Filing Flows › Mercury Systems (MRCY) › Q3 FY26
Mercury Systems (MRCY) Q3 FY26 earnings results (third quarter fiscal 2026)
10-Q filed May 5, 2026
Mercury Systems (MRCY) reported revenue of $236M for the third quarter fiscal 2026 (Q3 FY26), +12% from a year earlier and +1% from the quarter before. Operating margin was 2.2%, net loss $2.9M (1.2% of revenue).
Mercury Systems, Q3 FY26: revenue $236M (+12% year over year), operating margin 2.2%, net loss $2.9M, operating cash flow $6.4M. The chart follows the revenue to costs, profit and cash.
| Q3 FY26 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $236M | +1% | +12% |
| Operating profit | $5.2M | — | — |
| Net earnings | −$2.9M | — | — |
| Operating cash flow | $6.4M | -88% | -79% |
What changed
Revenue was $235.8M in Q3 FY26, up 12% year over year and up 1% from the previous quarter. Airborne was the largest line at 36% of revenue. Land added $19.0M year over year (up 56%), 78% of the total change. Airborne declined 17%.
Gross margin was 29.3%, up 2.3 points from Q3 FY25. Operating profit was $5.2M, a 2.2% margin (up 10.4 points year over year). Operating expenses fell 14% while revenue rose 12%. The quarter ended with a net loss of $2.9M, narrower than the previous quarter's $15.1M loss. Net interest and other expense of $7.9M was the main reason.
Operating cash flow was $6.4M (down 79% year over year). Non-cash charges added back $18.0M of depreciation and amortization and $9.0M of share-based compensation. Working capital and other items used $17.7M. Capital expenditures of $8.3M exceeded it, leaving free cash flow of −$1.8M.
Questions
What was Mercury Systems' revenue in the third quarter fiscal 2026?
Mercury Systems (MRCY) reported revenue of $236M for the third quarter fiscal 2026 (Q3 FY26), +12% from a year earlier and +1% from the quarter before.
Was Mercury Systems profitable in the third quarter fiscal 2026?
Operating profit was $5.2M (2.2% of revenue) and net loss $2.9M.
Source: Mercury Systems 10-Q on SEC EDGAR.