Revenues

9 Months Ended

Oct. 02, 2021

Revenue from Contract with Customer [Abstract]

Revenues

Revenues

Disaggregation of Revenues

Our revenues disaggregated by major product type are presented below:

	Three Months Ended				Nine Months Ended
(In millions)	October 2, 2021		October 3, 2020		October 2, 2021		October 3, 2020
Aircraft	$	814	$	486	$	2,146	$	1,479
Aftermarket parts and services	367		309		1,061		935
Textron Aviation	1,181		795		3,207		2,414
Military aircraft and support programs	488		515		1,637		1,737
Commercial helicopters, parts and services	281		278		869		701
Bell	769		793		2,506		2,438
Air systems*	99		138		339		423
Land and sea systems*	53		54		174		177
Other*	147		110		447		356
Textron Systems	299		302		960		956
Fuel systems and functional components	382		497		1,319		1,233
Specialized vehicles	348		335		1,030		901
Industrial	730		832		2,349		2,134
Finance	11		13		38		42
Total revenues	$	2,990	$	2,735	$	9,060	$	7,984

* Due to a reorganization of certain products within Textron Systems, prior year amounts have been reclassified to conform to the current year presentation for Air Systems, formerly referred to as “Unmanned Systems”, and Land and Sea Systems, formerly referred to as “Marine and Land Systems”. Other includes the following operating units and businesses: Electronic Systems, Weapons Systems, Lycoming, Airborne Tactical Advantage Company and, prior to its disposition, TRU Simulation + Training Canada Inc.

Our revenues for our segments by customer type and geographic location are presented below:

(In millions)	Textron Aviation		Bell		Textron Systems		Industrial		Finance		Total
Three months ended October 2, 2021
Customer type:
Commercial	$	1,149	$	278	$	62	$	730	$	11	$	2,230
U.S. Government	32		491		237		—		—		760
Total revenues	$	1,181	$	769	$	299	$	730	$	11	$	2,990
Geographic location:
United States	$	915	$	569	$	266	$	377	$	7	$	2,134
Europe	97		48		10		160		—		315
Asia and Australia	58		90		16		88		1		253
Other international	111		62		7		105		3		288
Total revenues	$	1,181	$	769	$	299	$	730	$	11	$	2,990
Three months ended October 3, 2020
Customer type:
Commercial	$	758	$	273	$	54	$	830	$	13	$	1,928
U.S. Government	37		520		248		2		—		807
Total revenues	$	795	$	793	$	302	$	832	$	13	$	2,735
Geographic location:
United States	$	562	$	608	$	263	$	401	$	7	$	1,841
Europe	65		43		10		203		—		321
Asia and Australia	68		67		15		92		—		242
Other international	100		75		14		136		6		331
Total revenues	$	795	$	793	$	302	$	832	$	13	$	2,735
Nine months ended October 2, 2021
Customer type:
Commercial	$	3,122	$	894	$	187	$	2,337	$	38	$	6,578
U.S. Government	85		1,612		773		12		—		2,482
Total revenues	$	3,207	$	2,506	$	960	$	2,349	$	38	$	9,060
Geographic location:
United States	$	2,409	$	1,862	$	852	$	1,161	$	21	$	6,305
Europe	303		131		29		588		1		1,052
Asia and Australia	209		276		52		267		4		808
Other international	286		237		27		333		12		895
Total revenues	$	3,207	$	2,506	$	960	$	2,349	$	38	$	9,060
Nine months ended October 3, 2020
Customer type:
Commercial	$	2,322	$	687	$	182	$	2,128	$	42	$	5,361
U.S. Government	92		1,751		774		6		—		2,623
Total revenues	$	2,414	$	2,438	$	956	$	2,134	$	42	$	7,984
Geographic location:
United States	$	1,677	$	1,979	$	825	$	1,017	$	21	$	5,519
Europe	219		88		33		558		1		899
Asia and Australia	241		183		50		221		1		696
Other international	277		188		48		338		19		870
Total revenues	$	2,414	$	2,438	$	956	$	2,134	$	42	$	7,984

Remaining Performance Obligations

Our remaining performance obligations, which is the equivalent of our backlog, represent the expected transaction price allocated to our contracts that we expect to recognize as revenues in future periods when we perform under the contracts.  These remaining obligations exclude unexercised contract options and potential orders under ordering-type contracts such as Indefinite Delivery, Indefinite Quantity contracts. At October 2, 2021, we had $9.8 billion in remaining performance obligations of which we expect to recognize revenues of approximately 70% through 2022, an additional 25% through 2024, and the balance thereafter.  

Contract Assets and Liabilities

Assets and liabilities related to our contracts with customers are reported on a contract-by-contract basis at the end of each reporting period. At October 2, 2021 and January 2, 2021, contract assets totaled $624 million and $561 million, respectively, and contract liabilities totaled $1.1 billion and $842 million, respectively, reflecting timing differences between revenues recognized, billings and payments from customers. We recognized revenues of $51 million and $499 million in the third quarter and first nine months of 2021, respectively, and $44 million and $396 million in the third quarter and first nine months of 2020, respectively, that were included in the contract liability balance at the beginning of each year.