Filing Flows › Leonardo DRS (DRS) › Q4 2025
Leonardo DRS (DRS) Q4 2025 earnings results (fourth quarter 2025)
10-K filed Feb 27, 2026
Leonardo DRS (DRS) reported revenue of $1.1B for the fourth quarter 2025 (Q4 2025), +8% from a year earlier and +10% from the quarter before. Operating margin was 11.9%, net earnings $102M (9.6% of revenue).
Leonardo DRS, Q4 2025: revenue $1.1B (+8% year over year), operating margin 11.9%, net earnings $102M, operating cash flow $425M. The chart follows the revenue to costs, profit and cash.
| Q4 2025 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $1.1B | +10% | +8% |
| Gross profit | $269M | +21% | +14% |
| Operating profit | $126M | +35% | +5% |
| Net earnings | $102M | +42% | +15% |
| Operating cash flow | $425M | +297% | -4% |
| Free cash flow | $376M | — | -10% |
What changed
Revenue was $1.1B in Q4 2025, up 8% year over year and up 10% from the previous quarter.
Gross margin was 25.4%, up 1.4 points from a year earlier. Operating profit was $0.13B, a 11.9% margin (down 0.3 points year over year). Of the extra revenue versus a year earlier, 8% reached operating profit, below the 12% margin then. Operating expenses grew 24% against revenue growth of 8%. Net earnings were $0.10B, up 15% year over year. The effective tax rate was 17.7%.
Operating cash flow was $0.42B (down 4% year over year), 417% of net earnings. Non-cash charges added back $0.02B of depreciation and amortization and $0.01B of share-based compensation. Working capital and other items added $0.29B. After capital expenditures ($0.05B), free cash flow as the company reports it was $0.38B.
Questions
What was Leonardo DRS' revenue in the fourth quarter 2025?
Leonardo DRS (DRS) reported revenue of $1.1B for the fourth quarter 2025 (Q4 2025), +8% from a year earlier and +10% from the quarter before.
Was Leonardo DRS profitable in the fourth quarter 2025?
Operating profit was $126M (11.9% of revenue) and net earnings $102M.
Source: Leonardo DRS 10-K on SEC EDGAR.