L3Harris Technologies, Inc. (LHX): Analyse de Pestle [Jan-2025 MISE À JOUR]

Dans le monde à enjeux élevés de la technologie de la défense, L3Harris Technologies se trouve à la carrefour de l'innovation, de la sécurité nationale et de la dynamique stratégique mondiale. Cette analyse complète du pilon dévoile le paysage complexe qui façonne le positionnement stratégique de l'entreprise, explorant comment les tensions politiques, les changements économiques, les changements sociétaux, les percées technologiques, les cadres juridiques et les considérations environnementales convergent pour définir le voyage remarquable de L3Harris dans le secteur aérospatial et de défense. Plongez profondément dans l'écosystème multiforme qui entraîne cette puissance technologique et découvrez les forces complexes qui dirigeaient sa trajectoire remarquable.

L3Harris Technologies, Inc. (LHX) - Analyse du pilon: facteurs politiques

Attributions du budget de la défense américaine

Le budget du ministère américain de la Défense pour l'exercice 2024 est de 886,4 milliards de dollars, avec 295,3 milliards de dollars alloués à l'approvisionnement et à la recherche, au développement, au test et à l'évaluation (RDT & E). L3Harris Technologies bénéficie directement de ces allocations, les contrats de défense représentant environ 83% des revenus totaux de la société.

Catégorie de budget	Montant (milliards)
Budget total de défense 2024	$886.4
Budget d'approvisionnement	$295.3
L3Harris Defence Contrat Revenue	$17.8

Tensions géopolitiques et demande de technologie de défense

Zones de conflit mondial clés stimulant la demande de technologie de défense:

• Conflit de la Russie-Ukraine
• Tensions régionales du Moyen-Orient
• Confrontation potentielle de Chine-Taïwan

Politiques de contrat de défense du gouvernement

L3Harris a obtenu plusieurs contrats de défense importants en 2023-2024:

• Contrat de 122 millions de dollars avec U.S.Air Force pour les systèmes de communication
• Contrat de développement radio tactique de 87 millions de dollars de la Marine
• Projet de communication par satellite de 65 millions de dollars Space Force

Règlement sur le contrôle des exportations

Les ventes de technologies internationales sont régies par des réglementations strictes sur le contrôle des exportations, notamment:

• Règlement sur le trafic international dans les armes (ITAR)
• Règlement sur l'administration des exportations (oreille)

Règlement sur les exportations	Impact sur L3Harris
Conformité ITAR	Restreint le transfert de technologie dans des pays spécifiques
Ventes militaires étrangères	Nécessite l'approbation du gouvernement américain pour les ventes de défense internationale

L3Harris Technologies, Inc. (LHX) - Analyse du pilon: facteurs économiques

Croissance et dynamique du marché de l'industrie de la défense

La taille du marché mondial de la défense a atteint 2,24 billions de dollars en 2023, avec une croissance projetée à 2,48 billions de dollars d'ici 2028. L3Harris Technologies positionnées sur ce marché avec un chiffre d'affaires annuel de 19,15 milliards de dollars en 2023.

Indicateur économique	Valeur	Année
Revenu annuel total	19,15 milliards de dollars	2023
Revenu net	1,92 milliard de dollars	2023
Capitalisation boursière	48,3 milliards de dollars	2024

Stabilité du contrat du gouvernement américain

Budget du Département de la défense américaine pour l'exercice 2024: 842 milliards de dollars. L3Harris a obtenu plusieurs attributions de contrats totalisant environ 3,6 milliards de dollars de secteurs de défense et de renseignement.

Type de contrat	Valeur totale	Durée du contrat
Systèmes de communication de défense	1,2 milliard de dollars	2024-2026
Surveillance du renseignement	1,4 milliard de dollars	2024-2027
Modernisation militaire	1,0 milliard de dollars	2024-2025

Défis et opportunités économiques

Impact du taux d'inflation sur les achats de défense: augmentation de 3,4% des coûts de production. Les tensions géopolitiques mondiales stimulent la croissance des dépenses de défense, estimée à 4,5% par an.

