Revenues of $3.24 billion

Net Income of $44 million; Adjusted EBITDA of $263 million

Diluted Earnings Per Share of $0.18; Adjusted Diluted Earnings Per Share of $0.54

Backlog of $47.2 billion; Book-to-Bill of 1.0x, Last Twelve Months 1.1x

Moody's Upgraded Credit Rating to Ba3, from Ba1

CHANTILLY, Va.--(BUSINESS WIRE)--February 09, 2026-- 

Amentum Holdings, Inc. ("Amentum" or the "Company") (NYSE: AMTM), a leading advanced engineering and technology company, today announced results for the first quarter ended January 2, 2026, and reaffirmed its outlook for fiscal year 2026.

"Amentum's first-quarter results reflect solid operational performance and continued progress on our strategic objectives," said Amentum Chief Executive Officer John Heller. "Robust bookings across our accelerating growth markets reinforce the strength of our strategy that focuses on the high-demand mission areas of global nuclear energy, space systems and technologies, and critical digital infrastructure. As a result, we remain well positioned to deliver on our fiscal year 2026 targets."

 
Summary Operating 
Results 
------------------ 
                                      Three Months Ended 
                    ------------------------------------------------------ 
(in millions, 
except per share 
data)                 January 2, 2026      December 27, 2024     % Change 
                    -------------------  ---------------------  ---------- 
GAAP Measures: 
Revenues               $     3,237         $       3,416           (5%) 
Operating income       $       138         $         132            5% 
Net income             $        44         $          12          267% 
Diluted earnings 
 per share             $      0.18         $        0.05          260% 
 
Non-GAAP 
Measures(1) : 
Adjusted EBITDA(1)     $       263         $         262           --% 
Adjusted EBITDA 
 Margin(1)                     8.1%                  7.7%          +40 bps 
Adjusted Diluted 
 Earnings Per 
 Share (EPS)(1)        $      0.54         $        0.51            6% 
Free Cash Flow(1)     ($       142)        $         102           NM 
 
 
1 -- Non-GAAP financial measures should be considered in addition to, but not 
as a substitute for, the information provided in accordance with GAAP. 
Management believes that these non-GAAP measures provide another measure of 
Amentum's results of operations and financial condition, including its ability 
to comply with financial covenants. See Unaudited Non-GAAP Financial Measures 
at the end of this press release for more information and a reconciliation of 
our selected reported results to these non-GAAP measures. 
 

GAAP Results

Revenues of $3.24 billion declined 5% year-over-year, reflecting an approximately 8% impact due to contract transitions from consolidated to unconsolidated joint ventures, divestitures, and the government shutdown. This was partially offset by the ramp-up of new contract awards in high demand areas including critical digital infrastructure and space systems and technologies. Operating income increased as a result of strong operational performance and decreased intangible amortization expense. Net income and diluted earnings per share improved year-over-year, supported by higher operating income and lower interest expense due to debt repayments.

Non-GAAP Results

Adjusted EBITDA of $263 million reflects Adjusted EBITDA Margins of 8.1%, up from 7.7% in the prior year quarter, due to strong operational performance. Adjusted Net Income and Adjusted Diluted Earnings Per Share increased primarily as a result of lower interest expense.

Non-GAAP Segment Results

 
                                      Three Months Ended 
                      -------------------------------------------------- 
(in millions)          January 2, 2026    December 27, 2024    % Change 
                      -----------------  -------------------  ---------- 
Revenues 
 Digital Solutions      $         1,337    $           1,286      4% 
 Global Engineering 
  Solutions                       1,900                2,130    (11%) 
                      ---  ------------  ---  -------------- 
Total Revenues          $         3,237    $           3,416     (5%) 
                      ===  ============  ===  ============== 
 
Adjusted EBITDA(1) 
 Digital Solutions      $           103    $             100      3% 
 Global Engineering 
  Solutions                         160                  162     (1%) 
                      ---  ------------  ---  -------------- 
Total Adjusted 
 EBITDA                 $           263    $             262     --% 
                      ===  ============  ===  ============== 
 
 
1 -- Non-GAAP financial measures should be considered in addition to, but not 
as a substitute for, the information provided in accordance with GAAP. 
Management believes that these non-GAAP measures provide another measure of 
Amentum's results of operations and financial condition, including its ability 
to comply with financial covenants. See Unaudited Non-GAAP Financial Measures 
at the end of this press release for more information and a reconciliation of 
our selected reported results to these non-GAAP measures. 
 

