Leonardo DRS Reports 8% Revenue Growth in Q4
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Feb 24 2026
0mins
Should l Buy DRS?
Source: Benzinga
- Significant Revenue Growth: Leonardo DRS reported an 8% year-over-year revenue increase in Q4, reaching $1.06 billion, surpassing the market expectation of $1.003 billion, indicating the company's sustained growth potential amid strong customer demand.
- Net Earnings Improvement: The fourth-quarter net earnings were $102 million, or 38 cents per share, significantly up from $89 million and 33 cents per share a year earlier, reflecting enhanced profitability and effective cost control measures.
- Strong Orders and Backlog: Q4 bookings totaled $1.09 billion, with full-year bookings at $4.25 billion, resulting in a book-to-bill ratio of 1.2x, showcasing the company's robust competitive position and sustainable growth prospects.
- Optimistic 2026 Guidance: The company issued guidance for 2026 revenue between $3.85 billion and $3.95 billion, with adjusted EBITDA expected to be between $505 million and $525 million, indicating strong confidence in future performance and commitment to ongoing investments.
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Analyst Views on DRS
Wall Street analysts forecast DRS stock price to rise
6 Analyst Rating
4 Buy
2 Hold
0 Sell
Moderate Buy
Current: 45.510
Low
40.00
Averages
47.33
High
54.00
Current: 45.510
Low
40.00
Averages
47.33
High
54.00
About DRS
Leonardo DRS, Inc. is a provider of advanced defense technology to the United States national security customers and allies around the world. It specializes in the design, development and manufacture of advanced sensing, network computing, force protection, and electric power and propulsion, and other mission-critical technologies. It is a provider of defense products and technologies that are used across land, air, sea, space, and cyber domains. Its segments include Advanced Sensing and Computing (ASC) and Integrated Mission Systems (IMS). The ASC segment designs, develops, and manufactures sensing and network computing technology that enables real-time situational awareness required for operational decision making and execution by its customers. The IMS segment designs, develops, manufactures, and integrates power conversion, control and distribution systems, ship propulsion systems, motors and variable frequency drives, force protection systems, transportation and logistics systems.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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