Leidos reported a net loss of $396m on $3.9bn total revenue and adjusted EBITDA earnings of $451m in its third quarter financial statement published 31 October 2023, equivalent to a loss of $2.91 per diluted share.
Thomas Bell, Leidos Chief Executive Officer, commented, "Our third quarter financial results build on the momentum from last quarter and are the direct result of our entire team being aligned on our direction and intent on delivering against our commitments.”
Leidos attributes the loss to a $699m pre-tax, non-cash impairment and restructuring charge associated with the Security Enterprise Solutions section of the company. Non-cash impairments of this kind often refer to a segment of a company that has lost value.
However, the $3.9bn in revenue does represent a 9% increase, year-on-year, with Leidos picking up major contracts this quarter. The US Army Program Executive Office (PEO) awarded Leidos a ten-year contract worth $7.9bn to enhance mission readiness in complex IT hardware across its lifetime.
The Department of Homeland Security also awarded a contract to Leidos, worth $918m, in a seven year contract to leverage cutting edge technologies, including developing quantum resistant cryptography.
A contract for £125m was awarded to Leidos by the PEO for prototype visualisation of software components for missiles and space weapons systems.
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