Amentum delivers high-value, engineered aerospace solutions including structural components, engines, and avionics to defense and commercial aviation sectors with a focus on sustainability and rapid response capabilities.
Investors may consider AMTM due to the exceptional 177% revenue growth year-over-year driven by accelerated defense spending and commercial aviation recovery. The company's transition from a net loss position to positive profitability demonstrates strong operational execution and margin expansion potential. Its diversified product mix across structures, power, and avionics provides a resilient revenue stream less susceptible to single-contract volatility.
Bearish investors should note the company still carries $3.9B in long-term debt against only $4.62B in total equity, creating leverage pressure during interest rate fluctuations. The large accumulated deficit of -$461M suggests a history of profitability challenges that could limit future dividend capabilities or share buybacks. High non-operating losses of -$365M indicate significant one-time charges or investment write-downs that may not be recurring but weigh on overall return metrics.
Amentum Holdings Inc. (AMTM) is a specialized aerospace and defense manufacturer serving global military, commercial, and civil aviation markets. The company primarily designs, engineers, manufactures, and services complex aircraft structures, power systems, and mission-critical subsystems for original equipment manufacturers (OEMs) and end-users worldwide.
Amentum achieved a significant turnaround in 2025, generating $59M in net profit compared to an $83M loss in 2024, while revenue surged from $8.39B to $14.39B. The company improved its cash flow from operations to $543M and increased ending cash by $437M despite substantial financing outflows of $790M, indicating strong operational liquidity management. Operating profit reached $480M, reflecting efficient cost control and successful scaling of production capabilities across its diverse portfolio.
The global aerospace and defense industry is currently experiencing robust growth driven by geopolitical tensions, aging military fleets requiring modernization, and sustained commercial travel demand. This sector offers high barriers to entry due to rigorous safety certifications and long development cycles, favoring established players with specialized manufacturing capabilities like Amentum.
| Metric | 2024 | 2025 |
|---|---|---|
| Revenue | $8.39B | $14.39B |
| Cost of Revenue | $7.59B | $12.88B |
| Gross Profit | $798.0M | $1.51B |
| Operating Expenses | $507.0M | $1.03B |
| Operating Income | $291.0M | $480.0M |
| G&A | $353.0M | $616.0M |
| Stock-Based Comp | $18.0M | $21.0M |
| Depreciation | $23.0M | $40.0M |
| Amortization | $228.0M | $479.0M |
| Other OpEx | $154.0M | $417.0M |
| Non-Operating Income | $-414.0M | $-365.0M |
| Pre-Tax Income | $-123.0M | $115.0M |
| Income Tax | $-40.0M | $56.0M |
| Continuing Ops | $-83.0M | $59.0M |
| Discontinued Ops | $0 | $0 |
| Net Income | $-83.0M | $59.0M |
| Minority Interest | $-1.0M | $-7.0M |
| Net to Common | $-82.0M | $66.0M |
| Metric | 2024 | 2025 |
|---|---|---|
| Current Assets | $3.08B | $3.11B |
| Cash & Equivalents | $452.0M | $437.0M |
| Prepaid Expenses | $231.0M | $197.0M |
| Other Current Assets | $2.40B | $2.48B |
| Long-Term Assets | $8.89B | $8.35B |
| Goodwill | $5.56B | $5.70B |
| Operating Leases | $250.0M | $211.0M |
| Other LT Assets | $2.96B | $2.24B |
| Total Assets | $11.97B | $11.46B |
| Current Liabilities | $1.97B | $2.35B |
| Accounts Payable | $764.0M | $892.0M |
| Current Debt | $36.0M | $42.0M |
| Current Leases | $67.0M | $67.0M |
| Deferred Revenue | $113.0M | $227.0M |
| Taxes Payable | $17.0M | $13.0M |
| Other Current Liab | $968.0M | $1.11B |
| Long-Term Liabilities | $5.46B | $4.49B |
| Long-Term Debt | $4.64B | $3.90B |
| LT Operating Leases | $193.0M | $157.0M |
| Other LT Liab | $621.0M | $428.0M |
| Total Liabilities | $7.42B | $6.84B |
| Shareholders' Equity | $4.55B | $4.62B |
| Paid-In Capital | $4.96B | $4.92B |
| Retained Earnings | $-527.0M | $-461.0M |
| AOCI | $23.0M | $40.0M |
| Total L&E | $11.97B | $11.46B |
| Metric | 2024 | 2025 |
|---|---|---|
| Net Income (CFO) | $-83.0M | $59.0M |
| Non-Cash Adjustments | $252.0M | $419.0M |
| Working Capital Changes | $-122.0M | $65.0M |
| Cash from Operations | $47.0M | $543.0M |
| Capital Expenditures | $11.0M | $27.0M |
| Cash from Investing | $475.0M | $228.0M |
| Cash from Financing | $-382.0M | $-790.0M |
| FX Effect | $7.0M | $4.0M |
| Net Change in Cash | $147.0M | $-15.0M |
| Beginning Cash | $305.0M | $452.0M |
| Ending Cash | $452.0M | $437.0M |
The company's revenue is derived from three primary segments: Aircraft Structures (manufacturing fuselage, wing, and floor sections), Power Systems (engines, generators, and propulsion systems), and Avionics & Mission Systems (radar, navigation, and communication electronics).
Significant concentration of revenue from government defense contracts creates vulnerability to budget cuts and legislative changes. High exposure to raw material price volatility, particularly aluminum and rare earth metals used in structures and engines. Supply chain disruptions affecting the availability of specialized components could delay production schedules. Regulatory shifts in aerospace safety standards or environmental compliance could increase operating costs.
Amentum leverages a unique 'rapid response' manufacturing network that allows it to produce custom structures at low fixed costs with minimal inventory risk. The company also holds deep proprietary engineering expertise in complex composite materials and advanced power generation technologies that are difficult for competitors to replicate quickly.
Not financial advice. All content is for informational purposes only. Data may contain errors. Consult a qualified financial advisor before making investment decisions.