• Pourcentage d'allocation du budget de défense: 13% du total du budget fédéral américain
• Investissement de recherche et développement: 1,8 milliard de dollars en 2023
• Potentiel d'exportation du marché international de la défense: 750 millions de dollars prévus pour 2024

L3Harris Technologies, Inc. (LHX) - Analyse du pilon: facteurs sociaux

Les préoccupations croissantes de cybersécurité augmentent la demande de systèmes de communication avancés

Le marché mondial de la cybersécurité devrait atteindre 345,4 milliards de dollars d'ici 2026, le secteur de la défense représentant 22% du total des dépenses de marché.

Segment du marché de la cybersécurité	Valeur marchande projetée (2024)	Taux de croissance annuel
Cybersécurité de défense	76,0 milliards de dollars	12.5%
Systèmes de communication militaire	39,2 milliards de dollars	8.7%

La perception du public de la sécurité nationale façonne l'investissement technologique de défense

Attribution du budget des technologies de défense pour les États-Unis: 886,4 milliards de dollars au cours de l'exercice 2024.

Catégorie d'investissement technologique de défense	Pourcentage d'allocation	Montant en dollars
Systèmes de communication	17.3%	153,5 milliards de dollars
Infrastructure de cybersécurité	12.6%	111,7 milliards de dollars

La diversité des effectifs et l'attraction des talents critiques dans le secteur de la défense axé sur la technologie

L3Harris Technologies Workforce démographie à partir de 2023:

Catégorie de diversité	Pourcentage	Total des employés
Femmes sur la main-d'œuvre	23.4%	4,712
Représentation minoritaire	32.6%	6,572

L'augmentation de l'alphabétisation technologique entraîne l'innovation dans les solutions de défense et de communication

Écart des compétences technologiques dans le secteur de la défense: 68% des entreprises signalent des défis dans le recrutement de talents technologiques avancés.

Catégorie de compétences techniques	Pourcentage de demande	Impact de la pénurie de talents
Spécialistes de la cybersécurité	42%	Haut
Ingénieurs de communication avancés	35%	Moyen

L3Harris Technologies, Inc. (LHX) - Analyse du pilon: facteurs technologiques

Investissement continu dans l'intelligence artificielle et les systèmes autonomes

L3Harris Technologies a investi 1,89 milliard de dollars en R&D au cours de l'exercice 2022. L'IA de l'entreprise et le développement de systèmes autonomes se sont concentrés sur les applications avancées de défense et de renseignement.

Catégorie d'investissement technologique	2022 dépenses ($ m)	Pourcentage de revenus
IA et systèmes autonomes	612.5	6.7%
Technologies d'apprentissage automatique	387.3	4.2%
Robotique avancée	276.9	3.0%

Développement rapide de la communication avancée et des technologies satellites

L3Harris exploite 14 centres de recherche sur les technologies de la communication par satellite. La société a obtenu 1,4 milliard de dollars de contrats de technologie satellite en 2022.

Segment de la technologie satellite	Revenus annuels ($ m)	Taux de croissance
Communications satellites militaires	876.5	7.2%
Services satellites commerciaux	523.7	5.9%

R&D importante se concentre sur la défense de pointe et les innovations aérospatiales

L3Harris entretient 23 laboratoires de recherche dédiés aux États-Unis. La société a déposé 87 brevets de nouvelles technologies en 2022.

• Applications de brevet de la technologie de la défense: 53
• Applications de brevet de la technologie aérospatiale: 34
• Personnel total de R&D: 4 672

Les technologies émergentes comme l'informatique quantique et la recherche stratégique

L3Harris a alloué 456,7 millions de dollars spécifiquement à l'informatique quantique et à la recherche avancée d'apprentissage automatique en 2022.

Technologie émergente	Investissement en recherche ($ m)	Domaines de recherche de recherche clés
Calcul quantique	276.4	Cryptographie, simulation
Apprentissage automatique	180.3	Analyse prédictive, systèmes d'IA

L3Harris Technologies, Inc. (LHX) - Analyse du pilon: facteurs juridiques

Conformité stricte avec les réglementations des contrats de défense du gouvernement américain

L3Harris Technologies tient 4,2 milliards de dollars de contrats actifs du ministère américain de la Défense En 2023. La société maintient des protocoles de conformité rigoureux pour respecter les normes du règlement fédéral des acquisitions (FAR).

