UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2025 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _______ to _______ Commission File Number 001-41565 Leonardo DRS, Inc. (Exact name of registrant as specified in its charter) (State or other jurisdiction ...

Key Points Defense contractor Leonardo edged out earnings forecasts in Q3 and beat easily on sales. Leonardo also raised guidance through the end of this year. Priced near 40x earnings, Leonardo stock looks far from cheap. 10 stocks we like better than Leonardo DRS › Leonardo DRS (NASDAQ: DRS) stock sank 4.9% through 11:10 a.m. ET Wednesday despite beating earnings forecasts this morning. Heading into the Q3 report, analysts forecast the defense contractor would earn $0.28 per share, adjusted for ...

Leonardo DRS (NasdaqGS:DRS) Q3 2025 Earnings Call October 29, 2025 09:30 AM ET Company ParticipantsAustin Moeller - Director, Equity ResearchMichael Dippold - CFOStephen Vather - VP of Investor Relation and Corporate FinanceWilliam Lynn - Chairman and CEOAlexander Preston - Equity Research AssociateRobert Stallard - PartnerMichael Ciarmoli - Managing Director, Aerospace & Defense Equity ResearchJonathan Tanwanteng - Managing DirectorJohn Baylouny - Excutive VP and COOKristine Liwag - Executive Director and ...

Leonardo DRS (NasdaqGS:DRS) Q3 2025 Earnings Call October 29, 2025 09:30 AM ET Company ParticipantsAustin Moeller - Director, Equity ResearchMichael Dippold - CFOStephen Vather - VP of Investor Relation and Corporate FinanceWilliam Lynn - Chairman and CEOAlexander Preston - Equity Research AssociateRobert Stallard - PartnerMichael Ciarmoli - Managing Director, Aerospace & Defense Equity ResearchJonathan Tanwanteng - Managing DirectorJohn Baylouny - Excutive VP and COOKristine Liwag - Executive Director and ...

Leonardo DRS (NasdaqGS:DRS) Q3 2025 Earnings Call October 29, 2025 09:30 AM ET Speaker2Ladies and gentlemen, good day and welcome to the Leonardo DRS third quarter fiscal year 2025 earnings conference call. At this time, all participants are in the listen-only mode. Following the company's prepared remarks, there'll be an opportunity to ask questions and instructions will be given at that time. As a reminder, this event is being recorded. I would now like to turn the conference over to Steve Atter, Senior V ...

Leonardo DRS, Inc. (DRS) came out with quarterly earnings of $0.29 per share, beating the Zacks Consensus Estimate of $0.28 per share. This compares to earnings of $0.24 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of +3.57%. A quarter ago, it was expected that this company would post earnings of $0.22 per share when it actually produced earnings of $0.23, delivering a surprise of +4.55%.Over the last four quarters, the compan ...

Quarterly Earnings Presentation Q3 | 2025 Disclaimers Forward-Looking Statements In this presentation, when using the terms the "company," "DRS," "we," "us" and "our," unless otherwise indicated or the context otherwise requires, we are referring to Leonardo DRS, Inc. This presentation contains forward-looking statements and cautionary statements within the meaning of the Private Securities Litigation Reform Act of 1995. Some of the forward-looking statements can be identified by the use of forward-looking ...

Core Points - Leonardo DRS, Inc. announced the retirement of William J. (Bill) Lynn as Chairman and CEO after 14 years, with John Baylouny appointed as the new President & CEO effective January 1, 2026 [1][4] - Frances (Fran) Fragos Townsend has been elected as the new Chair of the Board of Directors, also effective January 1, 2026 [1][4] Company Leadership Transition - Bill Lynn has transformed Leonardo DRS into a technology-driven organization, focusing on advanced sensing, network computing, force protection, and electric power and propulsion technologies [2][3] - Under Lynn's leadership, the company achieved significant contract wins, including propulsion content for the Columbia Class submarine and counter-UAS positions, contributing to durable growth [2] - John Baylouny, with over 35 years of experience at Leonardo DRS, has served as COO since late 2018 and is expected to ensure a seamless leadership transition [4][5] Board of Directors - Fran Townsend has been a Board director since 2009 and has extensive experience in both private and public sectors, including roles in the Department of Justice and as Assistant to President George W. Bush [6] - Townsend's deep understanding of the company and its strategic journey positions her well for the role of Board Chair [3][6] Company Overview - Leonardo DRS specializes in developing transformative defense technologies and delivering innovative solutions for U.S. national security customers and allies [7] - The company focuses on high-performance, multi-domain capabilities across next-generation advanced sensing, network computing, force protection, and electric power and propulsion [7]

