L3Harris Reports Strong Third Quarter 2019 Results with Double-Digit Revenue Growth, Margin Expansion Across all Segments and Robust Cash Flow

Revenue increased 10% for the quarter and year-to-date versus prior-year combined revenue, with double-digit growth across Integrated Mission Systems, Space and Airborne Systems and Communication Systems. GAAP EPS increased 7% for the quarter and 19% year-to-date driven by higher volume from the L3Harris merger, strong operational performance, integration savings and the gain on the sale of the Harris Night Vision business, partially offset by integration costs and a step-up in deal-related amortization. Non-GAAP EPS4 grew 26% for the quarter and 27% combined year-to-date versus prior-year combined EPS from higher volume, strong operational performance and synergy savings, partially offset by higher investments and, for the third quarter, a higher tax rate. Year-to-date combined adjusted EBIT4 margin expanded 130 bps to 16.3% and funded book-to-bill was 1.09.

Segment Results5

Integrated Mission Systems

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

($ millions)

Third Quarter

 

Year-to-Date

 

 

 

CY 2019

 

CY 2018

 

Change

 

CY 2019

 

CY 2018

 

Change

 

 

Revenue

$

1,303

 

 

$

1,186

 

 

10

%

 

$

3,916

 

 

$

3,520

 

 

11

%

 

 

Operating income

$

180

 

 

$

145

 

 

24

%

 

$

497

 

 

$

416

 

 

19

%

 

 

Operating margin

13.8

%

 

12.2

%

 

160bps

 

12.7

%

 

11.8

%

 

90bps

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


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