Leonardo DRS stock rises 4% after posting strong Q4 results

Published 20/02/2025, 14:36
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ARLINGTON, Va. - Leonardo DRS, Inc. (NASDAQ:DRS) reported fourth quarter earnings that beat analyst expectations, sending shares up 4.2% in premarket trading Thursday.

The defense technology company posted adjusted earnings per share of $0.38 for Q4, compared to the analyst consensus estimate of $0.34. Revenue came in at $981 million, up 6% YoY and above the $931.43 million consensus estimate.

For the full year 2024, Leonardo DRS reported revenue of $3.23 billion, up 14% from 2023, and adjusted EPS of $0.93, up 27% YoY.

"Our 2024 financial results exceeded our expectations. DRS delivered record bookings, mid-teens organic revenue growth, healthy adjusted EBITDA margin expansion and solid free cash flow generation," said CEO Bill Lynn.

The company’s backlog grew 10% YoY to $8.5 billion at year-end. Bookings in Q4 were $1.27 billion, resulting in a book-to-bill ratio of 1.3.

Looking ahead, Leonardo DRS provided 2025 guidance for revenue of $3.425-$3.525 billion and adjusted EPS of $1.02-$1.08. The midpoint of the revenue guidance range is slightly above the current $3.46 billion analyst consensus.

The company also announced a new $0.09 per share quarterly dividend and authorized a $75 million share repurchase program.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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