Analysis of Profitability Ratios
Quarterly Data
Profitability ratios measure the company ability to generate profitable sales from its resources (assets).
Profitability Ratios (Summary)
RTX Corp., profitability ratios (quarterly data)
Based on: 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-03), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
The profitability profile exhibits a cyclical pattern characterized by initial stability, a significant contraction period between late 2023 and mid-2024, and a subsequent sustained recovery leading into 2026. This trajectory is consistent across all measured margins and return ratios, suggesting a systemic impact followed by a robust operational rebound.
- Gross Profit Margin
- Margins remained stable around 20% through the first half of 2023 before experiencing a decline that reached a trough of 16.38% in June 2024. A recovery phase began in the third quarter of 2024, with the margin returning to its baseline and reaching 20.35% by June 2026.
- Operating and Net Profit Margins
- Operating and net margins demonstrated higher volatility than gross margins. Operating profit margin peaked at 8.73% in March 2023 before falling sharply to 3.94% by June 2024. Similarly, net profit margin declined from 8.08% in March 2023 to a low of 3.12% in June 2024. Following this period, both metrics showed strong growth, with the operating margin expanding to 11.21% and the net margin reaching 8.28% by June 2026, marking an improvement over the initial 2022 levels.
- Return on Equity (ROE) and Return on Assets (ROA)
- Efficiency ratios mirrored the trend of the profit margins. ROE declined from a peak of 7.67% in June 2023 to 3.83% in June 2024, before climbing steadily to a period high of 11.66% by June 2026. ROA followed a parallel path, dropping from 3.43% in mid-2023 to 1.40% in June 2024, eventually recovering to 4.45% by the end of the analyzed period.
Overall, the data indicates a period of significant margin compression centered around the first half of 2024, followed by an expansion phase where profitability and asset utilization surpassed previous benchmarks by mid-2026.
AI Ask an analyst for more
Return on Sales
Return on Investment
Gross Profit Margin
RTX Corp., gross profit margin calculation (quarterly data)
| Jun 30, 2026 | Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 3, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||
| Gross margin | 5,133) | 4,594) | 4,717) | 4,580) | 4,376) | 4,116) | 4,235) | 4,034) | 3,580) | 3,561) | 4,009) | 714) | 3,797) | 3,569) | 3,567) | 3,487) | 3,458) | 3,156) | ||||||
| Net sales | 24,708) | 22,076) | 24,238) | 22,478) | 21,581) | 20,306) | 21,623) | 20,089) | 19,721) | 19,305) | 19,927) | 13,464) | 18,315) | 17,214) | 18,093) | 16,951) | 16,314) | 15,716) | ||||||
| Profitability Ratio | ||||||||||||||||||||||||
| Gross profit margin1 | 20.35% | 20.21% | 20.08% | 20.13% | 20.05% | 19.53% | 19.09% | 19.21% | 16.38% | 17.01% | 17.54% | 17.36% | 20.43% | 20.53% | 20.38% | 20.49% | 20.17% | 19.94% | ||||||
| Benchmarks | ||||||||||||||||||||||||
| Gross Profit Margin, Competitors2 | ||||||||||||||||||||||||
| Boeing Co. | 4.68% | 4.79% | 4.79% | 1.10% | -0.32% | -2.09% | -2.99% | 3.13% | 9.47% | 10.04% | 9.93% | 9.09% | 6.65% | 7.20% | 5.26% | -1.41% | 2.74% | 3.20% | ||||||
