NYSE$LHX

L3Harris · Q4 2024 earnings

Q4 2024 earnings · · Before market open · Investor relations

Briefing

L3Harris reported a revenue increase of 3% and diluted EPS of $2.37 for the fourth quarter of 2024.

L3Harris Technologies reported fourth-quarter revenue of $5.5 billion and diluted EPS of $2.37. The company's results reflect business growth and improved operational efficiencies, driving margin improvement. They also delivered on their financial commitments, underscoring their agility and position as the defense industry’s Trusted Disruptor, and achieved a record backlog of $34 billion.

  • 2024 orders of $24.2 billion; book-to-bill of 1.14x
  • 2024 revenue of $21.3 billion, up 10%, and 4% organically
  • 2024 cash from operations of $2.6 billion, adjusted free cash flow of $2.3 billion
  • 4Q24 revenue of $5.5 billion, up 3%, and 4% organically

Headline financials

Total Revenue

$5.52B

Previous: $5.34B+3.4%
EPS (adj)

$3.47

Previous: $3.35+3.6%
Adjusted Seg. Op. Margin

15.3%

No prior period
GAAP Operating Margin

10.3%

No prior period
Effective Tax Rate (GAAP)

6.4%

No prior period
Adj. Free Cash Flow

$1.03B

No prior period
Share Repurchase

$42M

No prior period
Dividends Paid

$221M

No prior period
Capital Expenditures

-$118M

Previous: -$137M+13.9%
Net Income

$456M

Previous: $126M+261.9%
Operating Income

$569M

Previous: $154M+269.5%
Gross Profit

$1.4B

Previous: $1.41B-0.6%

Revenue & EPS history

L3Harris · Revenue · Quarterly

$5.52B

Q4 2024+3.4%vs Q4 2023
Beat estimate in 9 of 15 quarters(60%)
ActualEstimate

Revenue by segment

L3Harris · $3.86B total across 3 segments · Q4 2021

  • Integrated Mission Systems
    $1.56B+6.3%
  • Space & Airborne Systems
    $1.29B+2.4%
  • Communication Systems
    $1.02B-10.9%

Forward guidance

L3Harris initiated its 2025 guidance, anticipating revenue between $21.8B - $22.2B and adjusted free cash flow of $2.4B - $2.5B.

Tailwinds

  • Revenue Adjusted Segment Operating MarginSpace & Airborne Systems $6.9B - $7.1Blow 12%
  • Integrated Mission Systems $7.0B - $7.2Blow 12%
  • Communication Systems $5.6B - $5.7Bhigh 24%
  • Aerojet Rocketdyne ~$2.5Bmid 12%
  • Total Company $21.8B - $22.2Bmid - high 15%

Headwinds

  • Guidance assumes a Continuing Resolution through March of 2025 and no other funding delays or impacts.
  • The administration has issued several Executive Orders that are still being assessed but are not expected to have a significant impact on our 2025 results.
  • However, as US Government contracting officers assess the impact of Executive Orders on new contracts, we could see an effect on our Q1 2025 bookings and revenue.
  • Non-GAAP diluted EPS (Prior) $13.70 - $14.00
  • Intangible amortization, net of income taxes ~(3.15)(3.40)

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2024

Historical avgQ4 2024

+0.4%

Avg return

Earnings day

+0.7%

Avg return

5 days after

+2.0%

Avg return

30 days after

56%

39 / 70 earnings

Positive

+11.3%

Q1 2009

Best reaction

-10.1%

Q3 2011

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.3%-5.8%-2.0%
Q4 2025-0.7%-2.4%+1.2%
Q3 2025+3.0%+1.5%-2.9%
Q2 2025+0.2%+0.3%+2.2%
Q1 2025-0.0%+2.3%+9.8%
Q4 2024+0.1%-0.6%-2.8%
Q3 2024+2.8%-0.3%+1.0%
Q2 2024-3.3%-4.0%-2.7%
Q1 2024+3.3%+3.1%+7.5%
Q4 2023+2.4%+3.2%+5.0%
Q3 2023-2.7%+2.1%+8.7%
Q2 2023-5.8%-6.0%-11.5%
Q1 2023+0.3%-2.6%-8.1%
Q4 2022+7.3%+8.7%+6.3%
Q3 2022-0.5%-3.5%-8.5%
Q2 2022+7.2%+9.0%+4.5%
Q1 2022-3.7%-1.5%-0.1%
Q4 2021-4.0%-2.5%+16.0%
Q3 2021-1.2%-1.3%-4.0%
Q2 2021+1.5%+2.4%+3.6%
Q1 2021+1.2%+4.0%+4.2%
Q4 2020-1.8%+1.6%+3.0%
Q3 2020+4.6%+12.5%+19.3%
Q2 2020-3.1%-0.6%+3.8%
Q1 2020-2.3%-3.1%+6.8%
Q4 2019+1.2%+4.1%-9.2%
Q3 2019+1.6%-4.0%-0.9%
Q2 2019-1.3%+1.3%+6.2%
Q1 2019+0.8%+1.1%-3.8%
Q4 2018+0.9%-0.4%+1.2%
Q3 2018+2.1%+4.9%+4.0%
Q2 2018+0.9%-5.2%-1.6%
Q1 2018+1.4%+2.3%+4.3%
Q4 2017+0.8%+1.9%+7.4%
Q3 2017+0.4%-1.4%+3.9%
Q2 2017+0.1%-0.1%+5.2%
Q1 2017+1.0%+1.3%-1.3%
Q4 2016+2.1%+3.1%+1.2%
Q3 2016-2.2%
Q2 2016+0.8%
Q1 2016+0.0%
Q4 2015-3.7%
Q3 2015-1.3%
Q2 2015+1.2%
Q1 2015-0.2%
Q4 2014+0.2%
Q4 2013+1.2%
Q3 2014+1.2%
Q2 2014-1.0%
Q1 2014+0.2%
Q3 2013-0.6%
Q2 2013-1.9%
Q1 2013-0.9%
Q4 2012+1.6%
Q3 2012-5.8%
Q2 2012+0.3%
Q1 2012-6.3%
Q4 2011+6.1%
Q3 2011-10.1%
Q2 2011-5.0%
Q1 2011-1.1%
Q4 2008-1.9%
Q4 2010-1.9%
Q3 2009+3.4%
Q3 2010+3.4%
Q2 2010-8.3%
Q4 2009+11.3%
Q1 2010+11.3%
Q2 2009+11.3%
Q1 2009+11.3%

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