V2X Raises 2026 Outlook After Third-Quarter Results

The Tip Desk · November 3, 2026 · 3 min read

The company lifted full-year revenue guidance to $4,950 million–$5,100 million after third-quarter sales of $1.27 billion and a 1.2x book-to-bill.

V2X, Inc. (VVX) raised its full-year 2026 outlook across revenue, adjusted EBITDA, adjusted diluted earnings per share and adjusted operating cash flow after a third quarter in which year-over-year revenue growth slowed to 9%.

The Reston, Virginia-based defense technology company reported third-quarter revenue of $1.27 billion, up 9% from a year earlier. That pace followed 17% growth in the second quarter and 23% in the first quarter. President and Chief Executive Officer Jeremy C. Wensinger said the results reflected execution and demand for the company’s mission-critical capabilities, and that recent award activity and on-contract growth reinforced momentum.

Net income was $32.0 million, up 30% year-over-year. Adjusted net income was $51.7 million, up 19%. GAAP diluted earnings were $1.01 a share, up 32%; adjusted diluted earnings were $1.64 a share, up 19%. Adjusted EBITDA was $88.6 million, with an adjusted EBITDA margin of 7.0%, which the company said represented a 4% year-over-year increase.

The company said it is increasing 2026 guidance based on year-to-date performance, current backlog and existing demand signals. It now expects full-year revenue of $4,950 million to $5,100 million, up from a prior range of $4,875 million to $5,025 million. Adjusted EBITDA guidance moved to $352.5 million to $367.5 million from $347.5 million to $362.5 million. Adjusted diluted EPS guidance is now $6.15 to $6.55, from $5.90 to $6.30. Adjusted net cash provided by operating activities is now expected at $175 million to $195 million, from $160 million to $180 million.

Book-to-bill recovered to approximately 1.2x in the third quarter from approximately 0.5x in the second quarter, after a 3.2x first-quarter spike. Trailing twelve-month book-to-bill was approximately 1.4x. Total backlog was $12.8 billion as of October 2, 2026, compared with $12.7 billion as of July 3, 2026 and a record $13.8 billion as of April 3, 2026. Funded backlog was $2.6 billion.

Third-quarter net cash provided by operating activities was $67.3 million, up from $21.6 million in the second quarter. Adjusted net cash provided by operating activities was $61.8 million. Net debt was $811.7 million at the end of the third quarter, an improvement of $140.3 million year-over-year, and the net leverage ratio was 2.2x. The company said it expects to achieve a net leverage ratio of approximately 2.0x by the end of 2026.

Revenue by contract type in the three months ended October 2, 2026 was $692.5 million of cost-plus and cost-reimbursable work, $419.1 million of firm-fixed-price work and $159.9 million of time-and-materials work. United States revenue was $894.1 million, Middle East revenue $240.5 million, Asia $88.2 million and Europe $48.6 million. Prime-contractor revenue was $1,219.7 million and subcontractor revenue $51.8 million. By customer, Army revenue was $337.7 million, Navy $389.7 million, Air Force $251.3 million and other customers $292.8 million.

Wensinger said the company expects to continue investing in growth areas it believes will advance its Go Towards Tomorrow strategy.