Digital Solutions revenues increased 4% year-over-year driven by the ramp-up of new contract awards in our critical digital infrastructure and space systems and technologies accelerating growth markets, partially offset by the fiscal year 2025 divestiture of Rapid Solutions. Adjusted EBITDA increased 3% year-over-year due to the higher revenue volume.

Global Engineering Solutions revenues decreased 11% year-over-year due to contract transitions from consolidated to unconsolidated joint ventures, a fiscal year 2025 divestiture, and impacts from the government shutdown; partially offset by growth on existing programs and the ramp up of new contract awards. Adjusted EBITDA decreased 1% year-over-year as a result of the lower revenue volume, partially offset by strong operational performance.

Cash Flow Summary

In the first quarter, Amentum used $136 million of net cash from operating activities which included an additional pay cycle compared to the prior year quarter and was impacted by short-term collections timing as a result of the government shutdown and holiday closures. Net cash used in investing activities of $33 million included $27 million in net contributions to equity method investments and $6 million in capital expenditures. Net cash used in financing activities of $20 million consisted primarily of $9 million in principal payments on our Term Loan and $9 million of distributions to non-controlling interests. As of January 2, 2026, Amentum had $247 million in cash and cash equivalents and $4.0 billion of gross debt.

Backlog and Contract Awards

As of January 2, 2026, the Company had total backlog of $47.2 billion, compared with $45.2 billion as of December 27, 2024, an annual increase of 4% driven by $16.3 billion in net bookings and a 1.1x book-to-bill. Funded backlog as of January 2, 2026 was $6.9 billion.

Notable Q1 Fiscal Year 2026 Highlights

   --  Rolls-Royce Small Modular Reactors $(SMR)$ -- Rolls-Royce selected 
      Amentum as its global program delivery partner for SMRs including the 
      first deployments in the UK and Czech Republic. Under this collaborative 
      agreement, Amentum will be responsible for engineering and design support, 
      end-to-end integration, oversight and governance, construction management, 
      and execution of SMR deployment. 
   --  Électricité de France $(EDF)$ Nuclear Power Contracts -- EDF 
      awarded Amentum a ten-year $730 million professional services contract to 
      support development and life extension of the UK's new and existing power 
      stations. Under this framework, Amentum will deliver licensing, design 
      and construction, and modeling and analysis capabilities. 
   --  Dutch Ministry of Climate Policy and Green Growth (KGG) -- KGG awarded 
      an Amentum-led consortium an up to five-year contract for $207 million to 
      provide program management and technical solutions for a nuclear build 
      program in the Netherlands. Amentum will bring expertise in leading large 
      nuclear programs, including project management, technology selection, 
      design and engineering, and commercial procurement strategies. 
   --  U.S. Air Force Remotely Piloted Aircraft (RPA) -- The U.S. Air Force 
      Combat Command awarded Amentum an unmanned sustainment, modernization, 
      and training contract, a six-year single-award IDIQ with a ceiling value 
      of up to $995 million, to deliver specialized solutions in the U.S. and 
      globally to reinforce readiness and training capabilities. 
   --  Department of Information Systems (DISA) Compute As-a-Service Contract 
      -- DISA awarded Amentum a five-year $120 million contract to deliver 
      scalable, on-demand, computing power. Under this unique outcome-based 
      contract, Amentum will provision and maintain all hardware, software, 
      licensing, and operational services. 
   --  Foreign Military Customer Air and Surface Surveillance and Control -- A 
      foreign military customer awarded Amentum a $270 million, three-year 
      contract to provide advanced air and surface surveillance solutions. 
   --  Missile Defense Agency $(MDA)$ SHIELD Contract -- The MDA awarded Amentum 
      a position on the Scalable Homeland Innovative Enterprise Layered Defense 
      (SHIELD) multiple award IDIQ contract with a ceiling value of $151 
      billion. The contract spans a wide range of mission areas and will 
      accelerate the delivery of advanced capabilities, enhancing speed, 
      agility and resilience while providing continuous layered protection 
      across multiple threat environments. 

Fiscal Year 2026 Guidance

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