RTX Corp (NYSE:RTX, ETR:5UR) shares plunged after the defense and aerospace company warned that recently announced tariffs may negatively impact its full-year performance.
The company expects adjusted sales in the range of $83 billion to $84 billion and adjusted earnings per share (EPS) between $6 to $6.15 for 2025, but noted that this does not include the potential impact of tariffs.
During a post-earnings call with investors on Tuesday, management said it plans to address tariffs through pricing adjustments and operational efficiencies, though no details were provided.
"The current environment is clearly very dynamic, but our company is well-positioned to perform operationally and our teams remain focused on executing on our commitments and delivering our robust backlog,” RTX CEO Chris Calio said in a statement.
The lack of quantified guidance on the tariff impact saw shares of RTX fall 9.1% to about $115 on Tuesday morning.
For Q1, revenue was up 5% at $20.3 billion while earnings per share of $1.47 marked a 10% improvement from the year-ago quarter. Wall Street analysts had expected $19.8 billion and $1.37, respectively.