jul. 04, 2026	Jun. 28, 2025	Jul. 04, 2026	Jun. 28, 2025
Revenues
Total revenues	$ 3,827	$ 3,716	$ 7,522	$ 7,022
Costs, expenses and other
Research and development costs	116	137	236	269
Selling and administrative expense	311	303	632	601
Interest expense, net	33	31	67	60
Special charges	0	4	0	4
Non-service components of pension and postretirement income, net	(70)	(67)	(140)	(133)
Total costs, expenses and other	3,523	3,415	6,951	6,480
Income before income taxes	304	301	571	542
Income tax expense	56	56	103	90
Net income	$ 248	$ 245	$ 468	$ 452
Earnings per share
Basic (in dollars per share)	$ 1.43	$ 1.36	$ 2.69	$ 2.49
Diluted (in dollars per share)	$ 1.42	$ 1.35	$ 2.67	$ 2.48
Finance group
Revenues
Total revenues	$ 14	$ 15	$ 30	$ 31
Product
Costs, expenses and other
Cost of products/services sold	2,759	2,630	5,383	4,907
Product \| Manufacturing group
Revenues
Total revenues	3,321	3,197	6,478	5,968
Service
Costs, expenses and other
Cost of products/services sold	374	377	773	772
Service \| Manufacturing group
Revenues
Total revenues	$ 492	$ 504	$ 1,014	$ 1,023

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Millions	6 Months Ended
	Jul. 04, 2026	Jun. 28, 2025
Cash flows from operating activities
Net income	$ 468	$ 452
Non-cash items:
Depreciation and amortization	190	192
Deferred income taxes	82	(22)
Gain on business disposition	0	(4)
Other, net	69	73
Changes in assets and liabilities:
Accounts receivable, net	(96)	54
Inventories	(446)	(284)
Other assets	(29)	(70)
Accounts payable	93	163
Other liabilities	(88)	(200)
Income taxes, net	20	46
Pension, net	(121)	(117)
Captive finance receivables, net	46	(26)
Other operating activities, net	(1)	7
Net cash provided by operating activities of continuing operations	187	264
Net cash used in operating activities of discontinued operations	0	(1)
Net cash provided by operating activities	187	263
Cash flows from investing activities
Capital expenditures	(228)	(134)
Net proceeds from corporate-owned life insurance policies	3	57
Net proceeds from business disposition	0	16
Proceeds from sale of property, plant and equipment	6	9
Finance receivables repaid	13	17
Finance receivables originated	(15)	(21)
Proceeds from the disposition of non-captive assets	24	59
Other investing activities, net	4	14
Net cash provided by (used in) investing activities	(193)	17
Cash flows from financing activities
Proceeds from issuance of debt	0	495
Principal payments on long-term debt and nonrecourse debt	(75)	(364)
Purchases of Textron common stock	(377)	(429)
Proceeds from stock options exercised	61	10
Dividends paid	(7)	(7)
Other financing activities, net	(11)	(15)
Net cash used in financing activities	(409)	(310)
Effect of exchange rate changes on cash and equivalents	(4)	23
Net increase (decrease) in cash and equivalents	(419)	(7)
Cash and equivalents at beginning of period	2,025	1,441
Cash and equivalents at end of period	$ 1,606	$ 1,434

Consolidated Balance Sheets (Unaudited) - USD ($) shares in Thousands, $ in Millions	Jul. 04, 2026	Jan. 03, 2026
Assets
Inventories	$ 4,720	$ 4,278
Finance receivables, net	524	574
Total assets	18,134	18,129
Liabilities
Total liabilities	10,080	10,254
Shareholders’ equity
Common stock	22	22
Capital surplus	2,126	1,995
Treasury stock	(434)	(55)
Retained earnings	6,245	5,784
Accumulated other comprehensive income	95	129
Total shareholders’ equity	8,054	7,875
Total liabilities and shareholders’ equity	$ 18,134	$ 18,129
Common shares outstanding (in shares)	171,937	174,310
Manufacturing group
Assets
Cash and equivalents	$ 1,436	$ 1,940
Accounts receivable, net	916	823
Inventories	4,720	4,278
Other current assets	909	872
Total current assets	7,981	7,913
Property, plant and equipment, less accumulated depreciation and amortization of $5,890 and $5,784, respectively	2,570	2,590
Goodwill	2,312	2,321
Other assets	4,572	4,628
Cash and equivalents	1,436	1,940
Total assets	17,435	17,452
Liabilities
Current portion of long-term debt	355	5
Accounts payable	1,215	1,185
Other current liabilities	3,092	3,163
Total current liabilities	4,662	4,353
Other liabilities	1,918	1,980
Long-term debt	3,111	3,534
Total liabilities	9,691	9,867
Finance group
Assets
Cash and equivalents	170	85
Cash and equivalents	170	85
Finance receivables, net	524	574
Other assets	5	18
Total assets	699	677
Liabilities
Other liabilities	50	48
Debt	339	339
Total liabilities	$ 389	$ 387