Free cash flow remains volatile due to operational remediation costs, with quarterly figures swinging from a negative $288 million in 2024Q1 to a peak of $4.0 billion in 2025Q3.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Cash from Operations | 11.12B | 10.57B | 7.16B | 7.88B | 7.17B | 7.07B | 3.61B | 8.88B | 6.32B | 5.63B | 3.88B | 6.33B | 7.34B | 6.88B | 6.65B | 6.59B | 5.91B | 5.35B | 6.16B | 5.33B | 4.8B | 4.33B | 3.7B | 2.88B | 2.85B | 2.88B | 2.5B | 4.47B | 2.51B | 2.13B | 2.1B |
| Operating CF Margin % | - | 11.93% | 8.87% | 11.44% | 10.69% | 10.99% | 6.36% | 19.57% | 9.51% | 9.42% | 6.76% | 11.23% | 12.65% | 10.98% | 11.52% | 11.84% | 10.9% | 10.18% | 10.42% | 9.89% | 10.19% | 10.25% | 10.08% | 9.26% | 10.11% | 10.34% | 9.42% | 18.74% | 11.01% | 10.12% | 9.19% |
| Operating CF Growth % | 209.59% | 47.6% | -9.18% | 9.97% | 1.37% | 96.09% | -59.41% | 40.51% | 12.27% | 45.13% | -38.67% | -13.77% | 6.67% | 3.48% | 0.85% | 11.58% | 10.33% | -13.11% | 15.59% | 10.97% | 10.82% | 17.17% | 28.66% | 0.77% | -1.11% | 15.26% | -43.99% | 78.12% | 17.74% | 1.72% | 2.5% |
| Net Income | 7.26B | 7.07B | 5.01B | 3.19B | 5.33B | 4.14B | -2.93B | 5.95B | 5.65B | 4.92B | 5.44B | 4.36B | 6.62B | 6.07B | 5.2B | 5.37B | 4.71B | 4.18B | 4.69B | 4.22B | 3.73B | 3.07B | 2.79B | 2.36B | 2.24B | 1.94B | 1.81B | 1.53B | 1.25B | 1.07B | 906M |
| Depreciation & Amortization | 4.4B | 4.38B | 4.36B | 4.21B | 4.11B | 4.56B | 4.16B | 3.78B | 2.43B | 2.14B | 1.96B | 1.86B | 1.91B | 1.82B | 1.52B | 1.35B | 1.36B | 1.26B | 1.32B | 1.17B | 1.03B | 984M | 978M | 799M | 727M | 905M | 859M | 844M | 854M | 848M | 853M |
| Stock-Based Compensation | 540M | 1.09B | 437M | 425M | 420M | 442M | 330M | 356M | 251M | 192M | 152M | 158M | 240M | 275M | 210M | 229M | 154M | 153M | 211M | 198M | 180M | 153M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | 748M | 789M | -47M | -402M | -1.66B | -88M | -99M | 669M | 735M | 62M | 398M | 662M | 376M | 242M | 120M | 331M | 413M | 451M | 45M | 58M | -214M | 262M | 209M | 254M | 318M | -5M | 108M | 4M | -252M | -526M | 0 |
| Other Non-Cash Items | 513M | -1.49B | -1.52B | -1.06B | -1.55B | -1.71B | 1.34B | -1.64B | -2B | 0 | -2.91B | 134M | -563M | -1.34B | -511M | -273M | -1.25B | -1.75B | 125M | -355M | -119M | 303M | 2.6B | 1.77B | 1.69B | 265M | 49M | -74M | 282M | 376M | 86M |
| Working Capital Changes | -2.68B | -1.27B | -1.08B | 1.51B | 522M | -278M | 811M | -231M | -755M | -1.68B | -1.16B | -847M | -1.25B | -199M | 103M | -418M | 525M | 1.06B | -230M | 32M | 191M | -437M | -87M | 56M | 116M | -218M | -418M | 604M | 285M | 242M | 250M |
| Change in Receivables | -3.02B | -5.88B | -175M | -1.8B | 437M | -570M | 1.32B | 419M | -2.43B | -448M | -941M | -438M | 7M | -531M | -165M | -729M | -319M | 955M | -491M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Inventory | -532M | -532M | -1.47B | -1.1B | -1.57B | 163M | 412M | -1.22B | -537M | -1.07B | -719M | -844M | -1.09B | -1.1B | -539M | -314M | -244M | 695M | -562M | -1.11B | -789M | -430M | -144M | 77M | 327M | -154M | -184M | 331M | -99M | 174M | -364M |
| Change in Payables | 1.87B | 0 | 1.51B | 4.02B | 2.08B | -1.24B | -2.05B | 797M | 2B | 1.57B | 450M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Investing | -1.2B | -1.26B | -1.53B | -3.04B | -2.83B | -1.36B | 3.1B | -3.09B | -16.97B | -3.02B | -2.5B | 6.47B | -2.31B | -1.11B | -15.82B | -707M | -3.19B | -1.1B | -2.34B | -3.18B | -1.26B | -4.65B | -1.76B | -1.76B | -1.09B | -1.28B | -2.1B | -4.41B | -2.27B | -1.19B | -802M |
| Capital Expenditures | -2.76B | -2.63B | -3.24B | -3.17B | -2.77B | -2.32B | -1.97B | -2.61B | -2.3B | -2.39B | -2.08B | -2.09B | -2.3B | -2.41B | -2.93B | -983M | -865M | -826M | -1.22B | -1.15B | -954M | -929M | -795M | -530M | -586M | -793M | -937M | -4.31B | -2.11B | -1.43B | -794M |