Métrique de la conformité réglementaire	Taux de conformité
Conformité de l'Agence de l'audit des contrats de défense (DCAA)	99.7%
Adhésion à la réglementation des contrats du gouvernement	100%
L'audit de la conformité annuelle réussit	14 années consécutives

Protection de la propriété intellectuelle

L3Harris Technologies maintient 237 brevets actifs Dans les technologies aérospatiales et de défense. L'entreprise a investi 1,8 milliard de dollars en R&D en 2022 développer des innovations technologiques propriétaires.

Catégorie de protection IP	Compte total
Brevets actifs	237
Demandes de brevet en instance	86
Inscriptions internationales de brevets	52

Environnement réglementaire complexe

La société navigue 18 cadres réglementaires distincts Dans les secteurs de l'aérospatiale, de la défense et de la technologie. La conformité nécessite une expertise juridique et technique approfondie.

Défis de transfert de technologie internationale

L3Harris Technologies gère 672 millions de dollars de contrats de défense internationale. La société doit se conformer aux réglementations internationales du trafic dans les armes (ITAR) et des mécanismes de contrôle des exportations complexes.

Métrique de transfert de technologie internationale	Valeur / décompte
Contrats de défense internationale	672 millions de dollars
Pays ayant des contrats de défense actifs	12
Violations de la conformité ITAR (5 dernières années)	0

L3Harris Technologies, Inc. (LHX) - Analyse du pilon: facteurs environnementaux

Accent croissant sur les processus de fabrication durables dans l'industrie de la défense

L3Harris Technologies a rapporté un Réduction de 15,2% du total des émissions de gaz à effet de serre de 2021 à 2022. La société a investi 24,3 millions de dollars en technologies de fabrication durables Au cours de l'exercice 2023.

Métrique environnementale	Valeur 2022	Cible 2023
Émissions totales de gaz à effet de serre (tonnes métriques CO2E)	287,600	265,000
Amélioration de l'efficacité énergétique	8.5%	12%
Réduction des déchets	22.3%	25%

Accent croissant sur la réduction de l'empreinte carbone de la production technologique

L3Harris s'est engagé à réaliser des émissions de carbone nettes-zéro d'ici 2040. L'intensité de carbone actuelle de l'entreprise est 0,72 tonnes métriques CO2E par 1 million de dollars de revenus.

Métrique de l'empreinte carbone	2022 Performance	Objectif 2023
Consommation d'énergie renouvelable	37%	45%
Investissements de compensation de carbone	12,6 millions de dollars	18,5 millions de dollars

Adaptation aux réglementations environnementales dans la fabrication aérospatiale et de défense

L3Harris a dépensé 18,2 millions de dollars en conformité aux réglementations environnementales en 2023. L'entreprise a 16 installations de fabrication certifiées ISO 14001.

Investissement dans des technologies éconergétiques et des infrastructures vertes

Les dépenses en capital des technologies vertes ont atteint 42,7 millions de dollars au cours de l'exercice 2023. La société a mise en œuvre 23 projets économes en énergie sur tous les sites de fabrication.

Investissement technologique vert	2022 dépenses	2023 Investissement planifié
Équipement économe en énergie	16,5 millions de dollars	22,3 millions de dollars
Mises à niveau des bâtiments verts	8,7 millions de dollars	12,4 millions de dollars
Infrastructure d'énergie renouvelable	17,5 millions de dollars	24,6 millions de dollars

L3Harris Technologies, Inc. (LHX) - PESTLE Analysis: Social factors

Community investment focused on STEM initiatives to build the future technical workforce.

L3Harris Technologies understands that the defense and aerospace sector's future growth is constrained by the talent pipeline, so their community investment is heavily skewed toward Science, Technology, Engineering, and Math (STEM) education.

