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Mercury Systems Inc (MRCY)
NASDAQ:MRCY
Earnings Data
Report Date
Aug 05, 2025TBA Not Confirmed
Period Ending
2025 (Q4)Consensus EPS Forecast
0.22Last Year’s EPS
0.23Same Quarter Last Year
Moderate Buy
Based on 5 Analysts Ratings
Earnings Call Summary
Earnings Call Date:May 06, 2025
|% Change Since: 0.71%
|Next Earnings Date:Aug 05, 2025
Earnings Call Sentiment|Positive
The earnings call presented a positive picture overall, with significant improvements in free cash flow and adjusted EBITDA, as well as strong revenue and backlog growth. However, there are ongoing challenges with sequential revenue declines due to timing shifts and achieving target EBITDA margins.Company Guidance
During the Mercury Systems Third Quarter Fiscal 2025 earnings call, guidance was provided on several key financial metrics. The company reported Q3 bookings of $200 million, with a trailing 12-month book-to-bill ratio of 1.1, and revenue of $211 million, reflecting a year-to-date growth of 8.9% year-over-year. The adjusted EBITDA for the quarter was $25 million, with an adjusted EBITDA margin of 11.7%, which marked a significant year-over-year improvement. Free cash flow reached $24 million, up $50 million from the previous year, contributing to a total of $146 million over the past four quarters. Mercury ended Q3 with $270 million in cash. In terms of future expectations, the company anticipates annual revenue growth approaching mid-single digits for FY 2025, with low double-digit adjusted EBITDA margins, and Q4 adjusted EBITDA margins expected to be the highest of the fiscal year, approaching mid-teens.Strong Free Cash Flow Performance
Free cash flow for the third quarter was approximately $24 million, compared to an outflow of $26 million in the prior year. Year-to-date free cash flow is $85 million, above previous expectations.
Revenue and Backlog Growth
Revenue for Q3 was $211 million, with a year-to-date growth of 8.9% year-over-year. Backlog increased by 4% year-over-year to $1.34 billion.
Improvement in Adjusted EBITDA
Q3 adjusted EBITDA was $24.7 million, compared to negative $2.4 million in the same quarter last year. Adjusted EBITDA margin improved to 11.7%.
Operational Efficiency
Operating expenses decreased approximately $12 million year-over-year due to actions taken to streamline and focus operations.
Notable Contract Wins
Significant contract awards include $40 million for the common processing architecture and $20 million for the F-35 program.
MRCY Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
MRCY Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
May 06, 2025 | $50.41 | $47.95 | -4.88% |
Feb 04, 2025 | $42.09 | $49.88 | +18.51% |
Nov 05, 2024 | $34.19 | $42.22 | +23.49% |
Aug 13, 2024 | $34.00 | $40.00 | +17.65% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Mercury Systems Inc (MRCY) report earnings?
Mercury Systems Inc (MRCY) is schdueled to report earning on Aug 05, 2025, TBA Not Confirmed.
What is Mercury Systems Inc (MRCY) earnings time?
Mercury Systems Inc (MRCY) earnings time is at Aug 05, 2025, TBA Not Confirmed.
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is MRCY EPS forecast?
MRCY EPS forecast for the fiscal quarter 2025 (Q4) is 0.22.