Kratos Defense & Security Solutions, Inc. is a government contractor for the US Department of Defense. The company is headquartered in San Diego, California.
| Revenue (TTM) | $1.65B |
| Gross Profit (TTM) | $379.10M |
| EBITDA | $88.80M |
| Operating Margin | -0.85% |
| Return on Equity | 0.81% |
| Return on Assets | 0.23% |
| Revenue/Share (TTM) | $9.09 |
| Book Value | $18.28 |
| Price-to-Book | 1.83 |
| Price-to-Sales (TTM) | 4.01 |
| EV/Revenue | 3.114 |
| EV/EBITDA | 43.35 |
| Quarterly Earnings Growth (YoY) | 7.40% |
| Quarterly Revenue Growth (YoY) | 35.70% |
| Shares Outstanding | $188.27M |
| Float | $186.33M |
| % Insiders | 1.28% |
| % Institutions | 86.14% |
Volatility is currently expanding
KTOS' Q3 earnings beat estimates as revenues surge 35.7%, driven by Government Solutions growth, while a rising backlog supports its outlook.
Orders ran more than twice sales, lifting backlog to $2.65 billion. GAAP operating income turned to a loss even as adjusted EBITDA rose.
Kratos Defense & Security Solutions NASDAQ: KTOS reported third-quarter 2026 revenue growth of 35.7% and issued an initial 2027 forecast calling for revenue of $2.1 billion to $2.2 billion, as demand increased across its defense technology businesses.
Third Quarter 2026 Revenues of $471.8 Million Reflect 35.7 Percent Growth and 23.2 Percent Organic Growth Over Third Quarter 2025 Revenues of $347.6 Million Kratos Government Solutions Third Quarter 2026 Revenues of $397.2 Million Reflect 35.8 Percent Organic Growth and 52.5 Percent Growth Over Third Quarter 2025 Revenues of $260.4 Million Third Quarter 2026 Consolidated Book to Bill Ratio of 2.2 to 1 and Bookings of $1.037 Billion Last Twelve Months Ended September 27, 2026, Consolidated Book to Bill Ratio of 1.6 to 1 and Bookings of $2.614 Billion Increases Full Year Fiscal 2026 Financial Guidance Provides Initial 2027 Financial Forecast SAN DIEGO, Nov. 05, 2026 (GLOBE NEWSWIRE) -- Kratos Defense & Security Solutions, Inc. (NASDAQ: KTOS), a leader in defense, national security and global markets, today reported its third quarter 2026 financial results, including Revenues of $471.8 million, Operating Loss of $4.9 million, Net Loss of $0.2 million, Adjusted EBITDA of $50.9 million and a consolidated book to bill ratio of 2.2 to 1.0. Third quarter 2026 Net Loss and Operating Loss includes non-cash stock compensation expense of $18.1 million, Company-funded Research and Development (R&D) expense of $15.0 million, including efforts in our Space, Satellite, Unmanned Systems and Microwave Electronic businesses, and non-cash amortization expense of $23.3 million.
Here are four defense stocks that are expected to post an earnings beat this reporting cycle.
Kratos Defense's manufacturing expansions, rising hypersonics revenues and strong defense bookings support Q3 growth prospects, but currency pressures could weigh on margins.
Lockheed Martin and Kratos Defense are targeting rising global military spending, but differences in growth prospects, valuation and debt set them apart.
Kratos (KTOS) possesses the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
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Kratos earns a Buy rating due to robust organic growth, strong bookings, and expanding production across unmanned systems, propulsion, and defense electronics. KTOS reported Q2 FY2026 revenue up 30.5% YoY to $458.8M, with organic growth of 19.1% and a trailing book-to-bill of 1.3x, supporting future revenue visibility. Despite strong growth, KTOS remains in an investment phase with negative free cash flow and modest GAAP profitability; margin expansion and cash flow improvement are key forward catalysts.
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