Stock Analysis on Net
Stock Analysis on Net

RTX Corp. (NYSE:RTX)

$24.99

Income Statement

The income statement presents information on the financial results of a company business activities over a period of time. The income statement communicates how much revenue the company generated during a period and what cost it incurred in connection with generating that revenue.

Paying user area

Try for free

RTX Corp. pages available for free this week:

The data is hidden behind: . Unhide it.

Get access

This is a one-time payment. There is no automatic renewal.

We accept:

Visa Mastercard American Express Maestro Discover JCB PayPal Google Pay
Visa Secure Mastercard Identity Check American Express SafeKey

RTX Corp., consolidated income statement

US$ in millions

Microsoft Excel
12 months ended: Dec 31, 2025 Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021
Products sales
Services sales
Net sales
Cost of sales, products
Cost of sales, services
Cost of sales
Gross margin
Research and development
Selling, general, and administrative
Other income (expense), net
Operating profit
Non-service pension income
Debt extinguishment costs
Interest expense
Interest income
Other non-operating income (expense)
Interest expense, net
Non-operating income (expense), net
Income from continuing operations before income taxes
Income tax expense
Net income from continuing operations
Loss from discontinued operations
Net income
Noncontrolling interest in subsidiaries’ earnings
Net income attributable to common shareowners

Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31).

The financial performance presented demonstrates a generally positive trajectory over the five-year period, although with some fluctuations. Net sales exhibited consistent growth, accelerating in the later years. Cost of sales increased proportionally with sales, impacting gross margin, while operating profit showed volatility before a strong recovery. Net income attributable to common shareowners also increased overall, despite some interim dips.

Revenue Growth
Net sales increased from US$64.388 billion in 2021 to US$88.603 billion in 2025, representing a cumulative growth of approximately 37.8%. The most significant year-over-year increase occurred between 2023 and 2024 (approximately 23.2%), and again between 2024 and 2025 (approximately 16.4%). Products sales consistently represent the majority of net sales, while services sales demonstrate a higher growth rate.
Profitability Analysis
Gross margin remained relatively stable between 2021 and 2023, fluctuating around US$12-14 billion. A notable increase occurred in 2024 and 2025, reaching US$17.789 billion, suggesting improved cost management or pricing strategies. Operating profit experienced a decline in 2023, falling to US$3.561 billion, before rebounding strongly in 2024 and 2025 to US$6.538 billion and US$9.300 billion respectively. Net income attributable to common shareowners mirrored this trend, increasing from US$3.864 billion in 2021 to US$6.732 billion in 2025.
Cost Structure
Cost of sales increased consistently over the period, from US$51.897 billion in 2021 to US$70.814 billion in 2025. This increase aligns with the growth in net sales, indicating a relatively stable cost structure as a percentage of revenue. Research and development expenses remained fairly consistent, fluctuating between US$2.711 billion and US$2.934 billion. Selling, general, and administrative expenses also exhibited a gradual increase, from US$5.224 billion in 2021 to US$6.095 billion in 2025.
Non-Operating Items
Non-operating income (expense), net, was volatile. It was positive in 2021 and 2023, negative in 2024, and significantly negative in 2025. Interest expense increased steadily from US$1.322 billion in 2021 to US$1.862 billion in 2024 and US$1.749 billion in 2025. Interest income remained relatively stable, with a slight increase over the period. Non-service pension income decreased consistently from US$1.944 billion in 2021 to US$1.182 billion in 2025.
Tax Rate
The effective tax rate fluctuated. It was approximately 19.0% in 2021 (US$786 million expense / US$4,145 million income), 13.2% in 2022 (US$700 million expense / US$5,327 million income), 12.9% in 2023 (US$456 million expense / US$3,380 million income), 23.5% in 2024 (US$1,181 million expense / US$5,013 million income), and 23.6% in 2025 (US$1,664 million expense / US$7,069 million income). The increase in 2024 and 2025 suggests a higher tax burden as profitability increased.

Overall, the financial results indicate a company experiencing revenue growth and improving profitability, particularly in the later years of the period. While cost of sales increased, the company managed to maintain and improve its gross and operating margins. The volatility in non-operating items warrants further investigation, as does the increasing interest expense.