Redwire Q2 revenue down 21%, misses estimates
Overview
Redwire Q2 2025 revenue falls 20.9% yr/yr, missing analyst expectations, per LSEG data
Net loss for Q2 2025 widens to $97 mln due to acquisition costs
Adjusted EBITDA for Q2 2025 drops to negative $27.4 mln
Outlook
Company withdraws 2025 Adjusted EBITDA forecast due to uncertain government contract timing
Redwire sees long-term growth in space tech despite current challenges
Result Drivers
ACQUISITION IMPACT - Completion of Edge Autonomy acquisition transformed Redwire into an integrated space and defense tech company
EAC ADJUSTMENTS - Net unfavorable EAC changes of $25.2 mln in Q2 2025 impacted revenue, gross profit, and net loss, primarily due to increased estimates for programmatic and technical assumptions and production delays
DEFENSE CONTRACTS - Stalker uncrewed aerial system added to Department of Defense’s Blue List of Approved Drones
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Revenue | Miss | $61.76 mln | $88.80 mln (7 Analysts) |
Q2 Net Income | -$96.98 mln | ||
Q2 EBIT | -$91.89 mln | ||
Q2 Pretax Profit | -$129.58 mln |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the aerospace & defense peer group is "buy"
Wall Street's median 12-month price target for Redwire Corp is $23.00, about 36% above its August 5 closing price of $14.71
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