Kratos Q4 EPS Beats by 28.6%, Revenue Exceeds Estimates at $345.1M
Kratos reported Q4 EPS of $0.18, 28.6% above estimates, and revenue of $345.1 million, exceeding forecasts by 5.1% and up 21.9% year-on-year. Product sales jumped 30.7% to $230.8 million while Government Solutions rose 24.6%, marking its fourth consecutive quarter of estimate beats.
1. Q4 Earnings and Revenue Results
Kratos posted Q4 EPS of $0.18 per share, a 28.6% surprise over the $0.14 estimate, and revenue of $345.1 million, surpassing forecasts by 5.1% and rising 21.9% from $283.1 million a year earlier.
2. Segment Performance Breakdown
Product sales reached $230.8 million, topping analyst estimates of $201.65 million and increasing 30.7% year-over-year. Government Solutions generated $276.6 million, beating the $256.58 million consensus and rising 24.6%. Unmanned Systems delivered $68.5 million (+12.1%) while service revenues grew 7.3% to $114.3 million.
3. Consistent Beats and Share Performance
This marks the fourth straight quarter of EPS and revenue surprises, demonstrating sustained operational strength. Shares have climbed 26.6% since January 1 but fell 13% over the past month as investors rotated positions.
4. Outlook and Analyst Expectations
Consensus EPS for the next quarter is $0.14 on projected revenue of $348.5 million, with full-year fiscal 2026 estimates at $0.73 on $1.6 billion in sales. The Aerospace‐Defense Equipment industry ranks in the top 24%, underpinning positive estimate revisions.