KBR Reports Q4 Revenue of $1.9B, Below Consensus
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 day ago
0mins
Should l Buy KBR?
Reports Q4 revenue $1.9B, consensus $1.91B. "Fiscal 2025 was a year of disciplined execution for KBR as our teams delivered strong operational and financial performance despite a challenging award environment," said Stuart Bradie, President and CEO. "We expanded margins, generated robust cash flow, and grew backlog and options while continuing to advance our strategy toward higher-value, technology-enabled, and recurring work. Importantly, we also made meaningful progress on the planned spin-off, sharpening the strategic focus of each business and positioning both companies for long-term value creation. As we enter fiscal 2026, we are confident in our outlook, supported by strong backlog coverage, improving award momentum, and the continued commitment and performance of our people."
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy KBR?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on KBR
Wall Street analysts forecast KBR stock price to rise
6 Analyst Rating
4 Buy
2 Hold
0 Sell
Moderate Buy
Current: 42.040
Low
45.00
Averages
53.67
High
65.00
Current: 42.040
Low
45.00
Averages
53.67
High
65.00
About KBR
KBR, Inc. is engaged in delivering science, technology, and engineering solutions to governments and companies around the world. The Company’s segments include Mission Technology Solutions and Sustainable Technology Solutions. The Mission Technology Solutions segment provides full life-cycle support solutions to defense, intelligence, space, aviation and other programs and missions for military and other government agencies, primarily in the United States, United Kingdom and Australia. The Sustainable Technology Solutions business segment is anchored by its portfolio of approximately 85 proprietary, sustainability-focused process technologies that reduce emissions, increase efficiency and/or accelerate and enable energy transition across the industrial base in four primary verticals: ammonia/syngas, chemical/petrochemicals, clean refining and circular process/circular economy solutions. It also offers services including advisory and consulting focused on energy security.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
KBR, Inc. Reports Q4 2025 Earnings Highlights
- Safety Performance Excellence: KBR achieved a Total Recordable Incident Rate (TRIR) of 0.033 and 96% Zero Harm days in 2025, showcasing industry-leading safety standards that not only enhance the company's reputation but also build client trust, thereby driving business growth.
- Strong Financial Performance: Q4 2025 revenues reached $1.85 billion, down $223 million year-over-year, yet adjusted EBITDA increased by $12 million with margins rising to 12.6%, demonstrating the company's resilience and execution capabilities in a challenging environment.
- Strategic Growth Outlook: The CFO projected 2026 revenues between $7.9 billion and $8.36 billion, with adjusted EBITDA of $980 million to $1.04 billion, indicating significant growth potential in Sustainable Tech and Mission Tech, further solidifying the company's market position.
- Record Shareholder Returns: KBR returned $413 million in capital to shareholders in 2025, marking the highest level in a decade, reflecting strong cash flow and effective capital allocation strategies that enhance investor confidence.
See More
Wall Street Closes Mixed Amid Earnings and Talks
- Dow Jones Slightly Up: The Dow Jones Industrial Average rose by 0.03%, closing at 49,499.20, with 16 of the 30 components gaining while 14 declined, indicating market divergence and cautious investor sentiment.
- Nasdaq and S&P 500 Decline: The Nasdaq Composite fell by 1.2% to 22,878.38, while the S&P 500 dropped by 0.5% to 6,908.86, reflecting pressure on tech stocks and the broader market, particularly in the information technology and consumer sectors.
- Strong Earnings Reports: Salesforce, KBR, and PENN Entertainment all exceeded expectations, with Salesforce reporting adjusted earnings of $3.81 per share and revenues of $11.2 billion, driving its stock up by 4%, showcasing robust market demand and resilience in company performance.
- Increase in Jobless Claims: The Labor Department reported jobless claims rose to 212,000, an increase of 4,000 from the previous week, indicating challenges in economic recovery that may impact future consumer and investment decisions.
See More
KBR Reports Increased Profit Despite Revenue Decline in Q4
- Profit Growth: KBR's net income for Q4 rose to $111 million, or $0.87 per share, up from $76 million and $0.57 per share last year, indicating a significant improvement in profitability.
- Operating Income Increase: Total operating income increased to $191 million from $140 million year-over-year, driven by strong results in Mission Technology Solutions and Sustainable Technology Solutions, highlighting the company's enhanced competitiveness in these sectors.
- Revenue Decline: Despite the profit increase, KBR's total revenue fell by 11% to $1.885 billion from $2.108 billion, reflecting challenges in the market environment and fluctuations in demand.
