txt-20260404

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 10-Q

(Mark One)


☒			QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended April 4, 2026


☐			TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from ______ to ______.

Commission File Number 1-5480

Textron Inc.

(Exact name of registrant as specified in its charter)


Delaware						05-0315468
(State or other jurisdiction of incorporation or organization)						(I.R.S. Employer Identification No.)

40 Westminster Street, Providence, RI						02903
(Address of principal executive offices)						(Zip code)

(401) 421-2800

(Registrant’s telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:


Title of each class	Trading Symbol (s)	Name of each exchange on which registered
Common stock, $0.125 par value	TXT	New York Stock Exchange (NYSE)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes þ No ¨

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes þ No ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act (Check one):

Large accelerated filer

Accelerated filer

☐

Non-accelerated filer

☐

Smaller reporting company

☐

Emerging growth company

☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.¨

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No þ

As of April 17, 2026, there were 173,888,981 shares of common stock outstanding.

Table of Contents

TEXTRON INC.

Index to Form 10-Q

For the Quarterly Period Ended April 4, 2026


		Page
PART I.	FINANCIAL INFORMATION

Item 1.	Financial Statements

	Consolidated Statements of Operations (Unaudited)	3

	Consolidated Statements of Comprehensive Income (Unaudited)	4

	Consolidated Balance Sheets (Unaudited)	5

	Consolidated Statements of Cash Flows (Unaudited)	6

	Notes to the Consolidated Financial Statements (Unaudited)	8

	Note 1. Basis of Presentation	8
	Note 2. Accounts Receivable and Finance Receivables	8
	Note 3. Inventories	10
	Note 4. Accounts Payable and Warranty Liability	10
	Note 5. Leases	10
	Note 6 . Derivative Instruments and Fair Value Measurements	11
	Note 7 . Shareholders’ Equity	12
	Note 8 . Segment Financial Information	13
	Note 9 . Revenues	15
	Note 1 0 . Share-Based Compensation	16
	Note 11. Retirement Plans	18
	Note 1 2 . Income Taxes	18
	Note 1 3 . Commitments and Contingencies	18

Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	20

Item 3.	Quantitative and Qualitative Disclosures about Market Risk	27

Item 4.	Controls and Procedures	28

PART II.	OTHER INFORMATION



Item 1A.	Risk Factors	29

Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	29

Item 5.	Other Information	29

Item 6.	Exhibits	29

	Signatures	30

Table of Contents

PART I. FINANCIAL INFORMATION

Item 1. Financial Statements

TEXTRON INC.

Consolidated Statements of Operations (Unaudited)


	Three Months Ended
(In millions, except per share amounts)		April 4, 2026		March 29, 2025
Revenues
Manufacturing product revenues		$	3,157	$	2,771
Manufacturing service revenues		522		519
Finance revenues		16		16
Total revenues		3,695		3,306
Costs, expenses and other
Cost of products sold		2,624		2,277
Cost of services sold		399		395
Research and development costs		120		132
Selling and administrative expense		321		298
Interest expense, net		34		29

Non-service components of pension and postretirement income, net		(70)		(66)

Total costs, expenses and other		3,428		3,065
Income before income taxes		267		241
Income tax expense		47		34


Net income		$	220	$	207
Earnings per share
Basic		$	1.26	$	1.14



Diluted		$	1.25	$	1.13

See Notes to the Consolidated Financial Statements.

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TEXTRON INC.

Consolidated Statements of Comprehensive Income (Unaudited)


	Three Months Ended
(In millions)		April 4, 2026		March 29, 2025
Net income		$	220	$	207
Other comprehensive income (loss), net of tax
Pension and postretirement benefits adjustments, net of reclassifications		1		—
Foreign currency translation adjustments		(15)		40
Deferred losses on hedge contracts, net of reclassifications		(4)		(1)
Total other comprehensive income (loss), net of tax		(18)		39
Comprehensive income		$	202	$	246

See Notes to the Consolidated Financial Statements.

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TEXTRON INC.

Consolidated Balance Sheets (Unaudited)


(Dollars in millions)	April 4, 2026		January 3, 2026
Assets
Manufacturing group
Cash and equivalents	$	1,509	$	1,940
Accounts receivable, net	885		823
Inventories	4,560		4,278
Other current assets	1,007		872
Total current assets	7,961		7,913
Property, plant and equipment, less accumulated depreciation and amortization of $5,841 and $5,784, respectively	2,572		2,590
Goodwill	2,317		2,321
Other assets	4,607		4,628
Total Manufacturing group assets	17,457		17,452
Finance group
Cash and equivalents	101		85
Finance receivables, net	580		574
Other assets	3		18
Total Finance group assets	684		677
Total assets	$	18,141	$	18,129
Liabilities and shareholders’ equity
Liabilities
Manufacturing group
Current portion of long-term debt	$	355	$	5
Accounts payable	1,288		1,185
Other current liabilities	3,042		3,163
Total current liabilities	4,685		4,353
Other liabilities	1,960		1,980
Long-term debt	3,111		3,534
Total Manufacturing group liabilities	9,756		9,867
Finance group
Other liabilities	44		48
Debt	339		339
Total Finance group liabilities	383		387
Total liabilities	10,139		10,254
Shareholders’ equity
Common stock	22		22
Capital surplus	2,091		1,995
Treasury stock	(223)		(55)
Retained earnings	6,001		5,784
Accumulated other comprehensive income	111		129
Total shareholders’ equity	8,002		7,875
Total liabilities and shareholders’ equity	$	18,141	$	18,129
Common shares outstanding (in thousands)	173,859		174,310

See Notes to the Consolidated Financial Statements.

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TEXTRON INC.

Consolidated Statements of Cash Flows (Unaudited)

For the Three Months Ended April 4, 2026 and March 29, 2025, respectively


	Consolidated
(In millions)	2026		2025
Cash flows from operating activities
Net income	$	220	$	207
Adjustments to reconcile net income to net cash used in operating activities:
Non-cash items:
Depreciation and amortization	96		92
Deferred income taxes	44		(22)


Other, net	42		41
Changes in assets and liabilities:
Accounts receivable, net	(61)		16
Inventories	(289)		(183)
Other assets	(104)		(136)
Accounts payable	162		171
Other liabilities	(148)		(282)
Income taxes, net	(5)		39
Pension, net	(60)		(59)
Captive finance receivables, net	(13)		(13)
Other operating activities, net	(1)		5


Net cash used in operating activities	(117)		(124)
Cash flows from investing activities
Capital expenditures	(133)		(56)
Net proceeds from corporate-owned life insurance policies	1		31

Proceeds from sale of property, plant and equipment	2		—

Finance receivables repaid	7		9
Finance receivables originated	(9)		—
Proceeds from the disposition of non-captive assets	24		—
Other investing activities, net	4		15
Net cash used in investing activities	(104)		(1)
Cash flows from financing activities

Net proceeds from long-term debt	—		495


Principal payments on long-term debt and nonrecourse debt	(74)		(355)
Purchases of Textron common stock	(168)		(215)
Proceeds from stock options exercised	56		6
Dividends paid	(3)		(3)
Other financing activities, net	(4)		(6)
Net cash used in financing activities	(193)		(78)
Effect of exchange rate changes on cash and equivalents	(1)		7
Net decrease in cash and equivalents	(415)		(196)
Cash and equivalents at beginning of period	2,025		1,441
Cash and equivalents at end of period	$	1,610	$	1,245

SEC Form 10-Q filed by Textron Inc.