10-KPeriod: FY2013

L3HARRIS TECHNOLOGIES, INC. /DE/ Annual Report, Year Ended Jun 28, 2013

Filed August 26, 2013For Securities:LHX

Summary

This 10-K filing for fiscal year 2013 from Harris Corporation (now L3Harris Technologies, Inc.) outlines a year marked by a slight revenue decrease, primarily driven by lower performance in the RF Communications and Integrated Network Solutions segments, while the Government Communications Systems segment remained relatively stable. The company continued its strategic focus on sustaining core markets, accelerating growth in key areas like public safety and healthcare IT, driving operational excellence through its Harris Business Excellence (HBX) platform, and optimizing capital deployment. Financially, Harris reported a decrease in income from continuing operations and diluted earnings per share compared to the prior year. The company also announced a significant subsequent event: a new $1 billion share repurchase program and an increase in its quarterly cash dividend, demonstrating a commitment to returning value to shareholders. Despite challenges such as U.S. government budget uncertainties and global economic weakness, Harris maintained a strong financial position, supported by robust operating cash flow and an available revolving credit facility. The company's outlook indicates continued investment in research and development to drive innovation and maintain a competitive edge in its diverse markets.

Financial Statements
Beta
Revenue$5.11B
Cost of Revenue$3.38B
Gross Profit$1.73B
Operating Expenses$914.00M
Operating Income$466.00M
Interest Expense$109.00M
Net Income$113.00M
EPS (Basic)$1.01
EPS (Diluted)$1.01
Shares Outstanding (Basic)106.30M
Shares Outstanding (Diluted)111.20M

Key Highlights

  • 1Harris Corporation's fiscal year 2013 saw a 6.2% decrease in total revenue to $5.11 billion, primarily due to lower sales in RF Communications and Integrated Network Solutions segments.
  • 2Income from continuing operations decreased by 16.9% to $461.9 million, and diluted earnings per share from continuing operations declined by 13.3% to $4.16.
  • 3The company reported net cash provided by operating activities of $833.0 million, indicating strong operational cash generation.
  • 4Harris announced a new $1 billion share repurchase program and increased its quarterly cash dividend from $0.37 to $0.42 per share, signaling confidence and commitment to shareholder returns.
  • 5The majority of revenue (67% in fiscal 2013) was derived from U.S. Government customers, making the company susceptible to government budget fluctuations and policy changes.
  • 6The company continued to invest significantly in research and development, with total R&D expenditures of $979 million in fiscal 2013.
  • 7Harris operated across three main segments: RF Communications, Integrated Network Solutions, and Government Communications Systems, serving both government and commercial markets.

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