V2X Inc. (NYSE: VVX) lifts 2026 guidance after 17% Q2 revenue growth
Rhea-AI Filing Summary
V2X, Inc. reported second quarter 2026 results with revenue of $1.26 billion, up 17% year-over-year. Net income was $25.5 million, while adjusted net income rose 22% to $51.6 million. Adjusted EBITDA was $89.8 million with a 7.1% margin, and adjusted diluted EPS increased 23% to $1.64.
Operating cash flow for the quarter was $21.6 million, or $71.8 million on an adjusted basis. Net debt was $876.1 million, corresponding to a 2.4x net leverage ratio. As of July 3, 2026, total backlog was $12.7 billion and funded backlog was $2.5 billion, with a quarterly book-to-bill of approximately 0.5x and a trailing twelve-month book-to-bill of approximately 1.4x.
On the strength of first-half performance and backlog, V2X raised its 2026 outlook, increasing revenue guidance to $4,875–$5,025 million, adjusted EBITDA to $347.5–$362.5 million, and adjusted diluted EPS to $5.90–$6.30, while maintaining adjusted operating cash flow guidance of $160–$180 million.
Positive
- Second quarter revenue grew 17% year-over-year to $1.26 billion, with adjusted net income of $51.6 million up 22% and adjusted diluted EPS up 23%.
- V2X raised 2026 guidance, lifting revenue to $4,875–$5,025 million, adjusted EBITDA to $347.5–$362.5 million, and adjusted diluted EPS to $5.90–$6.30.
Negative
- None.
Filing Explained
At July 3, 2026, V2X reported $214,313 thousand of cash, cash equivalents and restricted cash alongside $108,360 thousand of six-month operating cash use.
This Form 8-K reports V2X's second-quarter results under Item 2.02 and includes an attached press release; the results are reported, while the 2026 guidance is forward-looking.
At
The periods show different cash-flow states: the quarter generated
The filing defines adjusted operating cash flow as operating cash flow adjusted for specified non-operating items, including M&A payments and MARPA facility activity; it reports six-month adjusted operating cash flow of
The stated milestone to monitor is the company's expected approximately
8-K Event Classification
2 items: 2.02, 9.01
2 items
Item 2.02
Results of Operations and Financial Condition
Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Key Figures
Q2 2026 Revenue: $1.26 billion
Q2 2026 Net Income: $25.5 million
Q2 2026 Adjusted EBITDA: $89.8 million
+5 more
8 metrics
Q2 2026 Revenue
$1.26 billion
Second quarter 2026 revenue, up 17% year-over-year
Q2 2026 Net Income
$25.5 million
Net income for the second quarter of 2026
Q2 2026 Adjusted EBITDA
$89.8 million
Second quarter 2026 adjusted EBITDA with a 7.1% margin
Q2 2026 Adjusted Diluted EPS
$1.64
Adjusted diluted earnings per share, up 23% year-over-year
Net Debt
$876.1 million
Net debt at end of second quarter 2026; net leverage ratio 2.4x
Total Backlog
$12.7 billion
Total backlog as of July 3, 2026; funded backlog $2.5 billion
Updated 2026 Revenue Guidance
$4,875–$5,025 million
Raised full-year 2026 revenue guidance range
Q2 2026 Net Cash from Operations
$21.6 million
Second quarter 2026 net cash provided by operating activities
Key Terms
Adjusted EBITDA, Adjusted diluted earnings per share, book-to-bill, net leverage ratio, +1 more
5 terms
Adjusted EBITDA financial
"Adjusted EBITDA1 of $89.8 million; Adjusted EBITDA1 margin of 7.1%"
Adjusted EBITDA is a way companies measure how much money they make from their core operations, like running a business, by removing certain costs or income that aren’t part of regular business activities. It helps investors see how well a company is doing without distractions from unusual expenses or gains, making it easier to compare companies or track performance over time.
book-to-bill financial
"Book-to-bill1 in the second quarter was approximately 0.5x"
The book-to-bill ratio compares new orders a company has received (bookings) to the products or services it has invoiced or shipped (billings) over the same period. It matters to investors because a ratio above 1 means demand is outpacing fulfillment and the company may grow revenue or build backlog, while a ratio below 1 suggests slowing demand and possible future revenue weakness — think of it as new customer orders versus what the company actually sold.