| CapEx % of Revenue | 3.05% | 2.96% | 4.01% | 4.59% | 4.14% | 3.61% | 3.47% | 5.74% | 3.46% | 4% | 3.62% | 3.71% | 3.97% | 3.85% | 5.08% | 1.77% | 1.6% | 1.57% | 2.06% | 2.14% | 2.02% | 2.2% | 2.17% | 1.71% | 2.08% | 2.84% | 3.52% | 18.07% | 9.25% | 6.78% | 3.48% |
| Acquisitions | 1.19B | 0 | 0 | 6M | 28M | 791M | 5.34B | 82M | -14.29B | 435M | -499M | -338M | -58M | 1.41B | -15.6B | 140M | -2.55B | -545M | 337M | -1.74B | -460M | -3.75B | -1.05B | -1.08B | -376M | -422M | -1.17B | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 454M | 1.36B | 1.7B | 12M | 94M | 25M | -332M | -245M | 467M | 232M | 264M | 9.03B | -72M | 23M | 2.74B | 136M | 228M | 267M | -205M | -290M | 153M | 35M | 81M | -149M | -126M | -62M | 4M | -102M | -162M | 242M | -8M |
| Cash from Financing | -8.27B | -7.49B | -6.62B | -4.53B | -5.86B | -6.68B | -5.27B | -4.56B | 7.96B | -993M | -1.19B | -10.79B | -4.26B | -5.94B | 8.02B | -4B | -3.15B | -4.19B | -2.24B | -1.96B | -3.34B | 335M | -1.4B | -1.7B | -1.25B | -769M | -582M | 375M | -341M | -1.27B | -1.05B |
| Debt Issued (Net) | -3.94B | -3.43B | -2.5B | 11.9B | 487M | -305M | -16.12B | -1.82B | 10.45B | 3.08B | 3.69B | 775M | -552M | -2.89B | 9.84B | 5M | 470M | -1.74B | 2.29B | 893M | -533M | 2.11B | 42M | -806M | -88M | 85M | 360M | 1.35B | 549M | -105M | -341M |
| Equity Issued (Net) | 0 | -50M | -444M | -12.87B | -2.8B | -2.33B | -47M | -151M | -325M | -1.45B | -2.25B | -8.9B | -1.5B | -1.2B | 0 | -2.17B | -2.2B | -758M | -3B | -1.59B | -1.72B | -899M | -649M | -70M | -517M | -375M | -362M | -468M | -430M | -706M | -363M |
| Dividends Paid | -3.65B | -3.57B | -3.22B | -3.24B | -3.13B | -2.96B | -2.73B | -2.44B | -2.17B | -2.07B | -2.07B | -2.18B | -2.05B | -1.91B | -1.75B | -1.6B | -1.48B | -1.36B | -1.21B | -1.08B | -951M | -832M | -660M | -533M | -462M | -423M | -580M | -512M | -453M | -430M | -356M |
| Share Repurchases | 0 | -50M | -444M | -12.87B | -2.8B | -2.33B | -47M | -151M | -325M | -1.45B | -2.25B | -10B | -1.5B | -1.2B | 0 | -2.17B | -2.2B | -1.1B | -3.16B | -2B | -2.07B | -1.18B | -992M | -401M | -700M | -599M | -800M | -822M | -650M | -849M | -459M |
| Other Financing | -679M | -433M | -452M | -317M | -415M | -1.1B | 13.62B | -155M | 13M | -545M | -551M | -476M | -147M | 56M | -70M | -233M | 59M | -340M | -322M | -182M | -136M | -40M | -32M | -287M | -184M | -56M | 0 | 0 | -1M | -72M | -25M |
| Net Change in Cash | 1.68B | 1.86B | -1.02B | 335M | -1.56B | -979M | 1.41B | 1.21B | -2.81B | 1.83B | 69M | 1.63B | 5.49B | 4.62B | 4.84B | 1.88B | -366M | 122M | 1.42B | 358M | 299M | -18M | 642M | -457M | 522M | 810M | -209M | 407M | -105M | -372M | 227M |
| Free Cash Flow | 8.36B | 7.94B | 4.53B | 4.72B | 4.39B | 4.75B | 1.64B | 6.28B | 4.02B | 3.24B | 1.8B | 4.24B | 5.03B | 4.47B | 3.71B | 5.61B | 5.04B | 4.53B | 4.95B | 4.18B | 3.85B | 3.4B | 2.9B | 2.35B | 2.27B | 2.09B | 1.57B | 160M | 402M | 704M | 1.3B |
| FCF Margin % | 9.25% | 8.96% | 5.62% | 6.84% | 6.55% | 7.38% | 2.89% | 13.82% | 6.05% | 5.41% | 3.14% | 7.52% | 8.68% | 7.13% | 6.44% | 10.07% | 9.3% | 8.61% | 8.36% | 7.75% | 8.17% | 8.05% | 7.91% | 7.56% | 8.04% | 7.5% | 5.89% | 0.67% | 1.76% | 3.34% | 5.71% |
| FCF Growth % | 61.78% | 75.12% | -3.88% | 7.38% | -7.5% | 189.75% | -73.88% | 56.12% | 24.19% | 79.73% | -57.49% | -15.8% | 12.65% | 20.27% | -33.76% | 11.23% | 11.35% | -8.45% | 18.39% | 8.52% | 13.04% | 17.25% | 23.84% | 3.44% | 8.37% | 33.59% | 878.75% | -60.2% | -42.9% | -45.89% | 22.74% |
| FCF per Share | 6.13 | 5.85 | 3.37 | 3.29 | 2.96 | 3.15 | 1.21 | 7.26 | 4.96 | 4.05 | 2.18 | 4.80 | 5.52 | 4.88 | 4.10 | 6.18 | 5.46 | 4.87 | 5.17 | 4.22 | 3.83 | 3.36 | 2.87 | 2.31 | 2.24 | 2.07 | 1.54 | 0.16 | 0.45 | 0.77 | 1.37 |