| Caterpillar Inc. | 30.87% | 29.79% | 30.05% | 31.65% | 32.64% | 33.92% | 34.49% | 34.33% | 34.29% | 33.59% | 33.04% | 31.71% | 30.44% | 28.74% | 26.91% | 26.14% | 25.52% | 25.71% | ||||||
| Eaton Corp. plc | 35.90% | 36.89% | 37.59% | 38.10% | 38.16% | 38.45% | 38.20% | 37.83% | 37.53% | 37.06% | 36.36% | 35.54% | 34.51% | 33.64% | 33.19% | 32.83% | 32.55% | 32.36% | ||||||
| GE Aerospace | 30.99% | 31.25% | 31.55% | 32.16% | 31.98% | 31.87% | 30.79% | 27.00% | 24.74% | 22.97% | 21.95% | 23.26% | 23.29% | 24.24% | 24.55% | 24.52% | 25.22% | 24.26% | ||||||
| Honeywell International Inc. | 36.51% | 36.93% | 36.93% | 37.02% | 38.21% | 38.11% | 38.09% | 37.60% | 37.56% | 37.46% | 37.28% | 38.03% | 37.79% | 37.36% | 36.99% | 35.56% | 34.22% | 32.95% | ||||||
| Lockheed Martin Corp. | 11.80% | 9.82% | 10.15% | 8.16% | 8.16% | 10.11% | 9.75% | 11.97% | 11.91% | 12.10% | 12.55% | 12.54% | 12.70% | 12.74% | 12.56% | 12.99% | 13.39% | 13.36% | ||||||
Based on: 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-03), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q2 2026 Calculation
Gross profit margin = 100
× (Gross marginQ2 2026
+ Gross marginQ1 2026
+ Gross marginQ4 2025
+ Gross marginQ3 2025)
÷ (Net salesQ2 2026
+ Net salesQ1 2026
+ Net salesQ4 2025
+ Net salesQ3 2025)
= 100 × (5,133 + 4,594 + 4,717 + 4,580)
÷ (24,708 + 22,076 + 24,238 + 22,478)
= 20.35%
2 Click competitor name to see calculations.
The financial data reveals a period of overall growth in net sales accompanied by a significant temporary contraction in gross profit margins between late 2023 and mid-2024, followed by a sustained recovery toward historical norms.
- Net Sales Trajectory
- A consistent upward trend in net sales is observed, growing from 15,716 million US$ in March 2022 to 24,708 million US$ by June 2026. This growth trajectory was interrupted by a sharp, isolated decline in September 2023, where sales dropped to 13,464 million US$. Following this anomaly, sales rebounded strongly, maintaining a positive growth slope through the remainder of the analyzed period.
- Gross Profit Margin Volatility
- The gross profit margin remained stable and peaked at 20.53% in March 2023. A downward shift occurred starting in September 2023, with the margin falling to 17.36%. This contraction persisted even as net sales recovered, reaching a low of 16.38% in June 2024. This suggests that the costs of goods sold increased disproportionately to revenue during the recovery phase.
- Recovery and Stabilization
- Beginning in September 2024, a recovery phase is evident. The gross profit margin climbed from 19.21% in September 2024 back to 20.35% by June 2026. This indicates a successful realignment of production costs or pricing strategies, effectively returning the profitability ratio to the baseline levels observed in early 2022.
- Gross Margin Absolute Value Analysis
- Gross margin in absolute terms followed the trajectory of net sales, with a notable exception in September 2023, where it fell to 714 million US$. From December 2023 onward, the absolute gross margin expanded steadily, peaking at 5,133 million US$ in June 2026, confirming that the increase in sales volume eventually offset the temporary margin compression.
