Kratos Defense & Security Solutions: Here’s What Investors Need to Know Before Earnings

Kratos Defense & Security Solutions (NASDAQ:KTOS) will report earnings after markets close on Thursday, May 9th. Kratos Defense & Security Solutions, Inc. operates as a defense contractor and security systems integrator for the federal government and for state and local agencies. The Company offers services in weapon systems lifecycle support, military weapon range, security and surveillance systems, IT engineering, etc.

Here is your Cheat Sheet to Kratos Defense & Security Solutions Earnings:

Earnings Expectations: Analysts expect earnings of $-0.09 per share on revenues of $237.02 million.

Analyst Trends:

Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a loss of $0.03 to a loss $0.06. For the current year, the average estimate is a loss of $0.17, which is worse than the estimate ninety days ago.

Earnings Trends:

Here’s how Kratos Defense & Security Solutions has been performing on an annual basis:

Fiscal Year 2008 2009 2010 2011 2012
Revenue ($) in millions 286.20 334.50 408.50 713.90 969.20
Diluted EPS ($) -11.95 -2.99 0.86 -0.88 -2.44

Next, our CHEAT SHEET investing framework asks us to drill down to the recent quarterly data:

Quarter Dec. 31, 2011 Mar. 31, 2012 Jun. 30, 2012 Sep. 30, 2012 Dec. 31, 2012
Revenue ($) in millions 213.40 209.50 219.80 276.30 263.60
Diluted EPS ($) -0.2552 -0.09 -0.41 -0.07 -1.601

Past Performance:
Kratos Defense & Security Solutions has missed analyst estimates 3 times in the past four quarters. Shareholders could expect a bust if the company misses estimates.

“E = Earnings Are Increasing Quarter-Over-Quarter” is a core component of our successful CHEAT SHEET investing framework. Don’t waste another minute – click here to discover our CHEAT SHEET stock picks now!

(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)