logo
Twitter
Discord
Email
logo
Kratos Defense & Security Solutions, Inc.

Kratos Defense & Security Solutions, Inc.

NASDAQ•KTOS
CEO: Mr. Eric M. DeMarco
Sector: Industrials
Industry: Aerospace & Defense
Listing Date: 1999-11-05
Kratos Defense & Security Solutions, Inc. operates as a technology company that addresses the defense, national security, and commercial markets. It operates through two segments, Kratos Government Solutions and Unmanned Systems. The company offers ground systems for satellites and space vehicles, including software for command and control, telemetry, and tracking and control; jet-powered unmanned aerial drone systems, hypersonic vehicles, and rocket systems; propulsion systems for drones, missiles, loitering munitions, supersonic systems, spacecraft, and launch systems; command, control, communication, computing, combat, intelligence surveillance and reconnaissance; and microwave electronic products for missile, radar, missile defense, space, and satellite; counter unmanned aircraft systems, directed energy, communication and other systems, and virtual and augmented reality training systems for the warfighter. The company primarily serves national security-related agencies, the U.S. Department of Defense, intelligence agencies and classified agencies, international government agencies, and commercial customers. Kratos Defense & Security Solutions, Inc. was incorporated in 1994 and is headquartered in San Diego, California.
Contact Information
10680 Treena Street, 6th Floor, San Diego, CA, 92131, United States
858-812-7300
www.kratosdefense.com
Market Cap
$22.07B
P/E (TTM)
1137.3
111.4
Dividend Yield
--
52W High
$132.00
52W Low
$23.90
52W Range
99%
Rank64Top 94.9%
1.7
F-Score
Modified Piotroski Analysis
Based on 10-year fundamentals
Weak • 1.7 / 9 points
Scoring Range (0-9)
8-9: Excellent Value
6-7: Strong Fundamentals
4-5: Average Quality
0-3: Weak Performance
Data Period: 2016-2025

Financial Dashboard

Q3 2025 Data

Revenue

$347.60M+25.99%
4-Quarter Trend

EPS

$0.05+142.86%
4-Quarter Trend

FCF

-$41.30M+348.91%
4-Quarter Trend

2025 Q3 Earnings Highlights

Key Highlights

Nine Month Revenue Growth Revenue $1.002B, up 17.4% for nine months. Driven by KGS growth and Norden acquisition contribution.
Net Income Improvement Nine month net income $16.1M, up from $12.4M. Improvement linked to reduced interest expense post debt payoff.
Strong Financing Cash Flow Financing cash flow provided $360.2M. Result of $555.9M net proceeds from June 2025 common stock offering.
Backlog Reaches $1.480B Total backlog reached $1.480B, increasing from $1.294B. Driven by Space, Satellite, and Unmanned Systems contract awards.

Risk Factors

Gross Margin Compression Nine month gross margin fell to 22.4% from 25.5%. Impacted by unfavorable revenue mix and increased labor costs.
Government Shutdown Risk Extended U.S. government shutdown risk noted. Potential delay in customer payments could materially affect cash flow results.
Negative Operating Cash Flow Operating cash flow used $(54.2M) for nine months. Primarily due to changes in net working capital accounts usage.
Macroeconomic Cost Pressures Adverse macroeconomic conditions. Supply chain disruptions and rising labor costs adversely impact profit margins.

Outlook

Orbit Acquisition Agreement Definitive merger agreement signed to acquire Orbit Technologies Ltd. Expected closing in the first half of fiscal 2026.
Prometheus JV Advancing Prometheus JV with RAFAEL advancing. SRM production projected to commence in 2027 after technology transfer completion.
Capital Deployment Strategy Net proceeds fund scaling National Security priorities. Focus on large programs, targeted acquisitions, and strengthening balance sheet.
Debt Structure Simplified Term Loan A debt extinguished July 2, 2025. Undrawn $200M revolving credit facility remains active and available.

Peer Comparison

Revenue (TTM)

Textron Inc.TXT
$14.24B
+0.6%
MasTec, Inc.MTZ
$13.76B
+13.0%
Expeditors International of Washington, Inc.EXPD
$11.17B
+12.5%

Gross Margin (Latest Quarter)

Joby Aviation, Inc.JOBY
55.4%
+9.0pp
nVent Electric plcNVT
37.4%
-2.3pp
Woodward, Inc.WWD
27.9%
+3.6pp

Key Metrics

Symbol
Market Cap
P/E (TTM)
ROE (TTM)
Debt to Assets
KTOS$22.07B1137.31.2%5.5%
EXPD$22.04B26.237.6%11.7%
WWD$19.98B45.118.5%5.3%

Long-Term Trends

Last 4 Quarters
Revenue
Net Income
Operating Cash Flow
4Q Revenue CAGR
7.1%
Steady Growth
4Q Net Income CAGR
30.7%
Profitability Improved
Cash Flow Stability
25%
Cash Flow Needs Attention

Research & Insights

Next earnings:Feb 25, 2026
|
EPS:$0.14
|
Revenue:$327.69M
Reports
All Years
  • Form 10-Q - Q3 2025

    Period End: Sep 28, 2025|Filed: Nov 4, 2025|
    Revenue: $347.60M+26.0%
    |
    EPS: $0.05+142.9%
    Miss
  • Form 10-Q - Q2 2025

    Period End: Jun 29, 2025|Filed: Aug 7, 2025|
    Revenue: $351.50M+17.1%
    |
    EPS: $0.02-61.5%
    Miss
  • Form 10-Q - Q1 2025

    Period End: Mar 30, 2025|Filed: May 7, 2025|
    Revenue: $302.60M+9.2%
    |
    EPS: $0.03+214.0%
    Miss
  • Form 10-K - FY 2024

    Period End: Dec 29, 2024|Filed: Feb 26, 2025|
    Revenue: $1.14B+9.6%
    |
    EPS: $0.11+257.1%
    Beat
  • Form 10-Q - Q3 2024

    Period End: Sep 29, 2024|Filed: Nov 7, 2024|
    Revenue: $275.90M+0.5%
    |
    EPS: $0.02-270.7%
    Miss
  • Form 10-Q - Q2 2024

    Period End: Jun 30, 2024|Filed: Aug 7, 2024|
    Revenue: $300.10M+16.8%
    |
    EPS: $0.05-348.8%
    Miss
  • Form 10-Q - Q1 2024

    Period End: Mar 31, 2024|Filed: May 7, 2024|
    Revenue: $277.20M+19.6%
    |
    EPS: $0.01-117.0%
    Miss
  • Form 10-Q/A - Q1 2023

    Period End: Mar 26, 2023|Filed: Feb 21, 2024|
    Revenue: $231.80M+18.1%
    |
    EPS: $-0.05-54.5%
    Miss