AI Ask an analyst for more
Operating Profit Margin
RTX Corp., operating profit margin calculation (quarterly data)
| Jun 30, 2026 | Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 3, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||
| Operating profit (loss) | 2,811) | 2,555) | 2,596) | 2,523) | 2,146) | 2,035) | 2,111) | 2,028) | 529) | 1,870) | 1,847) | (1,396) | 1,458) | 1,652) | 1,501) | 1,480) | 1,353) | 1,080) | ||||||
| Net sales | 24,708) | 22,076) | 24,238) | 22,478) | 21,581) | 20,306) | 21,623) | 20,089) | 19,721) | 19,305) | 19,927) | 13,464) | 18,315) | 17,214) | 18,093) | 16,951) | 16,314) | 15,716) | ||||||
| Profitability Ratio | ||||||||||||||||||||||||
| Operating profit margin1 | 11.21% | 10.87% | 10.50% | 10.25% | 9.95% | 8.20% | 8.10% | 7.94% | 3.94% | 5.32% | 5.17% | 4.79% | 8.63% | 8.73% | 8.07% | 7.93% | 7.81% | 7.75% | ||||||
| Benchmarks | ||||||||||||||||||||||||
| Operating Profit Margin, Competitors2 | ||||||||||||||||||||||||
| Boeing Co. | 4.89% | 4.63% | 4.79% | -10.24% | -12.27% | -14.63% | -16.10% | -9.08% | -2.31% | -0.93% | -0.99% | -1.86% | -4.62% | -3.58% | -5.33% | -11.99% | -6.98% | -6.53% | ||||||
| Caterpillar Inc. | 18.44% | 17.38% | 17.43% | 18.68% | 19.31% | 20.29% | 21.30% | 21.33% | 21.55% | 21.58% | 20.30% | 18.13% | 16.97% | 14.94% | 13.97% | 14.56% | 13.81% | 13.87% | ||||||
| Eaton Corp. plc | 17.71% | 18.16% | 18.98% | 18.95% | 18.82% | 19.08% | 18.62% | 18.23% | 17.96% | 17.28% | 16.75% | 16.28% | 15.48% | 14.85% | 14.55% | 13.90% | 16.33% | 15.97% | ||||||
| GE Aerospace | 24.37% | 25.05% | 26.03% | 26.24% | 25.57% | 25.46% | 23.29% | 16.88% | 13.80% | 10.44% | 8.49% | 8.08% | 6.92% | 7.40% | 6.05% | 7.05% | 8.12% | 7.31% | ||||||
| Honeywell International Inc. | 13.72% | 14.14% | 14.88% | 18.23% | 18.83% | 19.06% | 19.33% | 19.23% | 19.68% | 19.65% | 19.32% | 20.09% | 19.73% | 19.05% | 18.12% | 17.55% | 17.31% | 17.37% | ||||||
| Lockheed Martin Corp. | 11.88% | 9.88% | 10.30% | 8.31% | 8.29% | 10.24% | 9.87% | 12.08% | 11.98% | 12.20% | 12.59% | 12.57% | 12.80% | 12.78% | 12.65% | 13.15% | 13.47% | 13.50% | ||||||
Based on: 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-03), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q2 2026 Calculation
Operating profit margin = 100
× (Operating profit (loss)Q2 2026
+ Operating profit (loss)Q1 2026
+ Operating profit (loss)Q4 2025
+ Operating profit (loss)Q3 2025)
÷ (Net salesQ2 2026
+ Net salesQ1 2026
+ Net salesQ4 2025
+ Net salesQ3 2025)
= 100 × (2,811 + 2,555 + 2,596 + 2,523)
÷ (24,708 + 22,076 + 24,238 + 22,478)
= 11.21%
2 Click competitor name to see calculations.
An analysis of the quarterly financial results indicates a long-term expansion in operating profitability, characterized by a recovery from a period of significant volatility. While net sales showed a general upward trajectory over the observed timeframe, the operating profit margin experienced distinct phases of growth, contraction, and subsequent acceleration.
- Initial Stability and Growth (2022 – Early 2023)
- Between March 2022 and March 2023, the operating profit margin demonstrated a consistent upward trend, rising from 7.75% to 8.73%. This period was marked by steady increases in both operating profit and net sales, suggesting efficient scaling of operations.
- Period of Volatility (Mid-2023 – Mid-2024)
- A sharp contraction occurred in September 2023, where the operating margin dropped to 4.79% following a significant operating loss of $1,396 million and a decrease in net sales to $13,464 million. Profitability remained unstable throughout the following quarters, reaching a period low of 3.94% in June 2024, despite a gradual recovery in net sales.
