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Textron (TXT) Q2 Earnings: Taking a Look at Key Metrics Versus Estimates

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For the quarter ended June 2023, Textron (TXT - Free Report) reported revenue of $3.42 billion, up 8.6% over the same period last year. EPS came in at $1.46, compared to $1.00 in the year-ago quarter.

The reported revenue compares to the Zacks Consensus Estimate of $3.39 billion, representing a surprise of +1.02%. The company delivered an EPS surprise of +21.67%, with the consensus EPS estimate being $1.20.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Textron performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Revenues- Manufacturing- Textron Aviation: $1.36 billion versus the three-analyst average estimate of $1.40 billion. The reported number represents a year-over-year change of +6.1%.
  • Revenues- Manufacturing- Bell: $701 million versus $755.19 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a +2% change.
  • Revenues- Manufacturing- Textron systems: $306 million versus $311.57 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a +4.4% change.
  • Revenues- Finance: $18 million compared to the $12.91 million average estimate based on three analysts. The reported number represents a change of +28.6% year over year.
  • Revenues- Textron eAviation: $11 million compared to the $9.37 million average estimate based on three analysts.
  • Revenues- Manufacturing: $3.41 billion versus the three-analyst average estimate of $3.39 billion. The reported number represents a year-over-year change of +8.5%.
  • Revenues- Manufacturing- Industrial: $1.03 billion versus the three-analyst average estimate of $918.22 million. The reported number represents a year-over-year change of +17.8%.
  • Segment Profit- Textron Aviation: $171 million versus the three-analyst average estimate of $175 million.
  • Segment Profit- Bell: $65 million versus the three-analyst average estimate of $59.70 million.
  • Segment Profit- Textron Systems: $37 million versus the three-analyst average estimate of $36.57 million.
  • Segment profit- Industrial: $79 million versus the three-analyst average estimate of $42.84 million.
  • Segment profit- Manufacturing: $340 million versus $304.36 million estimated by three analysts on average.
View all Key Company Metrics for Textron here>>>

Shares of Textron have returned +3% over the past month versus the Zacks S&P 500 composite's +5.6% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term.

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