Exhibit 99.1
TEXTRON INC.
Revenues by Segment and Reconciliation of Segment Profit to Net Income
(Dollars in millions, except per share amounts)
(Unaudited)
| | Three Months Ended | | Twelve Months Ended | |
| | December 28, 2013 | | December 29, 2012 | | December 28, 2013 | | December 29, 2012 | |
REVENUES | | | | | | | | | |
MANUFACTURING: | | | | | | | | | |
Cessna | | $ | 923 | | $ | 901 | | $ | 2,784 | | $ | 3,111 | |
Bell | | 1,375 | | 1,149 | | 4,511 | | 4,274 | |
Textron Systems | | 409 | | 571 | | 1,665 | | 1,737 | |
Industrial | | 773 | | 706 | | 3,012 | | 2,900 | |
| | 3,480 | | 3,327 | | 11,972 | | 12,022 | |
| | | | | | | | | |
FINANCE | | 26 | | 35 | | 132 | | 215 | |
Total revenues | | $ | 3,506 | | $ | 3,362 | | $ | 12,104 | | $ | 12,237 | |
| | | | | | | | | |
SEGMENT PROFIT | | | | | | | | | |
MANUFACTURING: | | | | | | | | | |
Cessna (a) | | $ | 33 | | $ | 23 | | $ | (48 | ) | $ | 82 | |
Bell | | 178 | | 177 | | 573 | | 639 | |
Textron Systems | | 40 | | 36 | | 147 | | 132 | |
Industrial | | 54 | | 43 | | 242 | | 215 | |
| | 305 | | 279 | | 914 | | 1,068 | |
| | | | | | | | | |
FINANCE | | 2 | | 2 | | 49 | | 64 | |
Segment Profit | | 307 | | 281 | | 963 | | 1,132 | |
| | | | | | | | | |
Corporate expenses and other, net | | (57 | ) | (43 | ) | (166 | ) | (148 | ) |
Interest expense, net for Manufacturing group | | (27 | ) | (38 | ) | (123 | ) | (143 | ) |
| | | | | | | | | |
Income from continuing operations before income taxes | | 223 | | 200 | | 674 | | 841 | |
Income tax expense | | (52 | ) | (54 | ) | (176 | ) | (260 | ) |
| | | | | | | | | |
Income from continuing operations | | 171 | | 146 | | 498 | | 581 | |
Discontinued operations, net of income taxes | | (4 | ) | 2 | | — | | 8 | |
Net income | | $ | 167 | | $ | 148 | | $ | 498 | | $ | 589 | |
| | | | | | | | | |
Earnings per share: | | | | | | | | | |
Income from continuing operations | | $ | 0.60 | | $ | 0.50 | | $ | 1.75 | | $ | 1.97 | |
Discontinued operations, net of income taxes | | (0.01 | ) | 0.01 | | — | | 0.03 | |
Net income | | $ | 0.59 | | $ | 0.51 | | $ | 1.75 | | $ | 2.00 | |
| | | | | | | | | |
Diluted average shares outstanding | | 282,707,000 | | 291,562,000 | | 284,428,000 | | 294,663,000 | |
(a) Full year 2013 includes $28 million in severance costs. Fourth quarter of 2012 includes a $27 million charge related to an award against Cessna in an arbitration proceeding.
1
TEXTRON INC.
Condensed Consolidated Balance Sheets
(In millions)
(Unaudited)
| | December 28,
2013 | | December 29,
2012 | |
Assets | | | | | |
Cash and equivalents | | $ | 1,163 | | $ | 1,378 | |
Accounts receivable, net | | 979 | | 829 | |
Inventories | | 2,963 | | 2,712 | |
Other current assets | | 467 | | 470 | |
Net property, plant and equipment | | 2,215 | | 2,149 | |
Other assets | | 3,432 | | 3,173 | |
Finance group assets | | 1,725 | | 2,322 | |
Total Assets | | $ | 12,944 | | $ | 13,033 | |
| | | | | |
Liabilities and Shareholders’ Equity | | | | | |
Current portion of long-term debt | | $ | 8 | | $ | 535 | |
Other current liabilities | | 2,995 | | 2,977 | |
Other liabilities | | 2,118 | | 2,798 | |
Long-term debt | | 1,923 | | 1,766 | |
Finance group liabilities | | 1,516 | | 1,966 | |
Total Liabilities | | 8,560 | | 10,042 | |
| | | | | |
Total Shareholders’ Equity | | 4,384 | | 2,991 | |
Total Liabilities and Shareholders’ Equity | | $ | 12,944 | | $ | 13,033 | |
2
TEXTRON INC.
Condensed Consolidated Schedule of Cash Flows
(In millions)
(Unaudited)
| | Three Months Ended | | Twelve Months Ended | |
| | December 28, | | December 29, | | December 28, | | December 29, | |
| | 2013 | | 2012 | | 2013 | | 2012 | |
Cash flows from operating activities: | | | | | | | | | |
Income from continuing operations | | $ | 171 | | $ | 146 | | $ | 498 | | $ | 581 | |
Depreciation and amortization | | 104 | | 106 | | 389 | | 383 | |
Changes in working capital | | 537 | | 381 | | (87 | ) | 28 | |
Changes in other assets and liabilities and non-cash items | | 104 | | (100 | ) | 13 | | (57 | ) |
Net cash from operating activities of continuing operations | | 916 | | 533 | | 813 | | 935 | |
Cash flows from investing activities: | | | | | | | | | |
Capital expenditures | | (144 | ) | (166 | ) | (444 | ) | (480 | ) |
Net cash used in acquisitions | | (143 | ) | (3 | ) | (196 | ) | (11 | ) |
Finance receivables repaid | | 33 | | 121 | | 190 | | 599 | |
Proceeds from sales of receivables and other finance assets | | 26 | | 65 | | 178 | | 249 | |
Other investing activities, net | | (5 | ) | 22 | | 8 | | 21 | |
Net cash from investing activities | | (233 | ) | 39 | | (264 | ) | 378 | |
Cash flows from financing activities: | | | | | | | | | |
Principal payments on long-term and nonrecourse debt | | (59 | ) | (141 | ) | (1,056 | ) | (615 | ) |
Proceeds from long-term debt | | 36 | | 18 | | 448 | | 106 | |
Settlement of convertible debt | | — | | — | | (215 | ) | (2 | ) |
Proceeds from settlement of capped call | | — | | — | | 75 | | — | |
Purchases of Textron common stock | | — | | (272 | ) | — | | (272 | ) |
Decrease in short-term debt | | (96 | ) | — | | — | | — | |
Other financing activities, net | | 6 | | 2 | | 6 | | 2 | |
Net cash from financing activities | | (113 | ) | (393 | ) | (742 | ) | (781 | ) |
Total cash flows from continuing operations | | 570 | | 179 | | (193 | ) | 532 | |
Total cash flows from discontinued operations | | 2 | | (3 | ) | (3 | ) | (8 | ) |
Effect of exchange rate changes on cash and equivalents | | 2 | | (1 | ) | (6 | ) | 4 | |
Net change in cash and equivalents | | 574 | | 175 | | (202 | ) | 528 | |
Cash and equivalents at beginning of period | | 637 | | 1,238 | | 1,413 | | 885 | |
Cash and equivalents at end of period | | $ | 1,211 | | $ | 1,413 | | $ | 1,211 | | $ | 1,413 | |
3
