Mercury Systems (MRCY) FY2025 results: revenue $912 million, up 9.2% on the year

Mercury Systems Inc. (MRCY) reported revenue of $912 million for fiscal 2025, the year ended 27 June 2025, up 9.2% on the year before. Net income was -$38 million, and diluted earnings per share $-0.65. The figures are the company's own, from the 10-K it filed with the SEC on 11 August 2025.

Revenue

$912 million

+9.2% on the year

FY2018FY2025

Operating margin

-2.2%

-17.7% a year earlier

FY2018FY2025

Net income

-$38 million

FY2018FY2025

Diluted EPS

-$0.65

FY2018FY2025

this yearthe year beforeHover a bar for its figure.

The year in brief

The four quarters: Q1 FY2025 · Q2 FY2025 · Q3 FY2025 · Q4 FY2025

Income statement (profit and loss)

$ million	FY2025	FY2024	FY2023	On the year
Revenue	912	835	974	+9.2%
Cost of revenue	658	639	657	+2.8%
Gross profit	254	196	317	+29.9%
Gross margin	27.9%	23.5%	32.5%
Research and development	67.6	101	109	-33.2%
Selling, general and administrative	154	167	161	-7.4%
Operating income	-19.6	-148	-21.7
Operating margin	-2.2%	-17.7%	-2.2%
Interest expense	33.4	35.0	25.2	-4.5%
Pre-tax income	-50.4	-189	-48.5
Income tax	-12.5	-51.6	-20.2
Net income	-37.9	-138	-28.3
Net margin	-4.2%	-16.5%	-2.9%
Diluted EPS	-$0.65	-$2.38	-$0.50

$ million except per share.

Free cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.

Cash flow

$ million	FY2025	FY2024	FY2023	On the year
Operating cash flow	139	60.4	-21.3	+130.0%
Capital expenditure	19.8	34.3	38.8	-42.3%
Free cash flow	119	26.1	-60.0	+356.3%
Free cash flow margin	13.1%	3.1%	-6.2%
Cash from investing	-13.5	-34.3	-38.6
Cash from financing	1.4	82.7	65.4	-98.3%
Depreciation and amortisation	82.0	88.0	97.3	-6.8%
Share-based compensation	25.0	25.7	27.8	-2.5%
Buybacks	0.0	0.0	0.1
Diluted shares, weighted	59m	58m	57m	+1.7%
Shares outstanding at period end	59m	58m	57m	+1.6%

Balance sheet

$ million	FY2025	FY2024	FY2023	On the year
Shareholders' equity	1,473	1,473	1,567	+0.0%
Debt	592	592	512	0.0%
Operating lease liabilities	52.7	62.6	66.8	-15.7%
Other liabilities	317	252	246	+25.8%
Total liabilities and equity	2,435	2,379	2,391	+2.3%
Fixed assets	101	110	120	-8.1%
Goodwill	938	938	938	0.0%
Intangible assets	211	251	298	-15.9%
Cash and equivalents	309	181	71.6	+71.2%
Receivables	110	111	125	-1.7%
Inventory	333	335	337	-0.7%
Other assets	433	453	502	-4.3%
Total assets	2,435	2,379	2,391	+2.3%

10-K for the year ended 27 June 2025, filed 11 August 2025: the filing.