- Sustained Margin Expansion (Late 2024 – 2026)
- Beginning in September 2024, a consistent recovery is observed. The operating profit margin climbed from 7.94% and surpassed the 10% threshold by June 2025. This positive trajectory continued through June 2026, culminating in an operating profit margin of 11.21%. This expansion was supported by net sales growing to $24,708 million and operating profit reaching $2,811 million, indicating improved operational efficiency and pricing power.
AI Ask an analyst for more
Net Profit Margin
RTX Corp., net profit margin calculation (quarterly data)
| Jun 30, 2026 | Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 3, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||
| Net income (loss) attributable to common shareowners | 2,139) | 2,059) | 1,622) | 1,918) | 1,657) | 1,535) | 1,482) | 1,472) | 111) | 1,709) | 1,426) | (984) | 1,327) | 1,426) | 1,422) | 1,387) | 1,304) | 1,084) | ||||||
| Net sales | 24,708) | 22,076) | 24,238) | 22,478) | 21,581) | 20,306) | 21,623) | 20,089) | 19,721) | 19,305) | 19,927) | 13,464) | 18,315) | 17,214) | 18,093) | 16,951) | 16,314) | 15,716) | ||||||
| Profitability Ratio | ||||||||||||||||||||||||
| Net profit margin1 | 8.28% | 8.03% | 7.60% | 7.67% | 7.35% | 5.63% | 5.91% | 5.97% | 3.12% | 4.90% | 4.64% | 4.76% | 7.88% | 8.08% | 7.75% | 6.76% | 6.84% | 6.47% | ||||||
| Benchmarks | ||||||||||||||||||||||||
| Net Profit Margin, Competitors2 | ||||||||||||||||||||||||
| Boeing Co. | 2.59% | 2.46% | 2.50% | -12.20% | -14.18% | -16.58% | -17.77% | -10.88% | -4.68% | -2.81% | -2.86% | -3.74% | -6.08% | -5.86% | -7.41% | -13.75% | -8.69% | -8.00% | ||||||
| Caterpillar Inc. | 15.28% | 14.06% | 13.89% | 15.17% | 15.83% | 16.63% | 17.59% | 17.15% | 17.46% | 17.65% | 16.18% | 14.35% | 13.53% | 12.10% | 11.85% | 13.70% | 13.19% | 13.02% | ||||||
| Eaton Corp. plc | 12.75% | 13.99% | 14.89% | 14.74% | 15.11% | 15.55% | 15.25% | 15.31% | 15.12% | 14.38% | 13.87% | 13.24% | 12.30% | 12.00% | 11.86% | 11.36% | 11.70% | 11.21% | ||||||
| GE Aerospace | 18.92% | 19.21% | 20.57% | 19.99% | 20.43% | 19.41% | 18.67% | 14.28% | 9.25% | 5.96% | 14.68% | 15.08% | 13.91% | 12.35% | 0.31% | -8.10% | -6.18% | -6.70% | ||||||
| Honeywell International Inc. | 21.58% | 10.89% | 12.63% | 15.82% | 15.02% | 14.85% | 14.82% | 15.01% | 15.49% | 15.52% | 15.43% | 14.87% | 15.08% | 14.54% | 14.00% | 15.38% | 14.74% | 15.30% | ||||||
| Lockheed Martin Corp. | 8.16% | 6.38% | 6.69% | 5.73% | 5.85% | 7.66% | 7.51% | 9.36% | 9.48% | 9.73% | 10.24% | 10.29% | 10.48% | 8.60% | 8.69% | 9.07% | 7.33% | 9.45% | ||||||
Based on: 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-03), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q2 2026 Calculation
Net profit margin = 100
× (Net income (loss) attributable to common shareownersQ2 2026
+ Net income (loss) attributable to common shareownersQ1 2026
+ Net income (loss) attributable to common shareownersQ4 2025
+ Net income (loss) attributable to common shareownersQ3 2025)
÷ (Net salesQ2 2026
+ Net salesQ1 2026
+ Net salesQ4 2025
+ Net salesQ3 2025)
= 100 × (2,139 + 2,059 + 1,622 + 1,918)
÷ (24,708 + 22,076 + 24,238 + 22,478)
