MERCURY SYSTEMS INC SEC 10-Q Report

Mercury Systems Inc., a leading provider of secure and safety-critical technologies for aerospace and defense applications, has released its Form 10-Q report for the third quarter. The report highlights the company's financial performance and operational achievements, reflecting its strategic focus on leveraging commercial technology for mission-critical applications.

Financial Highlights

Net Revenues: Mercury Systems reported net revenues of $211.4 million, reflecting a slight increase from the previous year's third quarter, driven by growth in international sales.

Gross Margin: The company achieved a gross margin of $57.1 million, showing an improvement due to cost management and efficiency gains.

Loss from Operations: Mercury Systems reported a loss from operations of ($17.3) million, indicating a reduction in operating losses compared to the previous year, attributed to lower operating expenses.

Net Loss: The net loss for the quarter was ($19.2) million, a significant improvement from the prior year's third quarter, primarily due to increased revenue and cost control measures.

Basic Net Loss Per Share: The basic net loss per share was ($0.33), reflecting the company's ongoing efforts to manage costs and improve profitability.

Business Highlights

Revenue Segments: Mercury Systems reported revenue from three main product groupings: Components, Modules and Sub-assemblies, and Integrated Solutions. Integrated Solutions contributed the largest share, indicating a strong demand for comprehensive system solutions.

Geographical Performance: The U.S. remains the dominant market for Mercury Systems, with significant contributions from Europe. The company has seen growth in international and foreign military sales, highlighting its expanding global footprint.

Customer Segments: Key customers include major defense contractors such as RTX Corporation and Lockheed Martin Corporation, which together accounted for a substantial portion of the company's revenue. This underscores Mercury's strong position in the defense sector.

Operational Strategy: Mercury Systems continues to focus on leveraging commercial technology for aerospace and defense applications, emphasizing its role in providing mission-critical technologies that are safe, secure, and affordable.

Future Outlook: The company is committed to maintaining its technological edge through targeted R&D investments and by fostering a diverse and inclusive workforce to drive innovation. Mercury aims to capitalize on emerging needs in areas such as artificial intelligence.

SEC Filing: MERCURY SYSTEMS INC [ MRCY ] - 10-Q - May. 06, 2025