RTX engine deliveries surge on strong commercial and military demand

RTX engine

RTX engine deliveries climbed in the third quarter as global demand for civil and military powerplants strengthened. RTX engine deliveries of large commercial engines (LCEs) rose 17pc quarter on quarter and 5pc year on year. Meanwhile, military engine shipments jumped even faster, with an 85pc annual increase underscoring robust defence demand. Together, these trends allowed RTX to upgrade its 2025 revenue outlook despite lingering tariff headwinds.

RTX engine deliveries support upgraded revenue outlook

RTX engine deliveries are now central to the group’s higher full-year revenue guidance. The company expects 2025 adjusted revenue of $86.5bn-87bn, up from $83bn-84bn previously. As a result, strong LCE and military engine demand is offsetting external pressures such as tariffs and supply chain strains.

Tariff impacts have eased significantly after the US-UK trade deal and RTX’s efforts under the US-Mexico-Canada Agreement. Profit reductions tied to tariffs now total around $90mn, far below the $500mn hit initially modelled. Therefore, higher RTX engine deliveries are flowing more directly to the bottom line, supporting quarterly profit growth to $2.5bn.

Pratt & Whitney GTF Advantage underpins future growth

Pratt & Whitney’s GTF Advantage engine adds a forward growth pillar to RTX engine deliveries. The GTF Advantage recently secured European Union Aviation Safety Agency type certification, following earlier US approval. The engine is expected to enter service in 2026 as the production standard on Airbus A320neo aircraft.

Component upgrades, including redesigned high-pressure turbine airfoils, improve durability and extend time on wing. This enhances lifecycle economics for airlines, strengthening Pratt & Whitney’s position in the narrowbody engine duopoly with CFM’s Leap-1A. In addition, RTX’s $251bn backlog, spanning commercial and defence customers, provides long-dated visibility for future RTX engine deliveries.

However, RTX still flags supply chain vulnerabilities that could affect production cadence and delivery timing. Key aerospace sub-tier suppliers remain under pressure from labour, materials and logistics constraints. As a result, execution on ramp-up plans will depend on stabilising these bottlenecks, even as demand remains strong.

The Metalnomist Commentary

RTX engine deliveries illustrate how aero engine makers are benefiting from both airline recovery and renewed defence spending. The combination of rising shipment volumes, reduced tariff drag and the coming GTF Advantage deployment should support multi-year revenue growth. Yet persistent supply chain fragility means OEMs and metals suppliers alike must plan for intermittent disruptions even in a demand-rich environment.