| Metric | Value ($ M) | Q1 FY26 | Q2 FY25 |
|---|---|---|---|
| Revenue | 182.06 | 20.4% | 58.2% |
| Total Income | 182.06 | 20.4% | 58.2% |
| Expenditure | 147.23 | 13.5% | 55.0% |
| PBT | 19.27 | 123.3% | 124.3% |
| Net Profit | 14.03 | 80.1% | 106.0% |
| OPM | 19.13% | 4.94pp | 1.66pp |
| NPM | 7.71% | 2.55pp | 1.79pp |
| EPS | 0.11 | 83.3% | 120.0% |
Karman Space & Defense Reports Record Q2 FY26 Results with 58% Revenue Growth
07 Aug 2026 · 7 Aug, 2:02 am
Summary
Karman Space & Defense announced record-breaking financial results for the second quarter of fiscal year 2026, with revenue soaring to $182.1 million, a 58.2% increase year-over-year, fueled by strong organic growth. Net income more than doubled to $14.0 million, and non-GAAP adjusted EBITDA grew by 54.7% to $54.6 million. The company also reported a record backlog of $1.3 billion and raised its full-year 2026 guidance for both revenue and adjusted EBITDA, signaling strong confidence in continued growth.
Key Highlights
- 1
Karman Space & Defense reported record quarterly revenue of $182.1 million, driven by year-over-year organic growth of 24.4% and total growth of 58.2%.
- 2
The company achieved a record quarterly net income of $14.0 million, representing a 106.1% increase year over year, with earnings per fully diluted share of $0.11.
- 3
Record quarterly non-GAAP adjusted EBITDA reached $54.6 million, a 54.7% year-over-year increase, with non-GAAP adjusted earnings per fully diluted share at $0.14.
- 4
Backlog stood at a record $1.3 billion at the end of the second quarter of 2026, up 65% compared to the end of fiscal year 2025.
- 5
Quarterly bookings were nearly $500 million across all end markets, including a significant multi-year contract with a space and launch customer.
- 6
The company announced an agreement to acquire Walker Precision Engineering for approximately $94 million, expanding its presence into the European defense market.
- 7
Karman Space & Defense is raising its 2026 outlook to $730 to $745 million in revenue and $215 to $222.5 million in adjusted EBITDA.
Management Comments
Jon Rambeau
Our team produced another quarter of record performance, generating revenue of $182 million driven by year over year organic growth of 24.4 percent and total growth of 58 percent, and adjusted EBITDA of $55 million, an increase of 55 percent. Our record $1.3 billion backlog provides exceptionally strong visibility into our fiscal year 2026 outlook and positions us to achieve this year’s goals while building even stronger momentum for 2027 and beyond. The demand environment continues to strengthen, with more than $90 billion in recent prime contractor awards for THAAD and PAC-3 interceptors and over $76 billion for new Columbia and Virginia class submarines. Against this backdrop, bookings in the quarter totaled nearly $500 million, including a large, long-term agreement with a leading space and launch customer, and we are actively negotiating three additional long-term defense agreements with a combined potential value of more than $1 billion. We are scaling capacity to meet existing program requirements and we are simultaneously going on offense - winning alternative supplier positions on new programs and in new content areas. We believe Karman remains well positioned to create long-term shareholder value in this unique and accelerating demand environment.
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