On this page of StockholderLetter.com we present the latest annual shareholder letter from RTX Corp — ticker symbol RTX. Reading current and past RTX letters to shareholders can bring important insights into the investment thesis.

 •  3/10/2025 Letter Continued (Full PDF)
 •  3/13/2023 RTX Stockholder Letter
 •  3/11/2024 RTX Stockholder Letter
 •  More "Aerospace & Defense" Category Stockholder Letters
 •  RTX Benford's Law Stock Score = 94

RTX Shareholder/Stockholder Letter Transcript:

RTX
2024 Annual Report

By the numbers
2024 FINANCIALS1
SALES MIX
Dollars in billions,
except per share data
SALES BY TYPE
$80.8
Adjusted net sales1
Defense
54%
Commercial
Adjusted earnings
per share1
Defense
$7.7
$125B
$93B
SALES BY GEOGRAPHY
Research and
development2
$7.2
Cash flow
from operations
Dividends paid
per common share
46%
TOTAL BACKLOG
$5.73
$2.48
Commercial
United States
57%
Europe
20%
Asia Pacific
14%
Middle East and North Africa
4%
Other
5%
ABOUT RTX
With approximately 186,000 global employees, RTX pushes
the limits of technology and science to redefine how we connect
$218
Backlog
and protect our world. Through industry-leading businesses    
Collins Aerospace, Pratt & Whitney and Raytheon     we are
advancing aviation, engineering integrated defense systems,
and developing next-generation technology solutions and
manufacturing to help global customers address their most critical
needs. The company is headquartered in Arlington, Virginia.
To learn more, visit www.rtx.com.
1 Adjusted net sales and adjusted earnings per share are non-GAAP financial measures. For the corresponding measures calculated in accordance with generally accepted
accounting principles (GAAP) and a reconciliation of the differences between the non-GAAP and GAAP measures, please refer to the tables in this Annual Report.
2 Amounts include company- and customer-funded research and development.

Dear Shareowners,
At RTX, our team shows up every day
focused on executing for our customers
and delivering the solutions that make
the world safer and more connected.
This past year was a period of remarkable growth across
aerospace and defense. In commercial aerospace, air
travel has surged, fully rebounding from the impact of the
COVID-19 pandemic. On the defense side, the importance
of our contributions to national security has driven an
unprecedented demand for our products and solutions.
In 2024, we made strong progress on our operational
and financial goals by focusing on three strategic
priorities: executing on our commitments, innovating
for future growth and leveraging our breadth and scale.
Our $218 billion backlog reflects our industry-leading
businesses and the tremendous call for our capabilities
and offerings. Raytheon   s systems, like Patriot, National
Advanced Surface-to-Air Missile System (NASAMS), and
Upgraded Early Warning Radars are protecting more than
50 countries around the world. Collins Aerospace has an
installed base of $170 billion, including avionics, power
systems and advanced structures on more than 115,000
aircraft. And Pratt & Whitney has more than 90,000 engines
in service powering aircraft across the commercial and
defense sectors.
Throughout the year, we demonstrated continued
strength in our operations by delivering adjusted net sales*
of $80.8 billion and adjusted earnings per share* of $5.73.
We generated $7.2 billion in cash flow from operations,
which resulted in $4.5 billion in free cash flow* in 2024.
Investing for future growth
To drive future growth and innovation, in 2024 we
invested $10.3 billion in company- and customer-funded
research and development and in capital expenditures.
We advanced our technology roadmaps in areas such
as next generation propulsion, hypersonics, advanced
materials and artificial intelligence. And in doing so we
have showcased our ability to rapidly and effectively
integrate software and hardware technology while
simultaneously increasing capacity and accelerating
delivery across established and new programs.
Executing on our commitments
In 2025, Pratt & Whitney is set to deliver the first production
engines of the GTF Advantage, featuring greater thrust
and better fuel efficiency. We also invested more than
$500 million in facilities supporting critical defense
programs, including breaking ground to increase by
50 percent the factory space at our Redstone Raytheon
Missile Integration Facility in Huntsville, Alabama. In
addition, we enhanced capabilities of our Coyote effector
against complex drone targets, which we designed,
produced and fielded in less than 18 months. And we
simultaneously optimized how we ramp up output, with
Raytheon planning to increase Coyote production by
93 percent in 2025 and double its current production
capacity by 2027.
Leveraging our breadth and scale
All of this is possible because of the breadth and scale of
our capabilities across our businesses, which allows us to
develop and deploy best-in-class methods for designing,
manufacturing and servicing our products. Meeting our
commitments to customers is the foundation of our success.
I   m proud to be part of a team that   s united by our values    
safety, trust, respect, accountability, collaboration and
innovation     and driven by our mission to connect and
protect the world.
I want to thank our employees, whose uncommon
dedication to our mission and our customers has made
all our achievements possible.
Christopher T. Calio
President, Chief Executive Officer
* See pages 7 and 8 for additional information regarding non-GAAP financial measures.
RTX 2024 ANNUAL REPORT
1

