Slide 1: Q4 2020 Earnings Call Presentation
Q4 2020 Earnings Call Presentation January 27, 2021 The data in this package should be read in conjunction with the Textron earnings release and accompanying tables.
Slide 2: Forward-Looking Information
Forward-Looking Information Certain statements in this package and other oral and written statements made by Textron from time to time are forward-looking statements, including those that discuss strategies, goals, outlook or other non-historical matters; or project revenues, income, returns or othe
Slide 3: Key Data – Q4 2020
Key Data – Q4 2020 Q4 2020 Q4 2019 Revenues $3.7B $4.0B Segment Profit $324M $340M EPS $1.03 $0.87 Adjusted EPS* $1.06 $1.11 Manufacturing Cash Flow $467M $650M Before Pension Contributions* Pension Contributions $12M $15M *Adjusted EPS and Manufacturing cash flow before pension contributions are no
Slide 4: Key Data – Full Year 2020
Key Data – Full Year 2020 Full-Year 2020 Full-Year 2019 Revenues $11.7B $13.6B Segment Profit $751M $1,270M EPS $1.35 $3.50 Adjusted EPS* $2.07 $3.74 Manufacturing Cash Flow $596M $642M Before Pension Contributions* Pension Contributions $47M $51M *Adjusted EPS and Manufacturing cash flow before pen
Slide 5: Textron Consolidated Net Debt
Textron Consolidated Net Debt ($ amounts in millions) Full-Year 2020 Full-Year 2019 Cash $2,254 $1,357 Finance Group Debt 662 686 TXT Mfg. Group Debt 3,707 3,124 Total Debt 4,369 3,810 Net Debt $2,115 $2,453 Textron Inc. Q4 2020 Earnings Call Presentation; January 27, 2021 5
Slide 6: Q4 2020 Revenue Growth
Q4 2020 Revenue Growth Organic Revenue Organic FX Impact Growth Growth Growth Un(Fav) Before FX Textron Aviation (9.8%) (9.8%) - (9.8%) Bell (9.4%) (9.4%) - (9.4%) Textron Systems (10.5%) (10.5%) - (10.5%) Industrial (6.6%) (6.6%) (1.4%) (8.0%) Manufacturing (9.0%) (9.0%) (0.3%) (9.3%) Finance (31.6
Slide 7: Finance Segment Key Statistics
Finance Segment Key Statistics Q4 2020 Q3 2020 60+ Delinquency $29M $33M Non-accrual $93M $58M Finance Receivables $779M $725M Shareholders’ Equity $165M $164M Textron Inc. Q4 2020 Earnings Call Presentation; January 27, 2021 7
Slide 8: Outlook – Full Year 2021
Outlook – Full Year 2021 Adjusted EPS* $2.70 - $2.90 Manufacturing Cash Flow $600M - $700M Before Pension Contributions* Pension Contributions ~$50M *Adjusted EPS and Manufacturing cash flow before pension contributions are non-GAAP measures that are defined and reconciled to GAAP in our earnings re
Slide 9: Segment Outlook – Full Year 2021
Segment Outlook – Full Year 2021 Segment Revenue Profitability Textron Aviation ~$4.5B ~5.5% Bell ~$3.1B ~12.5% Textron Systems ~$1.4B ~12.5% Industrial ~$3.4B ~6.0% Finance ~$50M ~$10M Textron Inc. Q4 2020 Earnings Call Presentation; January 27, 2021 9
Slide 10: Pension Outlook – Full Year 2021
Pension Outlook – Full Year 2021 2021E 2020 Discount Rates – U.S. Plans 2.70% 3.45% Total Pension Cost/(Income) ~($30M) ~$33M Assumed Long-Term Rate of 7.25% 7.75% Return Pension Contributions ~$50M $47M Textron Inc. Q4 2020 Earnings Call Presentation; January 27, 2021 10
Slide 11: Outlook – Full Year 2021
Outlook – Full Year 2021 ($ amounts in millions) 2021E 2020 Research & Development ~$600 $549 % of Mfg Revenues 4.7% 4.7% CapEx ~$400 $317 Depreciation ~$360 $325 Textron Inc. Q4 2020 Earnings Call Presentation; January 27, 2021 11
Slide 12: Outlook – Full Year 2021
Outlook – Full Year 2021 ($ amounts in millions) 2021E 2020 Corporate Expenses ~$120 $122 Interest Expense, net for ~$135 $145 Manufacturing Group Income Tax Rate (from ~18.0% (9.6%) continuing operations) Textron Inc. Q4 2020 Earnings Call Presentation; January 27, 2021 12
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