L3Harris Reports Strong Q3 2026 Results, Record Backlog and Raises Full-Year Guidance

Executive Summary

On October 29, 2026, L3Harris Technologies, Inc. (NYSE: LHX) filed a Form 8-K under Item 2.02 reporting its third-quarter 2026 financial results, which included record order momentum, double-digit earnings expansion, and an increase to full-year guidance.

Key Financial Highlights

• Revenue: Reached $6.06 billion (rounded to $6.1 billion in the release), up 7% year-over-year (up 9% on an organic basis), driven by double-digit expansion across Space & Mission Systems and Missile Solutions.
• Profitability: Operating income climbed 27% to $786 million, expanding operating margin by 200 bps to 13.0%. Segment operating margin remained solid at 15.9%.
• Diluted EPS: GAAP EPS increased 33% to $3.28 compared to $2.47 in Q3 2025, benefiting from volume growth, operational cost discipline, lower interest expenses, and a reduced effective tax rate.
• Order Inflow & Record Backlog: Orders reached $19.3 billion during the quarter, bringing total backlog to a record $53.2 billion with an overall book-to-bill ratio of 3.2x (led by Missile Solutions at 11.8x and Communications & Spectrum Dominance at 1.9x).
• Cash Flow: Generated operating cash flow of $1.4 billion and free cash flow of $1.3 billion, a 195% increase year-over-year.

Guidance Update

• Revenue: Increased the lower bound to a new range of $23.5B–$23.7B (previously $23.2B–$23.7B).
• GAAP Diluted EPS: Raised guidance to $12.25–$12.35 per share (previously $11.80–$12.00).
• Free Cash Flow: Reaffirmed full-year target of approximately $3.0 billion.

Major Business Wins & Developments

• Awarded a $6.3 billion, 7-year undefinitized contract to scale THAAD propulsion production.
• Awarded a $4.7 billion, 7-year undefinitized contract to expand PAC-3 MSE interceptor propulsion capacity.
• Received $250 million follow-on standard-range GMLRS rocket motor contract.
• Captured over $500 million in VAMPIRE counter-unmanned aerial systems (C-UAS) orders.