RTX Engine Deliveries Slip in 2Q After Strike

RTX Engine

RTX engine deliveries slip in the second quarter as a monthlong strike disrupted Pratt & Whitney operations in Connecticut. Large commercial engine shipments fell 3.8pc to 227 units. However, RTX raised full-year revenue guidance as tariff headwinds eased, underscoring resilience even while RTX engine deliveries slip.

Strike impact and production mix

The strike by IAMAW workers hit East Hartford and Middletown facilities. As a result, Pratt & Whitney’s A320neo GTF programs faced near-term constraints. Meanwhile, military engine deliveries rose 8.1pc to 40 units. Pratt & Whitney Canada shipments increased 9.9pc to 521 units, partly offsetting where RTX engine deliveries slip in large commercial.

Supply chain, tariffs, and MRO recovery

RTX lifted adjusted 2025 revenue guidance to $84.75bn–$85.5bn. Therefore, improved US-UK tariff carve-outs cut expected 2025 tariff costs to $500mn from $850mn. Maintenance, repair and overhaul output rose 22pc as isothermal forging output increased 12pc. Still, RTX must balance forgings and castings between spares and new builds while RTX engine deliveries slip modestly.

Quarterly profit reached nearly $1.7bn, up from $111mn last year. Moreover, Collins Aerospace reduced overdue line items by 25pc. That improvement supports Boeing’s 787 program, where Collins supplies heat exchangers. However, allocation decisions remain critical as Airbus ramps A320neo output and demand for GTF spares persists.

The Metalnomist Commentary

Short-term labor disruption explains the dip, but MRO momentum and tariff relief stabilize outlook. Watch forging and casting allocations; bottlenecks here will set the pace for A320neo and defense program recoveries through 2025.