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L3Harris Q2 Earnings and Revenues Beat Estimates, 2026 Outlook Raised
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Key Takeaways
L3Harris posted Q2 earnings of $3.13 per share, beating estimates by 11.8%.
Revenues rose 8.4% to $5.88 billion, driven by growth across all LHX segments.
L3Harris raised its 2026 EPS outlook to $11.80-$12 and revenues to $23.2-$23.7 billion.
L3Harris Technologies, Inc. (LHX - Free Report) reported second-quarter 2026 earnings (from continuing operations) of $3.13 per share, which outpaced the Zacks Consensus Estimate of $2.80 by 11.8%. The bottom line also increased 12.6% from the year-ago quarter’s $2.78.
LHX’s Total Revenues
L3Harris’ revenues totaled $5.88 billion, which topped the Zacks Consensus Estimate of $5.79 billion by 1.5%. The top line also improved 8.4% from the year-ago quarter’s $5.43 billion.
The year-over-year increase in the top line was driven by growth across all segments, reflecting new program ramp-up and strong execution against a record backlog.
L3Harris Technologies Inc Price, Consensus and EPS Surprise
Space & Mission Systems revenues increased 7% to $2.97 billion. The segment’s operating income edged up to $290 million from $289 million.
The operating margin declined 60 basis points to 9.8%. Improved program execution and a $23 million net gain from segment investments were outweighed by the absence of a $75 million asset-sale gain recognized in the prior-year quarter.
Communications & Spectrum Dominance revenues advanced 4% to $1.94 billion. Segment operating income climbed 14% to $522 million.
The operating margin expanded 230 basis points to 26.9%. Higher international volumes and a $16 million net segment investment gain supported profitability.
Missile Solutions revenues rose 14% to $1.05 billion. Operating income increased to $130 million from $116 million.
However, the operating margin contracted 20 basis points to 12.3% because the year-ago quarter included a favorable contract resolution.
Financial Position of LHX
As of July 3, 2026, L3Harris had $1.52 billion in cash and cash equivalents compared with $1.07 billion as of Jan. 2, 2026.
The long-term debt as of the same date was $9.18 billion compared with $10.44 billion as of Jan. 2, 2026.
The net cash provided by operating activities was $784 million during the first six months of 2026 compared with $598 million in the prior-year period.
LHX’s 2026 Guidance
L3Harris raised its 2026 revenue outlook to $23.2-$23.7 billion from $23-$23.5 billion. The Zacks Consensus Estimate for 2026 revenues is pegged at $23.55 billion, which is higher than the midpoint of the company’s guided range.
LHX now expects earnings of $11.80-$12 per share, up from its previous projection of $11.40-$11.60. The Zacks Consensus for 2026 earnings is pegged at $11.54 per share, which is lower than the company’s guided range.
It continues to anticipate adjusted free cash flow of $3 billion and $3.6 billion in operating cash flow.
Space & Mission Systems revenues are projected at nearly $11.7 billion, above the prior estimate of $11.5 billion. Communications & Spectrum Dominance revenues are expected to be about $8 billion, while Missile Solutions revenues are forecast at roughly $4.1 billion.
Northrop Grumman Corporation (NOC - Free Report) reported second-quarter 2026 adjusted earnings of $7.68 per share, which beat the Zacks Consensus Estimate of $6.84 by 12.3%. The bottom line, however, declined 5.8% from the year-ago quarter’s level of $8.15.
NOC’s total sales of $10.88 billion in the second quarter outperformed the Zacks Consensus Estimate of $10.80 billion by 0.7%. The top line also improved 5.1% from $10.35 billion reported in the year-ago quarter.
RTX Corporation’s (RTX - Free Report) second-quarter 2026 adjusted earnings per share (EPS) of $1.89 beat the Zacks Consensus Estimate of $1.66 by 13.9%. The bottom line improved 21.1% from the year-ago quarter’s level of $1.56.
Revenues rose 14.5% year over year to $24.71 billion and outpaced the consensus mark of $22.83 billion by 8.2%.
Textron Inc. (TXT - Free Report) reported second-quarter 2026 adjusted earnings of $1.62 per share, which surpassed the Zacks Consensus Estimate of $1.52 by 6.6%. The bottom line also rose 4.5% from $1.55 in the year-ago quarter.
The company reported total revenues of $3.83 billion, which beat the Zacks Consensus Estimate of $3.82 billion by 0.15%. The top line also increased 3% from the year-ago quarter’s level of $3.72 billion.