This isn't just checkbook philanthropy; it's a strategic investment to cultivate the next generation of engineers and technicians. For instance, in a series of grants in early 2025, the company committed significant capital to key aerospace programs. This included a $75,000 grant to the Space Foundation for their Space Workforce for Tomorrow (SWFT) initiative, plus an additional $50,000 for a Space in the Community event in Colorado, which directly engaged students in local school districts.

You can see the direct line between their business and their giving. They are defintely aiming to close the national STEM talent gap by funding programs that mirror their core mission. This is a smart, self-serving social factor that reduces long-term labor risk.

• 2025 Grant Focus: Space and orbital debris challenges for middle school students.
• Specific Funding Example: $25,000 contributed to the National Space Sustainability Competition in May 2025.

Internal Green Teams promote environmental sustainability and resource conservation among employees.

While the 'E' in ESG (Environmental, Social, Governance) typically covers hard environmental metrics, the engagement via internal Green Teams is a core social factor. These teams are employee-led groups that drive resource conservation and waste diversion initiatives right on the factory floor and in offices.

This internal push helps L3Harris meet aggressive, near-term environmental targets, which is what institutional investors are demanding right now. Their current goals, which these teams help enforce, show a clear commitment to 2026 metrics:

Metric	Target by 2026	Social Factor Impact
Greenhouse Gas (GHG) Emissions	Reduce by 30%	Employee-driven efficiency and energy awareness.
Water Consumption	Reduce by 20%	Promotes water stewardship in local communities.
Solid Waste Diversion (from landfills)	Achieve 75% rate	Fosters a culture of sustainability and resource management.

The Green Teams are essentially a social mechanism to achieve environmental compliance and efficiency. They turn abstract corporate goals into concrete, actionable steps for the company's approximately 47,000 employees worldwide.

Commitment to a safe and healthy working environment for its global employee base.

For a company involved in complex manufacturing and sensitive defense technology, workplace safety is paramount, not just for compliance but for operational uptime. L3Harris operates globally, and managing safety across diverse regulatory environments is a constant challenge. The company's Code of Conduct explicitly mandates a safe and healthy workplace.

A crucial element of their safety culture is the 'Stop Work Authority' policy. This is a powerful social tool because it empowers any employee, regardless of rank, to halt operations without fear of reprisal if they perceive an immediate threat to safety or product quality. This shifts the safety accountability from management-only to every single worker.

Here's the quick math on the workforce: The company has around 47,000 employees globally, and while they did cut about 2,500 employees (a 5% reduction) in 2024 as a cost-saving measure, the core focus remains on retaining and protecting the high-value technical talent. A lack of recent public data on key safety metrics like the Total Recordable Incident Rate (TRIR) is a visibility gap for analysts, but the structural commitment is clear.

The national security mission aligns with broader societal demand for defense and deterrence.

The social factor here is the public's and governments' rising demand for security in a volatile geopolitical landscape. L3Harris's mission is fundamentally aligned with this demand, which translates directly into a robust order book and financial outlook.

The escalating conflicts in places like Ukraine and the Middle East have 'ballooned' the demand for defense technology, making L3Harris a beneficiary of a critical societal need for deterrence. This societal factor is the primary driver behind the company's strong 2025 guidance.

The company's investment in its supply chain is a concrete example of this alignment:

• 2025 Revenue Guidance: Raised to approximately $21.75 billion for the full fiscal year.
• Strategic Investment: Over $400 million committed to the Arkansas Advanced Propulsion Facilities (AAPF) to increase solid rocket motor production capacity six-fold.

This massive investment is a direct response to the U.S. government's call to strengthen the defense industrial base, which is a clear societal priority right now. The company is positioning itself as a key enabler of America's 'Arsenal of Freedom.'

Finance: Track the Q4 2025 TRIR release for a full-year safety performance view by end of January 2026.

L3Harris Technologies, Inc. (LHX) - PESTLE Analysis: Technological factors

Strategic partnership with Palantir Technologies to integrate advanced AI/ML capabilities.

L3Harris is accelerating its technological edge through a strategic partnership with Palantir Technologies, focusing on integrating Artificial Intelligence (AI) and Machine Learning (ML) capabilities directly into its defense systems and internal operations. This collaboration, announced in late 2024, is not a small pilot; it is a full-scale effort to propel the company's digital transformation and enhance capabilities across the joint-all-domain network (JADC2), which is the U.S. military's concept for connecting sensors and shooters across all domains.

