Karman

KRMN · NYSE · Industrials · Financials, fiscal 2022 to 2025

KRMN · Last close · November 6, 2026

$45.61

Karman's revenue rose 36.6% to $472 million in fiscal 2025. Its operating margin was 15.5%, down from 18.4% a year earlier. Free cash flow was −$42 million, against $11 million a year earlier. The diluted share count fell 20.6%.

KARMAN HOLDINGS INC. Latest fiscal year ended December 31, 2025 10-K filed April 3, 2026 · 0002040127-26-000014 Updated November 6, 2026

Revenue

$472M

36.6%

Operating margin

15.5%

2.9 pts

Net income

$17M

36.7%

Free cash flow

−$42M

$11M a year earlier

Return on capital

5.1%

4.6 pts

Market cap

$6.0B

Nov 6 close

P/E

116.9x

On $0.39 EPS, 4 qtrs

Operating margin is operating income as a share of revenue. Free cash flow is cash from operations minus capital spending. Return on capital is after-tax operating income as a share of the money invested in the business: debt plus equity, minus cash. Market cap is the last closing share price times the latest diluted share count, so it is approximate. P/E is the last close divided by diluted earnings per share over the last four quarters, or the latest fiscal year where the quarters aren't available; there is none when the company made a loss.

Charts show fiscal years, from the 10-K filings.

What Karman does

Karman Space & Defense designs, tests, makes and sells systems for missile, defense and space programs. Its customers are mainly large prime contractors that build the final missiles and launch vehicles, and the programs serve the U.S. Department of War and the space industry. It says it supports more than 130 active programs.

It groups its products into three families. Payload protection and deployment systems are the top section of a booster, launch vehicle or missile. Aerodynamic interstage systems join stages of a rocket and help it separate. Propulsion systems include solid rocket motors and parts of liquid-fueled motors. Its three end markets are hypersonics and strategic missile defense, tactical missiles and integrated defense systems, and space and launch.

Karman was formed in 2020 by merging two manufacturers and has grown by buying others, including a maker of high-temperature composites and an energetics and mechanical systems specialist. It operates about 808,000 square feet of design, engineering, testing and manufacturing space and has around 300 engineers.

Its biggest risks, as it describes them

Relying heavily on certain customers and suppliers for a large share of its sales.
Depending on U.S. government agencies and prime contractors, and on defense and space program funding.
Needing to find and keep skilled engineers and other employees.
Raw materials and components it needs that may be hard to get or cost more.
Debt, and acquisitions that may not be integrated as planned.

From Karman's annual report on Form 10-K, filed April 3, 2026, in our words; the 10-K has the full description and every risk factor. Updated with each new annual report.

Income statement

Revenue and net income

US$ billions, fiscal years; net losses in red. Revenue on the left axis, net income on the right; zero is the same line on both.

Revenue (left axis)Net income (right axis)

Gross profit, R&D and operating income

US$ billions, fiscal years. Gross profit is revenue minus the cost of what was sold; research and development is one of the costs paid from it; what remains after all operating costs is operating income. Losses in red.

Gross profitResearch and developmentOperating income

Margins

Percent of revenue

GrossOperatingNetFree cash flow

From fiscal 2023 to 2025, earnings per share grew 108.2% a year and net income 98.9% a year, as the share count fell by 21%.

Diluted earnings per share

US$ per share, fiscal years, restated for any stock splits; loss years in red.

Returns on capital

Return on capital and on equity

Percent. Return on capital is after-tax operating income over the money invested in the business (debt plus equity, minus cash); return on equity is net income over shareholders' equity. Both use the average of opening and closing balances.

Return on capitalReturn on equity

Balance sheet

Cash and debt

US$ billions, at each fiscal year end. Debt includes finance leases.

Cash and short-term investmentsDebt

Assets, liabilities and equity

US$ billions, at each fiscal year end. Assets equal liabilities plus equity; negative equity in red.

Total assetsTotal liabilitiesShareholders' equity

Debt and liquidity ratios

Times. Debt to equity, current assets over current liabilities, and net debt over EBITDA (a full year's).

