Earnings rose at Amentum, Chantilly, Va., in the second quarter of fiscal 2026, which the engineering and technology company attributed to favorable trends in its key business lines.
Amentum announced its earnings in a Monday press release, followed by a conference call with Wall Street analysts Tuesday morning.
Net earnings for the quarter ended April 3 were $54 million, or $0.22 a share, up from $4 million, or $0.02 a share, in the year-ago quarter. The numbers improved partly due to higher operating income and lower interest expense due to debt repayments, Amentum said.
Quarterly revenue was relatively flat at about $3.5 billion.
Quarterly segment operating income for Global Engineering Solutions, the segment that includes government contracting and nuclear work, was $170 million, up from $161 million a year ago. Segment revenue was $2 billion, down from $2.15 billion in the year-ago period.
The Global Engineering numbers were somewhat affected by a ramp down of some old legacy work, which is partly offset by new work, Amentum executives said during the call.
“We see significant and growing opportunities across national security, energy, space, and critical digital infrastructure markets with most of these in the early stages of a substantial investment cycle,” Amentum CEO John Heller said.
Heller also said during the past quarter an Amentum-led joint venture won a 14-year contract to help design and support a small modular reactor (SMR) project in Wales, within the United Kingdom. An Amentum-led joint venture also won a two-year contract for decommissioning and waste management for certain European Commission nuclear research sites.
Amentum is also in discussions with potential partners for various SMR and advanced nuclear projects in the United States and Europe, Heller said. The CEO added that Amentum has a deep background of hands-on nuclear work that many of its competitors lack.
Heller said he was happy to see the White House budget request proposes healthy funding levels for national defense, including Golden Dome and drones, as well as space exploration and other markets Amentum is involved with.
Amentum executives also briefly addressed a recent executive order from President Trump that seeks to shift government procedure toward more fixed-price, rather than cost-plus contracts. Amentum is seeing a higher mix of fixed-price work. “So we welcome that order,” Heller said, because it is something that customers want.
Amentum affirmed its fiscal 2026 guidance that forecasts revenue between $13.9 billion and $14.3 billion and earnings per share between $2.25 and $2.45 for the year.
Amentum is the lead partner in joint ventures in charge of billions of dollars’ worth of environmental remediation work at DOE sites such as the Idaho National Laboratory, the Portsmouth Site in Ohio and the Oak Ridge Site in Tennessee. The U.S. nuclear cleanup work garnered little attention during the call’s question-and-answer session.
Amentum’s earnings slide deck is also posted online on the company’s investor webpage.