RTX's Raytheon awarded seven-year contract for Tomahawk cruise missiles

Rhea-AI Summary

RTX (NYSE: RTX) announced that its Raytheon business has received an unprecedented $22.9 billion, seven-year contract from the U.S. Department of War under the Arsenal of Freedom to accelerate production of Tomahawk cruise missiles for the U.S. Navy.

The multi-year award is intended to support an annual production ramp to more than 1,000 Tomahawk missiles plus associated support, providing a stable, predictable supply for the Navy and allied forces. According to RTX, deliveries of Tomahawks in the first half of 2026 were three times higher than in the first half of 2025, and the company plans further capacity increases in collaboration with hundreds of small and mid-sized U.S. suppliers. RTX reported 2025 sales of more than $88 billion and employs over 180,000 people worldwide.

Positive

• $22.9 billion seven-year Tomahawk contract from U.S. Department of War
• Planned ramp to 1,000+ Tomahawk missiles annually with support
• Tomahawk deliveries in H1 2026 were 3x those in H1 2025
• 2025 sales above $88 billion highlight large existing revenue base

Negative

• None.

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Contract accelerates production of critical precision-strike weapon

TUCSON, Ariz., Aug. 17, 2026 /PRNewswire/ -- Raytheon, an RTX (NYSE: RTX) business, will dramatically accelerate the production of Tomahawk cruise missiles for the U.S. Navy over the multi-year period under the terms of an unprecedented $22.9 billion contract, awarded as part of the Department of War's Arsenal of Freedom.

This contract follows the landmark agreements between Raytheon and the Department of War and supports the annual production ramp to more than 1,000 Tomahawk missiles and associated support, ensuring a stable, predictable supply for the Navy and allies.

"Tomahawk is the Navy's most important strike weapon, able to target hostile forces hundreds of miles away without ever risking the lives of our sailors," said Raytheon President Phil Jasper.  "We are making significant investments in our workforce, technology, supply chain and facilities to dramatically boost production capacity and meet surging demand."

RTX has invested heavily in recent years to ramp production of Tomahawk and other critical munitions, delivering three times more Tomahawks in the first half of 2026 compared to the first half of 2025. With this contract, RTX will increase capacity and collaborate closely with hundreds of small and mid-sized suppliers nationwide to rapidly scale output to meet long-term needs.

Tomahawk cruise missiles remain one of the U.S. military's most proven and versatile long range strike capabilities. With a decades‑long record of operational performance, Tomahawk provides military leaders with reliable, flexible options against high value targets from a variety of launch platforms.

About Raytheon
Raytheon, an RTX business, is a leading provider of defense solutions to help the U.S. government, our allies and partners defend their national sovereignty and ensure their security. For more than 100 years, Raytheon has developed new technologies and enhanced existing capabilities in integrated air and missile defense, smart weapons, missiles, advanced sensors and radars, interceptors, space-based systems, hypersonics and missile defense across land, air, sea and space.

About RTX
With more than 180,000 global employees, we push the limits of technology and science to redefine how we connect and protect our world. With industry-leading capabilities, we advance aviation, engineer integrated defense systems for operational success, and develop next-generation technology solutions and manufacturing to help global customers address their most critical challenges. The company, with 2025 sales of more than $88 billion, is headquartered in Arlington, Virginia.

For questions or to schedule an interview, please contact corporatepr@rtx.com.

 

View original content:https://www.prnewswire.com/news-releases/rtxs-raytheon-awarded-seven-year-contract-for-tomahawk-cruise-missiles-302852809.html

SOURCE RTX

FAQ

What is the value and duration of RTX's new Tomahawk contract (RTX)?

RTX’s Raytheon business received a $22.9 billion, seven-year Tomahawk cruise missile contract. According to RTX, the deal is part of the Department of War’s Arsenal of Freedom and is described as unprecedented in scale for supporting long-term Tomahawk production.

How many Tomahawk missiles per year will RTX produce under the new RTX contract?

The contract supports an annual production ramp to more than 1,000 Tomahawk missiles plus support. According to RTX, this higher, stable output is intended to ensure predictable supply for the U.S. Navy and allied customers over the multi-year term.

How does the new Tomahawk contract impact RTX's production levels in 2026?

RTX reported delivering three times more Tomahawks in the first half of 2026 versus the first half of 2025. According to RTX, the new contract will further increase capacity and accelerate production to meet surging, long-term demand for the weapon system.

What role will suppliers play in RTX's Tomahawk production ramp under the $22.9 billion contract?

RTX plans to collaborate with hundreds of small and mid-sized suppliers nationwide to scale Tomahawk output. According to RTX, these partnerships support rapid capacity growth and help sustain a robust domestic supply chain for long-range precision-strike munitions.

Why is the Tomahawk cruise missile significant for the U.S. Navy, according to RTX (NYSE: RTX)?

Tomahawk is described as the Navy’s most important strike weapon, able to hit targets hundreds of miles away. According to RTX, its long record of operational performance offers reliable, flexible options from multiple launch platforms against high-value targets.

How large is RTX's overall business relative to the new Tomahawk contract?

RTX reported 2025 sales of more than $88 billion, making it a large global defense and aerospace company. According to RTX, the $22.9 billion Tomahawk award fits within a broad portfolio that spans aviation, integrated defense systems, and advanced technologies.