Debt to equityCurrent ratioNet debt to EBITDA

Five years at a glance

Fiscal year end	FY22	FY23	FY24	FY25
Cash and short-term investments	—	6	12	34
Debt incl. finance leases	—	382	416	580
Net debt (negative means net cash)	—	377	404	546
Net debt to EBITDA	—	5.0x	4.2x	4.7x
Debt to equity	—	2.1x	2.1x	1.5x
Interest coverage	0.5x	1.0x	1.2x	1.6x
Current ratio	—	1.8x	1.8x	3.3x
Quick ratio	—	1.7x	1.7x	3.2x

US$ millions unless stated, at each fiscal year end. Net debt to EBITDA is debt minus cash, divided by operating income before depreciation and amortization: roughly how many years of those earnings the net debt equals. Debt to equity is debt as a multiple of shareholders' equity. Interest coverage is operating income divided by interest expense. The current ratio is current assets over current liabilities; the quick ratio leaves out inventory.

Cash flow

Cash from operations, capital spending and free cash flow

US$ billions, fiscal years. Free cash flow is cash from operations minus capital spending; negative years in red.

Cash from operationsCapital spendingFree cash flow

Stock-based compensation and buybacks

US$ billions, fiscal years. Shares paid to employees (stock-based compensation, a cost that uses no cash) against cash spent buying shares back. Buybacks that only match it leave the share count roughly where it was.

Stock-based compensationShare buybacks

Dividends and buybacks

US$ billions, cash paid in each fiscal year

DividendsShare buybacks

Diluted share count

Weighted-average diluted shares, millions

Projections

Project Karman's revenue, net income and earnings per share five years ahead in a bull, a base and a bear case with your own figures, and see the share prices your P/E estimates give them, or value it with a discounted cash flow model. Every projected figure is yours: it is not a forecast of ours.

Open Karman's projections

Insider trades

Over the 12 months between November 7, 2025 and November 6, 2026, 3 insiders bought $1.0 million of Karman shares on the open market, and 5 insiders sold $41.2 million, all of it under trading plans set up in advance.

Buys and sells by month

US$ millions, open-market purchases (up) and sales (down) by officers, directors and 10% owners in each month.

BoughtSold

Date	Insider	Trade	Shares	Price	Value	Filing
Sep 16, 2026	David StinnettDirector	Bought	27,000	$37.32	$1.0 million	Form 4
Sep 16, 2026	Mary D PetryszynDirector	Bought	500	$37.44	$18,720	Form 4
Sep 16, 2026	Stephen TwittyDirector	Bought	275	$36.79	$10,117	Form 4
Dec 12, 2025	Anthony KoblinskiChief Executive Officer, Director	Sold plan	75,000	$69.31	$5.2 million	Form 4
Dec 5, 2025	Anthony KoblinskiChief Executive Officer, Director	Sold plan	75,000	$66.51	$5.0 million	Form 4
Nov 28, 2025	Anthony KoblinskiChief Executive Officer, Director	Sold plan	75,000	$67.40	$5.1 million	Form 4
Nov 21, 2025	Anthony KoblinskiChief Executive Officer, Director	Sold plan	75,000	$58.48	$4.4 million	Form 4
Nov 17, 2025	Michael WillisChief Financial Officer	Sold plan	115,000	$58.63	$6.7 million	Form 4
Nov 13, 2025	Jonathan BeaudoinChief Operating Officer	Sold plan	74,000	$63.69	$4.7 million	Form 4
Nov 13, 2025	Stephanie SawhillChief Growth Officer	Sold plan	62,000	$63.93	$4.0 million	Form 4
Nov 12, 2025	Brian RaduenzDirector	Sold plan	90,000	$68.00	$6.1 million	Form 4

Open-market purchases and sales by officers, directors and 10% owners, from their Form 4 filings with the SEC: one row per person, day and filing, at the day's average price. Grants, option exercises and shares withheld for tax aren't counted. Insiders buy and sell for many reasons, such as taxes, spreading their savings or a plan set up months earlier, so a trade on its own says little about where a company is heading. For information only, not investment advice. Insider trades at all companies

Indicators

Four widely used measures, worked out from the company's filings. The cutoffs are the ones their authors or users go by, not a verdict of ours.