| FCF Conversion (FCF/Net Income) | 1.15x | 1.57x | 1.50x | 2.47x | 1.38x | 1.83x | -1.02x | 1.60x | 1.20x | 1.24x | 0.77x | 0.83x | 1.18x | 1.20x | 1.30x | 1.32x | 1.35x | 1.40x | 1.31x | 1.26x | 1.29x | 1.41x | 1.38x | 1.22x | 1.28x | 1.49x | 1.38x | 2.92x | 2.00x | 1.99x | 2.31x |
| Interest Paid | 0 | 0 | 1.94B | 1.46B | 1.26B | 1.34B | 1.63B | 1.8B | 1.03B | 974M | 1.16B | 1.06B | 1.08B | 1.04B | 725M | 642M | 753M | 704M | 659M | 629M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 1.18B | 1.53B | 2.4B | 1.12B | 1.72B | 1.77B | 1.71B | 1.33B | 4.1B | 2.06B | 2.02B | 2.79B | 1.77B | 1.43B | 1.22B | 1.4B | 1.91B | 1.82B | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
GTF engine remediation costs
According to recent quarterly filings, the relationship between net income and operating cash flow remains highly volatile, with the OCF/NI ratio swinging from a low of 0.20 in 2024Q1 to a peak of 24.62 in 2024Q2, highlighting significant timing mismatches in cash realization.
The extreme variance in the OCF/NI ratio suggests that headline net income is a poor proxy for the company's immediate cash-generating capacity. Investors should monitor whether these fluctuations are purely timing-related or if they reflect underlying difficulties in converting long-term service contract accruals into actual cash inflows.
As reported in financial statements, RTX's free cash flow trajectory has been inconsistent, ranging from a negative $288 million in 2024Q1 to a robust $4.0 billion in 2025Q3, reflecting the heavy impact of non-recurring charges and operational remediation costs on core cash generation.
The erratic FCF margins suggest that the company's cash flow profile is currently sensitive to the timing of GTF engine inspections and related remediation expenses. This instability warrants further investigation into whether the business can achieve a more predictable cash conversion cycle as the current engine fleet issues are resolved.
Based on RTX's reported figures, working capital changes have frequently acted as a significant drain on cash, including a $2.3 billion outflow in 2025Q2, which appears to be driven by the inventory and supply chain pressures inherent in managing complex aerospace manufacturing cycles.
The recurring negative working capital swings suggest that the company is forced to tie up substantial liquidity to support its production and service obligations. This dynamic may indicate that the firm's cash flow is structurally tethered to the efficiency of its supply chain and the timing of government contract payments.
Data from recent cash flow statements indicates that RTX has maintained a consistent dividend payout, totaling over $900 million per quarter in recent periods, even as the company navigates significant cash outflows related to engine remediation and strategic acquisitions like the $1.2 billion outlay in 2025Q3.
Management's commitment to shareholder returns appears to be prioritized alongside necessary reinvestment, though the sustainability of this balance may be tested if operational cash flow remains volatile. Investors should monitor whether the current pace of capital deployment leaves sufficient cushion for unforeseen technical or regulatory contingencies.
Quick answers to the most common questions about buying RTX stock.
RTX Corporation (RTX) generated $10.57B in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
RTX Corporation (RTX) generated $7.94B in free cash flow in 2025. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
RTX Corporation (RTX) spent $2.63B on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, RTX Corporation (RTX) returned $3.57B to shareholders via cash dividends and spent $50.0M on share repurchases. This shows the company's commitment to returning capital to its equity investors.