LDOS
Leidos Holdings, Inc.182.16
-3.79-2.04%
Dec 16, 4:00:02 PM EST
Earnings Call Transcripts
This Quarter (Q1 '26)
No earnings call transcript available yet
Last Quarter (Q4 '25)
FY Q4 '25
Q&A details H2 acceleration catalysts
Q&A fleshed out 2026's H1 softness accelerating to near double-digit growth in H2, driven by Golden Dome funding, FAA modernization, new wins, and $7B in Q4 award slippage amid a $20B pending pipeline. CapEx triples to $350M for defense ramps in maritime, hypersonics, integrated air defense, plus co-investments spanning DoD, FAA, and health—yet not the new normal. No buybacks in guidance; capital tilts to growth pillars. VA exams recompete eyes summer RFP, with efficiency investments to counter new vendor and hold margins above 20% long-term. Defense tech strides: IFPIC targets 317 units by 2030. H2 catalysts ignite momentum. Management stayed bullish, eyes task orders from IDIQs.
Key Stats
Market Cap
23.37BP/E (TTM)
17.01Basic EPS (TTM)
10.71Dividend Yield
0.01%Recent Filings
8-K
Leidos issues $1.4B notes
Leidos issued $600M 4.100% senior notes due 2029 and $800M 5.000% notes due 2036 on March 2, 2026, netting ~$1.4B. Proceeds fund the pending Entrust acquisition under a January 23 agreement. Notes carry special mandatory redemption at 101% if the deal fails by August 14. Risks hinge on acquisition close.
8-K
Leidos ups revolver to $1.5B
Leidos restated its credit agreement on February 12, 2026, boosting revolving commitments from $1B to $1.5B while extending maturity five years and trimming fees to 0.08-0.20% from 0.09-0.25%, plus axing a 0.10% spread. No term loan changes; facility stays empty for working capital needs. Lenders refinanced cleanly.
10-K
FY2025 results
Leidos delivered FY2025 revenues of $17.2B, up 3% y/y, with operating income rising 15% to $2.1B and margins expanding to 12.3% amid program wins and volume gains across segments. National Security & Digital grew 3% to $7.6B, Health & Civil edged 1% higher to $5.1B on managed health efficiencies, while Defense Systems accelerated 7% to $2.2B. Q4 momentum shone through net favorable contract adjustments of $84M (derived), driving 17% net income growth to $1.5B. Cash from operations hit $1.8B; $900M returned via buybacks and $211M dividends. Backlog swelled to $49B. U.S. government budget delays risk quarterly funding flows.
8-K
Strong earnings despite headwinds
Leidos reported Q4 revenues of $4.2B, down 4% year-over-year due to government shutdown and prior extra week, yet net income jumped 19% to $335M with margins at 8.0%. Full-year revenues hit $17.2B (up 3%), EPS $11.14 (up 21%), and record $1.75B operating cash flow. Bookings reached $17.5B; FY26 guidance eyes $17.5-17.9B revenues. Signed $2.4B Entrust deal to bolster utilities.
8-K
Leidos buys ENTRUST for $2.4B
Leidos signed a $2.4B cash deal on January 23, 2026, to buy ENTRUST Solutions Group from KENE Holdings, targeting Q2 close pending HSR and antitrust nods. This doubles Leidos' $600M energy engineering unit, adding gas and generation muscle to tap $1T utility spend. Deal funds via $1.4B bridge debt. Regulatory hurdles loom.
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