Leonardo DRS Q2 revenue up 10%, beats estimates

Leonardo DRS

30/07/2025 12:42

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

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)