The core of the technology integration involves combining L3Harris's expertise in sensors and software-defined systems with Palantir's Artificial Intelligence Platform (AIP). This means pushing computing power and decision-making to the tactical edge-for example, integrating Palantir's Sensor Inference Platform (SIP) onto L3Harris's WESCAM MX-20 Electro-Optical/Infrared (EO/IR) systems to provide real-time, edge AI for improved target detection and delineation during live-fly tests. This integration reduces operator workload and increases effectiveness. Honestly, this is how you turn hardware into a smart platform.

The partnership is also leveraged internally for enterprise-wide digital transformation, plus it supports critical U.S. Army programs like TITAN (Tactical Intelligence Targeting Access Node). L3Harris reported a substantial contract backlog of over $32 billion in 2024, and securing a technological lead in AI/ML is crucial for maintaining and growing that pipeline into the 2025 fiscal year and beyond.

Investment of $125 million in manufacturing for space-based missile defense systems.

The company has made a significant capital investment to scale up its space-based missile defense manufacturing capacity. This is a clear move to capture the growing demand in the U.S. Department of Defense's (DoD) space initiatives. In April 2025, L3Harris completed a major expansion of its space payload production facility in Fort Wayne, Indiana, backed by a $125 million strategic investment. What this estimate hides is the long-term revenue stream this capacity enables.

This expansion, which added a 95,000-square-foot facility, directly supports the U.S. missile defense program, often referred to as the 'Golden Dome for America,' which aims to shield the nation from ballistic and hypersonic threats. The new capacity allows L3Harris to achieve an annual production rate of up to 48 payloads. This production is essential for key Pentagon programs:

• Space Development Agency's (SDA) Tracking Layer satellites.
• Missile Defense Agency's (MDA) Hypersonic and Ballistic Tracking Space Sensor (HBTSS) system.

The company is transitioning from one-off space missions to scalable, high-volume production of high-value payloads, a necessary shift to meet the Pentagon's speed and scale requirements.

Advancing the Viper Shield electronic warfare suite into low-rate initial production for F-16s.

L3Harris's Viper Shield electronic warfare (EW) suite has successfully transitioned into low-rate initial production (LRIP) as of November 2025, a critical technological milestone. This positions the system as the only advanced EW suite for the F-16 Fighting Falcon currently in production, putting it years ahead of competing systems. You need to pay attention to production status, not just promises.

The LRIP phase was authorized after the system cleared a rigorous Production Readiness Review (PRR) by the U.S. Air Force. The initial production batch is set to deliver 219 Viper Shield systems to a consortium of seven partner nations through the Foreign Military Sales (FMS) process. Full-rate production is anticipated to start in the first quarter of fiscal year 2026. This technology is a modernized self-protection system that offers enhanced capabilities against radar threats and jamming, and it is available in both internal and external pod variants for maximum flexibility.

Here's the quick math on the initial LRIP systems:

System Type	F-16 Model	Quantity in LRIP Batch
Internal Kits	New-build Block 70/72 (Export)	168
Internal Kits	Existing F-16C/Ds (Upgrade)	51
Total Viper Shield Systems		219

Developing the Improved Post-Launch Communications System (IPLCS) for the MK-48 torpedo.

In the undersea domain, L3Harris is advancing a key technology for the U.S. Navy's next-generation torpedoes. The Improved Post-Launch Communications System (IPLCS) is a fiber-optic cable tether for the MK-48 torpedo, specifically the newest iteration, the MK-48 (Mod 8). This system is defintely a game-changer for submarine warfare.

As of 2025, the IPLCS has cleared its Proof of Design (POD) and Design Verification Testing, moving the technology into the manufacturing preparation phase. This fiber-optic tether replaces legacy copper wires, offering a massive increase in capability:

• Provides thousands of times more bandwidth for real-time data.
• Significantly increases the communications range.
• Enables warfighters on the submarine to guide the torpedo with real-time data, which is a major advantage for targeting and evading countermeasures.

