3rd quarter sales take off for missile defense company
Defense and intelligence company Raytheon, which has large operations in Goleta, reported a 4.5 percent increase in sales for the third quarter of 2017, for a net income of $572 million.
The missile systems segment led the company’s growth, with a 10 percent increase in net sales to $1.95 billion, and integrated defense systems rose 4 percent to $1.33 billion. Total revenues reached $6.3 billion, and operating expenses also edged up more than 4 percent to over $5.4 billion.
“We delivered strong bookings and solid operating performance in the third quarter,” Chairman and CE Thomas Kennedy said in a news release Oct. 26. “Global customer demand drove an increase in our backlog, which positions us well for continued growth in 2018.”
During the quarter, Raytheon spent $200 million to repurchase 1.1 million shares of its common stock, bringing it up to a total of 4.4 million shares bought back this year. It increased its financial outlook, expecting net sales between $25.3 billion to $25.6 billion for earnings per share of $7.45 to $7.55.
As of Oct. 1, the company had $2.3 billion in cash and cash equivalents, with $6.5 billion in current liabilities. Shares fell nearly 4 percent for the day, ending at $181.86.
