Kratos Defense & Security Solutions, Inc. (NASDAQ: KTOS) is a technology, products, systems, and software company operating in the defense, national security, and commercial markets. The company is known for its innovative and disruptive approach, focusing on affordability and rapid development of mission-critical solutions. Kratos sells a range of products and services, including virtualized ground systems, unmanned aerial drone systems, hypersonic vehicles, propulsion systems, and training systems.
-
Kratos Government Solutions (KGS) - Provides microwave electronics products, space, satellite and cyber solutions, training solutions, C5ISR/modular systems, turbine technologies, and defense and rocket support services.
- Microwave Electronics Products - Develops products for missile, radar, missile defense, space, satellite, counter-UAS, directed energy, and communication systems.
- Space, Satellite, and Cyber Solutions - Offers virtualized ground systems for satellites and space vehicles, including software for command & control (C2) and telemetry, tracking, and control (TT&C).
- Training Solutions - Provides virtual and augmented reality training systems for the warfighter.
-
Unmanned Systems (US) - Develops unmanned aerial, ground, and seaborne systems, along with command, control, and communications systems.
- Unmanned Aerial Drone Systems - Focuses on jet-powered unmanned aerial drone systems.
- Hypersonic Vehicles and Rocket Systems - Engages in the development of hypersonic vehicles and rocket systems.
- Propulsion Systems - Includes propulsion systems for drones, missiles, loitering munitions, supersonic systems, spacecraft, and launch systems.
You might also like
| Name | Position | External Roles | Short Bio | |
|---|---|---|---|---|
Deanna Lund ExecutiveBoard | Executive Vice President and Chief Financial Officer | Deanna Lund has served as the Executive Vice President and Chief Financial Officer at KTOS since April 2004 and was elected as a director in May 2021, playing a key role in overseeing the financial operations and strategic growth of the company. | ||
Eric DeMarco ExecutiveBoard | Chief Executive Officer | CEO of Kratos Defense & Security Solutions, Inc. since April 1, 2004 and previously served as President and Chief Operating Officer starting November 2003. He has also held executive roles at The Titan Corporation, demonstrating extensive leadership experience in the industry. | View Report → | |
Benjamin Goodwin Executive | Senior Vice President, Corporate Development & Government Affairs | Benjamin Goodwin currently serves as Senior Vice President, Corporate Development & Government Affairs at KTOS since June 2018. He previously held the role of President of the Public Safety & Security Segment from June 2008 until June 2018, contributing significantly to corporate growth. | ||
David Carter Executive | President, Defense & Rocket Support Services Division | David Carter is the President of the Defense & Rocket Support Services Division at KTOS since December 2009. He brings over 45 years of defense industry experience and previously served as the Executive Vice President of the DRSS Division from December 2007 to December 2009. | ||
Jonah Adelman Executive | President of the Microwave Electronics Division | Jonah Adelman has been serving as the President of the Microwave Electronics Division at KTOS since August 2015 , and previously managed the Electronic Products Division’s Israel business group from March 2011. | ||
Maria Cervantes Executive | Vice President, Corporate Controller, and Principal Accounting Officer | Maria Cervantes is the Vice President, Corporate Controller, and Principal Accounting Officer at KTOS since May 2016. She previously served as the Director of Internal Audit from May 2012 to May 2016, gaining extensive financial and operational expertise. | ||
Marie Mendoza Executive | Senior Vice President, General Counsel, and Secretary | Marie Mendoza has served as the Senior Vice President, General Counsel, and Secretary at KTOS since December 2015, overseeing the company’s legal affairs. Prior to this, she contributed her legal expertise as the Senior Corporate Attorney starting in December 2011. | ||
Phillip Carrai Executive | President, Space, Training & Cyber Division | Phillip Carrai has served as President of KTOS's Space, Training & Cyber Division since December 2009, and previously served as Executive Vice President from July 2008 to December 2009. | ||
Stacey Rock Executive | President, Kratos Turbine Technologies Division | Stacey Rock is the President of Kratos’ Turbine Technologies Division since February 2019, and has extensive leadership experience including serving as Senior Vice President for Weapons & Defense Solutions from November 2016 to February 2019. | ||
