RTX announced a $1.6 billion sustainment contract for its F‑135 engines, the powerplants that drive all three variants of the F‑35 Lightning II. The multi‑year agreement covers depot‑level maintenance, spare‑parts replenishment, material management, propulsion‑system integration, engineering support, and software sustainment for U.S. and international F‑35 operators.
The award reinforces RTX’s defense portfolio and supports the company’s long‑term growth strategy. The F‑135 sustainment program is a critical component of the global F‑35 fleet, with Pratt & Whitney delivering over 1,300 engines to 20 allied nations and operating a network that spans 39 bases and 12 ships worldwide. The contract’s recurring nature provides a predictable revenue stream that aligns with RTX’s focus on high‑margin, high‑technology defense contracts.
The contract comes on the heels of RTX’s Q3 2025 earnings, in which the company reported adjusted EPS of $1.70 versus a consensus of $1.41 and revenue of $22.5 billion versus $21.27 billion. The earnings beat was driven by strong demand across defense and commercial segments, disciplined cost management, and a favorable mix of high‑margin contracts. The new sustainment award adds to the momentum, reinforcing confidence in RTX’s ability to capture recurring revenue from its core defense businesses.
Kinda Eastwood, vice president of F‑135 sustainment at Pratt & Whitney, emphasized the strategic importance of the contract: “Investing in F‑135 sustainment keeps allied forces ready to meet current and future threats. F‑35 operators worldwide depend on the F‑135 for the power and performance their missions demand, and this award helps us maintain readiness rates that enable the warfighter to accomplish their critical missions.” The quote underscores the operational value of the sustainment program and its role in maintaining the readiness of a key U.S. and allied air power asset.
The $1.6 billion contract is part of a broader trend of RTX securing large sustainment and upgrade agreements, including a $2.8 billion Lot 18 production contract in August 2025 and a $1.3 billion Engine Core Upgrade contract in September 2024. These deals illustrate RTX’s strategy of leveraging its existing sustainment infrastructure to support future engine upgrades, thereby extending the service life of the F‑135 and creating additional revenue opportunities.
Overall, the contract strengthens RTX’s position in the defense sector, provides a stable, long‑term revenue stream, and supports the company’s broader strategy of investing in high‑technology engine development and sustainment. The award is a material event that signals continued demand for RTX’s advanced propulsion solutions and reinforces the company’s long‑term growth trajectory.
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