v3.26.1
Segment Financial Information
 6 Months Ended
Jul. 04, 2026
Segment Reporting [Abstract]  
Segment Financial Information Segment Financial Information
We operate in, and report financial information for, the following five operating segments: Textron Aviation, Bell, Textron Systems, Industrial and Finance. Effective January 4, 2026, the beginning of our 2026 fiscal year, the business activities of the Textron eAviation segment were realigned within Textron's other operating segments resulting in the elimination of the Textron eAviation segment as a separate reporting segment. Under the segment realignment, a significant part of Textron eAviation, including Pipistrel, became part of the Textron Aviation segment to enable the business to more effectively leverage the development, manufacturing and sales expertise at Textron Aviation. In addition, Textron eAviation’s manned and unmanned products for military applications and related research and development activities are included in the results of the Textron Systems segment, which is best suited to provide more direct access to the targeted customer base for these products. Lastly, certain Textron eAviation research and development activities encompassing digital flight control and air vehicle management systems, which we expect will benefit several of our segments, are reported within corporate expenses. The prior period has been recast to reflect the segment realignment.
On April 30, 2026, Textron announced its intent to separate its Industrial segment from the Company. The Company intends to explore multiple paths to effect the planned separation of its Industrial segment, including but not limited to a sale of the Industrial businesses or a tax-free separation into a standalone, publicly traded company. The Company is targeting completion of the separation within 12 to 18 months from the original announcement, subject to the satisfaction of certain conditions customary for such a proposed separation, including receipt of any required regulatory approvals and final approval of the Company’s Board of Directors. There can be no assurance regarding the ultimate timing or structure of the proposed separation or that a transaction will be completed.
Segment profit for the manufacturing segments excludes the non-service components of pension and postretirement income, net; LIFO inventory provision; intangible asset amortization; interest expense, net for Manufacturing group; certain corporate expenses; gains/losses on major business dispositions; and special charges. The measurement for the Finance segment includes interest income and expense along with intercompany interest income and expense.
Our revenues and expenses by segment are provided below:
(In millions)Textron AviationBellTextron SystemsIndustrialFinanceTotal
Three months ended July 4, 2026
Revenues$1,544 $1,074 $347 $848 $14 $3,827 
Costs and expenses:
Cost of sales1,204 917 267 697 — 3,085 
Research and development costs58 27 10 19 — 114 
Selling and administrative expense117 55 26 73 — 271 
Interest expense, net— — — — 4 4 
Segment profit$165 $75 $44 $59 $10 $353 
Three months ended June 28, 2025
Revenues$1,522 $1,016 $324 $839 $15 $3,716 
Costs and expenses:
Cost of sales1,178 841 244 698 — 2,961 
Research and development costs59 38 16 20 — 133 
Selling and administrative expense115 57 24 67 2 265 
Interest expense, net— — — — 5 5 
Segment profit$170 $80 $40 $54 $8 $352 
Six months ended July 4, 2026
Revenues$3,029 $2,144 $685 $1,634 $30 $7,522 
Costs and expenses:
Cost of sales2,357 1,821 525 1,358 — 6,061 
Research and development costs114 64 19 35 — 232 
Selling and administrative expense239 112 55 142 (1)547 
Interest expense, net— — — — 9 9 
Segment profit$319 $147 $86 $99 $22 $673 
Six months ended June 28, 2025
Revenues$2,738 $1,999 $623 $1,631 $31 $7,022 
Costs and expenses:
Cost of sales2,111 1,644 465 1,376 — 5,596 
Research and development costs119 77 26 34 — 256 
Selling and administrative expense216 108 54 137 4 519 
Interest expense, net— — — — 9 9 
Segment profit$292 $170 $78 $84 $18 $642 
A reconciliation of segment profit to income before income taxes is presented below:
Three Months EndedSix Months Ended
(In millions)July 4,
2026		June 28,
2025		July 4,
2026		June 28,
2025
Segment profit$353 $352 $673 $642 
Unallocated amounts:
Corporate expenses and other, net(42)(42)(89)(95)
Interest expense, net for Manufacturing group(29)(26)(58)(51)
LIFO inventory provision(41)(38)(80)(67)
Intangible asset amortization(7)(8)(15)(16)
Special charges— (4)— (4)
Non-service components of pension and postretirement income, net70 67 140 133 
Income before income taxes$304 $301 $571 $542 
Other information by segment is provided below:
Capital ExpendituresDepreciation and Amortization
Three Months EndedSix Months EndedThree Months EndedSix Months Ended
(In millions)July 4,
2026		June 28,
2025		July 4,
2026		June 28,
2025		July 4,
2026		June 28,
2025		July 4,
2026		June 28,
2025
Textron Aviation$32 $37 $64 $63 $39 $42 $80 $81 
Bell30 18 102 33 24 28 48 50 
Textron Systems16 8 22 13 11 12 23 24 
Industrial16 15 37 25 18 17 35 34 
Corporate1 — 3 — 2 1 4 3 
Total$95 $78 $228 $134 $94 $100 $190 $192 
Our assets by segment are summarized below:
(In millions)July 4,
2026		January 3,
2026
Textron Aviation$5,214 $5,103 
Bell3,445 3,132 
Textron Systems2,251 2,224 
Industrial2,386 2,305 
Finance699 677 
Corporate4,139 4,688 
Total assets$18,134 $18,129