Steven Fendley Executive | President, Unmanned Systems Division | Steven Fendley has served as the President of the Unmanned Systems Division at KTOS since January 2017, where he leads innovation in unmanned systems. He previously held executive roles at KTOS as Senior Vice President, General Manager/Chief Technology Officer (March 2016 to January 2017) and Vice President of Engineering (February 2014 to March 2016). | ||
Thomas Mills Executive | President of Kratos’ C5ISR Systems Division | Serves on several boards including his alma mater’s foundation | Thomas Mills has been serving as the President of Kratos’ C5ISR Systems Division since August 2013. Previously, he served as President and CEO of Gichner Systems Group from 2004 until its acquisition by Kratos in May 2010. | |
Amy Zegart Board | director | Member of Audit Committee for The Capital Group (American Funds); Member of Contracts Committee for The Capital Group (American Funds) | Amy Zegart has served as a director at KTOS since September 2014 and is the Chairperson of the Nominating and Corporate Governance Committee. She also holds external roles on the Audit and Contracts Committees for the fund boards of The Capital Group (American Funds) and brings extensive expertise from her academic and government experiences. | |
Bobbi Doorenbos Board | Board Director | National Guard Association; STEM Flights; Senior Advisor at The Roosevelt Group; American Airlines Pilot | Bobbi Doorenbos is a veteran military leader with nearly 25 years of experience in defense, intelligence, and military operations. She joined KTOS as a Board Director on March 28, 2024 and has held numerous key roles including advisory positions focused on defense policy and STEM education initiatives. | |
Bradley Boyd Board | director | Visiting Fellow at the Hoover Institution, Stanford University | Bradley Boyd is a director on the Board of Kratos Defense & Security Solutions, Inc. elected on November 1, 2023, he brings over 31 years of military and national security experience, including extensive work in emergent technologies and AI-enabled warfighting development. | |
Scot Jarvis Board | Director | Board member at Airspan Networks; Board member at Spectrum Effect; Board member at Slingshot Sports; Board member at Investco, LLC | Scot Jarvis has served as a Director at KTOS since February 1997 and is the Chairperson of the Compensation Committee at KTOS. With extensive experience in wireless communications investments and M&A strategies from his various roles at other companies, he brings significant expertise to the board. | |
Scott Anderson Board | Director | Principal of Cedar Grove Partners, LLC (since 1997); Principal of Cedar Grove Investments, LLC (since 1998); Board member at PowerLight, Inc.; Board member at Saltchuk, Inc.; Board member at Anvil Corp.; Chairman of Opanga, Inc.; Advisor at Tupl, Inc. | Scott Anderson has served as a Director at KTOS since March 1997 and is the Chair of the Audit Committee, bringing extensive expertise in mergers and acquisitions, litigation, and board governance. | |
William Hoglund Board | Chairman of the Board | Owner and Director of SAFE Boats International; Director of Bridger Trust | William Hoglund serves as the Chairman of the Board at KTOS since June 2009 and has been a director since February 2001. He also holds external roles as Owner and Director of SAFE Boats International since 2000 and as Director of Bridger Trust since November 2021. |
- Could you provide more details on the margin headwinds in the Unmanned Systems segment due to pricing pressures and inflation on subcontractor costs for fixed-price contracts, and how you plan to address these challenges in 2025?
- Given the delays in establishing your microwave product facility in India, with expectations possibly moving from 2026 to 2027, what steps are you taking to accelerate this timeline and mitigate the impact on your financial plans?
- Regarding the MACH-TB program, since revenue is expected to significantly ramp starting in 2026 due to long lead times for SRMs and flight vehicles, how are you managing these challenges to ensure timely execution and profitability over the next few years?
- As Kratos becomes more of a merchant supplier, particularly with low-cost engines and the Prometheus rocket motor joint venture for hypersonics, how will this shift impact your long-term margin profile and overall strategy for the company?
- With your Space and Satellite business currently at approximately 2/3 government and 1/3 commercial, and with commercial demand expected to be flat due to satellite deployment delays, how do you plan to adjust your business mix and address potential revenue impacts in this segment?
Research analysts who have asked questions during KRATOS DEFENSE & SECURITY SOLUTIONS earnings calls.
Andre Madrid
BTIG
7 questions for KTOS
Michael Ciarmoli
Truist Securities, Inc.
7 questions for KTOS
Ken Herbert
RBC Capital Markets
4 questions for KTOS
Mike Crawford
B. Riley Securities
4 questions for KTOS
Peter Arment
Robert W. Baird & Co.
4 questions for KTOS
Seth Seifman
JPMorgan Chase & Co.
