Leonardo DRS Q4 revenue jumps 8.1% to $1.06B, EPS tops estimates
Leonardo DRS reported Q4 CY2025 revenue of $1.06 billion, an 8.1% increase that topped the $990.8 million consensus, and non-GAAP EPS of $0.42, a 13.2% beat. The company issued FY2026 guidance of $1.23 adjusted EPS (2.1% below analysts) and $515 million EBITDA (above estimates).
1. Q4 CY2025 financial results
Leonardo DRS reported revenue of $1.06 billion in Q4 CY2025, up 8.1% year-on-year and beating the $990.8 million consensus. The company posted non-GAAP EPS of $0.42, 13.2% above analyst estimates, and generated $158 million in adjusted EBITDA.
2. FY2026 guidance
The company provided adjusted EPS guidance of $1.23 for FY2026, 2.1% below the $1.26 consensus, while projecting $515 million in EBITDA, surpassing the $507.8 million estimate.
3. Backlog, margins, and cash flow
Leonardo DRS ended Q4 with a backlog of $8.73 billion, a 2.6% year-on-year increase, maintained an operating margin of 11.9%, and delivered a free cash flow margin of 35.5%.