Is the business good?
How good a business is DRS?
Leonardo DRS, Inc. earns 11% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
11%
Return on invested capital · cost of capital 9.0% · 2.1 points above what the capital costs: growth creates value
- Operating margin
- 9.9%
Operating margin · Aerospace & Defense median 9.6% · 12 months to Q1 2026
- Cash conversion
- 1.04×
Cash conversion · 1.24× a year ago · every dollar of reported profit arrived as cash, and more
- Share count, year on year
- −0.04%
Share count, year on year · flat: no meaningful dilution
| Year | Operating margin |
|---|---|
| FY2020 | 6.5% |
| FY2021 | 8.2% |
| FY2022 | 21% |
| FY2023 | 8.2% |
| FY2024 | 9.1% |
| FY2025 | 9.5% |
Details›
- Gross margin12 months to Q1 2026
- 24%
- Operating margin12 months to Q1 2026
- 9.9%
- Net margin12 months to Q1 2026
- 7.8%
- Free cash flow margin
- 8.2%
- R&D as % of revenue
- 3.6%
- Revenue, trailing twelve months
- $3.69B
- Free cash flow, trailing twelve months
- $301M
- Net income, trailing twelve months
- $290M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 11%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Aerospace & Defense
Ranks #32 of 48 by Smart Score