4 questions for KTOS
Sheila Kahyaoglu
Jefferies
4 questions for KTOS
Anthony Valentini
Goldman Sachs
3 questions for KTOS
Colin Canfield
Cantor Fitzgerald
3 questions for KTOS
Joe Gomes
Noble Capital Markets
3 questions for KTOS
Jonathan Siegmann
Stifel Financial Corp.
3 questions for KTOS
Kenneth Herbert
RBC Capital Markets
3 questions for KTOS
Michael Crawford
B. Riley Securities, Inc.
3 questions for KTOS
Peter Skibitski
Alembic Global Advisors
3 questions for KTOS
Pete Skibitski
Alembic Global Advisors
3 questions for KTOS
Austin Moeller
Canaccord Genuity
2 questions for KTOS
Greg Konrad
Jefferies Financial Group Inc.
2 questions for KTOS
Joseph Gomes
G.research, LLC
2 questions for KTOS
Rustam Kanga
Citizens Capital Markets and Advisory
2 questions for KTOS
Trevor Walsh
Citizens JMP
2 questions for KTOS
Eleanor
Jefferies
1 question for KTOS
Jan-Frans Engelbrecht
Baird
1 question for KTOS
Josh Sullivan
The Benchmark Company, LLC
1 question for KTOS
Joshua Sullivan
The Benchmark Company
1 question for KTOS
Joshua Zoepfel
Noble Capital Markets
1 question for KTOS
Noah Poponak
Goldman Sachs
1 question for KTOS
Seth Siefman
JPMorgan
1 question for KTOS
Competitors mentioned in the company's latest 10K filing.
| Company | Description |
|---|---|
Anduril | Competition in the KGS and US segments includes newer defense technology companies, which are part of a competitive landscape that also involves tier one, large U.S. Government contractors and system integrators. |
XBow | Competition in the KGS and US segments includes newer defense technology companies, which are part of a competitive landscape that also involves tier one, large U.S. Government contractors and system integrators. |
Shield AI | Competition in the KGS and US segments includes newer defense technology companies, which are part of a competitive landscape that also involves tier one, large U.S. Government contractors and system integrators. |
Castellion | Competition in the KGS and US segments includes newer defense technology companies, which are part of a competitive landscape that also involves tier one, large U.S. Government contractors and system integrators. |
Ursa Major | Competition in the KGS and US segments includes newer defense technology companies, which are part of a competitive landscape that also involves tier one, large U.S. Government contractors and system integrators. |
Bee Hive | Competition in the KGS and US segments includes newer defense technology companies, which are part of a competitive landscape that also involves tier one, large U.S. Government contractors and system integrators. |
System integrators are part of the competitive landscape in the KGS and US segments, which also includes tier one, large U.S. Government contractors and newer defense technology companies. | |
System integrators are part of the competitive landscape in the KGS and US segments, which also includes tier one, large U.S. Government contractors and newer defense technology companies. | |
System integrators are part of the competitive landscape in the KGS and US segments, which also includes tier one, large U.S. Government contractors and newer defense technology companies. | |
System integrators are part of the competitive landscape in the KGS and US segments, which also includes tier one, large U.S. Government contractors and newer defense technology companies. | |
System integrators are part of the competitive landscape in the KGS and US segments, which also includes tier one, large U.S. Government contractors and newer defense technology companies. | |
System integrators are part of the competitive landscape in the KGS and US segments, which also includes tier one, large U.S. Government contractors and newer defense technology companies. | |
General Atomics | System integrators are part of the competitive landscape in the KGS and US segments, which also includes tier one, large U.S. Government contractors and newer defense technology companies. |
System integrators are part of the competitive landscape in the KGS and US segments, which also includes tier one, large U.S. Government contractors and newer defense technology companies. | |
Tier two competitors include smaller government contractors, which are part of the competitive landscape in the defense industry. | |
Qinetiq | Tier two competitors include smaller government contractors, which are part of the competitive landscape in the defense industry. |
Cobham | Tier two competitors include smaller government contractors, which are part of the competitive landscape in the defense industry. |
Tier two competitors include smaller government contractors, which are part of the competitive landscape in the defense industry. | |
Peraton | Tier two competitors include smaller government contractors, which are part of the competitive landscape in the defense industry. |
Linquest (now owned by KBR) | Tier two competitors include smaller government contractors, which are part of the competitive landscape in the defense industry. |
Tier two competitors include smaller government contractors, which are part of the competitive landscape in the defense industry. | |
Tier two competitors include smaller government contractors, which are part of the competitive landscape in the defense industry. |
Notable M&A activity and strategic investments in the past 3 years.