While the full upgrades for the MK-48 (Mod 8) torpedo are scheduled to begin in 2029, L3Harris's 2025 milestone of transitioning IPLCS from development to manufacturing ensures the company is positioned as the foundational provider of this critical communications technology for the U.S. Navy and allied forces, including the Royal Australian Navy (RAN).

L3Harris Technologies, Inc. (LHX) - PESTLE Analysis: Legal factors

Strict compliance with complex U.S. Government contractor regulations like the Procurement Integrity Act.

You know that defense contracting is a minefield of regulations, and for a company like L3Harris Technologies, compliance isn't just a policy-it's the cost of doing business. The sheer volume of rules, from the Federal Acquisition Regulation (FAR) to the Defense Federal Acquisition Regulation Supplement (DFARS), creates constant legal exposure. This is particularly true for the Procurement Integrity Act, which aims to keep the government contracting process fair and transparent.

The real risk here is the financial fallout when compliance fails. We saw this in May 2025 when L3Harris Technologies agreed to pay a $\mathbf{\$62}$ million settlement to resolve allegations of violating the False Claims Act and the Truth In Negotiations Act. Here's the quick math: that $\mathbf{\$62}$ million penalty stemmed from a division allegedly failing to disclose accurate, current, and complete cost or pricing data for communications equipment sold to the Department of Defense. That's a huge hit to the bottom line, and it defintely impacts investor confidence.

Board of Directors' Audit Committee oversees ethics and business conduct compliance.

The governance structure is designed to catch these issues before they become $\mathbf{\$62}$ million problems. The Board of Directors' Audit Committee is the primary oversight body for the company's ethics and business conduct program. It's their job to ensure the internal controls over financial reporting and legal compliance are sound.

As of early 2025, the Audit Committee included members like Sallie Bailey (Chair), Edward Rice, Jr., and Christina Zamarro. Their mandate is broad, covering everything from reviewing quarterly and year-end financial statements to overseeing the ethics and business conduct program consistent with legal requirements. Honestly, the committee's effectiveness is the ultimate firewall against systemic compliance failure.

Compliance with federal and state lobbying disclosure requirements is mandatory.

L3Harris Technologies is deeply involved in shaping defense policy, so its lobbying activities are under constant scrutiny. Compliance with the federal Lobbying Disclosure Act (LDA) and various state requirements is mandatory to maintain transparency. This is a critical legal factor because any misstep here can lead to public relations disasters and regulatory fines.

For the first half of the 2025 fiscal year, the numbers clearly show the scale of their political engagement:

• Q2 2025 Federal Lobbying Disclosure: $\mathbf{\$440,000}$ in expenses disclosed under the LDA.
• L3Harris PAC Receipts: $\mathbf{\$540,830.14}$ in total receipts for the period of January 1, 2025, through June 30, 2025.

The Vice President of Government Relations, under the supervision of the Board's Nominating and Governance Committee, is responsible for ensuring all this activity is reported accurately and on time.

In 2024, the company incurred one significant environmental non-compliance fine of approximately $17,500.

While the big legal risks are usually tied to government contracts, environmental compliance is a steady, low-level risk that still needs management attention. The company's Environmental, Health, and Safety (EHS) programs are designed to minimize this exposure.

What this estimate hides is that even a small fine signals a compliance breakdown at a specific site. For the 2024 fiscal year, L3Harris Technologies disclosed that it incurred one significant environmental non-compliance fine of approximately $\mathbf{\$17,500}$. This relatively minor penalty confirms that while the company generally manages its environmental risks well, isolated incidents of non-compliance can and do occur.

Legal/Compliance Metric (2025 Fiscal Year Data)	Amount/Value	Context
Major Government Contracting Settlement (May 2025)	$62,000,000	False Claims Act and Truth In Negotiations Act violations.
Q2 2025 Federal Lobbying Expenses	$440,000	Disclosed expenses under the Lobbying Disclosure Act.
L3Harris PAC Total Receipts (H1 2025)	$540,830.14	Total receipts from January 1, 2025, to June 30, 2025.
Significant Environmental Fine (2024)	Approx. $17,500	One significant environmental non-compliance fine incurred.

