Karman Holdings Inc. Earnings Recaps
Q3 2026
Nov 7, 2026
Karman’s shares surged 42.1% after earnings, as 25% organic revenue growth, record backlog and higher full-year revenue guidance underscored strong demand and visibility. The quarter also included a modest year-over-year revenue decline in Space & Launch tied to a customer’s shift in launch cadence.
Key takeaways
- Third-quarter revenue was $202 million, up 25% organically year over year and 11% sequentially; adjusted EBITDA was $61 million.
- Backlog reached a record $1.7 billion, with quarterly bookings of nearly $465 million. Management said backlog and year-to-date revenue provide visibility to the midpoint of increased full-year revenue guidance.
- Free cash flow was $13 million; the company said it was progressing toward its goal of $15 million to $20 million in the second half of 2026, despite accelerated capital spending.
- Space & Launch revenue declined modestly year over year because of a shift in one customer’s launch cadence.
- Karman signed a $218 million long-term agreement with Lockheed Martin for THAAD and expects two additional agreements this year; some bookings for missile types with quantities not yet finalized may come in 2027.