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Amentum Holdings (AMTM) investor relations material
Amentum Holdings Q3 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Achieved Q3 revenues of $3.6B, up 2% YoY pro forma, with $274M adjusted EBITDA and $100M free cash flow; completed major divestitures and CMS merger, sharpening focus on core strategy and expanding scale.
Integration and synergy efforts on track, with $30M in net run-rate cost synergies expected by year-end.
Net leverage reduced to 3.5x, ahead of expectations, with accelerated deleveraging and enhanced balance sheet strength.
Raised full-year organic guidance, reflecting strong execution, integration benefits, and robust demand in defense, space, and nuclear markets.
Backlog increased to $44.6B, up $17.7B YoY, mainly due to CMS merger and major contract wins.
Financial highlights
Q3 revenues: $3.6B, up 2% YoY pro forma and 66% GAAP; adjusted EBITDA: $274M, up 7% YoY; adjusted EPS: $0.56, up 10% YoY.
Free cash flow: $100M in Q3, $255M YTD; operating cash flow: $106M; ending cash: $738M; no outstanding revolver balance.
Net leverage reduced to 3.5x; $200M debt repaid in Q3, $250M repaid post-quarter; gross debt at $4.6B.
Backlog at $44.6B, with 1.0x book-to-bill ratio; backlog coverage at ~3.2x annual revenue.
Adjusted EBITDA margin improved to 7.7% from 7.4% YoY; digital solutions segment margin up to 8%.
Outlook and guidance
FY25 revenue guidance raised to $13.98B–$14.18B; adjusted EBITDA: $1.065B–$1.095B; adjusted EPS: $2.05–$2.20; free cash flow: $475M–$525M.
Expect net leverage below 3x by end of FY26.
Management views budget environment as constructive, with bipartisan support for core funding.
73% of $9.5B in remaining performance obligations expected as revenue over next 12 months.
Confident in meeting FY25 objectives and continued margin expansion and cash flow growth into FY26.
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