Mercury Sys Inc Financials
Mercury Sys Inc (MRCY) reported $983.6M in revenue for fiscal year 2026, up 7.9% from the prior fiscal year. This page shows its income statement, balance sheet, cash flow statement, and key financial ratios. View 15 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).
Mercury is repairing margins while positive cash conversion masks that interest and operating costs still keep earnings negative.
FY2026 converted a$29.7M net loss into$102.4M of operating cash flow, indicating noncash charges and working-capital movements mattered more than bottom-line profit. Yet cash declined from$309.1M to$214.3M despite that operating inflow, because financing activity absorbed cash.
Gross-margin recovery is visible: it reached
Inventory rose to
Financial Health Signals
Scored against operating companies for FY2026. Each of the six dimensions is a percentile rank within that peer group; the overall is their average, with missing dimensions counted as zero out of six. A high score means strong standing among peers, not absolute cross-industry strength. How this score is calculated →
Health score ≠ stock price. This rates the quality of Mercury Sys Inc's business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.
Mercury Sys Inc has an operating margin of 0.0%, meaning the company retains less than $1 of operating profit per $100 of revenue. This below-average margin results in a low score of 26/100, suggesting thin profitability after operating expenses. This is up from -2.1% the prior year.
Mercury Sys Inc's revenue grew 7.9% year-over-year to $983.6M, a solid pace of expansion. This earns a growth score of 61/100.
Mercury Sys Inc has a moderate D/E ratio of 0.55. This balance of debt and equity financing earns a leverage score of 58/100.
With a current ratio of 2.96, Mercury Sys Inc holds $2.96 in current assets for every $1 of short-term obligations. This comfortable liquidity earns a score of 76/100.
Mercury Sys Inc has a free cash flow margin of 6.9%, earning a moderate score of 61/100. The company generates positive cash flow after capital investments, but with room for improvement.
Mercury Sys Inc posts a -2.0% return on equity (ROE), meaning it loses $2 for every $100 of shareholders' equity. This results in a returns score of 28/100. This is up from -2.6% the prior year.
Mercury Sys Inc scores 4.80, well above the 2.99 safe threshold. The score is driven primarily by a large market capitalization ($5.4B) relative to total liabilities ($825.3M). This indicates low bankruptcy risk based on profitability, leverage, and asset efficiency.
Distress-screening estimate for non-financial companies. Not computed for banks or insurers, where the Altman model does not apply.
Mercury Sys Inc passes 5 of 8 computable financial strength tests (1 of the nine could not be computed from available data). 3 of 4 profitability signals pass, no leverage/liquidity signals pass (rising debt, declining liquidity, or share dilution), both operating efficiency signals pass.
Mercury Sys Inc reported a net loss of $29.7M while generating $102.4M in operating cash flow. Operations generated cash despite the loss, but with no positive earnings behind it, the ratio between the two carries no quality signal.
Mercury Sys Inc earns $0.01 in operating income for every $1 of interest expense ($280K vs $29.6M). This narrow margin raises concern about the company's ability to service its debt if operating income declines.
Key Financial Metrics
Earnings & Revenue
Mercury Sys Inc generated $983.6M in revenue in fiscal year 2026. This represents an increase of 7.9% from the prior year.
Mercury Sys Inc's EBITDA was $73.0M in fiscal year 2026, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 16.9% from the prior year.
Mercury Sys Inc reported -$29.7M in net income in fiscal year 2026. This represents an increase of 21.7% from the prior year.
Mercury Sys Inc earned -$0.50 per diluted share (EPS) in fiscal year 2026. This represents an increase of 23.1% from the prior year.
Cash & Balance Sheet
Mercury Sys Inc generated $68.1M in free cash flow in fiscal year 2026, representing cash available after capex. This represents a decrease of 42.8% from the prior year.
Mercury Sys Inc held $214.3M in cash as of fiscal year 2026; long-term debt is not reported for that period.
Not reported for fiscal year 2026.
Margins & Returns
Mercury Sys Inc's gross margin was 28.6% in fiscal year 2026, indicating the percentage of revenue retained after direct costs. This is up 0.7 percentage points from the prior year.
Mercury Sys Inc's operating margin was 0.0% in fiscal year 2026, reflecting core business profitability. This is up 2.2 percentage points from the prior year.
Mercury Sys Inc's net profit margin was -3.0% in fiscal year 2026, showing the share of revenue converted to profit. This is up 1.1 percentage points from the prior year.
