“And we now expect operating profit to grow between $575 million and $650 million versus 2025, up from our prior expectation of between $275 million and $375 million, driven by the drop-through on increased sales volume, favorable program mix and improved productivity.”

In context

“Nathan Ware : Thanks, Neil. Starting with Collins on Slide 7. Sales were $8.2 billion in the quarter, up 8% on an adjusted basis and 13% organically, driven by strength across all channels. Adjusting for divestitures by channel, commercial OE sales were up 26%, driven by higher volume on narrow-body and wide-body platforms. Commercial aftermarket sales were up 10%, driven by an 11% increase in parts and repair, an 11% increase in mods and upgrades and a 7% increase in provisioning. Defense sales were up 7% versus the prior year, driven by higher volume across multiple programs. Adjusted operating profit of $1.4 billion was up $121 million versus the prior year, driven by drop-through on higher commercial and defense volume. This was partially offset by defense mix, higher SG&A expense and the impact of divestitures completed in 2025. In the quarter, Collins expanded margins by 30 basis points year-over-year. Turning to Collins' full year outlook. Based on the continued commercial OE production ramp and defense strength, we now expect sales to grow mid- to high single digits on an adjusted basis, up from our prior range of mid-single digit. And organically, we now expect high single-digit to low double digits growth, up from our prior range of high single digit. With respect to operating profit, we now expect growth between $550 million and $625 million versus 2025, up from our prior expectation of between $425 million and $525 million, driven by drop-through on increased sales volume and ongoing cost reduction initiatives. Shifting to Pratt & Whitney on Slide 8. Sales of $8.9 billion were up 16% on an adjusted basis and 17% organically, driven by strength in commercial aftermarket and military. Recall that Q2 2025 was impacted by a 4-week work stoppage. Commercial OE sales were down 8% as increased engine deliveries were more than offset by large commercial engine mix. And commercial aftermarket sales were up 25%, driven by higher MRO volume. In military engines, sales were up 23%, driven by higher F135 volume. This year-over-year increase benefited from the timing of the F135 Lot 18 contract award, which was received in Q3 of last year. Adjusted operating profit of $740 million was up $132 million versus the prior year, driven by drop-through on higher commercial aftermarket and military volume as well as military mix. This was partially offset by increased engine deliveries, large commercial engine mix and higher SG&A expense. In the quarter, Pratt expanded margins by 30 basis points year-over-year. Turning to Pratt's full year outlook. We now expect sales to grow high single digit on both an adjusted and organic basis, up from our prior range of mid-single digit due to the strength in commercial aftermarket, partially offset by commercial OE mix. With respect to operating profit, we now expect growth between $275 million and $350 million versus 2025, up from our prior expectation of between $225 million and $325 million, primarily driven by drop-through on increased sales volume. Turning to Raytheon on Slide 9. Sales of $8.3 billion in the quarter were up 18% on both an adjusted and organic basis, driven by higher volume on land and air defense systems, naval programs and air and space defense systems, including Patriot, Standard Missile and AMRAAM. Adjusted operating profit of $1 billion was up $234 million versus the prior year, driven by higher volume, favorable mix, including Patriot programs and improved productivity. In the quarter, Raytheon expanded margins by 100 basis points year-over-year. Bookings in the quarter were $19.9 billion resulting in a book-to-bill of 2.42 and a backlog of $86 billion. On a rolling 12-month basis, Raytheon's book-to-bill is 1.77, and Raytheon's backlog is now 48% international, up 4 points year-over-year. In addition to the awards Chris mentioned earlier, other key awards in the quarter include $1.1 billion for AIM-9X and approximately $800 million for LTAMDS. Turning to Raytheon's full year outlook. We now expect sales to grow high single digits to low double digits on an adjusted and organic basis. This is up from our prior range of high single digit due to the strength Neil mentioned. And we now expect operating profit to grow between $575 million and $650 million versus 2025, up from our prior expectation of between $275 million and $375 million, driven by the drop-through on increased sales volume, favorable program mix and improved productivity. With that, I'll hand it back over to Chris for some closing remarks.”