Amentum Holdings Reports 66.2% Revenue Growth to $3.56 Billion in Latest Quarter

Amentum Holdings, Inc. reported significant financial growth in its latest quarterly results, with revenues reaching $3.56 billion for the three months ended June 27, 2025, a 66.2% increase from $2.14 billion in the same period last year. For the nine months ending June 27, 2025, revenues totaled $10.47 billion, up 69.5% from $6.18 billion in the prior year. The company attributed this growth primarily to the merger with Jacobs Solutions Inc.'s Critical Mission Solutions business, which expanded its operational capabilities and customer base.

The company's operating income for the latest quarter was $103 million, compared to $89 million a year earlier, reflecting a 15.7% increase. However, net income attributable to common shareholders was $10 million, a turnaround from a loss of $26 million in the same quarter of the previous year. For the nine-month period, net income attributable to common shareholders was $26 million, compared to a loss of $108 million in the prior year. The effective tax rate for the quarter was notably high at 108.3%, influenced by a valuation allowance against a deferred tax asset.

In terms of operational developments, Amentum's merger with CMS has led to a restructuring of its reporting segments into Digital Solutions (DS) and Global Engineering Solutions (GES). The DS segment generated $1.42 billion in revenue for the latest quarter, a substantial increase from $501 million a year ago, while the GES segment reported $2.14 billion, up from $1.64 billion. The company also completed the divestiture of its Rapid Solutions business to Lockheed Martin for $360 million in cash, which is expected to streamline its focus on core capabilities.

Amentum's total assets as of June 27, 2025, were reported at $11.81 billion, a slight decrease from $11.97 billion at the end of the previous fiscal year. The company’s cash and cash equivalents increased to $738 million from $452 million, while total liabilities decreased to $7.22 billion from $7.42 billion. The company’s remaining performance obligations stood at $9.5 billion, indicating a strong pipeline of future revenue.

Looking ahead, Amentum remains optimistic about its growth trajectory, driven by increasing demand for its services in government and commercial markets. The company is well-positioned to capitalize on federal government spending trends, particularly in defense and technology sectors. However, it acknowledges potential risks related to government budget approvals and economic conditions that could impact future performance.