= 8.28%
2 Click competitor name to see calculations.
The net profit margin exhibited significant volatility between March 2022 and June 2026, characterized by an initial period of stability, a sharp mid-term contraction, and a sustained recovery phase.
- Margin Volatility and Contraction
- A period of marked decline began in the second half of 2023. The net profit margin, which had peaked at 8.08% in March 2023, fell sharply to 4.76% by September 2023. This downturn reached its nadir in June 2024, where the margin compressed to 3.12%. This period of contraction coincided with a significant net loss of 984 million US dollars in September 2023 and a temporary drop in net sales during the same quarter.
- Recovery and Expansion Phase
- Following the trough in June 2024, a consistent and sustained recovery in profitability is observed. The net profit margin climbed steadily from 5.97% in September 2024 to 8.28% by June 30, 2026. This recovery indicates an improvement in operational efficiency or a reduction in extraordinary costs, as the margin eventually exceeded the levels maintained during the 2022 period.
- Correlation Between Sales Volume and Profitability
- Net sales demonstrated a general upward trajectory, growing from 15,716 million US dollars in March 2022 to 24,708 million US dollars by June 2026. However, the relationship between revenue growth and net profit was non-linear. The most significant margin compression occurred despite sales figures remaining relatively high compared to 2022 levels, suggesting that the profitability dip was driven by factors other than a lack of top-line revenue.
AI Ask an analyst for more
Return on Equity (ROE)
RTX Corp., ROE calculation (quarterly data)
| Jun 30, 2026 | Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 3, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||
| Net income (loss) attributable to common shareowners | 2,139) | 2,059) | 1,622) | 1,918) | 1,657) | 1,535) | 1,482) | 1,472) | 111) | 1,709) | 1,426) | (984) | 1,327) | 1,426) | 1,422) | 1,387) | 1,304) | 1,084) | ||||||
| Shareowners’ equity | 66,377) | 66,280) | 65,245) | 64,514) | 62,398) | 61,516) | 60,156) | 61,114) | 58,985) | 60,485) | 59,798) | 69,596) | 72,480) | 72,795) | 72,632) | 70,187) | 70,441) | 72,462) | ||||||
| Profitability Ratio | ||||||||||||||||||||||||
| ROE1 | 11.66% | 10.95% | 10.32% | 10.22% | 9.85% | 7.48% | 7.94% | 7.72% | 3.83% | 5.75% | 5.34% | 4.59% | 7.67% | 7.61% | 7.16% | 6.36% | 6.34% | 5.79% | ||||||
| Benchmarks | ||||||||||||||||||||||||
| ROE, Competitors2 | ||||||||||||||||||||||||
| Boeing Co. | 39.92% | 37.88% | 40.98% | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Caterpillar Inc. | 55.91% | 50.53% | 41.67% | 44.89% | 50.57% | 55.01% | 55.37% | 55.04% | 64.26% | 63.77% | 53.02% | 44.48% | 45.85% | 39.18% | 42.25% | 47.28% | 42.96% | 38.07% | ||||||
| Eaton Corp. plc | 18.90% | 20.23% | 21.04% | 20.84% | 21.10% | 21.27% | 20.52% | 19.71% | 18.99% | 17.63% | 16.90% | 16.29% | 15.10% | 14.72% | 14.45% | 14.26% | 14.12% | 13.35% | ||||||
