Can L3Harris' Propulsion Capacity Expansion Unlock New Growth?

L3Harris Technologies, Inc. LHX is expanding its missile propulsion production capabilities as demand for critical defense systems increases. The company's Aerojet Rocketdyne (AR) segment provides propulsion technologies for strategic defense, missile defense, hypersonic and tactical systems. In September 2026, L3Harris received a contract valued at more than $6 billion over seven years to significantly expand propulsion production for the Terminal High Altitude Area Defense (THAAD) system. The propulsion business is already benefiting from higher production activity. AR revenues increased 10% year over year to $2.