Cessna jets maker Textron's revenue falls on fewer deliveries

Tue Jul 28, 2015 7:38am EDT
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(Reuters) - Textron Inc (TXT.N: Quote), the maker of Beechcraft and Cessna planes, reported lower-than-expected quarterly revenue as it delivered fewer King Air Turboprops and Bell helicopters.

Revenue in Textron's aviation business, its largest, fell 5 percent to $1.12 billion in the second quarter, hurt by a change in the mix of commercial aircraft.

The business delivered 30 King Air Turboprops in the quarter ended July 4, four less than the same quarter a year earlier.

Providence, Rhode Island-based Textron also delivered six V-22's and six H-1 Bell helicopters in the quarter, down from 10 V-22's and eight H-1's last year.

The company delivered 39 commercial helicopters in the quarter, down from 46 last year, reflecting a fall in demand.

Textron, in association with Boeing Co (BA.N: Quote), is the only supplier of military tiltrotor aircraft to the U.S. government.

However, increasing pressure on the Pentagon to cut defense spending has left planemakers struggling in the United States, forcing them to turn to international markets.

The company's net income rose to $167 million, or 60 cents per share, in the second quarter ended July 4 from $144 million, or 51 cents per share, a year earlier.

Revenue fell 7.4 percent to $3.25 billion.   Continued...

A Buddha Air Beechcraft 1900D aircraft prepares to take off early morning at Kathmandu's Tribhuvan International Airport  in this April 24, 2010 file photo.  REUTERS/Tim Chong/Files