DRSNasdaqSearch, Detection, Navigation, Guidance, Aeronautical SysFiscal year ends December 31
Leonardo DRS, Inc.
Financials through Q2 FY2026, quarter ended Jun 30, 2026Last filing: 10-Q on Jul 30, 2026
$35.18−0.24 (-0.68%)
Close on Oct 19, 2026
- Market cap
- $9.46B
- P/E (TTM)
- 29.6
- Dividend yield
- 1.02%
Margins
Share of revenue, fiscal years 2018 to 2025
Gross margin
23.8%+6.0 pts over 5 years
Operating margin
9.5%+3.0 pts over 5 years
Net margin
7.6%+4.6 pts over 5 years
Growth rates
Compound annual growth to fiscal 2025
| Per year | 1 year | 3 years | 5 years | 10 years | Five-year pace |
|---|---|---|---|---|---|
| Revenue | +12.8% | +10.6% | +5.6% | – | |
| Gross profit | +18.1% | +14.8% | +12.0% | – | |
| Operating income | +18.8% | -14.7% | +14.0% | – | |
| Net income | +30.5% | -11.8% | +26.7% | – | |
| EPS, diluted | +28.7% | -18.2% | +20.8% | – | |
| Free cash flow | +22.0% | – | +26.9% | – |
Returns and balance sheet
8 fiscal years. Hover a measure to see how it is calculated.
| Measure | FY2018 | FY2020 | FY2025 | Trend |
|---|---|---|---|---|
| Return on equity | – | 7.0% | 10.5% | |
| Return on assets | – | – | 6.4% | |
| Current ratio | – | 1.30 | 1.89 | |
| Debt to equity | – | 0.30 | 0.13 | |
| Net debt to EBITDA | – | 1.56× | -0.68× | |
| Interest coverage | – | 2.8× | – | |
| Inventory turnover | – | – | 7.8× | |
| Capex to revenue | – | 2.0% | 3.8% | |
| Diluted shares | – | 210M | 269M |
Where the cash went
Fiscal 2021 to 2025, five years combined
Leonardo DRS generated $1.05B from operations and spent $840.00M on capital expenditure, dividends and share buybacks. 49% of that went back into the business.
Generated
$1.05B
Used
$840.00M
Capital expenditure$409.00M49%Dividends$396.00M47%Share buybacks$35.00M4%
DuPont analysis
Return on equity split into margin, efficiency and leverage
Net margin7.6%
×Asset turnover0.84×
×Equity multiplier1.64×
=Return on equity, FY202510.5%
| Fiscal year | Net margin | Asset turnover | Equity multiplier | Return on equity |
|---|---|---|---|---|
| FY2025 | 7.6% | 0.84× | 1.64× | 10.5% |
| FY2024 | 6.6% | 0.80× | 1.66× | 8.7% |
| FY2023 | 5.9% | 0.74× | 1.71× | 7.5% |
| FY2022 | 15.0% | 0.80× | 1.81× | 21.8% |
| FY2021 | 5.3% | 0.96× | 2.00× | 10.2% |
Piotroski F-Score
Nine tests of profitability, balance sheet and efficiency, fiscal 2025 against fiscal 2024
7of 9 tests passed in fiscal 2025. Scores of 7 to 9 are usually read as strong.
- ProfitableNet income above zero$278.00M
- Cash generatingOperating cash flow above zero$366.00M
- Return on assets improvedROA up on the prior year5.4% → 6.6%
- Earnings backed by cashOperating cash flow above net income$366.00M vs $278.00M
- Less leverageLong-term debt to assets fell8.1% → 7.2%
- Better liquidityCurrent ratio rose1.94 → 1.89
- No dilutionShare count did not rise268M → 269M
- Gross margin improvedGross margin up on the prior year22.76% → 23.82%
- More efficientAsset turnover rose0.82 → 0.87