Leidos Holdings, Inc. has recently released its 10-Q report, offering a detailed insight into the company's financial performance. Leidos, a provider of services and solutions for government and commercial customers, operates through four segments: National Security & Digital, Health & Civil, Commercial & International, and Defense Systems. The company's revenues for the three and six months ended July 4, 2025, were $4,253 million and $8,498 million, respectively, representing a 2.9% and 4.8% increase over the same periods in the previous year.
In the National Security & Digital segment, revenues for the three months ended July 4, 2025, were $1,872 million, reflecting a 3.3% increase from the same period in the prior year. The segment's operating income for the same period was $188 million, showing a 2.7% increase. The Health & Civil segment reported revenues of $1,272 million for the three months ended July 4, 2025, signifying a 0.7% increase, with an operating income of $311 million, a 1.3% rise. The Commercial & International segment's revenues for the same period were $566 million, a 0.9% increase, with an operating income of $40 million, a 463.6% surge. Lastly, the Defense Systems segment reported revenues of $543 million, a 9.7% increase, and an operating income of $41 million, a 20.6% rise.
Leidos' effective tax rate for the three and six months ended July 4, 2025, was 24.1% and 23.9%, respectively, compared to 23.9% and 23.6% for the same periods in the previous year. The company also experienced a decrease of $150 million to income taxes payable and a decrease of $130 million to deferred tax assets as of July 4, 2025, due to the enactment of the H.R.1 Reconciliation Act.
The estimated value of Leidos' total backlog as of July 4, 2025, was $46,210 million, with the National Security & Digital segment accounting for the majority at $24,861 million. The company's liquidity stood at $930 million in cash and cash equivalents, with a senior unsecured revolving credit facility providing an additional borrowing capacity of up to $1 billion.
These figures reflect Leidos' solid financial performance and its continued growth across its various business segments, demonstrating its ability to navigate the evolving business environment and deliver value to its stakeholders. As a result of these announcements, the company's shares have moved 6.97% on the market, and are now trading at a price of $172.165. If you want to know more, read the company's complete 10-Q report here.