net leverage ratio financial
"a 2.4x net leverage ratio1"
The net leverage ratio measures how much debt a company has compared to its available assets or earnings, after accounting for its cash and liquid assets. It helps investors understand how heavily a company relies on borrowed money to finance its operations and growth. A higher ratio indicates greater financial risk, while a lower ratio suggests a more cautious approach to borrowing.
cost-plus and cost-reimbursable financial
"Cost-plus and cost-reimbursable $ 735,218 $ 647,582 13.5%"
Earnings Snapshot
Revenue: $1.26 billion · Guidance included
Second quarter 2026
Revenue
$1.26 billion
up 17% year-over-year
Adjusted net income
$51.6 million
up 22% year-over-year
Adjusted EBITDA
$89.8 million
up 9% from prior year
Adjusted diluted EPS
$1.64
up 23% year-over-year
Guidance
For 2026, V2X raised guidance to revenue of $4,875–$5,025 million, adjusted EBITDA of $347.5–$362.5 million, adjusted diluted EPS of $5.90–$6.30, and reaffirmed adjusted net cash provided by operating activities of $160–$180 million.
AI-generated analysis. How Rhea-AI works. Not financial advice.
FAQ
What were V2X (VVX) second quarter 2026 revenue and earnings?
V2X posted Q2 2026 revenue of $1.26 billion, up 17% year-over-year. Net income was $25.5 million, and adjusted net income reached $51.6 million. Diluted EPS was $0.81, with adjusted diluted EPS of $1.64, up 23%.
How did V2X (VVX) adjusted EBITDA and margins perform in Q2 2026?
V2X generated adjusted EBITDA of $89.8 million in Q2 2026, with an adjusted EBITDA margin of 7.1%. Management highlighted strong operating performance, supporting double-digit growth in adjusted net income and adjusted earnings per share versus the prior-year quarter.
What backlog and book-to-bill metrics did V2X (VVX) report as of July 3, 2026?
As of July 3, 2026, V2X reported total backlog of $12.7 billion and funded backlog of $2.5 billion. Second quarter book-to-bill was approximately 0.5x, while the trailing twelve-month book-to-bill was approximately 1.4x, reflecting recent contract awards and renewals.
How did V2X (VVX) update its full-year 2026 guidance?
V2X increased its 2026 outlook, targeting revenue of $4,875–$5,025 million, adjusted EBITDA of $347.5–$362.5 million, and adjusted diluted EPS of $5.90–$6.30. Guidance for adjusted net cash provided by operating activities was reaffirmed at $160–$180 million.
What were V2X (VVX) operating cash flow and leverage metrics in Q2 2026?
Second quarter net cash provided by operating activities was $21.6 million, and adjusted operating cash flow was $71.8 million. Net debt stood at $876.1 million, corresponding to a 2.4x net leverage ratio, with a stated goal of reaching about 2.0x by end of 2026.
How is V2X (VVX) generating revenue across customers and regions in 2026 year-to-date?
For the first six months of 2026, V2X recorded $2,510.8 million in revenue, led by U.S. revenue of $1,608.1 million. Key customers included the Army, Navy, Air Force, and other government entities, with notable growth in Air Force and "Other" customer categories.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of The Securities Exchange Act of 1934
Pursuant to Section 13 or 15(d)
of The Securities Exchange Act of 1934
Date of report (Date of earliest event reported): August 3, 2026
(Exact Name of Registrant as Specified in Its Charter)
(State or Other Jurisdiction of Incorporation)
| (Commission | (IRS Employer | ||||
| File Number) | Identification No.) | ||||
(Address of Principal Executive Offices) (Zip Code)
(571 ) 481-2000
(Registrant's Telephone Number, Including Area Code)
Securities Registered Under Section 12(b) of the Act:
| Title of each class | Trading symbol(s) | Name of each exchange on which registered | ||||||
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
| Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |||||
| Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |||||
| Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |||||
| Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) | |||||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ¨
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Item 2.02 Results of Operations and Financial Condition.
Attached hereto as Exhibit 99.1 and incorporated by reference herein is a press release issued by V2X, Inc. (the “Company”) on August 3, 2026 that includes financial information for the Company for the second quarter and guidance for fiscal 2026. This information shall not be deemed filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) or incorporated by reference into any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.
Item 9.01. Financial Statements and Exhibits.
(d) Exhibits.
Exhibit No. | Description | |||||||
99.1 | Press Release of V2X, Inc. August 3, 2026 | |||||||
104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) | |||||||
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| Dated: August 3, 2026 | V2X, INC. | |||||||
| By: | /s/ Sarita B. Malakar | |||||||
| Sarita B. Malakar | ||||||||
| Corporate Secretary | ||||||||
1 PRESS RELEASE V2X Reports Second Quarter 2026 Results Second Quarter Financial Highlights Revenue of $1.26 billion, up 17% year-over-year Net income of $25.5 million; Adjusted net income1 of $51.6 million, up 22% year-over-year Adjusted EBITDA1 of $89.8 million; Adjusted EBITDA1 margin of 7.1% Diluted EPS of $0.81; Adjusted diluted EPS1 of $1.64, up 23% year-over-year Increasing full-year 2026 revenue, adjusted EBITDA1, and adjusted diluted earnings per share1 guidance RESTON, Va., Aug 3, 2026 — V2X, Inc. (NYSE:VVX) today announced second quarter 2026 financial results and increased 2026 guidance for revenue, adjusted EBITDA1, and adjusted diluted earnings per share1. “With double-digit top and bottom-line growth, our strong second quarter performance reflects consistent strategic execution, robust demand for our differentiated capabilities and continued alignment to national security priorities,” said Jeremy C. Wensinger, President and Chief Executive Officer. “Recent awards across modernization, global training, aerospace and mission readiness reinforce the value of our end-to-end solutions, ability to support global no-fail missions, and pursuit of profitable growth opportunities that increase the value of our backlog. Our solid first-half performance and current backlog position us well as we enter the second half of 2026 and as such are increasing our 2026 outlook for revenue, adjusted EBITDA1 and adjusted EPS1. We remain focused on advancing our Go Towards Tomorrow strategy, prioritizing investments that accelerate innovation across the enterprise and strengthen our competitive solutions, and delivering differentiated value for customers and shareholders.” Second Quarter 2026 Results In the second quarter, V2X reported revenue of $1.26 billion, representing 17% year-over-year growth. The Company reported solid topline growth and strong operating performance, yielding double-digit growth in adjusted net income1 and adjusted EPS1. Net income for the quarter was $25.5 million. Adjusted net income1 was $51.6 million, an increase of 22%, year-over-year. Second quarter GAAP diluted EPS was $0.81. Adjusted diluted EPS1 for the quarter increased 23% year-over-year to $1.64. V2X delivered adjusted EBITDA1 of $89.8 million, with a margin1 of 7.1%, representing an increase of 9%, from the prior year. 1 See "Key Performance Indicators and Non-GAAP Financial Measures" for descriptions and reconciliations. Exhibit 99.1
2 Second quarter net cash provided by operating activities was $21.6 million. Adjusted net cash provided by operating activities1 was $71.8 million. At the end of the second quarter, net debt for V2X was $876.1 million, representing an improvement of $71.4 million year-over-year and a 2.4x net leverage ratio1. The Company expects to achieve a net leverage ratio1 of approximately 2.0x by the end of 2026. As of July 3, 2026, total backlog1 was $12.7 billion and funded backlog1 was $2.5 billion. Book-to-bill1 in the second quarter was approximately 0.5x. Trailing twelve-month book-to-bill1 was approximately 1.4x. 2026 Guidance The Company is increasing its 2026 guidance ranges for revenue, adjusted EBITDA1, and adjusted diluted earnings per share1 as follows: $ millions, except for per share amounts Prior 2026 Guidance Updated 2026 Guidance Revenue $4,825 $4,975 $4,875 $5,025 Adjusted EBITDA1 $345 $360 $347.5 $362.5 Adjusted Diluted Earnings Per Share1 $5.75 $6.15 $5.90 $6.30 Adjusted Net Cash Provided by Operating Activities1 $160 $180 $160 $180 The Company is not providing a quantitative reconciliation with respect to the foregoing forward-looking non- GAAP measures in reliance on the “unreasonable efforts” exception set forth in SEC rules because certain financial information, the probable significance of which cannot be determined, is not available and cannot be reasonably estimated. For example, unusual, one-time, non-ordinary, or non-recurring costs, which relate to M&A, integration and related activities cannot be reasonably estimated. Forward-looking statements are based upon current expectations and are subject to factors that could cause actual results to differ materially from those suggested here, including those factors set forth in the Safe Harbor Statement below. 1 See "Key Performance Indicators and Non-GAAP Financial Measures" for descriptions and reconciliations.
3 Second Quarter Conference Call Management will conduct a conference call with analysts and investors at 4:30 p.m. ET on Monday, August 3, 2026. U.S.-based participants may dial in to the conference call at 877-300-8521, while international participants may dial 412-317-6026. A live webcast of the conference call as well as an accompanying slide presentation will be available here: https://app.webinar.net/9LeOmbNmDjb A replay of the conference call will be posted on the V2X website shortly after completion of the call and will be available for one year. A telephonic replay will also be available through August 17, 2026, at 844-512-2921 (domestic) or 412-317-6671 (international) with passcode 10210672. Presentation slides that will be used in conjunction with the conference call will also be made available online in advance on the "investors" section of the company's website at https://gov2x.com. V2X recognizes its website as a key channel of distribution to reach public investors and as a means of disclosing material non-public information to comply with its obligations under the U.S. Securities and Exchange Commission ("SEC") Regulation FD. About V2X V2X builds innovative solutions that integrate physical and digital environments by aligning people, actions, and technology. V2X is embedded in all elements of a critical mission's lifecycle to enhance readiness, optimize resource management, and boost security. The company provides innovation spanning national security, defense, civilian, and international markets. With a global team of approximately 16,200 professionals, V2X enables mission success by injecting AI and machine learning capabilities to meet today's toughest challenges across all operational domains. Investor Contact Media Contact Mike Smith, CFA Angelica Spanos Deoudes IR@goV2X.com Communications@goV2X.com 719-637-5773 571-338-5195 Safe Harbor Statement Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995 (the "Act"): Certain material presented herein includes forward-looking statements intended to qualify for the safe harbor from liability established by the Act. Forward-looking statements generally can be identified by the use of forward-looking terminology such as “may,” “will,” “expect,” “intend,” “estimate,” “anticipate,” “believe,” “could,” “potential,” “continue” or similar terminology. These statements are based on the beliefs and assumptions of the management of the Company based on information currently available to management. Forward-looking statements in this press release, include, but are not limited to our future performance and capabilities; all of the statements and items listed
4 under "2026 Guidance" above and other assumptions contained therein for purposes of such guidance; our belief that prior performance provides substantial visibility for future performance; market trends; product development; capital deployment; future net leverage ratio; and our belief that our innovation strategy, visibility, and targeted growth opportunities provide substantial demand for our services and opportunities for value creation. These forward-looking statements are not guarantees of future performance, conditions, or results, and involve a number of known and unknown risks, uncertainties, assumptions, and other important factors, many of which are outside our management’s control, which could cause actual results to differ materially from the results discussed in the forward-looking statements. In addition, forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from the Company's historical experience and our present expectations or projections. For a discussion of some of the risks and uncertainties that could cause actual results to differ from such forward-looking statements, see the risks and other factors detailed from time to time in our Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and other filings with the SEC. We undertake no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law.