Mercury Sys Inc's ROE was -2.0% in fiscal year 2026, measuring profit generated per dollar of shareholder equity. This is up 0.6 percentage points from the prior year.
Capital Allocation
Mercury Sys Inc invested $59.7M in research and development in fiscal year 2026. This represents a decrease of 11.7% from the prior year.
Mercury Sys Inc spent $15.0M on share buybacks in fiscal year 2026, returning capital to shareholders by reducing shares outstanding.
Mercury Sys Inc invested $34.3M in capex in fiscal year 2026, funding long-term assets and infrastructure. This represents an increase of 73.2% from the prior year.
MRCY Income Statement
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type.
| Metric | Q4'26 | Q3'26 | Q2'26 | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 |
|---|---|---|---|---|---|---|---|---|
| Revenue | $289.8M+22.9% | $235.8M+1.2% | $232.9M+3.4% | $225.2M-17.5% | $273.1M+29.2% | $211.4M-5.3% | $223.1M+9.1% | $204.4M |
| Cost of Revenue | $201.2M+20.7% | $166.7M-3.2% | $172.2M+6.1% | $162.3M-13.8% | $188.3M+22.1% | $154.2M-5.0% | $162.3M+6.3% | $152.6M |
| Gross Profit | $88.6M+28.3% | $69.0M+13.9% | $60.6M-3.6% | $62.9M-25.8% | $84.8M+48.4% | $57.1M-6.1% | $60.8M+17.4% | $51.8M |
| R&D Expenses | $16.2M+7.6% | $15.0M-2.4% | $15.4M+16.7% | $13.2M+10.7% | $11.9M-25.5% | $16.0M-25.2% | $21.4M+16.2% | $18.4M |
| SG&A Expenses | $47.8M+22.3% | $39.1M-7.1% | $42.1M-8.2% | $45.9M+21.7% | $37.7M-12.4% | $43.0M+6.3% | $40.5M+22.2% | $33.2M |
| Operating Income | $14.5M+176.6% | $5.2M+148.3% | -$10.8M-25.8% | -$8.6M-136.5% | $23.6M+235.8% | -$17.3M-39.7% | -$12.4M+7.5% | -$13.4M |
| Interest Expense | $6.5M-11.0% | $7.3M-6.6% | $7.8M-0.5% | $7.9M-1.7% | $8.0M-0.5% | $8.1M-4.3% | $8.4M-5.3% | $8.9M |
| Income Tax | $7.0M+3920.1% | $174K+107.4% | -$2.4M+41.2% | -$4.0M-264.3% | $2.4M+192.4% | -$2.6M+60.6% | -$6.7M-20.2% | -$5.6M |
| Net Income | $798K+127.9% | -$2.9M+81.0% | -$15.1M-20.6% | -$12.5M-176.5% | $16.4M+185.4% | -$19.2M-9.1% | -$17.6M-0.3% | -$17.5M |
| EPS (Diluted) | $0.01+125.0% | -$0.04+84.6% | -$0.26-23.8% | -$0.21-175.0% | $0.28+184.8% | -$0.33-10.0% | -$0.300.0% | -$0.30 |
MRCY Balance Sheet
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type.
| Metric | Q4'26 | Q3'26 | Q2'26 | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $2.3B-6.4% | $2.5B-0.8% | $2.5B+1.8% | $2.5B+0.9% | $2.4B+0.8% | $2.4B+0.5% | $2.4B+1.4% | $2.4B |
| Current Assets | $973.4M-12.8% | $1.1B-1.4% | $1.1B+4.4% | $1.1B+2.5% | $1.1B+3.8% | $1.0B+2.9% | $990.7M+3.8% | $954.3M |
| Cash & Equivalents | $214.3M-35.4% | $331.8M-1.0% | $335.0M+9.9% | $304.7M-1.4% | $309.1M+14.6% | $269.8M+11.2% | $242.6M+53.4% | $158.1M |
| Inventory | $367.0M+1.5% | $361.7M+3.4% | $349.6M+2.8% | $340.2M+2.2% | $332.9M-5.6% | $352.7M+2.4% | $344.4M-1.9% | $351.1M |
| Accounts Receivable | $69.2M-27.6% | $95.5M-9.7% | $105.8M+14.2% | $92.6M-15.5% | $109.6M+6.0% | $103.4M-1.0% | $104.5M-16.1% | $124.5M |
| Goodwill | $942.4M0.0% | $942.6M+0.5% | $938.1M0.0% | $938.1M0.0% | $938.1M0.0% | $938.1M0.0% | $938.1M0.0% | $938.1M |
| Total Liabilities | $825.3M-17.8% | $1.0B-3.7% | $1.0B+6.1% | $982.6M+2.2% | $961.3M-0.2% | $963.3M+2.4% | $941.2M+3.5% | $909.1M |
| Current Liabilities | $328.5M-6.3% | $350.5M-8.5% | $383.0M+18.9% | $322.2M+7.3% | $300.4M+1.3% | $296.6M+8.4% | $273.5M+17.5% | $232.8M |
| Total Equity | $1.5B+1.3% | $1.5B+1.2% | $1.5B-1.0% | $1.5B+0.1% | $1.5B+1.5% | $1.5B-0.6% | $1.5B0.0% | $1.5B |
| Retained Earnings | $152.2M+0.5% | $151.4M-1.9% | $154.3M-8.9% | $169.4M-6.9% | $181.9M+9.9% | $165.5M-10.4% | $184.7M-8.7% | $202.3M |
Not reported in any period shown, so not listed: Long-Term Debt.
