Compare · Industrials
Northrop Grumman vs. RTX: how they make money
The same facts for both companies, in the same order, from each company's own page and filings. This is not a ranking and says nothing about which share to own.
Each company in 5 points
Northrop Grumman
1 · What it sells
Northrop Grumman builds the B-21 bomber, the Sentinel missile, rocket motors, radars and satellites, with sales of $41,954 million in FY2025.
Sources and detail on the Northrop Grumman page2 · Who pays it
In FY2025 the US government paid 83.9% of Northrop Grumman's sales, international customers 14.3% and other customers 1.9%.
Sources and detail on the Northrop Grumman page3 · What it keeps from $100
Of every $100 that came in during FY2025, Northrop Grumman kept $9.63 as net income, helped by $1,068 million of pension benefits outside operations and a one-off $231 million gain, and its operating income was $10.75 per $100 of sales.
Sources and detail on the Northrop Grumman page4 · Where the operating profit comes from
In FY2025, as Northrop Grumman measures segment profit, Mission Systems earned $1,827 million, Space Systems $1,183 million, Defense Systems $871 million and Aeronautics Systems $813 million after a $477 million B-21 loss provision.
Sources and detail on the Northrop Grumman page5 · The one thing to watch
B-21 loss provisions have totaled about $2.0 billion since 2023, and $1.0 billion of expected B-21 losses was still accrued on Sep 30, 2026.
Sources and detail on the Northrop Grumman page
RTX
1 · What it sells
RTX makes jet engines (Pratt & Whitney), aircraft systems (Collins Aerospace) and missiles and radars (Raytheon), with sales of $88,603 million in FY2025.
Sources and detail on the RTX page2 · Who pays it
In FY2025 the US government paid 37.6% of RTX's sales, foreign governments buying through the US government 7.6%, foreign governments buying directly 6.9% and commercial customers 48.0%.
Sources and detail on the RTX page3 · What it keeps from $100
Of every $100 that came in during FY2025, RTX kept $7.46 as net income, which includes $1.31 of non-operating pension income, and its operating profit was $10.50 per $100 of sales.
Sources and detail on the RTX page4 · Where the operating profit comes from
In FY2025 Collins Aerospace earned 45.8% of RTX's segment operating profit, Raytheon 30.0% and Pratt & Whitney 24.2%, before about $2.0 billion of acquisition accounting adjustments.
Sources and detail on the RTX page5 · The one thing to watch
RTX's defense backlog rose from $107 billion at Dec 31, 2025 to $164 billion at Sep 30, 2026, and funding for the large new missile contracts depends on annual Congressional appropriations.
Sources and detail on the RTX page
Where each $100 went
Each company's own receipt for its latest full fiscal year, with matching lines in the same order where both have them.
Northrop Grumman
Where $100 went · FY2025
| Cost of products | $62.9 |
|---|---|
| Cost of services | $14.7 |
| General and administrative | $9.3 |
| Interest on debt | $1.5 |
| Income tax | $2.0 |
| Kept as net income | $9.6 |
| Total | $100 |
Of every $100 that came in during FY2025 (sales $41,954 million + other income $1,453 million = $43,407 million). Cityfort calculation from FY2025 10-K. Other income includes $1,068 million of pension benefits outside operations ($541 million FAS pension benefit and a $527 million mark-to-market gain) and a one-off $231 million gain, together $2.99 per $100. Operating income was $10.75 per $100 of sales.
RTX
Where $100 went · FY2025
| Cost of sales | $78.5 |
|---|---|
| Selling and administrative costs | $6.8 |
| Research and development | $3.1 |
| Interest on debt, net | $1.9 |
| Minority owners of subsidiaries | $0.4 |
| Income tax | $1.8 |
| Kept as net income | $7.5 |
| Total | $100 |
Of every $100 that came in during FY2025 (sales $88,603 million + non-service pension income $1,182 million + other income $413 million = $90,198 million). Cityfort calculation from FY2025 10-K. Pension income was $1.31 of every $100 and is not from customers. Operating profit was $10.50 per $100 of sales.
Line items differ because each company groups its costs its own way in its filings. Only on Northrop Grumman's receipt: Cost of products; Cost of services; General and administrative; Interest on debt. Only on RTX's receipt: Cost of sales; Selling and administrative costs; Research and development; Interest on debt, net; Minority owners of subsidiaries.