5 V2X, INC. CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) Three Months Ended Six Months Ended July 3, June 27, July 3, June 27, (In thousands, except per share data) 2026 2025 2026 2025 Revenue $ 1,256,643 $ 1,078,330 $ 2,510,771 $ 2,094,253 Cost of revenue 1,147,139 982,597 2,295,449 1,920,417 Selling, general, and administrative expenses 55,694 42,793 117,422 86,598 Operating income 53,810 52,940 97,900 87,238 Loss on extinguishment of debt (1,739) (313) (1,739) (2,527) Interest expense, net (16,705) (20,598) (34,830) (40,317) Other expense, net (2,137) (2,579) (4,583) (4,874) Income from operations before income taxes 33,229 29,450 56,748 39,520 Income tax expense 7,689 7,059 12,283 9,022 Net income $ 25,540 $ 22,391 $ 44,465 $ 30,498 Earnings per share Basic $ 0.82 $ 0.71 $ 1.42 $ 0.96 Diluted $ 0.81 $ 0.70 $ 1.41 $ 0.96 Weighted average common shares outstanding - basic 31,327 31,693 31,270 31,643 Weighted average common shares outstanding - diluted 31,524 31,883 31,519 31,886
6 V2X, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) July 3, December 31, (In thousands, except per share data) 2026 2025 Assets Current assets Cash, cash equivalents and restricted cash $ 214,313 $ 368,994 Receivables 827,359 730,256 Prepaid expenses and other current assets 163,671 127,102 Total current assets 1,205,343 1,226,352 Property, plant, and equipment, net 48,990 52,383 Goodwill 1,676,954 1,677,154 Intangible assets, net 194,163 239,760 Other non-current assets 72,876 76,525 Total non-current assets 1,992,983 2,045,822 Total Assets $ 3,198,326 $ 3,272,174 Liabilities and Shareholders' Equity Current liabilities Accounts payable $ 547,403 $ 557,042 Compensation and other employee benefits 134,173 176,530 Short-term debt 16,107 14,935 Other accrued liabilities 216,723 258,373 Total current liabilities 914,406 1,006,880 Long-term debt, net 1,047,980 1,083,234 Deferred tax liabilities 33,640 28,357 Other non-current liabilities 67,844 69,067 Total non-current liabilities 1,149,464 1,180,658 Total liabilities 2,063,870 2,187,538 Commitments and contingencies (Note 7) Shareholders' Equity Preferred stock; $0.01 par value; 10,000,000 shares authorized; No shares issued and outstanding — — Common stock; $0.01 par value; 100,000,000 shares authorized; 31,908,996 shares issued and 31,345,358 shares outstanding as of July 3, 2026; 31,735,083 shares issued and 31,171,445 shares outstanding as of December 31, 2025 319 317 Treasury stock, at cost - (563,638) shares as of both July 3, 2026 and December 31, 2025 (30,274) (30,274) Additional paid in capital 782,308 779,084 Retained earnings 387,882 343,417 Accumulated other comprehensive loss (5,779) (7,908) Total shareholders' equity 1,134,456 1,084,636 Total Liabilities and Shareholders' Equity $ 3,198,326 $ 3,272,174
7 V2X, INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) Six Months Ended July 3, June 27, (In thousands) 2026 2025 Operating activities Net income $ 44,465 $ 30,498 Adjustments to reconcile net income to net cash used in operating activities: Depreciation expense 8,074 8,175 Amortization of intangible assets 45,796 45,125 Amortization of cloud computing arrangements 2,524 2,453 Loss on disposal of property, plant, and equipment 5 325 Stock-based compensation 8,419 6,181 Deferred taxes 4,649 (4,807) Amortization of debt issuance costs 3,240 3,032 Loss on extinguishment of debt 1,739 2,527 Changes in assets and liabilities: Receivables (89,623) (20,635) Other assets (34,928) (13,894) Accounts payable (10,683) (116,931) Compensation and other employee benefits (42,236) (17,322) Other liabilities (49,801) 8,342 Net cash used in operating activities (108,360) (66,931) Investing activities Purchases of capital assets (3,374) (5,180) Proceeds from the disposition of assets — 90 Net cash used in investing activities (3,374) (5,090) Financing activities Repayments of long-term debt (37,390) (3,812) Proceeds from revolver — 319,000 Repayments of revolver — (319,000) Proceeds from stock awards and stock options 142 77 Payment of debt issuance costs (1,194) (3,909) Payments of employee withholding taxes on stock-based compensation (5,335) (2,974) Net cash used in financing activities (43,777) (10,618) Exchange rate effect on cash 830 4,775 Net change in cash, cash equivalents and restricted cash (154,681) (77,864) Cash, cash equivalents and restricted cash - beginning of period 368,994 268,321 Cash, cash equivalents and restricted cash - end of period $ 214,313 $ 190,457 Supplemental disclosure of cash flow information: Interest paid $ 33,959 $ 32,956 Income taxes paid $ 7,861 $ 5,164 Purchase of capital assets on account $ 1,458 $ 2,125
