EarningsQ2 2026 Earnings Report
DE:EB2 Q2 2026 EPS Results
Actual EPS€3.21
Consensus EPS€3.01
Beat/MissBeat by +€0.21
One Year Ago EPS€2.40
DE:EB2 Q2 2026 Revenue Results
Actual Revenue€1.98B
Expected Revenue€2.00B
Beat/MissMissed by -€28.95M
YoY Revenue Growth-4.17%
Earnings Announcement Details
QuarterQ2 2026
Date08/11/2026
TimeBefore Open
Conference CallTuesday, August 11, 2026
DE:EB2 Upcoming Earnings
Elbit Systems's next earnings date is estimated for November 24, 2026, based on past reporting schedules.
Q2 2026 Earnings Call Audio
No earnings call audio is available for this earnings event.
Q2 2026 Earnings Slide Deck
No slide deck is available for this earnings event.
Q2 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call presents a clearly positive operational and financial picture: double-digit revenue growth, record $32B backlog (driven by international demand), expanding margins, strong EPS growth, robust cash generation and multiple sizable contract awards and strategic M&A. Key negatives are an isolated aerospace revenue decline, a materially higher effective tax rate due to OECD Pillar II, some revenue concentration in Israel from inventory replenishment, and conversion/capacity execution risks tied to turning a large backlog into near-term revenue. Overall, the positives (broad-based growth, margin expansion, cash strength and major contract awards) materially outweigh the lowlights.Company Guidance
Double-Digit Revenue Growth
Revenues increased 15.9% year-over-year to $2,287 million in Q2 2026 (from $1,973 million), with sequential revenue growth continuing and strong contributions from Europe (25%), North America (20%), Asia-Pacific (14%) and Israel (37%).
Record Backlog and International Demand
Backlog reached a record $32.0 billion (up ~34% year-over-year and ~6% sequentially), ~70% of backlog sourced outside Israel and ~42% of backlog scheduled to be performed in the remainder of 2026 and 2027, providing strong visibility into future sales.
Margin Expansion and Profitability
GAAP gross margin expanded to 25.3% vs 24.0% a year ago; non-GAAP gross margin 25.6% vs 24.4%. GAAP operating income was $218.8 million (9.6% of revenues vs 8.0% prior; +1.6 percentage points) and non-GAAP operating income $237.5 million (10.4% vs 8.9%; +1.5 percentage points).
Strong EPS Performance
GAAP diluted EPS rose 34% to $3.61 (from $2.69) and non-GAAP diluted EPS increased 28% to $4.14 (from $3.23), reflecting margin expansion and improved operating performance.
Robust Cash Generation and Conversion
Operating cash provided increased to $237 million (vs $120 million prior year); free cash flow was $150 million (vs $71 million). Cash conversion remained strong at 86% for the quarter.
Major Contract Awards and Program Wins
Notable Q2 awards include U.S. Customs & Border Protection contracts (~$370M), $212M ENVG-B production award (sole prime supplier for the U.S. Army), selection of THOR Group 2 UAS, a $1.4B European multi-domain modernization program, ~ $750M PULS award in Greece, ~$200M Israeli airborne munitions contract, and a $350M international tank modernization contract.
Strategic Investment, M&A and Partnerships
Increased CapEx target from $220M to $300M to expand production and automation; H1 R&D spend increased by ~$70M (about half funded by new Israeli R&D incentive law); completed 3 bolt-on acquisitions including Blue White Robotics; formed EuroPULS JV with KNDS and expanded partnership with Diehl Defence.
Segment Strengths and Technology Leadership
Strong segment performance: ISTAR & EW revenues +22%, Land +32%, C4I & Cyber +11%, Elbit Systems of America +17%. Advanced technology momentum highlighted by large live digitalized land-force demo in Sweden, progress on high-power lasers and airborne laser programs, and top ranking as Israel's leading defense integrator in a Dun & Bradstreet survey.
DE:EB2 Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed