Kratos (KTOS) Tops Q2 Earnings and Revenue Estimates

Core Insights - Kratos (KTOS) reported quarterly earnings of $0.11 per share, exceeding the Zacks Consensus Estimate of $0.09 per share, but down from $0.14 per share a year ago, representing an earnings surprise of +22.22% [1] - The company achieved revenues of $351.5 million for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 14.58% and up from $300.1 million year-over-year [2] - Kratos shares have increased approximately 123.4% year-to-date, significantly outperforming the S&P 500's gain of 7.9% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.12 on revenues of $327.1 million, and for the current fiscal year, it is $0.49 on revenues of $1.29 billion [7] - The estimate revisions trend for Kratos was mixed prior to the earnings release, resulting in a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market [6] Industry Context - The Aerospace - Defense Equipment industry, to which Kratos belongs, is currently ranked in the top 41% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [8] - Elbit Systems (ESLT), another company in the same industry, is expected to report quarterly earnings of $2.57 per share, reflecting a year-over-year increase of +23.6%, with revenues anticipated to be $1.89 billion, up 16.2% from the previous year [9][10]