8 Key Performance Indicators and Non-GAAP Measures The primary financial performance measures we use to monitor results of operations are revenue and operating income. Management believes that these financial performance measures are the primary drivers for our earnings and net cash from operating activities. Management evaluates its contracts and business performance by focusing on revenue and operating income. Operating income represents revenue less both cost of revenue and selling, general and administrative (SG&A) expenses. Cost of revenue consists of labor, subcontracting costs, materials, and an allocation of indirect costs. SG&A expenses consist of indirect labor costs (including wages and salaries for executives and administrative personnel), bid and proposal expenses and other general and administrative expenses not allocated to cost of revenue. Backlog includes funded amounts (funding is contractually authorized and appropriated by the customer) and unfunded amounts (amounts not currently contractually obligated by the customer, including unexercised options when the exercise of those options is considered probable). Total backlog excludes potential orders under IDIQ contracts and contracts awarded to us that are being protested by competitors with the GAO or in the COFC for which a stop work order has been received by the Company. Bookings includes approved values formally booked into V2X’s backlog for new business contract awards including unexercised options, contract modifications, recompetes, contract extensions and add-on work to existing contracts. Book-to-bill is derived by dividing bookings by revenue. We manage the nature and amount of costs at the program level, which forms the basis for estimating our total costs and profitability. This is consistent with our approach for managing our business, which begins with management's assessing the bidding opportunity for each contract and then managing contract profitability throughout the performance period. In addition to the key performance measures discussed above, we consider adjusted net income, adjusted diluted earnings per share, adjusted operating income, adjusted EBITDA, adjusted EBITDA margin, net leverage ratio and adjusted operating cash flow to be useful to management and investors in evaluating our operating performance, and to provide a tool for evaluating our ongoing operations. This information can assist investors in assessing our financial performance and measures our ability to generate capital for deployment among competing strategic alternatives and initiatives. We provide this information to our investors in our earnings releases, presentations, and other disclosures. Adjusted net income, adjusted diluted earnings per share, adjusted EBITDA, adjusted EBITDA margin, net leverage ratio, cash interest expense, net, and adjusted net cash provided by (used in) operating activities, however, are not measures of financial performance under GAAP and should not be considered a substitute for financial measures determined in accordance with GAAP. Definitions and reconciliations of these items are provided below. • Adjusted EBITDA is defined as operating income, adjusted to exclude depreciation and amortization of intangible assets, and items that may include, but are not limited to, significant charges or credits, and
9 unusual and infrequent non-operating items that impact current results but are not related to our ongoing operations, such as M&A, integration, and related costs. • Adjusted EBITDA margin is defined as adjusted EBITDA divided by revenue. • Adjusted net income is defined as net income, adjusted to exclude items that may include, but are not limited to, significant charges or credits, and unusual and infrequent non-operating items that impact current results but are not related to our ongoing operations, such as M&A, integration and related costs, amortization of acquired intangible assets, amortization of debt issuance costs, and loss on extinguishment of debt. • Adjusted diluted earnings per share is defined as adjusted net income divided by the weighted average diluted common shares outstanding. • Cash interest expense, net is defined as interest expense, net adjusted to exclude amortization of debt issuance costs. • Adjusted net cash provided by (used in) operating activities or adjusted operating cash flow is defined as net cash provided by (or used in) operating activities adjusted to exclude non-operating items, such as M&A payments and related costs, and MARPA facility activity. • Net leverage ratio is defined as net debt (or total debt less unrestricted cash) divided by trailing twelve- month (TTM) bank EBITDA.
