L3Harris Technologies (NYSE:LHX) Surpasses Earnings and Revenue Estimates

• L3Harris Technologies (NYSE:LHX) reported a higher-than-expected EPS of $3.34, beating the Zacks Consensus Estimate.
• The company's revenue for the quarter was $5.29 billion, indicating growth from the previous year.
• LHX has revised its 2024 profit and revenue forecasts upwards, reflecting strong defense spending and global security concerns.

L3Harris Technologies (NYSE:LHX) is a prominent player in the aerospace and defense industry, known for its advanced technology solutions. The company competes with other major defense contractors like Lockheed Martin, RTX, and Northrop Grumman. LHX recently reported its third-quarter earnings for 2024, showcasing its financial performance and operational efficiency.

On October 24, 2024, LHX reported earnings per share (EPS) of $3.34, surpassing the estimated $3.25. This result also exceeded the Zacks Consensus Estimate of $3.27, marking a positive surprise of 2.14%. Compared to the same quarter last year, where EPS was $3.19, LHX demonstrated growth. This consistent outperformance over the past four quarters highlights the company's strong financial health.

Despite the earnings beat, LHX's revenue for the quarter was $5.29 billion, slightly above the estimated $5.28 billion. However, it fell short of the Zacks Consensus Estimate by 0.45%. Nevertheless, this revenue figure represents growth from the $4.92 billion reported in the same period last year. LHX has managed to surpass consensus revenue estimates twice in the last four quarters, indicating a positive trend.

L3Harris has adjusted its annual profit and revenue forecasts, driven by strong defense spending and global security concerns. The company now expects its 2024 adjusted profit to be between $12.95 and $13.15 per share, up from the previous estimate. Revenue expectations have also been revised to a range of $21.1 billion to $21.3 billion. This announcement led to a 3.6% rise in LHX shares after the bell, as highlighted by Reuters.

LHX's financial metrics provide further insights into its valuation. The company's price-to-earnings (P/E) ratio is approximately 38.92, indicating the price investors are willing to pay for each dollar of earnings. The price-to-sales ratio stands at about 2.23, suggesting the market values its sales at over twice its revenue. With a debt-to-equity ratio of approximately 0.70, LHX maintains a moderate level of debt relative to equity, reflecting a balanced financial structure.