DRS revenue +10%, operating income +46% on defense demand; $450M Raft AI acquisition announced

Filed July 30, 2026 · Period ending June 30, 2026 · Compared to 10-Q Jul 30, 2025 · ~2 min read

Key Changes

• high

  Announced definitive agreement to acquire Raft LLC, an AI and multi-domain data fusion software company, for $450M (funded with cash and revolver borrowings); expected to close Q4 2026 subject to regulatory approvals.

  Notes: Subsequent Events verify on EDGAR →
• high

  Operating income rose 10.1% YoY to $102M while revenue grew to $913M, driven by advanced sensing, tactical radars, and naval power programs; EAC adjustments swung from -$9M to +$25M, adding $0.07 to EPS.

  MD&A: Results of Operations verify on EDGAR →
• high

  Repaid $191M Term Loan A and terminated 2022 Credit Agreement in January 2026; entered new $500M revolving facility with lower rates (1.25%-1.63% vs. 1.48%-2.10%); moved from net interest expense to net interest income.

  Notes: Debt and Credit Facilities verify on EDGAR →