10 Non-GAAP Tables ($K, except per share data) Three Months Ended Six Months Ended July 3, 2026 June 27, 2025 July 3, 2026 June 27, 2025 Revenue $1,256,643 $1,078,330 $2,510,771 $2,094,253 Net income $25,540 $22,391 $44,465 $30,498 Plus: Income tax expense 7,689 7,059 12,283 9,022 Other expense, net 2,137 2,579 4,583 4,874 Interest expense, net 16,705 20,598 34,830 40,317 Loss on extinguishment of debt 1,739 313 1,739 2,527 Operating income $53,810 $52,940 $97,900 $87,238 Plus: Amortization of intangible assets 22,897 22,562 45,796 45,125 M&A, integration and related costs 7,704 1,780 21,077 6,405 Adjusted operating income $84,410 $77,283 $164,774 $138,768 Plus: Depreciation and CCA amortization 5,390 5,152 10,598 10,628 Adjusted EBITDA $89,800 $82,435 $175,372 $149,396 Adjusted EBITDA margin 7.1 % 7.6 % 7.0 % 7.1 % Minus: Cash interest expense, net 15,135 19,055 31,590 37,285 Income tax expense, as adjusted 15,530 13,315 28,895 22,549 Depreciation and CCA amortization 5,390 5,152 10,598 10,628 Other expense, net, as adjusted 2,137 2,579 4,583 5,124 Adjusted net income $51,609 $42,334 $99,706 $73,810 ($K, except per share data) Three Months Ended Six Months Ended July 3, 2026 June 27, 2025 July 3, 2026 June 27, 2025 Diluted earnings per share $0.81 $0.70 $1.41 $0.96 Plus: M&A, integration and related costs 0.19 0.04 0.51 0.15 Amortization of intangible assets 0.56 0.54 1.12 1.08 Amortization of debt issuance costs and Loss on extinguishment of debt 0.08 0.04 0.12 0.13 FMV land impairment $— — — — Gain on acquisiton, net — 0.00 — (0.01) Adjusted diluted earnings per share $1.64 $1.33 $3.16 $2.31 Average shares outstanding: Basic, as reported 31,327 31,693 31,270 31,643 Diluted, as reported 31,524 31,883 31,519 31,886 Adjusted diluted 31,524 31,883 31,519 31,886
11 Non-GAAP Tables ($K) Three Months Ended Six Months Ended July 3, 2026 June 27, 2025 July 3, 2026 June 27, 2025 Net cash provided by/(used in) by operating activities $21,551 $28,532 $(108,360) $(66,931) Plus: M&A, integration, and related payments 7,237 7,754 9,442 10,762 MARPA facility activity 42,980 21,968 148,608 (3,649) Adjusted operating cash flow $71,767 $58,254 $49,690 $(59,819) ($K, except ratio) Period Ending July 3, 2026 Total debt $1,086,429 Cash, cash equivalents and restricted cash 214,313 Less: Restricted cash (4,014) Cash and cash equivalents $210,299 Net debt $876,130 TTM bank EBITDA $365,584 Net leverage ratio 2.4x ($K) TTM July 3, 2026 Net income $ 91,849 Plus: Interest expense, net 74,423 Income tax expense 26,282 Depreciation and amortization 113,167 Additional permitted add-backs1 59,863 TTM Bank EBITDA $ 365,584
12 SUPPLEMENTAL INFORMATION Revenue by contract type, geographic region, contract relationship, and customer for the periods presented below was as follows: Revenue by Contract Type: Three Months Ended Six Months Ended July 3, June 27, % July 3, June 27, % (In thousands) 2026 2025 Change 2026 2025 Change Cost-plus and cost-reimbursable $ 735,218 $ 647,582 13.5 % $ 1,487,623 $ 1,270,653 17.1 % Firm-fixed-price 389,650 405,091 (3.8) % 762,409 769,177 (0.9) % Time-and-materials 131,775 25,657 413.6 % 260,739 54,423 379.1 % Total revenue $ 1,256,643 $ 1,078,330 $ 2,510,771 $ 2,094,253 Revenue by Geographic Region: Three Months Ended Six Months Ended July 3, June 27, % July 3, June 27, % (In thousands) 2026 2025 Change 2026 2025 Change United States $ 797,512 $ 632,357 26.1 % $ 1,608,066 $ 1,209,815 32.9 % Middle East 324,550 320,317 1.3 % 638,883 638,662 — % Asia 86,566 76,793 12.7 % 162,703 152,771 6.5 % Europe 48,015 48,863 (1.7) % 101,119 93,005 8.7 % Total revenue $ 1,256,643 $ 1,078,330 $ 2,510,771 $ 2,094,253 Revenue by Contract Relationship: Three Months Ended Six Months Ended July 3, June 27, % July 3, June 27, % (In thousands) 2026 2025 Change 2026 2025 Change Prime contractor $ 1,206,600 $ 1,008,340 19.7 % $ 2,404,062 $ 1,972,086 21.9 % Subcontractor 50,043 69,990 (28.5) % 106,709 122,167 (12.7) % Total revenue $ 1,256,643 $ 1,078,330 $ 2,510,771 $ 2,094,253 Revenue by Customer: Three Months Ended Six Months Ended July 3, June 27, % July 3, June 27, % (In thousands) 2026 2025 Change 2026 2025 Change Army $ 422,112 $ 457,443 (7.7) % $ 862,226 $ 899,579 (4.2) % Navy 375,172 354,282 5.9 % 758,093 700,394 8.2 % Air Force 215,190 107,822 99.6 % 383,023 206,948 85.1 % Other 244,169 158,783 53.8 % 507,429 287,332 76.6 % Total revenue $ 1,256,643 $ 1,078,330 $ 2,510,771 $ 2,094,253 Source: V2X, Inc.