Revenues (Tables)

3 Months Ended

Mar. 31, 2018

Revenues

Schedule of revenue by major product type, customer type and geographic

Our revenues disaggregated by major product type for the three months ended March 31, 2018 are presented below:

(In millions)
Aircraft	$	634
Aftermarket parts and services		376
Textron Aviation		1,010
Military aircraft and support programs		487
Commercial helicopters, parts and services		265
Bell		752
Unmanned systems		170
Marine and land systems		92
Simulation, training and other		125
Textron Systems		387
Fuel systems and functional components		655
Specialized vehicles		348
Tools and test equipment		128
Industrial		1,131
Finance		16
Total revenues	$	3,296

Our revenues by customer type and geographic location for the three months ended March 31, 2018 are presented below:

(In millions)		Textron Aviation		Bell		Textron Systems		Industrial		Finance		Total
Customer type:
Commercial	$	973	$	252	$	127	$	1,124	$	16	$	2,492
U.S. Government		37		500		260		7		—		804
Total revenues	$	1,010	$	752	$	387	$	1,131	$	16	$	3,296
Geographic location:
United States	$	665	$	509	$	287	$	496	$	7	$	1,964
International		345		243		100		635		9		1,332
Total revenues	$	1,010	$	752	$	387	$	1,131	$	16	$	3,296

ASC 606

Revenues

Schedule of impacts of adopting ASU 606

		March 31, 2018
(In millions)		As Reported		Effect of the adoption of ASC 606		Under Prior Accounting
Consolidated Balance Sheets
Accounts receivable, net	$	1,110	$	212	$	1,322
Inventories		4,090		290		4,380
Other current assets		933		(512)		421
Property, plant and equipment, net		2,711		6		2,717
Other assets		1,953		31		1,984
Total Manufacturing group assets		13,853		27		13,880
Total assets		14,968		27		14,995
Other current liabilities		2,104		134		2,238
Total Manufacturing group liabilities		8,340		134		8,474
Total liabilities		9,276		134		9,410
Retained earnings		5,642		(107)		5,535
Total shareholders’ equity		5,692		(107)		5,585

		Three Months Ended March 31, 2018
(In millions, except per share amounts)		As Reported		Effect of the adoption of ASC 606		Under Prior Accounting
Consolidated Statements of Operations
Manufacturing revenues	$	3,280	$	(221)	$	3,059
Total revenues		3,296		(221)		3,075
Cost of sales		2,729		(198)		2,531
Income from continuing operations before income taxes		218		(23)		195
Income tax expense		29		(6)		23
Income from continuing operations		189		(17)		172
Net income		189		(17)		172
Basic earnings per share - continuing operations	$	0.73	$	(0.07)	$	0.66
Diluted earnings per share - continuing operations		0.72		(0.07)		0.65
Consolidated Statements of Comprehensive Income
Other comprehensive income	$	74	$	(17)	$	57
Comprehensive income		263		(17)		246
Consolidated Statements of Cash flows
Net income	$	189	$	(17)	$	172
Income from continuing operations		189		(17)		172
Adjustments to reconcile income from continuing operations to net cash used in operating activities:
Deferred income taxes		2		(6)		(4)
Accounts receivable, net		63		(9)		54
Inventories		(128)		(91)		(219)
Other assets		(119)		75		(44)
Other liabilities		(263)		48		(215)
Net cash used in operating activities of continuing operations		(85)		—		(85)