RTX
A big order, but make it RTX-adjacent
AirAsia X just went shopping for 150 Airbus A220 aircraft, and those jets will be powered by Pratt & Whitney GTF engines — the RTX-owned engine business that basically lives for long-term service contracts.
The first deliveries aren’t expected until 2028, so this isn’t a quick-hit revenue pop. It’s more like planting a money tree that should start dropping fruit for years, especially with a 12-year engine maintenance agreement attached.
Why investors should care
For RTX, the headline isn’t just the plane order. It’s the after-sales gravy train:
- more engines in the field
- more maintenance work over time
- more recurring service revenue instead of one-and-done hardware sales
That matters because defense and aerospace names love predictable, high-margin service dollars. The engine may get the spotlight, but the maintenance contract is where the relationship gets sticky.
The long game
The deal also gives RTX another foothold in the global narrowbody market, where airlines are constantly juggling fuel efficiency, upkeep costs, and fleet expansion. If AirAsia keeps growing, RTX’s engine footprint grows with it.
Big picture: this is the kind of aerospace deal Wall Street likes — slow-burn, recurring, and annoyingly hard for competitors to yank away once it’s in place.