‘Trump bump’ gives US weapons maker Raytheon a big shot in the arm
New York — Tomahawk missile maker Raytheon reported an 8% increase in fourth-quarter revenue on Thursday, benefiting from demand for more weapons from US and its allies. A lower effective tax rate in 2018 prompted the US defence contractor to forecast full-year earnings per share from continuing operations in the range of $9.55 to $9.75, much higher than the average analyst estimate of $8.87. "We are really pleased with the results we announced here for closing out ‘17, and certainly the guidance that we gave for ’18," chief financial officer Toby O’Brien said in an interview as the company reported a record $25.3bn in sales for the year. The weapons maker said its 2018 net sales would increase 4 to 6% to a range of $26.4bn-$26.9bn, against Wall Street analysts’ expectation of $26.63bn, according to Thomson Reuters I/B/E/S. The company expects 2018 operating cash flow from continuing operations to be between $3.6bn and $4bn, compared with $2.7bn in 2017. Because of a $1bn pretax dis...
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