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Jun 28, 2024

L3Harris Q2 2024 Earnings Report

L3Harris reported strong second quarter results, increased 2024 guidance, and demonstrated improved margins through operational excellence.

Key Takeaways

L3Harris Technologies reported a 13% increase in revenue to $5.3 billion, driven by the acquisition of Aerojet Rocketdyne and organic growth in Communication Systems and Space & Airborne Systems. Diluted EPS was $1.92, and non-GAAP EPS was $3.24, a 9% increase year-over-year. The company raised its full-year revenue, margin, and EPS guidance, reflecting the positive impact of the LHX NeXt initiative.

Orders totaled $5.2 billion, resulting in a book-to-bill ratio of 1.0x.

Revenue increased by 13% to $5.3 billion.

Operating margin was 9.0%, with an adjusted segment operating margin of 15.6%.

Diluted EPS was $1.92, and non-GAAP EPS was $3.24, a 9% increase year-over-year.

Total Revenue
$5.3B
Previous year: $4.69B
+12.9%
EPS
$3.24
Previous year: $2.97
+9.1%
Gross Profit
$1.17B
Previous year: $1.22B
-4.2%
Cash and Equivalents
$547M
Previous year: $366M
+49.5%
Free Cash Flow
$714M
Previous year: $321M
+122.4%
Total Assets
$41.7B
Previous year: $35.4B
+17.8%

L3Harris

L3Harris

L3Harris Revenue by Segment

Forward Guidance

L3Harris increased its 2024 guidance for revenue, adjusted segment operating margin, and non-GAAP EPS.

Positive Outlook

  • 2024 revenue guidance range increases from $20.8B - $21.3B to $21.0B - $21.3B
  • 2024 adjusted segment operating margin guidance increases from >15% to 15.2% - 15.4%
  • 2024 Non-GAAP EPS guidance range increases from $12.70 - $13.05 to $12.85 - $13.15
  • SAS 2024 Guidance Operating margin low 12%
  • IMS 2024 Guidance Revenue $6,500 - $6,700

Revenue & Expenses

Visualization of income flow from segment revenue to net income