Business highlights
Collins Aerospace is a leader in integrated and intelligent solutions
for the global aerospace and defense industries.
   Collins demonstrated 80 kilowatts of cooling capacity across a range
of operating conditions for its Enhanced Power and Cooling System.
EPACS will more than double the current F-35   s cooling capability,
supporting modernization and future upgrades.
   Collins signed a 10-year contract with Air Europa to provide comprehensive
maintenance, repair and overhaul (MRO) services for the airline   s fleet
of 787 aircraft. This includes onsite support for a number of 787 systems,
including electric power, environmental control, avionics, lighting and
cargo. Collins will also provide predictive health maintenance through its
Ascentia software platform and expand its pool of 787 spares in Europe.
   Collins signed an exclusive, long-term agreement with VietJet Air and its
subsidiary Thai VietJet Air for CFM56-5B nacelle MRO service. VietJet Air
and Thai VietJet Air operate the second-largest CFM56-5B fleet in Asia
Pacific. This collaboration significantly expands Collins    business for nacelle
aftermarket services on legacy fleets in the region.
2
RTX 2024 ANNUAL REPORT
$28.3B
Adjusted net sales*
$4.5B
Adjusted
operating profit*
* See pages 7 and 8 for additional information regarding non-GAAP financial measures.

Pratt & Whitney is a world leader in the design, manufacture
and service of aircraft engines and auxiliary power units.
   Pratt & Whitney   s GTF engine secured more than 950 GTF engine orders
and commitments from customers. The GTF aftermarket network
expanded to 18 facilities, increasing output by approximately 30 percent
in 2024.
   Pratt & Whitney completed the F135 Engine Core Upgrade (ECU)
preliminary design review and received a contract valued at up
to $1.3 billion. It also opened an 845,000-square-foot facility
in Oklahoma City to service the F135 and other military engines.
   Pratt & Whitney Canada   s PT6A-52 engine was selected for the Piper
M700 Fury, marking its first use in a single-engine turboprop aircraft,
and the PW545D engine for the new Cessna Citation Ascend received
Transport Canada Civil Aviation certification.
$28.1B
Adjusted net sales*
$2.3B
Adjusted
operating profit*
Raytheon is a leading provider of defense solutions to help the
U.S. government, its allies and its partners defend their national
sovereignty and ensure their security.
   Raytheon was awarded $2.4 billion in contracts for Patriot air and missile
defense systems, the backbone of air defense for 19 countries. It was also
awarded $2 billion to begin production on its Lower-Tier Air and Missile
Defense System, or LTAMDS     a next-generation air and missile radar.
$26.8B
Adjusted net sales*
   Raytheon entered full rate production for Standard Missile 3 Block IIA,
validating the program   s design maturity amid increased demand from
the U.S. and allies. It was awarded $1.9 billion to produce rounds for the
U.S. and Japan   s Ministry of Defense.
   The U.S. Navy awarded Raytheon $737 million to produce AIM-9X
SIDEWINDER missiles. AIM-9X is the most advanced infrared-tracking,
short-range, air-to-air and surface-to-air missile in the world.
* See pages 7 and 8 for additional information regarding non-GAAP financial measures.
$2.7B
Adjusted
operating profit*
RTX 2024 ANNUAL REPORT
3



 3/10/2025 Letter Continued (Full PDF)