Textron Inc. · NYSE:TXT
Textron — Q4 2015 Earnings Presentation
12 slides from Textron's earnings presentation, Jan 27, 2016
Slide 1: Q4 2015 Earnings Call Presentation
Q4 2015 Earnings Call Presentation January 27, 2016 The data in this package should be read in conjunction with the Textron earnings release and accompanying tables. Textron Inc. Q4 2015 Earnings Call Presentation; January 27, 2016
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 non-historical historical matters; or project revenues, income,
Slide 3: Key Data - Fourth Quarter, 2015
Key Data - Fourth Quarter, 2015 Q4 2015 Q4 2014 R Revenues $3 9B $3.9B $4 1B $4.1B Segment Profit $378M $398M EPS from Continuing $0.81 $0.76 Operations Manufacturing Cash Flow Before Pension $534M $449M Contributions* Pension Contributions $18M $15M * Manufacturing cash flow before pension contribu
Slide 4: Key Data – Full-Year, 2015
Key Data – Full-Year, 2015 Full-Year Full Year Full-Year Full Year 2015 2014 R Revenues $13 4B $13.4B $13 9B $13.9B Segment Profit $1,255M $1,214M EPS from Continuing $2.50 $2.15 Operations Manufacturing Cash Flow Before Pension $631M $753M Contributions* Pension Contributions $68M $76M * Manufactur
Slide 5: Textron Consolidated Net Debt
Textron Consolidated Net Debt ($ millions) ($, YE 2015 YE 2014 Cash $1,005 $822 Finance Group Fi G D Debt bt 913 1,063 1 063 Manufacturing Group Debt 2,697 2,811 Total Debt 3 610 3,610 3 874 3,874 Net Debt $2,605 $3,052 Textron Inc. Q4 2015 Earnings Call Presentation; January 27, 2016 5
Slide 6: Q4 2015 Sales Growth
Q4 2015 Sales Growth FX Organic Core Sales M&A Impact Growth Sales Growth Impact Unfav./ Before Growth ( (Fav.) ) FX Textron Aviation (2.1%) 0.4% (1.7%) - (1.7%) B ll Bell (3 4%) (3.4%) - (3 4%) (3.4%) - (3 4%) (3.4%) Textron Systems (25.4%) - (25.4%) 0.6% (24.8%) Industrial 6.4% (4.9%) 1.5% 5.8% 7.
Slide 7: Finance Segment Credit Statistics
Finance Segment Credit Statistics ($, millions) Q4 2015 Q3 2015 60+ Delinquency $69 $66 Non-accrual $84 $94 Finance Receivables $1,105 $1,155 Shareholder’s Equity* $175 $217 *Reflects dividend paid from TFC to TXT of $43M in Q4 2015 and $20M in Q3 2015 Textron Inc. Q4 2015 Earnings Call Presentation
Slide 8: Outlook – Full Year, 2016
Outlook – Full Year, 2016 EPS from Continuing Operations $2.60 - $2.80 Manufacturing Cash Flow $600M - $700M Before Pension Contributions* Pension Contributions ~$60M * Manufacturing cash flow before pension contributions is a non-GAAP measure that is defined g release. and reconciled to GAAP in our
Slide 9: Segment Outlook – Full Year, 2016
Segment Outlook – Full Year, 2016 Segment Revenue Profitability Textron Aviation ~$5.1B 8.5% – 9.0% Bell ~$3 4B ~$3.4B 10 0% – 11.0% 10.0% 11 0% Textron Systems ~$1.9B 10.0% – 10.5% Industrial ~$3.8B 9.0% – 9.5% Finance ~$80M ~$15 million Textron Inc. Q4 2015 Earnings Call Presentation; January 27,
Slide 10: Pension Outlook – Full Year, 2016
Pension Outlook – Full Year, 2016 2016E 2015 Discount Rates 4.75% 4.25% Total Pension Cost ~$85M $138M Assumed Long-Term Rate of 7.75% 7.75% Return Pension Contributions ~$60M $68M Textron Inc. Q4 2015 Earnings Call Presentation; January 27, 2016 10
Slide 11: Outlook – Full Year, 2016
Outlook – Full Year, 2016 2016E 2015 R&D ~$615M $618M % of Mfg Revenues 4.3% 4.6% CapEx ~$475M $420M Depreciation ~$435M $383M Textron Inc. Q4 2015 Earnings Call Presentation; January 27, 2016 11
Slide 12: Outlook – Full Year, 2016
Outlook – Full Year, 2016 2016E 2015 Corporate Expenses ~$155M $154M Interest Expense, net for ~$133M $130M Manufacturing group Tax Rate (from continuing ~31.0% 3 0% 28 % 28.1% operations) Textron Inc. Q4 2015 Earnings Call Presentation; January 27, 2016 12