Indicator	FY23	FY24	FY25
Piotroski F-score	—	—	6 of 9
Rule of 40	25.3%	26.3%	27.6%
Altman Z''	—	1.61	2.23
Accruals ratio	—	−1.9%	4.2%

Piotroski F-score: how many of nine simple tests of profitability, funding and efficiency the company passed in the year (Piotroski, 2000); 8 or 9 is strong, 0 to 2 weak. Rule of 40: revenue growth plus free cash flow margin; software investors treat 40% or more as the bar. Altman Z'': working capital, retained earnings, operating income and equity weighed against assets and liabilities (Altman, 1995); Altman puts above 2.6 in the safe zone and below 1.1 in the distress zone. Accruals ratio: net income minus cash from operations, over average total assets; lower means profit is backed by cash.

The nine F-score tests

Test	FY23	FY24	FY25
Net income is positive	—	Pass	Pass
Cash from operations is positive	Pass	Pass	Fail
Return on assets rose	—	—	Pass
Cash from operations exceeds net income	Pass	Pass	Fail
Debt fell relative to assets	—	—	Fail
Current ratio rose	—	Fail	Pass
Share count didn't rise	Fail	Pass	Pass
Gross margin rose	Pass	Pass	Pass
Revenue rose relative to assets	—	—	Pass
F-score	—	—	6 of 9

Companies that report no gross profit are scored on the other eight.

Compare

Put Karman side by side with any other company we cover: revenue, growth, margins, cash flow and returns, with ten years of charts.

Similar companies

Company	Year	Revenue growth	Operating margin	Free cash flow margin	Return on capital	Net debt to EBITDA	F-score	Compare
Karman	FY25	36.6%	15.5%	−9.0%	5.1%	4.7x	6
National Presto Industries	FY25	29.7%	8.0%	−7.2%	—	—	—	Compare
Planet Labs	FY26	25.9%	−30.9%	18.7%	−70.0%	—	3	Compare
Intuitive Machines	FY25	−7.9%	−41.5%	−26.6%	—	—	3	Compare
VSE	FY25	41.5%	8.1%	0.5%	4.5%	1.7x	6	Compare

Each company's latest fiscal year. Fiscal years end in different months, so the periods don't line up exactly. Free cash flow margin is free cash flow as a share of revenue. Net debt to EBITDA is explained under the balance sheet, and the F-score under Indicators.

4 years of figures

Fiscal year	FY22	FY23	FY24	FY25
Income statement
Revenue	226	281	345	472
Revenue growth	—	24.0%	23.0%	36.6%
Gross profit	81	106	132	190
Research and development	—	—	—	—
Operating income	20	48	64	73
Net income	−14	4	13	17
Diluted EPS (US$)	−0.09	0.03	0.08	0.13
Diluted shares (millions)	159	167	167	132
Cash flow
Cash from operations	−6	20	27	−22
Capital expenditure	21	17	15	20
Free cash flow	−27	4	11	−42
Dividends paid	0	0	0	0
Share buybacks	0	0	0	0
Acquisitions	0	0	31	212
Stock-based compensation	2	1	1	1
Balance sheet at fiscal year end
Cash and short-term investments	—	6	12	34
Debt incl. finance leases	—	382	416	580
Total assets	—	711	774	1,104
Total liabilities	—	528	578	721
Shareholders' equity	178	182	196	383
Margins and ratios
Gross margin	35.8%	37.6%	38.3%	40.3%
Operating margin	9.0%	17.3%	18.4%	15.5%
Net margin	−6.2%	1.6%	3.7%	3.7%
Free cash flow margin	−12.0%	1.3%	3.3%	−9.0%
Rule of 40 (growth + FCF margin)	—	25.3%	26.3%	27.6%
Return on capital	—	—	9.7%	5.1%
Return on equity	—	—	6.7%	6.0%
Return on assets	—	—	1.7%	1.9%
Net debt to EBITDA	—	5.0x	4.2x	4.7x

US$ millions unless stated. Where a later 10-K restated a year, the latest filed figure is shown. Download all figures (CSV, US$ millions)

Source: Karman's Form 10-K filings, from SEC EDGAR. For information only, not investment advice. The Filing Desk is not affiliated with Karman.