- Future Outlook: The company expects revenues for fiscal 2026 to range between $7.90 billion and $8.36 billion, with adjusted EPS projected at $3.87 to $4.22, demonstrating confidence in future growth despite short-term revenue pressures.
See More
KBR Q4 Earnings Beat Expectations with Strong Guidance
- Strong Earnings Performance: KBR reported a Q4 non-GAAP EPS of $0.99, beating expectations by $0.04, indicating sustained improvement in profitability, with net income rising 46% to $111 million, reflecting enhanced competitiveness in the market.
- Revenue Decline: Despite a Q4 revenue of $1.9 billion, down 10.4% year-over-year, it only missed expectations by $10 million, showcasing the company's resilience in facing market challenges, with potential for recovery through new contracts.
- Optimistic Future Outlook: KBR's guidance for FY 2026 indicates expected revenues between $7.9 billion and $8.36 billion, exceeding the consensus of $8.16 billion, demonstrating confidence in future growth, with anticipated 4% increases in adjusted EBITDA and EPS.
- Contract Wins: KBR recently secured $103 million in strategic contracts with the U.S. Air Force and a major oil development contract in Iraq, which not only boosts the company's backlog but also strengthens its market position in defense and energy sectors.
See More
KBR, Inc Scheduled to Announce Q4 Earnings on February 26
- Earnings Announcement: KBR, Inc is set to release its Q4 earnings on February 26 before market open, with a consensus EPS estimate of $0.95, reflecting a 4.4% year-over-year increase, indicating stability in profitability.
- Revenue Decline: Despite the positive EPS outlook, the revenue estimate stands at $1.91 billion, representing a 9.9% year-over-year decline, highlighting challenges in the market environment and potential implications for future growth.
- Historical Performance: Over the past two years, KBR has beaten EPS estimates 100% of the time and revenue estimates 38% of the time, showcasing the company's reliability in earnings forecasts and bolstering market confidence.
- Strategic Contract Wins: KBR recently secured $103 million in strategic contracts with the U.S. Air Force and a major oil development contract in Iraq, further solidifying its market position in the defense and energy sectors.
See More
KBR Expands Digital Engineering Capabilities to Support U.S. Military
- Enhanced Digital Engineering: KBR is investing in cutting-edge digital labs within its Mission Technology Solutions business to enhance the U.S. military's digital engineering capabilities, rapidly modernizing defense systems in response to emerging threats and technological advancements.
- Virtual Prototyping Advancement: The KBR team in Huntsville, Alabama, has advanced the virtual prototyping of major integrated air and missile defense systems, including the Integrated Battle Command System (IBCS) and platforms like the F/A-18, enabling accelerated design and performance evaluations.
- Accelerated Production Timelines: By creating digital environments, KBR allows the Department of War to accelerate production timelines and rapidly deliver more units, significantly reducing delivery cycles and enhancing military operational capabilities and responsiveness.
- Strategic Investment and Transformation: Over the past decade, KBR has played a key role in transforming critical capabilities by developing and validating integrated air and missile defense systems, ensuring rapid mission impact in modern warfare.
See More
KBR, Inc. Reports Q4 2025 Earnings Highlights
- Safety Performance Excellence: KBR achieved a Total Recordable Incident Rate (TRIR) of 0.033 and 96% Zero Harm days in 2025, showcasing industry-leading safety standards that not only enhance the company's reputation but also build client trust, thereby driving business growth.
- Strong Financial Performance: Q4 2025 revenues reached $1.85 billion, down $223 million year-over-year, yet adjusted EBITDA increased by $12 million with margins rising to 12.6%, demonstrating the company's resilience and execution capabilities in a challenging environment.
- Strategic Growth Outlook: The CFO projected 2026 revenues between $7.9 billion and $8.36 billion, with adjusted EBITDA of $980 million to $1.04 billion, indicating significant growth potential in Sustainable Tech and Mission Tech, further solidifying the company's market position.
- Record Shareholder Returns: KBR returned $413 million in capital to shareholders in 2025, marking the highest level in a decade, reflecting strong cash flow and effective capital allocation strategies that enhance investor confidence.
See More
Wall Street Closes Mixed Amid Earnings and Talks
- Dow Jones Slightly Up: The Dow Jones Industrial Average rose by 0.03%, closing at 49,499.20, with 16 of the 30 components gaining while 14 declined, indicating market divergence and cautious investor sentiment.