| GE Aerospace | 50.86% | 47.79% | 46.60% | 42.86% | 40.54% | 36.34% | 33.90% | 33.11% | 25.51% | 11.77% | 34.63% | 35.27% | 30.77% | 27.72% | 0.62% | -18.56% | -12.75% | -12.20% | ||||||
| Honeywell International Inc. | 44.31% | 30.18% | 34.01% | 36.52% | 35.52% | 32.59% | 30.64% | 32.65% | 34.13% | 34.81% | 35.68% | 31.42% | 31.52% | 30.89% | 29.74% | 30.36% | 28.96% | 28.58% | ||||||
| Lockheed Martin Corp. | 71.70% | 64.00% | 74.65% | 67.95% | 78.82% | 82.34% | 84.26% | 92.71% | 109.09% | 101.89% | 101.24% | 75.11% | 76.41% | 58.97% | 61.86% | 49.05% | 41.16% | 62.10% | ||||||
Based on: 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-03), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q2 2026 Calculation
ROE = 100
× (Net income (loss) attributable to common shareownersQ2 2026
+ Net income (loss) attributable to common shareownersQ1 2026
+ Net income (loss) attributable to common shareownersQ4 2025
+ Net income (loss) attributable to common shareownersQ3 2025)
÷ Shareowners’ equity
= 100 × (2,139 + 2,059 + 1,622 + 1,918)
÷ 66,377 = 11.66%
2 Click competitor name to see calculations.
The analysis of return on equity (ROE) reveals a trajectory characterized by initial stability, a period of significant volatility, and a subsequent phase of sustained growth. After fluctuating between 2022 and mid-2024, the ROE entered a consistent upward trend, increasing from a low of 3.83% in June 2024 to a peak of 11.66% by June 2026.
- Net Income Performance
- Net income attributable to common shareowners demonstrated an overall growth trend, rising from 1,084 million USD in March 2022 to 2,139 million USD by June 2026. This growth was interrupted by two notable contractions: a quarterly loss of 984 million USD in September 2023 and a sharp decline to 111 million USD in June 2024. Following these anomalies, earnings recovered steadily, maintaining a growth trajectory throughout 2025 and 2026.
- Shareowners' Equity Dynamics
- The equity base underwent a period of contraction followed by a moderate recovery. Shareowners' equity decreased from 72,462 million USD in March 2022 to a minimum of 58,985 million USD by June 2024. From that point, a gradual increase is observed, with the equity base rising to 66,377 million USD by June 2026, though it remained below the levels recorded in the first half of 2022.
- ROE Correlation and Capital Efficiency
- The ROE reflects the interaction between recovering profitability and a modified equity base. The dip in ROE to 3.83% in June 2024 correlates directly with the sharp decline in net income during that period. However, the subsequent acceleration of ROE—surpassing 10% by June 2025—was driven by the combination of rising net income and an equity base that remained lower than 2022 levels. This suggests an improvement in capital efficiency and a stronger ability to generate profit relative to the shareholders' investment in the latter half of the analyzed period.
