Rockwell Collins earnings increase

CEDAR RAPIDS - Rockwell Collins on Friday posted higher fourth-quarter fiscal year 2015 earnings on lower revenue that missed analysts' projections.

The Cedar Rapids-based avionics, communications and information management systems providers recorded net income of $138 million, or $1.38 per share, in the quarter that ended Sept. 30, compared with $167 million, or $1.23 per share, in the final quarter of fiscal year 2014. Analysts surveyed by Zacks Investment Research were expecting earnings of $1.40 per share.

Rockwell Collins reported fourth-quarter fiscal year 2015 revenue of $1.38 billion, down from $1.4 billion in the same quarter of fiscal year 2014. Analysts were expecting revenue of $1.4 billion.

For fiscal year 2015, the company reported a profit of $686 million, or $5.13 per share, up from $604 million, or $4.52 per share, in fiscal year 2014. Fiscal year 2015 revenue was $5.24 billion, compared with $4.98 billion in the previous fiscal year.

Kelly Ortberg, Rockwell Collins president and CEO, said the fourth-quarter and full year results were in line with the company's expectations.

'We had some pretty big challenges this year with the weaker business aviation market and foreign currency exchange headwinds that we hadn't anticipated, and yet we met our original plan,” Ortberg said. 'The profitability and the performance of the business is pretty sound.”

Ortberg said Quebec's $1 billion investment in Bombardier's CSeries jetliner program is welcome news. Rockwell Collins is contributing its Pro Line Fusion avionics and primary flight control computer to the new commercial jetliner.

'I see this as a very positive move,” Ortberg said. 'The CSeries program is very close to getting complete with flight tests. I think we're going to see this aircraft move from the development phase to series delivery in 2016.”

Ortberg said Rockwell Collins is working with Lockheed Martin to reduce the weight of a high-tech helmet for the F-35 fighter jet. The weight of the helmet has been a concern for lighter weight pilots ejecting from the aircraft.