WASHINGTON - Raytheon Technologies will cut 15,000 staff and 4,000 contractor positions, largely at the company’s Pratt & Whitney and Collins Aerospace divisions, due to decreased commercial aerospace sales from COVID-19 pandemic, CEO Greg Hayes said Tuesday on the company’s earnings call, Joe Gould reports for Defense News. Continue reading original article.
The Intelligent Aerospace take:
October 28, 2020 -While Raytheon Technologies reported having a backlog of military work, slumping commercial demand brought about by the COVID-19 pandemic saw the company take hits in their Collins Aerospace and Pratt & Whitney divisions. Collins turned a profit, though it was down 94% compared to the quarter the prior year. Pratt & Whitney had an operating loss of $43 million, down 108% from the same quarter last year.
"We delivered sales that were in line with our expectations as well as better than expected adjusted EPS and free cash flow during the quarter as we achieved approximately $700 million of cost reduction and $1.9 billion of cash conservation actions, which was significantly better than our plan. We are delivering on our commitments to customers while taking the necessary actions that will equip us to weather the current environment and emerge as a stronger business," said Raytheon Technologies Chief Executive Officer Greg Hayes. "The long-term business fundamentals and earnings power of Raytheon Technologies remain strong with our balanced portfolio, leading businesses and advanced technologies that combine the best of commercial aerospace and defense."
Jamie Whitney, Associate Editor