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Rockwell Collins Reports Strong Quarterly Results

April 22, 2011

Aerospace/defense company raises guidance for full-year 2011.

Rockwell Collins Inc. said its year-over-year sales increased $81 million in fiscal-year 2011 second quarter, which ended March 31.

The company reported second-quarter sales of a $1.2 billion, up 7% from $1.1 billion for the same period a year ago.

The strong quarterly results prompted the Cedar Rapids, Iowa-based aerospace/defense manufacturer to boost its full-year earnings-per-share guidance to between $3.90 and $4.10, a 5-cent increase over the previous guidance.

"As expected, we were able to deliver solid growth across both our businesses with Commercial Systems leading the way," said Rockwell Collins Chairman, President and CEO Clay Jones. "Indicative of our operating leverage, Commercial Systems delivered operating earnings growth at almost three times the rate of sales while Government Systems demonstrated it could maintain an exceptionally high rate of profitability despite slower, albeit positive, growth."

The company's Commercial Systems unit, which provides aviation electronics systems, products and services to air-transport, business and regional aircraft manufacturers and airlines, achieved second-quarter sales of $507 million, a 13% increase over second-quarter 2010.

Overall, Rockwell Collins reported second-quarter net income of $150 million, a 1% increase over second-quarter 2010. Earnings per share for the quarter were 96 cents, a 3-cent increase over second-quarter 2010.

The company is projecting fiscal-year 2011 sales to be between $4.8 billion and $5 billion.

"Once again our balanced business model proved its resilience and ability to achieve strong performance in transitional markets," Jones said. "Halfway through our fiscal year, we see continued improving market conditions and sufficient reductions in areas of risk that we are again raising earnings guidance expectations."

Senior editor Josh Cable covers the automotive, aerospace, maritime and rail manufacturing sectors for IndustryWeek. Follow him on Twitter at @JCable_IW .

About the Author

Josh Cable | Former Senior Editor

Former Senior Editor Josh Cable covered innovation issues -- including trends and best practices in R&D, process improvement and product development. He also reported on the best practices of the most successful companies and executives in the world of transportation manufacturing, which encompasses the aerospace, automotive, rail and shipbuilding sectors.

Josh also led the IndustryWeek Manufacturing Hall of Fame, IW’s annual tribute to the most influential executives and thought leaders in U.S. manufacturing history.

Before joining IndustryWeek, Josh was the editor-in-chief of Penton Media’s Government Product News and Government Procurement. He also was an award-winning beat reporter for several small newspapers in Northeast Ohio.

Josh received his BFA in creative writing from Bowling Green University, and continued his professional development through course-work at Ohio University and Cuyahoga Community College.

A lifelong resident of the Buckeye State, Josh currently lives in the Tremont neighborhood of Cleveland. When the weather cooperates, you’ll find him riding his bike to work, exercising his green thumb in the backyard or playing ultimate Frisbee.