Filing Flows › Leonardo DRS (DRS) › Q3 2026
Leonardo DRS (DRS) Q3 2026 earnings results (third quarter 2026)
10-Q filed Oct 29, 2026
Leonardo DRS (DRS) reported revenue of $1.1B for the third quarter 2026 (Q3 2026), +11% from a year earlier and +17% from the quarter before. Operating margin was 10.9%, net earnings $115M (10.8% of revenue).
Leonardo DRS, Q3 2026: revenue $1.1B (+11% year over year), operating margin 10.9%, net earnings $115M, operating cash flow $96.0M. The chart follows the revenue to costs, profit and cash.
| Q3 2026 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $1.1B | +17% | +11% |
| Gross profit | $263M | +11% | +18% |
| Operating profit | $116M | +14% | +25% |
| Net earnings | $115M | +34% | +60% |
| Operating cash flow | $96.0M | +174% | -10% |
| Free cash flow | $61.0M | — | -21% |
What changed
Revenue was $1.1B in Q3 2026, up 11% year over year and up 17% from the previous quarter.
Gross margin was 24.7%, up 1.5 points from Q3 2025. Operating profit was $0.12B, a 10.9% margin (up 1.2 points year over year). Of the extra revenue versus Q3 2025, 22% reached operating profit, above the 10% margin then. Operating expenses grew 14% against revenue growth of 11%. Net earnings were $0.12B, up 60% year over year. The effective tax rate was 0.9%.
Operating cash flow was $0.10B (down 10% year over year), 83% of net earnings. Non-cash charges added back $0.03B of depreciation and amortization and $0.01B of share-based compensation. Working capital and other items used $0.05B. After capital expenditures, net ($0.04B), free cash flow as the company reports it was $0.06B.
Questions
What was Leonardo DRS' revenue in the third quarter 2026?
Leonardo DRS (DRS) reported revenue of $1.1B for the third quarter 2026 (Q3 2026), +11% from a year earlier and +17% from the quarter before.
Was Leonardo DRS profitable in the third quarter 2026?
Operating profit was $116M (10.9% of revenue) and net earnings $115M.
Source: Leonardo DRS 10-Q on SEC EDGAR.