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L3Harris Q2 Earnings and Revenues Beat Estimates, 2026 Outlook Raised
Key Takeaways
L3Harris Technologies, Inc. (LHX - Free Report) reported second-quarter 2026 earnings (from continuing operations) of $3.13 per share, which outpaced the Zacks Consensus Estimate of $2.80 by 11.8%. The bottom line also increased 12.6% from the year-ago quarter’s $2.78.
LHX’s Total Revenues
L3Harris’ revenues totaled $5.88 billion, which topped the Zacks Consensus Estimate of $5.79 billion by 1.5%. The top line also improved 8.4% from the year-ago quarter’s $5.43 billion.
The year-over-year increase in the top line was driven by growth across all segments, reflecting new program ramp-up and strong execution against a record backlog.
L3Harris Technologies Inc Price, Consensus and EPS Surprise
L3Harris Technologies Inc price-consensus-eps-surprise-chart | L3Harris Technologies Inc Quote
LHX’s Segmental Performance
Space & Mission Systems revenues increased 7% to $2.97 billion. The segment’s operating income edged up to $290 million from $289 million.
The operating margin declined 60 basis points to 9.8%. Improved program execution and a $23 million net gain from segment investments were outweighed by the absence of a $75 million asset-sale gain recognized in the prior-year quarter.
Communications & Spectrum Dominance revenues advanced 4% to $1.94 billion. Segment operating income climbed 14% to $522 million.
The operating margin expanded 230 basis points to 26.9%. Higher international volumes and a $16 million net segment investment gain supported profitability.
Missile Solutions revenues rose 14% to $1.05 billion. Operating income increased to $130 million from $116 million.
However, the operating margin contracted 20 basis points to 12.3% because the year-ago quarter included a favorable contract resolution.
Financial Position of LHX
As of July 3, 2026, L3Harris had $1.52 billion in cash and cash equivalents compared with $1.07 billion as of Jan. 2, 2026.
The long-term debt as of the same date was $9.18 billion compared with $10.44 billion as of Jan. 2, 2026.
The net cash provided by operating activities was $784 million during the first six months of 2026 compared with $598 million in the prior-year period.
LHX’s 2026 Guidance
L3Harris raised its 2026 revenue outlook to $23.2-$23.7 billion from $23-$23.5 billion. The Zacks Consensus Estimate for 2026 revenues is pegged at $23.55 billion, which is higher than the midpoint of the company’s guided range.
LHX now expects earnings of $11.80-$12 per share, up from its previous projection of $11.40-$11.60. The Zacks Consensus for 2026 earnings is pegged at $11.54 per share, which is lower than the company’s guided range.
It continues to anticipate adjusted free cash flow of $3 billion and $3.6 billion in operating cash flow.
Space & Mission Systems revenues are projected at nearly $11.7 billion, above the prior estimate of $11.5 billion. Communications & Spectrum Dominance revenues are expected to be about $8 billion, while Missile Solutions revenues are forecast at roughly $4.1 billion.
LHX’s Zacks Rank
L3Harris currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Recent Defense Releases
Northrop Grumman Corporation (NOC - Free Report) reported second-quarter 2026 adjusted earnings of $7.68 per share, which beat the Zacks Consensus Estimate of $6.84 by 12.3%. The bottom line, however, declined 5.8% from the year-ago quarter’s level of $8.15.
NOC’s total sales of $10.88 billion in the second quarter outperformed the Zacks Consensus Estimate of $10.80 billion by 0.7%. The top line also improved 5.1% from $10.35 billion reported in the year-ago quarter.
RTX Corporation’s (RTX - Free Report) second-quarter 2026 adjusted earnings per share (EPS) of $1.89 beat the Zacks Consensus Estimate of $1.66 by 13.9%. The bottom line improved 21.1% from the year-ago quarter’s level of $1.56.
Revenues rose 14.5% year over year to $24.71 billion and outpaced the consensus mark of $22.83 billion by 8.2%.
Textron Inc. (TXT - Free Report) reported second-quarter 2026 adjusted earnings of $1.62 per share, which surpassed the Zacks Consensus Estimate of $1.52 by 6.6%. The bottom line also rose 4.5% from $1.55 in the year-ago quarter.
The company reported total revenues of $3.83 billion, which beat the Zacks Consensus Estimate of $3.82 billion by 0.15%. The top line also increased 3% from the year-ago quarter’s level of $3.72 billion.