AI Ask an analyst for more
Return on Assets (ROA)
RTX Corp., ROA calculation (quarterly data)
| Jun 30, 2026 | Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 3, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||
| Net income (loss) attributable to common shareowners | 2,139) | 2,059) | 1,622) | 1,918) | 1,657) | 1,535) | 1,482) | 1,472) | 111) | 1,709) | 1,426) | (984) | 1,327) | 1,426) | 1,422) | 1,387) | 1,304) | 1,084) | ||||||
| Total assets | 173,972) | 170,431) | 171,079) | 168,672) | 167,139) | 164,864) | 162,861) | 164,822) | 161,169) | 160,187) | 161,869) | 162,443) | 162,161) | 161,636) | 158,864) | 158,225) | 159,017) | 159,366) | ||||||
| Profitability Ratio | ||||||||||||||||||||||||
| ROA1 | 4.45% | 4.26% | 3.94% | 3.91% | 3.68% | 2.79% | 2.93% | 2.86% | 1.40% | 2.17% | 1.97% | 1.96% | 3.43% | 3.43% | 3.27% | 2.82% | 2.81% | 2.63% | ||||||
| Benchmarks | ||||||||||||||||||||||||
| ROA, Competitors2 | ||||||||||||||||||||||||
| Boeing Co. | 1.47% | 1.38% | 1.33% | -6.57% | -6.89% | -7.36% | -7.56% | -5.79% | -2.41% | -1.60% | -1.62% | -2.11% | -3.32% | -3.03% | -3.60% | -6.14% | -3.90% | -3.60% | ||||||
| Caterpillar Inc. | 10.57% | 9.87% | 9.01% | 9.89% | 10.45% | 11.70% | 12.30% | 12.38% | 13.21% | 13.43% | 11.81% | 10.50% | 9.79% | 8.50% | 8.18% | 9.11% | 8.33% | 7.90% | ||||||
| Eaton Corp. plc | 6.81% | 7.24% | 9.91% | 9.66% | 9.69% | 10.04% | 9.89% | 9.60% | 9.27% | 8.83% | 8.37% | 8.03% | 7.37% | 7.23% | 7.03% | 6.67% | 6.58% | 6.30% | ||||||
| GE Aerospace | 7.03% | 6.72% | 6.69% | 6.29% | 6.19% | 5.64% | 5.32% | 4.93% | 3.85% | 2.14% | 5.81% | 6.45% | 5.89% | 5.33% | 0.12% | -3.23% | -2.38% | -2.48% | ||||||
| Honeywell International Inc. | 10.62% | 5.54% | 6.42% | 7.57% | 7.29% | 7.57% | 7.59% | 7.73% | 8.34% | 8.72% | 9.20% | 8.83% | 8.75% | 8.73% | 7.97% | 8.92% | 8.16% | 8.29% | ||||||
| Lockheed Martin Corp. | 10.07% | 8.09% | 8.38% | 6.97% | 7.14% | 9.71% | 9.59% | 12.02% | 12.23% | 12.33% | 13.19% | 12.29% | 12.39% | 10.41% | 10.84% | 11.28% | 9.09% | 12.06% | ||||||
Based on: 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-03), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q2 2026 Calculation
ROA = 100
× (Net income (loss) attributable to common shareownersQ2 2026
+ Net income (loss) attributable to common shareownersQ1 2026
+ Net income (loss) attributable to common shareownersQ4 2025
+ Net income (loss) attributable to common shareownersQ3 2025)
÷ Total assets
= 100 × (2,139 + 2,059 + 1,622 + 1,918)
÷ 173,972 = 4.45%
2 Click competitor name to see calculations.
The analysis of Return on Assets (ROA) reveals a period of volatility followed by a sustained upward trajectory in asset efficiency. While the overall trend is positive, moving from 2.63% in March 2022 to 4.45% by June 2026, the progression was interrupted by significant contractions in the 2023-2024 window.
- Volatility and Contraction Period
- A period of instability is observed between September 2023 and June 2024. ROA declined from a peak of 3.43% in June 2023 to a low of 1.40% in June 2024. This decline is directly correlated with fluctuations in net income, most notably a net loss of 984 million USD in September 2023 and a sharp drop in income to 111 million USD in June 2024.
- Asset Base Expansion
- Total assets exhibited steady growth throughout the period, increasing from 159,366 million USD in March 2022 to 173,972 million USD in June 2026. Because the asset base expanded consistently, the improvements in ROA were driven primarily by increases in net income rather than the reduction of assets.
- Recovery and Growth Phase
- A strong recovery phase began in September 2024, where ROA rebounded to 2.86%. From this point forward, a consistent upward trend is observed, with ROA reaching 4.45% by June 2026. This acceleration is supported by net income growth, which climbed from 1,472 million USD in September 2024 to 2,139 million USD in June 2026, indicating enhanced operational efficiency and a higher return on the company's invested capital.
AI Ask an analyst for more