MRCY Cash Flow Statement
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type.
| Metric | Q4'26 | Q3'26 | Q2'26 | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | $42.2M+554.3% | $6.4M-87.5% | $51.6M+2265.3% | $2.2M-94.3% | $38.1M+27.0% | $30.0M-64.9% | $85.5M+683.0% | -$14.7M |
| Capital Expenditures | $13.6M+64.4% | $8.3M+40.0% | $5.9M-9.9% | $6.5M+59.8% | $4.1M-30.7% | $5.9M+66.4% | $3.6M-43.0% | $6.2M |
| Free Cash Flow | $28.6M+1668.6% | -$1.8M-104.0% | $45.7M+1146.9% | -$4.4M-112.8% | $34.0M+41.2% | $24.1M-70.6% | $81.9M+492.0% | -$20.9M |
| Investing Cash Flow | -$13.6M-40.4% | -$9.7M-64.0% | -$5.9M+9.9% | -$6.5M-173.4% | -$2.4M+25.5% | -$3.2M-94.2% | -$1.7M+73.5% | -$6.2M |
| Financing Cash Flow | -$147.3M | $0+100.0% | -$15.4M | $0-100.0% | $2.2M | $0-100.0% | $1.5M+166.3% | -$2.2M |
| Share Buybacks | $0 | $0 | N/A | N/A | $0 | $0 | N/A | N/A |
Not reported in any period shown, so not listed: Dividends Paid.
MRCY Financial Ratios
Margins and returns are percentages; the remaining ratios are unitless multiples.
| Metric | Q4'26 | Q3'26 | Q2'26 | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | 30.6%+1.3pp | 29.3%+3.2pp | 26.0%-1.9pp | 27.9%-3.1pp | 31.0%+4.0pp | 27.0%-0.2pp | 27.3%+1.9pp | 25.3% |
| Operating Margin | 5.0%+2.8pp | 2.2%+6.9pp | -4.7%-0.8pp | -3.8%-12.4pp | 8.6%+16.8pp | -8.2%-2.7pp | -5.6%+1.0pp | -6.6% |
| Net Margin | 0.3%+1.5pp | -1.2%+5.3pp | -6.5%-0.9pp | -5.6%-11.5pp | 6.0%+15.1pp | -9.1%-1.2pp | -7.9%+0.7pp | -8.6% |
| Return on Equity | 0.1%+0.2pp | -0.2%+0.8pp | -1.0%-0.2pp | -0.9%-2.0pp | 1.1%+2.4pp | -1.3%-0.1pp | -1.2%0.0pp | -1.2% |
| Return on Assets | 0.0%+0.1pp | -0.1%+0.5pp | -0.6%-0.1pp | -0.5%-1.2pp | 0.7%+1.5pp | -0.8%-0.1pp | -0.7%0.0pp | -0.7% |
| Current Ratio | 2.96-0.2x | 3.19+0.2x | 2.96-0.4x | 3.37-0.2x | 3.52+0.1x | 3.44-0.2x | 3.62-0.5x | 4.10 |
| Debt-to-Equity | 0.55-0.1x | 0.680.0x | 0.710.0x | 0.670.0x | 0.650.0x | 0.660.0x | 0.640.0x | 0.62 |
| FCF Margin | 9.9%+10.6pp | -0.8%-20.4pp | 19.6%+21.6pp | -1.9%-14.4pp | 12.4%+1.1pp | 11.4%-25.3pp | 36.7%+46.9pp | -10.2% |
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Where Mercury Sys Inc Ranks
Frequently Asked Questions
What is Mercury Sys Inc's annual revenue?
