Filing Flows › Leonardo DRS (DRS) › Q1 2026
Leonardo DRS (DRS) Q1 2026 earnings results (first quarter 2026)
10-Q filed May 5, 2026
Leonardo DRS (DRS) reported revenue of $846M for the first quarter 2026 (Q1 2026), +6% from a year earlier and -20% from the quarter before. Operating margin was 9.1%, net earnings $62.0M (7.3% of revenue).
Leonardo DRS, Q1 2026: revenue $846M (+6% year over year), operating margin 9.1%, net earnings $62.0M, operating cash flow −$66.0M. The chart follows the revenue to costs, profit and cash.
| Q1 2026 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $846M | -20% | +6% |
| Gross profit | $212M | -21% | +17% |
| Operating profit | $77.0M | -39% | +31% |
| Net earnings | $62.0M | -39% | +24% |
| Operating cash flow | −$66.0M | -116% | — |
What changed
Revenue was $846.0M in Q1 2026, up 6% year over year and down 20% from the previous quarter.
Gross margin was 25.1%, up 2.4 points from Q1 2025. Operating profit was $77.0M, a 9.1% margin (up 1.7 points year over year). Of the extra revenue versus Q1 2025, 38% reached operating profit, above the 7% margin then. Operating expenses grew 11% against revenue growth of 6%. Net earnings were $62.0M, up 24% year over year. The effective tax rate was 19.5%.
Operating cash flow was −$66.0M. Non-cash charges added back $24.0M of depreciation and amortization and $4.0M of share-based compensation. Working capital and other items used $156.0M. Capital expenditures of $30.0M exceeded it, leaving free cash flow of −$96.0M.
Questions
What was Leonardo DRS' revenue in the first quarter 2026?
Leonardo DRS (DRS) reported revenue of $846M for the first quarter 2026 (Q1 2026), +6% from a year earlier and -20% from the quarter before.
Was Leonardo DRS profitable in the first quarter 2026?
Operating profit was $77.0M (9.1% of revenue) and net earnings $62.0M.
Source: Leonardo DRS 10-Q on SEC EDGAR.