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RTX Secures Navy Radar Contract, Tests Counter-Drone Tech, and Expands Vietjet Deal

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RTX Corporation (RTX) announced progress across three separate defense and commercial aerospace initiatives. Its Raytheon business secured a U.S. Office of Naval Research contract through 2031 to build signal and data processing software for SPY-6 and future naval radars. Raytheon also finished three initial flight tests for its upgraded Coyote Block 2C+RM counter-drone interceptor. Meanwhile, Collins Aerospace expanded a FlightSense service agreement with Vietjet Air to cover maintenance for 44 additional Airbus A320neo-family aircraft.

The trio of developments highlights steady demand across defense modernization and commercial airline operations. Software updates allow the military to extend the range and capabilities of existing radar systems without complete hardware overhauls. Simultaneously, the expanded Vietjet contract builds recurring aftermarket service revenue, which remains tied to aircraft utilization rather than unit production schedules. RTX did not disclose financial details for the contracts or its internal Coyote investment.

Investors will watch whether the Coyote interceptor tests lead to official U.S. military production orders, as well as how software integration progresses across naval radar fleets. On the commercial side, execution on long-term aftermarket contracts like Vietjet will be key to sustaining services revenue and operating margins.

Key points

  • Raytheon won a U.S. Navy contract running through 2031 to upgrade signal and data processing software for SPY-6 radar systems.
  • Raytheon completed three developmental tests for the upgraded Coyote Block 2C+RM counter-drone interceptor.
  • Collins Aerospace expanded its FlightSense agreement with Vietjet Air to service 44 additional Airbus A320neo-family aircraft.
  • Financial details and specific investment amounts were not disclosed for the contracts or development programs.

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Questions and answers

What new contracts did RTX announce?

RTX announced a U.S. Navy contract to upgrade naval radar software through 2031 and an expanded maintenance agreement with Vietjet Air covering 44 Airbus A320neo-family aircraft.

What is the Coyote interceptor upgrade?

The Coyote Block 2C+RM is an upgraded counter-drone interceptor featuring a tactical rocket motor, new seeker, and warhead designed to engage a wider range of unmanned aircraft threats.

Were financial terms disclosed for RTX's latest updates?

No, RTX did not reveal financial terms for the U.S. Navy radar contract, the Vietjet maintenance agreement, or the amount spent developing the upgraded Coyote interceptor.