Raytheon Company (NYSE: RTN) today announced net sales for the third quarter 2016 of $6.0 billion, up 4 percent compared to $5.8 billion in the third quarter 2015.

Highlights

  • Strong bookings of $6.9 billion; book-to-bill ratio of 1.15
  • Net sales of $6.0 billion, up 4 percent
  • EPS from continuing operations of $1.79
  • Solid operating cash flow from continuing operations of $640 million
  • Increased full-year 2016 guidance for EPS

Third quarter 2016 EPS from continuing operations was $1.79 compared to $1.47 in the third quarter 2015. Third quarter 2016 EPS from continuing operations included a favorable FAS/CAS Adjustment of $0.23 compared to a favorable FAS/CAS Adjustment of $0.09 in the third quarter 2015.

“The Company’s strong operating performance in the third quarter reflects our continued focus on driving global growth and creating value for our customers and shareholders,” said Thomas A. Kennedy, Raytheon Chairman and CEO.

Operating cash flow from continuing operations for the third quarter 2016 was $0.6 billion compared to $1.1 billion for the third quarter 2015. Operating cash flow from continuing operations in the third quarter 2016 was lower than the third quarter 2015, as expected, primarily due to the timing of collections and payments. Year-to-date operating cash flow from continuing operations was $1.7 billion in 2016 versus $1.5 billion for the comparable period in 2015. The increase in operating cash flow from continuing operations in 2016 was primarily due to the timing of cash taxes.

The Company had bookings of $6.9 billion in the third quarter 2016, resulting in a book-to-bill ratio of 1.15 in the quarter. Third quarter 2015 bookings were $5.3 billion. Year-to-date 2016 bookings were $20.3 billion, resulting in a book-to-bill ratio of 1.14. Year-to-date 2015 bookings were $17.4 billion.

In the third quarter 2016, the Company repurchased 1.4 million shares of common stock for $198 million. Year-to-date 2016, the Company repurchased 6.2 million shares of common stock for $801 million

Backlog at the end of the third quarter 2016 was $35.8 billion, an increase of approximately $2.2 billion compared to the end of the third quarter 2015. Funded backlog was $25.7 billion, an increase of approximately $1.3 billion compared to the end of the third quarter 2015.

Outlook

The Company has updated its financial outlook for 2016 and increased guidance for EPS. Charts containing additional information on the Company’s 2016 outlook are available on the Company’s website at www.raytheon.com/ir.