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Worth notingMarket eventTue, Oct 202 min read
Demand spans new aircraft equipment, aftermarket services and defense, supporting suppliers’ prospects—but orders still need to become deliveries.
Aerospace and defense company RTX reported third-quarter 2026 results on October 20: adjusted sales rose 11% from a year earlier to $25 billion, and adjusted earnings per share increased 33% to $2.26. “Adjusted” means the company excludes certain items when calculating these results.[1][2]
RTX raised its 2026 adjusted sales forecast to $97 billion–$97.5 billion from $95 billion–$96 billion. It also increased its forecasts for adjusted earnings per share and free cash flow—the cash generated by operations after capital spending.[2][3]
Growth was not confined to one source of demand: RTX's commercial original-equipment business, which supplies equipment for newly built aircraft, its aftermarket business, which supplies parts and services for aircraft already flying, and its defense businesses all grew.[1] That gives RTX revenue from new aircraft production, fleet maintenance and defense procurement; if those needs persist, component suppliers could receive more work, although the results do not establish equal growth across competitors.[1]
More than $81 billion in new commercial and defense awards during the quarter lifted the backlog to a record $340 billion—the value of work still to be completed, not revenue already earned.[4] That larger order book supports future production and supplier purchases, but turning it into revenue, profit and cash still depends on delivery timing and cost control.[4][3]
Growth in both RTX's new-aircraft equipment and aftermarket businesses supports demand for companies supplying it with components. More supplier orders depend on those production and service needs continuing; this is not evidence that the entire industry is growing at the same pace.[1]
RTX's Raytheon business booked $59 billion in defense awards during the quarter, expanding potential work for suppliers on those programs. Their benefit still depends on programs moving forward and deliveries taking place; awards do not immediately become sales.[5]