Overview
Israel defense technology firm's Q4 revenue rose 11% yr/yr amid strong demand
Adjusted EPS for Q4 increased to $3.56 from $2.66 a year earlier
Company attributes results to higher demand, especially from Israel Ministry of Defense
Outlook
Company expects continued elevated demand from Israel Ministry of Defense due to ongoing regional conflicts
Elbit Systems says operational disruptions from conflicts have been reduced, but risks remain if escalation resumes
Result Drivers
SEGMENT GROWTH - Q4 revenue growth was led by higher sales in C4I and Cyber, ISTAR and EW, and Land segments, particularly in Europe and Israel
AEROSPACE DECLINE - Aerospace segment revenue fell 14% due to lower training and simulation sales in Europe and a high base of Precision Guided Munition sales in Q4 2024
SUPPLY CHAIN IMPACTS - Company experienced operational disruptions and higher costs due to Middle East conflicts, but took steps to mitigate supply chain challenges
Company press release: ID:nPn9MkRQWa
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q4 Revenue | $2.15 bln | ||
Q4 Adjusted EPS | $3.56 | ||
Q4 EPS | $3.52 | ||
Q4 Adjusted Gross Profit | $536.30 mln | ||
Q4 Adjusted Operating Income | $210.80 mln | ||
Q4 Gross Profit | $529.80 mln | ||
Q4 Operating Income | $192.50 mln |
Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the aerospace & defense peer group is "buy."
Wall Street's median 12-month price target for Elbit Systems Ltd is $579.75, about 33.7% below its March 16 closing price of $874.50
The stock recently traded at 65 times the next 12-month earnings vs. a P/E of 35 three months ago
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)
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