Textron Swings to Profit, Raises Outlook

PROVIDENCE, R.I. ( TheStreet) -- Textron ( TXT) swung to a profit in the second quarter amid solid manufacturing and an increase in revenue.

Textron on Wednesday said earnings in the second quarter were $82 million, or 27 cents a share, compared with a year-earlier loss of $58 million, or 22 cents. Excluding charges, second-quarter earnings were 29 cents a share.

Revenue rose 3.7% to $2.7 billion.

Textron said its manufacturing operations generated $170 million in free cash flow during the quarter.

Analysts surveyed by Thomson Reuters expected earnings of 9 cents a share on revenue of $2.49 billion.

"Solid manufacturing performance in the quarter reflected our lower cost structure, good operational execution and the ramp-up in our military programs at Bell," said Textron President and CEO Scott C. Donnelly, in a statement.

Textron increased its forecast of 2010 earnings from continuing operations excluding special charges to 55 cents to 65 cents a share from a previous forecast of 30 cents to 50 cents. It maintained its outlook for free cash flow for its manufacturing group in the range of $500 million to $550 million.

-- Reported by Joseph Woelfel in New York.

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