Revenue, net income and free cash flow
Up to five fiscal years for each company, drawn on one shared scale per measure. Amounts in US$ as reported (GAAP).
Revenue
Northrop Grumman
RTX
See the numbers
Net income
Northrop Grumman
RTX
See the numbers
Free cash flow
Northrop Grumman
RTX
See the numbers
Who pays each company
Northrop Grumman
- US government · 83.9% of revenueMostly the Department of War (the 10-K's name for the Department of Defense) and intelligence agencies. Sales were $35,183 million in FY2025. Space Systems sold 93% of its work to the US government.
- International customers · 14.3% of revenueCustomers outside the US government, as the 10-K reports them. Sales were $5,990 million in FY2025.
- Other customers · 1.9% of revenueSales of $781 million in FY2025.
RTX
- US government · 37.6% of revenueIncluding the U.S. Department of War, which the 10-K says was formerly referred to as the U.S. Department of Defense. Sales were $33,279 million in FY2025, not counting foreign military sales.
- Foreign governments, through the US government · 7.6% of revenueForeign military sales, which allied governments buy through the US government. Sales were $6,702 million in FY2025.
- Foreign governments, directly · 6.9% of revenueDirect commercial sales to foreign governments. Sales were $6,123 million in FY2025.
- Plane makers, airlines and other commercial customers · 48.0% of revenueAirbus, Boeing and other aircraft makers, airlines, leasing companies and repair shops. Sales were $42,499 million in FY2025.
Revenue by segment
Northrop Grumman
FY2025
| Segment | Revenue | Share |
|---|---|---|
| Aeronautics Systems | $13.0B | 29.3% |
| Defense Systems | $8.0B | 18.1% |
| Mission Systems | $12.5B | 28.2% |
| Space Systems | $10.8B | 24.3% |
RTX
FY2025
| Segment | Revenue | Share |
|---|---|---|
| Pratt & Whitney | $32.9B | 36.1% |
| Collins Aerospace | $30.2B | 33.1% |
| Raytheon | $28.0B | 30.8% |
Debt and cash
Northrop Grumman
- Debt
- $15.2B
- Cash and investments
- $3.7B
On Sep 30, 2026.
Net debt of $11,453 million on Sep 30, 2026 equals about 2.4 years of FY2025 operating cash flow ($4,757 million).
RTX
- Debt
- $37.4B
- Cash and investments
- $9.2B
On Sep 30, 2026.
Net debt of $28,206 million on Sep 30, 2026 equals about 2.7 years of FY2025 operating cash flow ($10,567 million).
Sources: Northrop Grumman S3, S1, S23 · RTX S9, S6, S1, S3, S2
Who owns each company
Northrop Grumman
- One class of shares.
- Officers and directors as a group: 0.2% of shares (as of Mar 20, 2026).
- State Street: 9.8% (as of Jan 30, 2024).
- BlackRock: 7.5% (as of Nov 12, 2024).
- Vanguard Capital Management: 7.2% (as of Apr 30, 2026).
- 1 more holders on the Northrop Grumman page.
RTX
- One class of shares.
- Officers and directors as a group: 0.1% of shares (as of Mar 3, 2026).
- Vanguard Capital Management: 7.5% (as of Apr 30, 2026).
- BlackRock: 7.8% (as of Dec 31, 2025).
- State Street: 6.8% (as of Dec 31, 2025).
- 1 more holders on the RTX page.
Sources: Northrop Grumman S14, S3, S16, S15 · RTX S18, S6, S20, S19
Risks only one page tracks
Risks whose type the other company's page does not list. Both pages track risks of these types: customer or supplier concentration, demand, execution, legal cases, regulation. Every risk is on each company's page.
Northrop Grumman
- Pension accounting moves profit (other)Northrop Grumman books pension gains or losses each fourth quarter: a $527 million gain in FY2025, after a $422 million loss in FY2023. A non-operating pension benefit added another $541 million in FY2025.
RTX
- Customer bankruptcies (other)Pratt & Whitney took a $363 million charge in Q3 FY2026, $0.20 of diluted EPS, for a customer bankruptcy, after about $0.1 billion in the first nine months of FY2025. The filings do not name the customers.
