Leonardo DRS Q2 revenue up 10%, beats estimates
Overview
Leonardo DRS Q2 revenue rises 10% yr/yr, beating analyst expectations, per LSEG data
Adjusted EPS for Q2 beats consensus, rising 28% yr/yr, per LSEG data
Company revises 2025 guidance across all metrics
Outlook
Leonardo DRS revises 2025 revenue guidance to $3.525 bln - $3.6 bln
Company raises 2025 adjusted EPS guidance to $1.06 - $1.11
Result Drivers
ELECTRIC POWER AND PROPULSION - Revenue growth driven by increased volume and profitability in electric power and propulsion programs, notably Columbia Class
ADVANCED TECHNOLOGIES - Strong demand for advanced infrared sensing and ground network computing contributed to revenue growth
CUSTOMER DEMAND - Resilient demand for electric power and propulsion, naval network computing, and advanced infrared sensing technologies supported strong bookings
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Revenue | Beat | $829 mln | $827.50 mln (7 Analysts) |
Q2 Adjusted EPS | Beat | $0.23 | $0.21 (8 Analysts) |
Q2 EPS |
| $0.2 |
|
Q2 Adjusted Net Income | Beat | $62 mln | $55.90 mln (4 Analysts) |
Q2 Net Income |
| $54 mln |
|
Q2 Adjusted EBITDA | Beat | $96 mln | $93.80 mln (5 Analysts) |
Q2 Adjusted EBITDA Margin |
| 11.6% |
|
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the aerospace & defense peer group is "buy"
Wall Street's median 12-month price target for Leonardo DRS Inc is $49.50, about 2.6% above its July 29 closing price of $48.20
The stock recently traded at 41 times the next 12-month earnings vs. a P/E of 30 three months ago
Press Release: ID:nBwbbR0Jra