Financial Performance - Revenue for Q3 2025 was $960 million, an 18% increase year-over-year[4] - Net earnings reached $72 million, up 26% compared to Q3 2024[5] - Adjusted EBITDA was $117 million, reflecting a 17% year-over-year growth[5] - Adjusted diluted EPS for Q3 2025 was $0.29, a 21% increase from the previous year[5] - Revenues for Q3 2025 reached $960 million, a 18.2% increase from $812 million in Q3 2024[27] - Gross profit for Q3 2025 was $222 million, up 24.0% from $179 million in Q3 2024[27] - Net earnings for the nine months ended September 30, 2025, were $176 million, compared to $124 million for the same period in 2024, reflecting a 42.0% increase[27] - Adjusted Net Earnings for Q3 2025 were $78 million, compared to $64 million in Q3 2024, reflecting a 21.9% increase[38] - Diluted EPS rose to $0.26 in Q3 2025, up from $0.21 in Q3 2024, marking a 23.8% increase[38] - For the nine months ended September 30, 2025, net earnings reached $176 million, compared to $124 million in the same period of 2024, a 42% increase[38] - Adjusted Diluted EPS for the nine months ended September 30, 2025, was $0.73, compared to $0.56 in the same period of 2024, reflecting a 30.4% increase[38] Cash Flow and Investments - Cash flow from operating activities was $107 million, with free cash flow of $77 million for the quarter[8] - Cash and cash equivalents decreased to $309 million as of September 30, 2025, from $598 million at the beginning of the year[30] - The company reported a net cash used in operating activities of $59 million for the nine months ended September 30, 2025, an improvement from $172 million in the same period of 2024[30] - Free Cash Flow for Q3 2025 was $77 million, compared to $48 million in Q3 2024, indicating a 60.4% increase[40] - Free Cash Flow for the nine months ended September 30, 2025, was negative $149 million, an improvement from negative $226 million in the same period of 2024[40] - The company invested $15 million in Hoverfly Technologies, increasing its stake to approximately 25%[10] Guidance and Future Outlook - The company revised its 2025 revenue guidance to $3.550 billion - $3.600 billion[15] - Bookings totaled $1.3 billion with a book-to-bill ratio of 1.4x, indicating strong demand[5] - Backlog increased by 8% year-over-year to a record $8.9 billion[12] Capital Expenditures - The company incurred capital expenditures of $90 million for the nine months ended September 30, 2025, compared to $56 million in the same period of 2024[30] - Capital expenditures in Q3 2025 were $30 million, up from $12 million in Q3 2024, representing a 150% increase[40] Dividends and Stockholder Equity - A cash dividend of $0.09 per share was declared, payable on December 2, 2025[9] - Total stockholders' equity rose to $2,648 million as of September 30, 2025, up from $2,557 million at the end of 2024[29]

ARLINGTON, Va.--(BUSINESS WIRE)--Leonardo DRS, Inc. (Nasdaq: DRS), a leading provider of advanced defense technologies, today reported financial results for the third quarter 2025, which ended September 30, 2025. CEO Commentary "Broad-based customer demand was evident in our exceptional bookings and organic revenue growth in the third quarter. Our year-to-date performance puts us on a solid path to deliver double-digit revenue growth and to execute against our financial commitments for 2025. We. ...