UPDATE 1-MTU Aero Engines' outlook aligns with market view as GTF recall holds up demand

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Adds context in paragraphs 3 and 6, outlook details in paragraph 4, CEO comment in paragraph 5

- MTU Aero Engines MTXGn.DE forecast 2026 revenue and profit broadly in line with analyst expectations on Tuesday, betting on sustained high demand for its engine maintenance services as issues with Pratt & Whitney's GTF engines are expected to keep shop visits more frequent.

The company reported fourth‑quarter adjusted revenue of 2.44 billion euros ($2.87 billion), beating a company‑compiled consensus of 2.39 billion.

The engine maker has been navigating the fallout from partner Pratt & Whitney's warning last year that a powder metal defect could lead to cracking in some GTF engine components, an issue that grounded hundreds of Airbus AIR.PA A320neo aircraft for accelerated inspections and repairs.

It guided for 9.2 billion to 9.7 billion euros in adjusted revenue and 1.35 billion to 1.45 billion in adjusted operating profit in 2026, as strong global demand for engine maintenance offsets persistent costs linked to the troubled engine programme. At midpoint, the targets were in line or slightly above market expectations.

MTU's CEO Johannes Bussmann said the company "made the most of market opportunities in 2025", adding it was "well positioned" for further growth this year.

The results offer the clearest read yet on the financial fallout from the GTF engine recall, which has driven heavy shop‑visit volumes in MTU’s maintenance, repair and overhaul business while pressuring margins through MTU’s 18% share of programme costs.

($1 = 0.8490 euros)