Aviation company Textron (TXT) on Wednesday reported better-than-expected first-quarter earnings of 76 cents per share, primarily driven by a strong aviation segment. Analysts had projected 70 cents per share for the quarter.
Meanwhile, total revenue declined 5.6% year-over-year to $3.1 billion, missing analysts’ target of $3.23 billion. Revenues saw modest declines in Textron Systems, Bell and Industrial units, which was partly offset by a 12% jump in the core aviation segment.
Revenues at Textron Aviation grew to $1.1 billion, due to higher volume and mix across the jet and commercial turboprop product lines.
The unit delivered 44 jets, up from 36 last year, and 44 commercial turboprops, up from 29 last year. Meanwhile, Bell delivered 30 commercial helicopters in the quarter, down from 46 last year.
Textron shares have gained 13% so far this year but have declined 13% in the trailing 52-weeks period.
CEO Scott C. Donnelly said, “Our results in the quarter were driven by growth and performance at Aviation and continued strong execution at Bell, which resulted in significant margin improvements at those segments.”
For 2019, Textron reiterated its projection of EPS from continuing operations in the range of $3.55 to $3.75. It also expects manufacturing cash flow from continuing operations before pension contributions of $700 to $800 million.