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KRMN

Karman Holdings Inc.

KRMN

Karman Holdings Inc. • NYSE
$67.03 ▼ -0.59% (-0.40)
Market Cap $8.87 B
52w High $88.82
52w Low $25.02
Dividend Yield 0%
P/E 837.88
Volume 647.88K
Outstanding Shares 132.32M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q3-2025 $121.787M ▲ $28.128M ▲ $7.644M ▲ 6.277% ▲ $0.058 ▲ $31.584M ▲
Q2-2025 $115.097M ▲ $26.917M ▼ $6.807M ▲ 5.914% ▲ $0.051 ▲ $30.791M ▲
Q1-2025 $100.124M ▲ $29.488M ▲ $-4.798M ▼ -4.792% ▼ $-0.036 ▼ $19.338M ▼
Q4-2024 $91.238M ▲ $20.361M ▲ $1.683M ▼ 1.845% ▼ $0.013 ▼ $23.377M ▼
Q2-2024 $85.039M $9.438M $4.604M 5.414% $0.035 $26.623M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q3-2025 $18.665M ▼ $968.079M ▲ $598.958M ▲ $369.121M ▲
Q2-2025 $27.438M ▼ $953.929M ▲ $592.452M ▲ $361.477M ▲
Q1-2025 $113.679M ▲ $875.393M ▲ $526.475M ▼ $348.918M ▲
Q4-2024 $11.53M ▲ $773.96M ▲ $577.964M ▲ $195.996M ▲
Q3-2024 $7.671M $748.474M $554.367M $0

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q3-2025 $7.644M ▲ $131K ▲ $-6.971M ▲ $-1.933M ▼ $-8.773M ▲ $-6.84M ▲
Q2-2025 $6.807M ▲ $-17.371M ▼ $-129.906M ▼ $61.036M ▼ $-86.241M ▼ $-20.998M ▼
Q1-2025 $-4.798M ▼ $-13.584M ▼ $-11.042M ▼ $126.775M ▲ $102.149M ▲ $-18.626M ▼
Q4-2024 $1.683M ▼ $7.559M ▲ $-4.262M ▲ $562.292K ▲ $3.859M ▲ $3.446M ▲
Q2-2024 $4.604M $6.143M $-5.087M $-3.588M $-2.532M $1.056M

Five-Year Company Overview

Income Statement

Income Statement Revenue has been climbing steadily each year, and profits have moved from a small loss to a modest profit, which is encouraging for a young industrial and defense business. Margins have improved as the company grows, suggesting better cost control and operating efficiency. Earnings per share have swung from negative to clearly positive, indicating that scale and integration of acquisitions are starting to show through in the bottom line. That said, profitability is still at an early stage, so results may remain sensitive to contract timing and execution hiccups.

Balance Sheet

Balance Sheet The company operates with a relatively heavy debt load compared with its equity base, which is common in capital‑intensive aerospace and defense businesses but still something to watch. Cash on hand appears thin, implying reliance on ongoing cash generation and credit facilities to fund operations and investment. Assets have been growing, reflecting acquisitions and capacity build‑out, but the balance between debt and equity means the capital structure is geared and adds financial risk if conditions weaken or projects slip. Overall, the balance sheet supports growth but leaves less room for major setbacks.

Cash Flow

Cash Flow Cash flow has improved from earlier negative levels to modestly positive territory, meaning the business is now generally funding itself rather than burning cash. Operating cash flow has turned consistently positive as earnings improved and contracts scaled up. After factoring in ongoing investment in equipment and facilities, free cash flow is just above breakeven, signaling a more sustainable footing but not yet abundant surplus. Continued discipline on spending and timely collection of customer payments will be important to keep this positive trend going, especially given the leverage on the balance sheet.

Competitive Edge

Competitive Edge Karman is carving out a strong niche in specialized missile defense, space launch, and hypersonic subsystems, rather than competing head‑on across the full aerospace spectrum. A large share of its contracts are sole‑source, which points to deep integration with customers and high switching costs, forming a meaningful competitive moat. Its expertise in advanced materials and mission‑critical components, plus vertical integration from design through production, gives it speed and customization advantages over slower, more fragmented rivals. Key risks include dependence on a limited set of defense and space programs, exposure to government budgets and policy shifts, and the challenge of competing alongside much larger aerospace primes.

Innovation and R&D

Innovation and R&D Innovation is a core part of Karman’s story: it focuses on payload protection, propulsion, hypersonic components, and advanced materials that can withstand extreme conditions. The company’s concept‑to‑production model allows it to iterate quickly with customers, which is particularly valuable in emerging areas like hypersonics, unmanned systems, and counter‑drone technologies. Recent acquisitions have added specialist capabilities in solid propulsion and complex engine subsystems, broadening the technology base and opportunity set. Looking ahead, Karman is aiming at next‑generation propulsion, hypersonic vehicle parts, and more integrated systems for both defense and commercial space, though turning this ambitious roadmap into profitable products will require sustained R&D investment and flawless execution.

Summary

Karman Holdings is an early‑stage, fast‑growing aerospace and defense supplier that has shifted from slight losses to modest profitability while steadily expanding revenue. Its balance sheet shows meaningful leverage and limited cash, which amplifies both the upside of growth and the downside if contracts are delayed or margins compress. Cash generation has improved to roughly self‑funding levels, but free cash flow remains thin, leaving less cushion for surprises. Strategically, the company is well positioned in high‑barrier, high‑importance niches like missile defense, space launch, and hypersonics, backed by proprietary technology and many sole‑source relationships. The growth opportunity is substantial if defense and space spending stays robust and its innovation pipeline delivers, but execution risk, customer and program concentration, and financial leverage are key factors to monitor going forward.

NEWS

November 6, 2025 · 4:10 PM UTC

Karman Space & Defense Reports Third Quarter Fiscal Year 2025 Financial Results

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November 4, 2025 · 4:30 PM UTC

Karman Space & Defense to Participate in November Investor Conferences

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October 30, 2025 · 8:10 AM UTC

Karman Space & Defense Acquires Five Axis Industries Inc. (“Five Axis”), a Leading Supplier of Advanced Engine Subsystems for Major Commercial Space Programs

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October 23, 2025 · 4:30 PM UTC

Karman Space & Defense Schedules Third Quarter Fiscal Year 2025 Earnings Release, Conference Call and Webcast

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September 10, 2025 · 5:50 PM UTC

Karman Space & Defense to Participate in the 2025 RBC Capital Markets Global Industrials Conference

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