Kratos Q3 Revenue Soars 26% to $347.6M as Q4 Growth Seen at 14.7%
Kratos posted Q3 revenue of $347.6 million, a 26% year-on-year increase, beating analysts’ organic revenue and EBITDA estimates. For Q4, consensus forecasts call for 14.7% revenue growth versus 3.4% last year, while peers Mercury Systems and Leidos reported mixed results with share declines.
1. Last Quarter Performance
Kratos reported $347.6 million in Q3 revenue, marking a 26% year-on-year increase and surpassing both organic revenue and EBITDA estimates set by analysts.
2. Q4 Growth Outlook
Analysts forecast Kratos will achieve 14.7% revenue growth in Q4, up from a 3.4% gain a year earlier, with estimate revisions remaining largely unchanged over the past 30 days.
3. Peer Earnings Comparison
Mercury Systems posted 4.4% year-on-year revenue growth, beating estimates by 10.4% but saw shares drop 22.3%, while Leidos suffered a 3.6% revenue decline, missing forecasts and trading down 2.7%.
4. Stock Momentum and Targets
Defense contractors’ shares have rallied 6.7% on average over the last month, yet Kratos is down 12.4% and trades at $96.74 versus an average analyst price target of $115.70.