“Looking beyond our strong 2025 guide, the current backdrop supports sustained backlog strength with improved U.S. and international budget opportunities. This provides a line of sight to stronger sales growth rates through 2027 than previously expected.”

In context

“incremental capability releases. Second, the outlook assumes a certain level of tariff impact as we expect to mitigate potential cost increases and offset cash timing pressures. We continue to work closely with our customers on this and will provide updates during the course of the year if we see further impacts on our business despite those efforts. Third, our guide accommodates the direct program impacts of the ENGAT announcement on 2025 quarter sales, profit, and cash flow. As you would expect, we are currently evaluating the broader business implications and will have more to share when we report on our second quarter results. Lastly, we assume our programs are funded in a timely manner to support operational needs and the outlook does not include a pension contribution for this year. Looking beyond our strong 2025 guide, the current backdrop supports sustained backlog strength with improved U.S. and international budget opportunities. This provides a line of sight to stronger sales growth rates through 2027 than previously expected. This steady top-line growth combined with operational improvements are expected to provide a solid foundation for consistent free cash flow generation. That enables our capital deployment priorities over the next three years. Namely to invest over $10 billion in R&D and capital expenditures, and return at least $18 billion to shareholders via dividends and repurchases, all while continuing to fund required pension contributions. In summary, on Chart ten, we're off to a solid start in 2025 and have a strong focus on operational excellence to ensure we deliver on our customer and programmatic requirements while also building momentum towards delivering our full-year guidance. In parallel, we remain committed to investing for the future and creating long-term value for our customers and shar”