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Redwire (RDW) investor relations material
Redwire Q3 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Q3 2025 revenue reached $103.4 million, up 51% year-over-year, driven by the Edge Autonomy acquisition and strong demand across core product areas.
Book-to-bill ratio improved to 1.25, with contracted backlog rising to $355.6 million as of September 30, 2025.
U.S. government shutdown delayed key contract awards, pushing anticipated revenue into 2026 but not reducing demand.
Net loss for Q3 2025 widened to $(41.2) million due to higher costs and unfavorable contract adjustments.
Transformation into an integrated space and defense tech platform is nearly complete, with five primary value-driving product areas.
Financial highlights
Adjusted gross margin improved to 27.1% in Q3 2025, with adjusted gross profit of $28 million after excluding an $11.2 million non-cash purchase accounting adjustment.
Adjusted EBITDA improved from -$27.4 million in Q2 to -$2.6 million in Q3 2025.
Total liquidity at quarter-end was $89.3 million, with $54.3 million in cash and $35 million in available credit.
Free cash flow for Q3 2025 was $(27.8) million, and net cash used in operating activities improved to $(20.3) million.
Debt stood at $184.7 million in long-term debt, with recent refinancing and new credit facilities.
Outlook and guidance
Full-year 2025 revenue guidance is $320–$340 million, with some orders delayed to 2026 due to the government shutdown.
Management expects a strong 2026 as delayed awards are realized and government operations normalize.
Gross margin run rate expected to be 27–30% going forward, with potential upside as more revenue shifts to production contracts.
Continued improvement in free cash flow and operating leverage anticipated as execution sharpens.
Cautions remain regarding U.S. government funding delays and international geopolitical risks.
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