KRATOS DEFENSE & SECURITY SOLUTIONS, INC. (KTOS) FY2025 10-K Annual Report

Filed: Feb 23, 2026
Industrials
Guided Missiles & Space Vehicles & PartsSEC EDGAR

KRATOS DEFENSE & SECURITY SOLUTIONS, INC. (KTOS) 10-K annual report for fiscal year 2025, filed with SEC EDGAR on Feb 23, 2026. This page provides AI-powered analysis including business overview, management discussion & analysis (MD&A), risk factors, and key financial data such as revenue, net income, gross margin, operating margin, and return on equity (ROE) extracted from XBRL.

KRATOS DEFENSE & SECURITY SOLUTIONS, INC. FY2025 10-K Analysis

Business Overview

  • Core business model: Design, development, and manufacturing of technologically advanced defense products and services primarily for U.S. Government agencies
  • Emphasis on UAS and UGS markets, with US segment representing 21.7% of total revenue in 2025, targeting expansion to foreign governments and commercial customers
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Management Discussion & Analysis

  • Revenue $1,346.8M, up 18.5% YoY from $1,136.3M; KGS segment up $189.0M (21.8%), US segment up $21.5M (7.9%)
  • Gross margin 22.9% vs 25.3% prior year; KGS margin 24.4% vs 27.6%, US margin 17.4% vs 17.9%; margin declines from unfavorable mix and higher labor/material costs
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Risk Factors

  • Risk of reduced U.S. Government funding due to budget constraints affecting defense spending
  • Supply chain disruptions and inflation continuing to impact operations and industry costs
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KRATOS DEFENSE & SECURITY SOLUTIONS, INC. FY2025 Key Financial Metrics
XBRL

Revenue

$1.3B

+18.5% YoY

Net Income

$22M

+35.0% YoY

Gross Margin

22.9%

-241bp YoY

Operating Margin

1.9%

-65bp YoY

Net Margin

1.6%

+20bp YoY

ROE

1.1%

-10bp YoY

Total Assets

$2.5B

+26.5% YoY

EPS (Diluted)

$0.13

+18.2% YoY

Operating Cash Flow

-$42M

-184.7% YoY

Source: XBRL data from KRATOS DEFENSE & SECURITY SOLUTIONS, INC. FY2025 10-K filing on SEC EDGAR. All figures in USD.

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