Raytheon Reports Solid First Quarter 2016 ResultsRaytheon Company (NYSE: RTN) announced net sales for the first quarter 2016 of $5.8 billion, up 9 percent compared to $5.3 billion in the first quarter 2015.
First quarter 2016 EPS from continuing operations was $1.43 compared to $1.78 in the first quarter 2015. First quarter 2016 EPS from continuing operations included, as expected, an $0.08 unfavorable impact associated with acquisition accounting adjustments related to Forcepoint™, partially offset by a tax benefit of $0.05 from adopting the new accounting standard for stock compensation, which was not in the Company’s prior financial outlook. First quarter 2016 EPS from continuing operations included a favorable FAS/CAS Adjustment of $0.23 compared to a favorable FAS/CAS Adjustment of $0.10 in the first quarter 2015. In addition, first quarter 2015 EPS from continuing operations included a $0.42 favorable impact for the eBorders settlement with the U.K. Home Office.
“Raytheon had a good start to 2016 with bookings, sales, EPS and cash flow ahead of our expectations in the quarter,” said Thomas A. Kennedy, Raytheon Chairman and CEO. “Demand from our global customers continues to be strong, with particular strength in bookings from domestic as well as the Middle East and North Africa region.”
Operating cash flow from continuing operations for the first quarter 2016 was $325 million compared to $55 million for the first quarter 2015. The increase in operating cash flow from continuing operations in the first quarter 2016 was primarily due to the timing of collections and tax payments.
