Aidan Daly
Leidos released its second quarter of 2024 financial results. In the three months ended June 28, revenue grew 7.7% to $4.13 billion compared to Q2 fiscal 2023, while net income rose 54.3% year-over-year to $324 million.
The company said Tuesday its total backlog of $36.5 billion is 6.8% higher than a year ago.
Thomas Bell, CEO of Leidos and 2024 Wash100 awardee, remarked, “In the second quarter, Leidos continued its industry-leading profitable growth and strong cash generation, showcasing the progress we’ve made towards our key operational priorities and the dedication to our “Promises Made, Promises Kept” philosophy.”
According to Bell, the philosophy is a firm commitment to driving operational improvement, profitable growth and robust cash conversion.
Leidos generated $374 million net cash from operating activities and a free cash flow of $351 million, representing a 15% increase from the same quarter last year. Also, the record 13.5% adjusted EBITDA margin indicates strong organic growth.
During the earnings call, Bell enumerated the management’s priorities. He said the primary strategy is to focus on technical differentiators or the golden bolts. Technological innovation will remain Leidos’ cornerstone while proactive investment in cybersecurity continues. He is also optimistic about the robust opportunities in hypersonics.
Given the collaborative innovation strategy and a capabilities-based organization, Bell is confident that Leidos will deliver on its commitments for the rest of 2024 and beyond. More importantly, he said the company is in an excellent position to execute its emerging Lighthouse North Star strategy.