| Company | Year | Details |
|---|---|---|
Norden Millimeter, Inc. | 2025 | Acquisition by asset purchase – Kratos acquired select assets for $37.8 million in common stock (subject to a $6 million holdback) and issued 1,095,674 shares valued at $32.2 million, completed on February 4, 2025. The acquisition of microwave and millimeter wave products is expected to add $20–24 million in revenue, aligning well with Kratos’ defense electronics strategy. |
KTT Core | 2024 | Final consolidation move – On June 21, 2024, Kratos acquired the remaining 9.95% of KTT Core for approximately $22.5 million ($11.25 million cash plus 583,700 shares), achieving 100% ownership and building on earlier acquisitions from 2019 and 2022 to strengthen its portfolio. |
Sierra Technical Services, Inc. | 2023 | Equity-based purchase with earn-outs – Completed on October 3, 2023, the deal involved issuing 866,026 shares at closing and up to an additional 979,038 shares contingent on earn-outs, with a total potential valuation of about $25 million. This strategic acquisition of a longtime partner brings a critical stealth jet drone contract valued at approximately $77 million and a facility on a key airbase. |
Southern Research Engineering Division (SRE) | 2022 | Integrated acquisition for technology expansion – Executed on March 9, 2022 and completed on May 23, 2022, the deal was valued at roughly $79.4–$80.0 million (approximately $74.4 million cash plus $5.0 million in stock), leading to the formation of Kratos SRE, Inc. The acquisition provided advanced materials, intellectual property, and key intangible assets, contributing to subsequent revenue growth. |
Cosmic Advanced Engineered Solutions, Inc. (Cosmic AES) | 2022 | Cash acquisition with strategic integration – Completed on December 27, 2021 (with reporting in 2022), the acquisition was made for $37.5 million in cash (subject to adjustments and a $0.5 million holdback). Cosmic AES, which specializes in RF, digital signal processing, geolocation, and embedded cyber solutions, was integrated into Kratos’ Government Solutions Segment, with significant allocations to goodwill and identifiable intangible assets bolstering its strategic capabilities. |
Recent press releases and 8-K filings for KTOS.
- Kratos Defense & Security Solutions, Inc. signed a definitive agreement on November 4, 2025, to acquire 100% of Orbit Technologies Ltd for $356.3 million.
- The acquisition is expected to be funded via cash on Kratos’ balance sheet and is anticipated to be immediately accretive across virtually every financial metric for Kratos.
- Orbit is a leading global provider of mission-critical satellite-based communication systems, and the transaction is projected to close by the end of March 2026.
- Kratos (KTOS) increased its full-year 2025 revenue forecast to $1.310 billion to $1.330 billion, reflecting 14%-15% organic growth over fiscal 2024, up from the original 11%-13% forecast. The company also raised its full-year 2026 organic revenue growth forecast to 15%-20% and provided a preliminary 2027 target of 18%-23% organic growth.
- The company projects an approximate 100 basis point EBITDA margin expansion for 2026 over 2025, with another similar expansion in 2027 over 2026, as it scales the business and transitions to more profitable contracts.
- Kratos announced the acquisition of Orbit for approximately $356 million, a global provider of mission-critical satellite communication systems, which is expected to be immediately accretive across virtually every financial matrix. This transaction is scheduled to close in Q1 2026.
- For Q3 2025, cash flow used in operations was $13.3 million, and free cash flow used in operations was $41.3 million, primarily due to working capital requirements from revenue growth and investments. Consolidated days sales outstanding (DSOs) increased to 111 days.
- Kratos reported Q3 2025 revenues of $346.7 million and Adjusted EBITDA of $30.8 million, both exceeding estimated ranges.
- The company increased its full-year 2025 revenue forecast to 14%-15% organic growth (up from 11%-13%) and raised its full-year 2026 organic revenue growth forecast to 15%-20% (up from 13%-15%), also providing a preliminary 2027 revenue growth target of 18%-23% organic growth.
- Kratos projects an approximate 100 basis point EBITDA margin expansion for 2026 over 2025, and another approximate 100 basis point expansion in 2027 over 2026.
- Kratos announced the acquisition of Orbit for approximately $356 million, which is expected to be immediately accretive across virtually every financial metric.
- Key growth drivers include the Valkyrie program (with the MUX TACAIR program and a partnership with Airbus for a German variant), the hypersonic franchise, and new turbojet engine programs.
