RTX Corporation
RTX Corporation, an aerospace and defense company, provides systems and services for commercial, military, and government customers worldwide. It operates through three segments: Collins Aerospace (Collins), Pratt & Whitney, and Raytheon. The Collins segment offers aerospace and defense products, and aftermarket services for civil and military aircraft manufacturers and commercial airlines, as well as regional, business, and general aviation, defense, and commercial space operations. This segment designs, manufactures, and supplies electric power generation and management and distribution, environmental control, flight control, air data and aircraft sensing, engine control, and engine nacelle systems, as well as engine components; cabin interiors, including seating, oxygen, food and beverage preparation, storage and galley, lavatory, and wastewater management systems; connected aviation solutions and services; and systems solutions for connected battlespace, test and training range systems, crew escape systems, and simulation and training. It also provides spare parts, overhaul and repair, engineering and technical support, training and fleet management solutions, and asset and information management services. The Pratt & Whitney segment supplies aircraft engines for commercial, military, business jet, and general aviation customers; and produces, sells, and services military and commercial auxiliary power units, as well as offers fleet management and aftermarket maintenance, repair, and overhaul services. The Raytheon segment provides defensive and offensive threat detection, tracking, and mitigation capabilities for government and commercial customers. This segment offers sensors, mission orchestration and satellite control products, and software. The company was formerly known as Raytheon Technologies Corporation and changed its name to RTX Corporation in July 2023. RTX Corporation was incorporated in 1934 and is headquartered in Arlington, Virginia.
What does it do?
RTX Corporation is one of the biggest aerospace and defense companies in the world. It makes jet engines (through its Pratt & Whitney division) that power planes like the Airbus A320, cockpit systems and aircraft parts (through Collins Aerospace), and missiles, radars, and defense systems (through Raytheon). If you've flown on a commercial airline, ridden in a military jet, or heard about Patriot missile defense systems protecting Ukraine, you've already encountered RTX's work.
Defense spending is surging globally as NATO countries scramble to rearm following Russia's invasion of Ukraine and rising tensions in the Middle East and Asia — RTX sits right at the center of that spending boom. At the same time, commercial air travel has fully recovered post-COVID, driving strong demand for new aircraft engines and spare parts. Few companies are positioned to benefit from both a military buildup and a civilian aviation boom simultaneously.
How does it make money?
RTX made $88.6 billion in revenue last year, up from $80.7 billion the prior year — nearly 10% growth. Pratt & Whitney sells jet engines to airlines and militaries, but the real money is in long-term service contracts: every time an airline needs an engine repaired or overhauled, RTX gets paid again for decades. Collins Aerospace sells everything from seats to flight controls and earns steady aftermarket revenue from airlines. Raytheon sells missiles, radar systems, and cybersecurity tools mostly to governments, with the US Department of Defense as its single largest customer.
Why do investors care?
The growth story has two engines running at once. First, the global defense buildup means governments are ordering more Patriot missiles, radars, and advanced weapons — and Raytheon's order backlog has been growing rapidly. Second, Pratt & Whitney's GTF (geared turbofan) engine powers hundreds of new-generation Airbus jets, locking in decades of service revenue as those fleets grow. The risk is execution: Pratt & Whitney has been dealing with a costly recall of engine parts due to a powder metal defect, which could weigh on profits in the near term.
Deep Dive
MemberA full investor briefing on RTX Corporation — history, leadership, risks, and outlook.