Slides
Page 1
SECOND QUARTER 2026 EARNINGS PRESENTATION July 29, 2026
Page 2
L3HARRIS 2026 Second Quarter Earnings Presentation | 2 ROBUST Q2 RESULTS Revenue Free Cash Flow 1 Orders GAAP EPS $3.13 $5.9B $771M $7.3B The appearance of U.S. Department of War visual information does not imply or constitute DoW endorsement. 1.2x book-to-bill $455M revenue increase, 8% growth $210M year-over-year increase, 37% growth 28% EPS increase 2Q26 - Key Metrics & Highlights 1) NGFM - reference the 2Q26 earnings release for a reconciliation to comparable GAAP measure
Page 3
L3HARRIS 2026 Second Quarter Earnings Presentation | 3 $942M Segment Operating Income1 16.0% Segment Operating Margin1 $3.13 GAAP EPS $7.3B Orders 1.2x Book-to-Bill $771M Free Cash Flow1 $108M Capital Expenditures 1) NGFM - reference the 2Q26 earnings release for a reconciliation to comparable GAAP measure. 2) Excludes all Munitions Acceleration Council Framework Agreements 3) Compared to 2Q25 $160M Research & Development Q2 FINANCIAL HIGHLIGHTS $42.0B Total Backlog2 $5.9B Revenue 23% YoY Growth 22% YoY Growth 22% INVESTMENT INCREASE IN INNOVATION & CAPACITY3 $38M MSL Capital Expenditures 65% YoY Growth
Page 4
L3HARRIS 2026 Second Quarter Earnings Presentation | 4 Margin: decreased 60 basis points + Improved program performance + Net gain in segment investment income - Absence of the gain on a sale of assets in prior year SPACE & MISSION SYSTEMS $289 $290 $527 $603 2Q25 QTD 2Q26 QTD 2Q25 YTD 2Q26 YTD 10.4% 9.8% 2Q26 DRIVERS Revenue: increased 7% + Higher volume on missionized aircraft programs + Higher volumes on classified space programs + Higher FAA volume + Higher F-35 volumes - Lower classified program volume in intel products and solutions $2,770 $2,966 $5,181 $5,956 2Q25 QTD 2Q26 QTD 2Q25 YTD 2Q26 YTD ACCELERATED MISSILE DEFENSE TRANCHE 3 (AMDT3) SATELLITE Operating Income and Margin 10.1% 10.2% 7% 15% Revenue ($ millions)
Page 5
L3HARRIS 2026 Second Quarter Earnings Presentation | 5 Revenue: increased 4% + Increased international deliveries + Program ramps - Lower volume in Targeting and Sensor Systems $1,861 $1,943 $3,670 $3,798 2Q25 QTD 2Q26 QTD 2Q25 YTD 2Q26 YTD $458 $522 $901 $987 2Q25 QTD 2Q26 QTD 2Q25 YTD 2Q26 YTD 24.6% 26.9% Margin: increased 230 basis points + Higher international volume + Net gain in segment investment income - Increased investments in research and development as well as higher selling and marketing expenses - Absence of the gain on a sale of assets in prior year COMMUNICATIONS & SPECTRUM DOMINANCE 2Q26 DRIVERS WRAITH SHIELD 24.6% 26.0% Operating Income and MarginRevenue 4% 3% ($ millions)
Page 6
L3HARRIS 2026 Second Quarter Earnings Presentation | 6 $116 $130 $212 $254 2Q25 QTD 2Q26 QTD 2Q25 YTD 2Q26 YTD 12.3% MISSILE SOLUTIONS 12.5% Revenue: increased 14% + Higher production and development volumes across key missile and munition programs + Higher volumes and program ramps in Advanced Effects - Lower growth in space propulsion business Margin: decreased 20 basis points - Absence of a favorable contract resolution during 2Q25 2Q26 DRIVERS $925 $1,054 $1,765 $2,044 2Q25 QTD 2Q26 QTD 2Q25 YTD 2Q26 YTD AUTHORIZED $800M IN FACILITY AND EQUIPMENT ORDERS WITH $180M SPENT THROUGH 2Q26 12.0% 12.4% Operating Income and Margin 16% 14% 2Q26 AND YEAR-TO-DATE MSL CAPITAL EXPENDITURES UP 65% AND 92% RESPECTIVELY ($ millions) Revenue
Page 7
L3HARRIS 2026 Second Quarter Earnings Presentation | 7 MISSILE SOLUTIONS CONSOLIDATED Revenue Operating Margin SPACE & MISSION SYSTEMS ~$4.1B1 low 12%1 ~$8.0B mid 25% (Prior: ~25%) ~$11.7B (Prior: ~$11.5B) mid 10% Revenue1 $23.2B - $23.7B (Prior: $23B - $23.5B) ~9% Organic growth at midpoint2 GAAP EPS low 16% $11.80 - $12.00 (Prior: $11.40 - $11.60) $3B Segment Operating Margin2 FCF3 SEGMENT 1) Assumes Space Technology Disposal group transaction closes in early August 2026 2) NGFM - a reconciliation of forward-looking NGFMs to comparable GAAP measures is not available without unreasonable effort 3) NGFM - reference the 2Q26 earnings release for a reconciliation to comparable GAAP measure 2026 GUIDANCE COMMUNICATIONS & SPECTRUM DOMINANCE
Page 8
L3HARRIS 2026 Second Quarter Earnings Presentation | 8 2026 2026 Guidance Prior FAS/CAS operating adjustment $20 million $20 million Non-service FAS pension income $290 million $290 million Net FAS/CAS pension $310 million $310 million Net interest expense $560 million $590 million Effective tax rate on GAAP earnings 15% 15% Weighted average diluted shares 188 188 Capital expenditures $600 million $600 million Non-cash preferred stock deemed dividend ~$55 million - 2026 SUPPLEMENTAL INFORMATION
Page 9
L3HARRIS 2026 Second Quarter Earnings Presentation | 9 Forward-Looking Statements; Non-GAAP Measures This presentation contains forward-looking statements within the meaning of federal securities laws made in reliance on the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Examples include, but are not limited to: statements about 2026 guidance and 2026 outlook; 2026 supplemental information; 2028 financial framework; capital allocation priorities, including payout targets; future product deliveries; projection of other financial items; and assumptions underlying any of the foregoing. Persons reading this presentation are cautioned not to place undue reliance on forward-looking statements. The company's consolidated results, future trends and forward-looking statements could be affected by many factors, risks and uncertainties, including but not limited to those in our 2Q26 earnings release or in "Risk Factors" in our Form 10-K for fiscal 2025, available on our investor relations webpage at www.l3harris.com/investors. Forward-looking statements are made as of the date of this presentation, and the company disclaims any intention or obligation, other than imposed by law, to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise. This presentation also contains non-GAAP financial measures (“NGFMs”), including free cash flow (FCF) and segment operating income and margin, each of which is defined in and reconciled in our 2Q26 earnings release.