Amentum Reports Q3 Earnings with Revenue Decline but Improved Margins
Amentum (AMTM) reported third-quarter revenue of $3.49 billion, a 2% decline year-over-year due to contract transitions and divestitures. However, the company achieved normalized revenue growth of approximately 1%, adjusted for joint venture changes and past divestitures. Adjusted EBITDA rose by 6% to $290 million, driven by margin expansion and strong operational performance. The firm also reported an increase in its adjusted EBITDA margin to 8.3%, up 60 basis points from the prior year quarter. Free cash flow reached $135 million for Q3 due to disciplined working capital management. Amentum’s total backlog rose by 8% year-over-year, reaching $48.2 billion at the end of the third quarter. Despite these positive metrics, revenue guidance for fiscal year 2026 was revised downward to a range between $13.8 billion and $13.95 billion due to procurement delays and extended protest periods.
Tickers: $AMTM
Topics: adjusted_ebitda free_cash_flow guidance revenue