- Debt (debt)Total debt was $37,379 million at Sep 30, 2026, and net debt $28,206 million. Net interest expense was $1,749 million in FY2025.
Key facts
- How does Northrop Grumman make money compared with RTX?
- Northrop Grumman's revenue by segment in FY2025: Aeronautics Systems 29.3%, Defense Systems 18.1%, Mission Systems 28.2%, Space Systems 24.3%. RTX's revenue by segment in FY2025: Pratt & Whitney 36.1%, Collins Aerospace 33.1%, Raytheon 30.8%.
- Which is bigger by revenue, Northrop Grumman or RTX?
- Northrop Grumman reported $42.0B of revenue in FY2025, and RTX reported $88.6B in FY2025.
- How much net income did Northrop Grumman and RTX report?
- Northrop Grumman reported net income of $4.2B in FY2025, and RTX reported $6.7B in FY2025.
- How much of every $100 did Northrop Grumman and RTX keep as net income?
- Northrop Grumman kept $9.6 of every $100 that came in during FY2025, and RTX kept $7.5 in FY2025 (Cityfort calculation from each company's annual report).
- How much debt and cash do Northrop Grumman and RTX have?
- Northrop Grumman had $15.2B of debt and $3.7B of cash and investments on Sep 30, 2026. RTX had $37.4B of debt and $9.2B of cash and investments on Sep 30, 2026.
- When do Northrop Grumman's and RTX's fiscal years end?
- Northrop Grumman: Fiscal year ends on December 31. RTX: Fiscal year ends on December 31.
Sources: Northrop Grumman S2, S1, S3, S23 · RTX S3, S1, S9, S6, S2
Built from each company's page. Northrop Grumman updated Nov 7, 2026; RTX updated Nov 6, 2026.
Sources
Northrop Grumman
- S1Form 10-K for fiscal 2025 (year ended Dec 31, 2025), Northrop Grumman Corporation (SEC EDGAR), Jan 27, 2026
- S2Form 10-K for fiscal 2023 (year ended Dec 31, 2023), Northrop Grumman Corporation (SEC EDGAR), Jan 25, 2024
- S3Form 10-Q for Q3 2026 (quarter ended Sep 30, 2026), Northrop Grumman Corporation (SEC EDGAR), Oct 20, 2026
- S142026 proxy statement (DEF 14A), Northrop Grumman Corporation (SEC EDGAR), Apr 3, 2026
- S15Schedule 13G/A by The Vanguard Group (event Mar 13, 2026), The Vanguard Group (SEC EDGAR), Mar 27, 2026
- S16Schedule 13G by Vanguard Capital Management (as of Mar 31, 2026), Vanguard Capital Management (SEC EDGAR), Apr 30, 2026
- S23XBRL company facts (data.sec.gov API), CIK 0001133421, SEC EDGAR, Nov 7, 2026
RTX
- S1Form 10-K, fiscal year 2025 (ended Dec 31, 2025), RTX Corporation (SEC EDGAR), Feb 6, 2026
- S2Form 10-K, fiscal year 2024 (ended Dec 31, 2024), RTX Corporation (SEC EDGAR), Feb 3, 2025
- S3Form 10-K, fiscal year 2023 (ended Dec 31, 2023), RTX Corporation (SEC EDGAR), Feb 5, 2024
- S6Form 10-Q, third quarter 2026 (ended Sep 30, 2026), RTX Corporation (SEC EDGAR), Oct 20, 2026
- S9Third quarter 2026 earnings release (Form 8-K, Exhibit 99), RTX Corporation (SEC EDGAR), Oct 20, 2026
- S18Proxy statement (DEF 14A) for the April 30, 2026 annual meeting, RTX Corporation (SEC EDGAR), Mar 9, 2026
- S19Schedule 13G/A No. 11, The Vanguard Group (event date Mar 13, 2026; reports 0 shares), The Vanguard Group (SEC EDGAR), Mar 27, 2026
- S20Schedule 13G, Vanguard Capital Management (event date Mar 31, 2026), Vanguard Capital Management (SEC EDGAR), Apr 30, 2026
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