Mercury Sys Inc (MRCY) reported $983.6M in total revenue for fiscal year 2026. This represents a 7.9% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.
How fast is Mercury Sys Inc's revenue growing?
Mercury Sys Inc (MRCY) revenue grew by 7.9% year-over-year, from $912.0M to $983.6M in fiscal year 2026.
Is Mercury Sys Inc profitable?
No, Mercury Sys Inc (MRCY) reported a net income of -$29.7M in fiscal year 2026, with a net profit margin of -3.0%.
What is Mercury Sys Inc's EBITDA?
Mercury Sys Inc (MRCY) had EBITDA of $73.0M in fiscal year 2026, measuring earnings before interest, taxes, depreciation, and amortization.
What is Mercury Sys Inc's gross margin?
Mercury Sys Inc (MRCY) had a gross margin of 28.6% in fiscal year 2026, indicating the percentage of revenue retained after direct costs of goods sold.
What is Mercury Sys Inc's operating margin?
Mercury Sys Inc (MRCY) had an operating margin of 0.0% in fiscal year 2026, reflecting the profitability of core business operations before interest and taxes.
What is Mercury Sys Inc's net profit margin?
Mercury Sys Inc (MRCY) had a net profit margin of -3.0% in fiscal year 2026, representing the share of revenue converted into profit after all expenses.
What is Mercury Sys Inc's return on equity (ROE)?
Mercury Sys Inc (MRCY) has a return on equity of -2.0% for fiscal year 2026, measuring how efficiently the company generates profit from shareholder equity.
What is Mercury Sys Inc's free cash flow?
Mercury Sys Inc (MRCY) generated $68.1M in free cash flow during fiscal year 2026. This represents a -42.8% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.
What is Mercury Sys Inc's operating cash flow?
Mercury Sys Inc (MRCY) generated $102.4M in operating cash flow during fiscal year 2026, representing cash generated from core business activities.
What are Mercury Sys Inc's total assets?
Mercury Sys Inc (MRCY) had $2.3B in total assets as of fiscal year 2026, including both current and long-term assets.
What are Mercury Sys Inc's capital expenditures?
Mercury Sys Inc (MRCY) invested $34.3M in capital expenditures during fiscal year 2026, funding long-term assets and infrastructure.
How much does Mercury Sys Inc spend on research and development?
Mercury Sys Inc (MRCY) invested $59.7M in research and development during fiscal year 2026.
What is Mercury Sys Inc's current ratio?
Mercury Sys Inc (MRCY) had a current ratio of 2.96 as of fiscal year 2026, which is generally considered healthy.
What is Mercury Sys Inc's debt-to-equity ratio?
Mercury Sys Inc (MRCY) had a debt-to-equity ratio of 0.55 as of fiscal year 2026, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is Mercury Sys Inc's return on assets (ROA)?
Mercury Sys Inc (MRCY) had a return on assets of -1.3% for fiscal year 2026, measuring how efficiently the company uses its assets to generate profit.
What is Mercury Sys Inc's Altman Z-Score?
Mercury Sys Inc (MRCY) has an Altman Z-Score of 4.80, placing it in the Safe Zone (low bankruptcy risk). The Z-Score combines five financial ratios (working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets) to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.
What is Mercury Sys Inc's Piotroski F-Score?
Mercury Sys Inc (MRCY) has a Piotroski F-Score of 5 out of 8 computable signals; 1 of the nine could not be computed from available data, so the full-scale strength rating is not shown. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
Are Mercury Sys Inc's earnings high quality?
Mercury Sys Inc (MRCY) reported a net loss of $29.7M while generating $102.4M in operating cash flow. Operations generated cash despite the loss, but with no positive earnings behind it, the ratio between the two carries no quality signal. This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.
Can Mercury Sys Inc cover its interest payments?
Mercury Sys Inc (MRCY) has an interest coverage ratio of 0.01x, meaning it can struggle to cover its interest obligations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.
How financially healthy is Mercury Sys Inc?
Mercury Sys Inc (MRCY) scores 52 out of 100 on our Financial Health Score, indicating moderate standing within its operating companies peer group. The score is a 0-100 composite of six dimensions (Profitability, Growth, Leverage, Liquidity, Cash Flow, Returns), each ranked as a percentile relative to companies in the same scoring family (banks against banks, REITs against REITs, and so on) rather than across all industries. It rates the quality of the business, not whether the stock is fairly priced, and is not financial advice. Learn more in our complete guide to financial health indicators.