- Kratos (KTOS) reported strong Q3 2025 financial results, with revenues of $346.7 million and adjusted EBITDA of $30.8 million, both exceeding estimated ranges.
- The company significantly increased its full-year 2025 revenue guidance to $1.310 billion to $1.330 billion, reflecting 14%-15% organic growth over 2024, and raised its 2026 organic revenue growth forecast to 15%-20%. A preliminary 2027 organic revenue growth target of 18%-23% was also provided.
- Kratos projects approximately 100 basis point EBITDA margin expansion for both 2026 and 2027.
- Key strategic developments include the announced Orbit acquisition (approx. $70 million annual revenue, 23% EBITDA, expected to close Q1 2026, not in current guidance) , the Valkyrie becoming a program of record with the Marines (not in current guidance) , and significant contract wins for Poseidon (total potential value approx. $750 million) , Anaconda, and Helios.
- Kratos reported strong Third Quarter 2025 Revenues of $347.6 million, marking 26.0 percent growth and 23.7 percent organic growth over the prior year period. This was driven by 35.8 percent organic growth in Unmanned Systems and 20.0 percent organic growth in Kratos Government Solutions.
- For Q3 2025, the company achieved Net Income of $8.7 million and Adjusted EBITDA of $30.8 million, with Adjusted EPS of $0.14.
- The consolidated book-to-bill ratio for Q3 2025 was 1.2 to 1 on $414.1 million in bookings, contributing to a consolidated backlog of $1.480 billion as of September 28, 2025.
- Kratos increased its full year 2025 revenue guidance to $1,320 to $1,330 million and raised its full year 2026 organic revenue growth forecast to 15 percent to 20 percent above the 2025 forecast.
- The company anticipates Adjusted EBITDA margin rate increases of approximately 100 basis points for both full year 2026 and fiscal year 2027 over the preceding years.
- Kratos Defense & Security Solutions, Inc. has signed a definitive agreement to acquire Orbit Technologies Ltd for $356.3 million, which is expected to be funded via cash on Kratos’ balance sheet.
- Orbit is a leading global provider of mission-critical satellite-based communication systems for mobile and unmanned aerial, seaborne, undersea, and land systems, military vehicles, and other systems.
- The acquisition is expected to be immediately accretive across virtually every financial metric for Kratos.
- The transaction is anticipated to close by the end of March 2026, subject to customary closing conditions.
- Kratos Defense & Security Solutions and GE Aerospace announced the successful completion of altitude testing for the GEK800 engine.
- The testing, which also included durability and limits testing, concluded this week (October 31, 2025) and marks a major milestone for the engine program, validating its performance and accelerating its path toward production.
- The 800-lb jet engine is designed to power the next generation of affordable unmanned aerial systems (UAS) and collaborative combat aircraft (CCA).
- This collaboration, formalized by a teaming agreement in June, combines Kratos's 25 years of experience in small, affordable engines with GE Aerospace's century of propulsion technology and high-rate production capabilities.
- Kratos Defense & Security Solutions, Inc. announced the launch of its new "Ragnarök" Low-Cost Cruise Missile (LCCM) system on October 13, 2025, designed for tactical strike capabilities.
- The Ragnarök LCCM boasts an operational range of 500 nautical miles with an 80-pound payload, high-altitude capability up to 35,000 feet, and a cruise speed greater than Mach 0.7.
- With an estimated production cost of approximately $150,000 per unit in quantities of 100, Kratos emphasizes the system's affordability and readiness for high-quantity production.
- Kratos Defense & Security Solutions (KTOS) has been awarded Phase 1 of a contract to develop an organic sustainment capability for the U.S. Navy’s AN/SPY-1 radar systems.
- This single-award agreement, internally named Project Anaconda, has an initial total projected ceiling of $175 million across multiple phases.
- Kratos will establish a 155,000-square-foot Indiana Radar Integration Complex (IRIC), expected to be operational in 2027, to support the AN/SPY-1 radar systems which are projected to remain in service through 2065.
- Kratos Defense & Security Solutions, Inc. announced and priced a public offering of 12,987,013 shares of its common stock at $38.50 per share on June 25, 2025.
- The underwriters fully exercised their option to purchase an additional 1,948,052 shares on June 26, 2025, with the offering completed on June 27, 2025.
- The offering is expected to generate approximately $483,750,000 in net proceeds for Kratos.
- Kratos intends to use these proceeds to fund investments and capital expenditures for National Security priorities, finance acquisitions, and for general corporate purposes, including debt pay-down.