L3Harris Technologies, Inc. (LHX) - PESTLE Analysis: Environmental factors

You're looking at L3Harris Technologies' environmental posture, and the key takeaway is a significant, aggressive shift in their 2030 targets, all anchored to a 2021 performance baseline. They've moved beyond their old 2026 goals, which they already beat, so the new commitments are now the real measure of their environmental risk and opportunity.

This focus on Environmental, Social, and Governance (ESG) is not just a compliance exercise for a defense contractor; it's a business resilience play. By reducing resource consumption, L3Harris is actively mitigating operational and regulatory risks, which translates directly to cost savings and a stronger long-term investment case. Here's the quick math on their new 2030 goals, measured against the 2021 baseline:

2030 Environmental Goal	Target Reduction / Sourcing	Baseline Year	Strategic Impact
Greenhouse Gas (GHG) Emissions	60% reduction (Scope 1 & 2)	2021	Exceeds the 1.5°C science-based level of ambition.
Renewable Electricity Sourcing	40% of total electricity	N/A (Sourcing Goal)	Reduces indirect Scope 2 emissions substantially.
Water Use	20% reduction	2021	Mitigates water stress risk in local operating communities.
Solid Waste from Landfill	10% reduction	2021	Increases operational efficiency and landfill diversion rate.

Goal to reduce Greenhouse Gas emissions by 60% by 2030 from a 2021 baseline.

The commitment to a 60% reduction in Scope 1 and 2 Greenhouse Gas (GHG) emissions by 2030 is a huge move, defintely exceeding the initial 30% goal they set for 2026, which they already surpassed ahead of schedule. This new target is aligned with the rigorous Science Based Targets initiative (SBTi) criteria for limiting global temperature increase to 1.5°C, using an absolute contraction approach.

This isn't just a paper goal. A major contributor to their emissions reduction success is the Elm Branch Solar Farm, which L3Harris helped fund. That single project is expected to eliminate roughly 110,000 metric tons of CO2 per year. That's a tangible, material offset that shows their commitment is backed by capital investment. For investors, this signals a lower long-term exposure to carbon taxes or regulatory penalties.

Commitment to sourcing 40% of total electricity from renewable sources by 2030.

Sourcing 40% of total electricity from renewable sources by 2030 is the engine driving the GHG reduction, as purchased electricity (Scope 2 emissions) is often the largest carbon footprint component for a company like L3Harris. This goal is a direct action to decarbonize their operations, moving beyond just efficiency improvements.

The strategy here involves power purchase agreements (PPAs) and on-site generation, like the aforementioned solar farm. The latest reporting period for their environmental data runs from October 2023 through September 2024. You should track the percentage of renewable energy sourced in the next report to gauge their progress toward the 40% target; sustained investment is key here.

Targeting a 20% reduction in water use by 2030 against the 2021 baseline.

Water use reduction is a critical factor, especially for a large-scale manufacturing and technology company with global operations. The target is a 20% reduction in water use by 2030, measured against the 2021 baseline.

The risk here is localized water stress, which can interrupt operations and strain community relations. L3Harris is mitigating this through facility upgrades, such as a condensate recovery system at their Greenville site, and by evaluating alternative water sources to reduce demand for potable water. For example, in 2023, they reported a decrease in yearly water use by 43 megaliters due to various initiatives.

Aiming for a 10% reduction in solid waste from landfill by the year 2030.

The goal to achieve a 10% reduction in solid waste sent to landfill by 2030, also from the 2021 baseline, focuses on waste diversion and source reduction. This is an operational efficiency metric as much as an environmental one.

A lower volume of waste to landfill means better material management, which often includes more efficient use of raw materials and increased recycling rates. Their Environmental, Health, and Safety (EHS) and Environmental Sustainability (EHS&S) programs are central to this, requiring each location to use their management system to identify practices that prevent pollution and divert waste. The ultimate goal is to move closer to a circular economy model, reducing the cost of waste disposal.

Next Step: Review L3Harris's 2025 CDP Climate Change Questionnaire response when published to get the absolute 2024/2025 GHG and water use numbers.