Kratos Defense & Security Solutions has reported strong results in the first quarter of this year recording growth across several businesses.
The company’s quarterly revenues jumped 15% on a year-on-year basis to $194.2m in Q1 2021. The figure was $168.9m in the same quarter a year ago.
The increase was attributed to the organic growth in Kratos’ Unmanned Systems, Space and Satellite, C5ISR, Microwave Products, Rocket Support Systems and Turbine Technology businesses.
Operating income in the quarter stood at $4.9m, increasing from $4.7m in the first quarter of 2020.
The first quarter of 2021 adjusted EBITDA was up 11% to $18.1m, primarily due to an increase in revenues.
In the first three months of the year, Kratos’ Unmanned Systems Segment (KUS) revenues jumped 33.1% to $55.9m on a year-on-year basis.
The operating income of KUS also soared from $500,000 in the first quarter of 2020 to $4.2m in the first quarter of 2021.
The growth was due to an increase in certain target drone programmes as well as leverage achieved with the fixed manufacturing, overhead and general and administrative structure.
Kratos president and CEO Eric DeMarco said: “We believe Kratos’ focus on the rapid development and fielding of affordable, disruptive systems, products and solutions, including in unmanned drones, space and satellites, microwave electronics, missile defence, hypersonics, propulsion and lasers is uniquely aligned with today’s national security requirements and we remain confident in an industry-leading, up and to the right organic growth trajectory.”
In the second quarter of this year, the company’s revenues are expected in the range of $195m-$205m.