
Mercury Systems, Inc.
NASDAQ•MRCY
CEO: Dr. William L. Ballhaus
Sector: Industrials
Industry: Aerospace & Defense
Listing Date: 1998-01-30
Mercury Systems, Inc., a technology company, manufactures and sells components, products, modules, and subsystems for defense prime contractors, the U.S. government, and original equipment manufacturers commercial aerospace companies. in the United States, Europe, and the Asia Pacific. Its products and solutions are deployed in approximately 300 programs with 25 defense contractors and commercial aviation customers. The company offers components, including power amplifiers and limiters, switches, oscillators, filters, equalizers, digital and analog converters, chips, monolithic microwave integrated circuits, and memory and storage devices; modules and sub-assemblies, such as embedded processing boards, switched fabrics and boards, digital receivers, multi-chip modules, integrated radio frequency and microwave multi-function assemblies, tuners, and transceivers, as well as graphics and video boards; and integrated subsystems. It also designs and develops digital radio frequency memory units for various modern electronic warfare applications; radar environment simulation and test systems for defense and intelligence applications; and signals intelligence payloads and EO/IR technologies for small UAV platforms, as well as onboard UAV processor systems for real-time wide area motion imagery. The company was formerly known as Mercury Computer Systems, Inc. and changed its name to Mercury Systems, Inc. in November 2012. The company was incorporated in 1981 and is headquartered in Andover, Massachusetts.
Contact Information
Market Cap
$4.52B
P/E (TTM)
-135.4
101.4
Dividend Yield
--
52W High
$85.33
52W Low
$37.50
52W Range
Rank37Top 25.8%
4.8
F-Score
Modified Piotroski Analysis
Based on 10-year fundamentals
Average • 4.8 / 9 points
Scoring Range (0-9)
8-9: Excellent Value
6-7: Strong Fundamentals
4-5: Average Quality
0-3: Weak Performance
Data Period: 2015-2024
Financial Dashboard
Q1 2026 Data
Revenue
$225.21M+10.16%
4-Quarter Trend
EPS
-$0.21-30.00%
4-Quarter Trend
FCF
$24.06M-215.14%
4-Quarter Trend
2026 Q1 Earnings Highlights
Key Highlights
Revenue Grew 10.2% Net revenues increased 10.2% to $225.2M, driven by modules/sub-assemblies execution on program base.
Gross Margin Expanded Gross margin expanded 260 basis points to 27.9% due to favorable program mix changes this quarter.
Net Loss Significantly Narrowed Net Loss narrowed $5.0M to $(12.5)M, reflecting improved operational leverage and better gross performance.
Cash Flow Turned Positive Operating cash flow reversed sharply, turning to $2.2M inflow from prior period's $(14.7)M outflow.
Risk Factors
SG&A Expenses Surged SG&A expenses surged 38.4% to $45.9M, heavily impacted by $7.3M higher compensation/litigation costs.
Government Shutdown Risks Ongoing U.S. federal shutdown creates operational risk, potentially delaying license processing and customer orders.
Restructuring Costs Expected Incurred $1.6M severance costs for 40 positions; expect $2.4M additional charges related to 42 international positions.
Former CEO Litigation Exposure Former CEO arbitration dispute carries potential liability exposure estimated between $3.0M and $12.0M plus fees.
Outlook
RPO Backlog Strong Total RPO stands at $782.6M, with 54% expected to convert to revenue within the next 12 months.
Revolver Maturity Extended Revolver maturity extended five years to November 2030, maintaining $850.0M facility size post-amendment.
New Share Repurchase Plan Board authorized new $200.0M common stock repurchase program effective November 2025 for capital deployment.
Executive Agreements Updated Updated Change in Control and Severance agreements for non-CEO executives approved in October 2025.
Peer Comparison
Revenue (TTM)
SPR$6.39B
BCO$5.15B
GVA$4.24B
Gross Margin (Latest Quarter)
57.6%
ENS29.1%
MRCY27.9%
Key Metrics
Symbol | Market Cap | P/E (TTM) | ROE (TTM) | Debt to Assets |
|---|---|---|---|---|
| HXL | $6.08B | 88.6 | 4.5% | 27.5% |
| ENS | $5.57B | 16.7 | 18.0% | 29.8% |
| ECG | $4.91B | 27.1 | 36.7% | 6.1% |
Long-Term Trends
Last 4 Quarters
Revenue
Net Income
Operating Cash Flow
4Q Revenue CAGR
0.3%
Moderate Growth
4Q Net Income CAGR
N/M
Profitability Shift
Cash Flow Stability
100%
Strong Cash Flow
Research & Insights
Next earnings:Feb 3, 2026
EPS:$0.07
|Revenue:$209.96M
Reports
All Years
Form 10-Q - Q1 2026
Period End: Sep 26, 2025|Filed: Nov 4, 2025|Revenue: $225.21M+10.2%|EPS: $-0.21-30.0%MissForm 10-K - FY 2025
Period End: Jun 27, 2025|Filed: Aug 11, 2025|Revenue: $912.02M+9.2%|EPS: $-0.65+72.7%MissForm 10-Q - Q3 2025
Period End: Mar 28, 2025|Filed: May 6, 2025|Revenue: $211.36M+1.5%|EPS: $-0.33-57.1%MissForm 10-Q - Q2 2025
Period End: Dec 27, 2024|Filed: Feb 4, 2025|Revenue: $223.13M+13.0%|EPS: $-0.30-62.0%MissForm 10-Q - Q1 2025
Period End: Sep 27, 2024|Filed: Nov 5, 2024|Revenue: $204.43M+13.0%|EPS: $-0.30-53.1%MissForm 10-K - FY 2024
Period End: Jun 28, 2024|Filed: Aug 13, 2024|Revenue: $835.28M-14.2%|EPS: $-2.38-376.0%MissForm 10-Q - Q3 2024
Period End: Mar 29, 2024|Filed: May 7, 2024|Revenue: $208.26M-21.0%|EPS: $-0.77-955.6%MissForm 10-Q - Q2 2024
Period End: Dec 29, 2023|Filed: Feb 6, 2024|Revenue: $197.46M-14.0%|EPS: $-0.79+315.8%Miss