How L3Harris Makes Money

L3Harris generates revenue through US Department of Defense (DoD) prime contracts, foreign military sales (FMS) to US allies, commercial space/aviation contracts, and specialized defense subcontracts. Approximately 75% of total revenue originates from US government defense agencies under both firm-fixed-price and cost-reimbursable contract vehicles. In Communication Systems, the company sells high-margin Falcon tactical radios and satellite communications terminals under multi-year procurement programs to the US Army, US Marine Corps, and over 100 allied nations. In Aerojet Rocketdyne, L3Harris holds long-term sole-source propulsion supplier contracts powering Raytheon's Patriot missiles, Lockheed's HIMARS/GMLRS rockets, and NASA's Space Launch System (SLS) Artemis moon rockets.

L3Harris's forward growth strategy centers on three national security priorities: scaling solid rocket motor production capacity to replenish depleted allied munitions stockpiles, deploying proliferation-resistant low-Earth-orbit (LEO) missile tracking satellites, and expanding electronic warfare on allied fighter fleets. Following the war in Ukraine and Indo-Pacific deterrence demands, L3Harris is investing hundreds of millions to expand Aerojet Rocketdyne manufacturing lines for Javelin, Stinger, and GMLRS rocket motors. In space, L3Harris is building missile tracking satellite constellations for the US Space Development Agency (SDA) to detect hypersonic glide vehicles. Concurrently, L3Harris is upgrading international F-16 fleets with its Viper Shield electronic warfare suite.