Amentum Reports Third Quarter Fiscal Year 2026 Results
Amentum Holdings (NYSE: AMTM) reported third-quarter FY2026 revenue of $3.49 billion, down 2% year over year. Net income was $66 million, with adjusted EBITDA of $290 million and adjusted diluted EPS of $0.67. Operating cash flow was $146 million and free cash flow $135 million. Backlog rose to $48.2 billion, with book-to-bill of 1.1x.
How this was made
The 30-second read
Why it matters
Traders can update expectations for FY2026 profitability and cash generation based on the disclosed adjusted EBITDA, free cash flow, and backlog/book-to-bill, while monitoring the company’s stated near-term revenue outlook headwinds.
Market read
The quarter shows margin expansion and strong backlog growth, with contract wins across nuclear, digital infrastructure, and defense, alongside a stated near-term revenue outlook impact.
What to watch
Segment mix matters: Global Engineering Solutions revenue declined 5% while Digital Solutions grew 3%, so investors may scrutinize whether margin gains are sustainable versus mix-driven.
Background
Amentum is an advanced engineering and technology contractor; this release covers Q3 FY2026 results ended July 3, 2026, including segment performance, cash flow, backlog, and contract wins.
Ticker impact
Amentum reported Q3 FY2026 results with $3.49B revenue, $290M adjusted EBITDA, and a $48.2B backlog, plus guidance updates.
Near-term bias likely positive if investors focus on margin and cash flow, but revenue outlook language could cap upside.
Key disclosed datapoints include adjusted EBITDA margin improvement (8.3% vs 7.7%), free cash flow ($135M), and backlog growth (to $48.2B) alongside a stated near-term revenue outlook impact.
Market effects
Reinforces demand signals in defense engineering, digital infrastructure, and nuclear-related engineering, which can influence sentiment for government services contractors.
Limited direct regional spillover; primarily US defense and federal contracting sentiment.
Nuclear energy and allied defense modernization wins are globally relevant but likely second-order for broader markets.
Counterpoint
Revenue outlook is described as impacted by near-term dynamics, so the market may discount the quarter’s profitability if forward revenue growth is questioned.
Key entities
- public_companyAmentum Holdings, Inc.
Reported Q3 FY2026 financial results, backlog, and notable contract awards, and updated FY2026 guidance.
- government_agencyNASA
Awarded the nine-year COSMOS contract referenced in Amentum’s backlog/book-to-bill.
- government_agencyNASA Langley Research Center
Awarded Amentum a $974M, 10-year IDIQ contract (CMOE II) referenced in backlog.