- Nasdaq and S&P 500 Decline: The Nasdaq Composite fell by 1.2% to 22,878.38, while the S&P 500 dropped by 0.5% to 6,908.86, reflecting pressure on tech stocks and the broader market, particularly in the information technology and consumer sectors.
- Strong Earnings Reports: Salesforce, KBR, and PENN Entertainment all exceeded expectations, with Salesforce reporting adjusted earnings of $3.81 per share and revenues of $11.2 billion, driving its stock up by 4%, showcasing robust market demand and resilience in company performance.
- Increase in Jobless Claims: The Labor Department reported jobless claims rose to 212,000, an increase of 4,000 from the previous week, indicating challenges in economic recovery that may impact future consumer and investment decisions.
See More
KBR Reports Increased Profit Despite Revenue Decline in Q4
- Profit Growth: KBR's net income for Q4 rose to $111 million, or $0.87 per share, up from $76 million and $0.57 per share last year, indicating a significant improvement in profitability.
- Operating Income Increase: Total operating income increased to $191 million from $140 million year-over-year, driven by strong results in Mission Technology Solutions and Sustainable Technology Solutions, highlighting the company's enhanced competitiveness in these sectors.
- Revenue Decline: Despite the profit increase, KBR's total revenue fell by 11% to $1.885 billion from $2.108 billion, reflecting challenges in the market environment and fluctuations in demand.
- Future Outlook: The company expects revenues for fiscal 2026 to range between $7.90 billion and $8.36 billion, with adjusted EPS projected at $3.87 to $4.22, demonstrating confidence in future growth despite short-term revenue pressures.
See More
KBR Q4 Earnings Beat Expectations with Strong Guidance
- Strong Earnings Performance: KBR reported a Q4 non-GAAP EPS of $0.99, beating expectations by $0.04, indicating sustained improvement in profitability, with net income rising 46% to $111 million, reflecting enhanced competitiveness in the market.
- Revenue Decline: Despite a Q4 revenue of $1.9 billion, down 10.4% year-over-year, it only missed expectations by $10 million, showcasing the company's resilience in facing market challenges, with potential for recovery through new contracts.
- Optimistic Future Outlook: KBR's guidance for FY 2026 indicates expected revenues between $7.9 billion and $8.36 billion, exceeding the consensus of $8.16 billion, demonstrating confidence in future growth, with anticipated 4% increases in adjusted EBITDA and EPS.
- Contract Wins: KBR recently secured $103 million in strategic contracts with the U.S. Air Force and a major oil development contract in Iraq, which not only boosts the company's backlog but also strengthens its market position in defense and energy sectors.
See More
KBR, Inc Scheduled to Announce Q4 Earnings on February 26
- Earnings Announcement: KBR, Inc is set to release its Q4 earnings on February 26 before market open, with a consensus EPS estimate of $0.95, reflecting a 4.4% year-over-year increase, indicating stability in profitability.
- Revenue Decline: Despite the positive EPS outlook, the revenue estimate stands at $1.91 billion, representing a 9.9% year-over-year decline, highlighting challenges in the market environment and potential implications for future growth.
- Historical Performance: Over the past two years, KBR has beaten EPS estimates 100% of the time and revenue estimates 38% of the time, showcasing the company's reliability in earnings forecasts and bolstering market confidence.
- Strategic Contract Wins: KBR recently secured $103 million in strategic contracts with the U.S. Air Force and a major oil development contract in Iraq, further solidifying its market position in the defense and energy sectors.
See More
KBR Expands Digital Engineering Capabilities to Support U.S. Military
- Enhanced Digital Engineering: KBR is investing in cutting-edge digital labs within its Mission Technology Solutions business to enhance the U.S. military's digital engineering capabilities, rapidly modernizing defense systems in response to emerging threats and technological advancements.
- Virtual Prototyping Advancement: The KBR team in Huntsville, Alabama, has advanced the virtual prototyping of major integrated air and missile defense systems, including the Integrated Battle Command System (IBCS) and platforms like the F/A-18, enabling accelerated design and performance evaluations.
- Accelerated Production Timelines: By creating digital environments, KBR allows the Department of War to accelerate production timelines and rapidly deliver more units, significantly reducing delivery cycles and enhancing military operational capabilities and responsiveness.
- Strategic Investment and Transformation: Over the past decade, KBR has played a key role in transforming critical capabilities by developing and validating integrated air and missile defense systems, ensuring rapid mission impact in modern warfare.
See More
