Elbit Systems Reports Q2 2025 Financial Results: Revenue Up 21% to $2.0 Billion, Order Backlog at $23.8 Billion.

Elbit Systems reported Q2 2025 financial results with revenues of $2.0 billion, a 21% increase YoY. The company had a GAAP net income of $125.7 million and non-GAAP net income of $151.0 million. Earnings per share also rose to $2.69 GAAP and $3.23 non-GAAP. The robust order backlog of $23.8 billion highlights strong demand for Elbit Systems' products and solutions. The company remains optimistic about future growth, citing sustained demand and strategic investments.

Elbit Systems Ltd. (ESLT) has released its Q2 2025 financial results, showcasing robust growth and a significant order backlog. The company reported revenues of $2.0 billion, marking a 21% year-over-year (YoY) increase. GAAP net income for the quarter reached $125.7 million, while non-GAAP net income was $151.0 million. Earnings per share (EPS) rose to $2.69 on a GAAP basis and $3.23 non-GAAP. The order backlog stood at $23.8 billion, highlighting strong demand for Elbit Systems' products and solutions.

The company's strong performance was driven by increased demand for its defense technologies worldwide. Revenues from aerospace, primarily due to sales of Precision Guided Munitions (PGM) in Israel and Asia Pacific, and Unmanned Aerial Systems (UAS) in Europe, increased by 12%. Command, Control, Communications, Computers, Cyber (C4I) and Cyber systems revenues grew by 21%, while Intelligence, Surveillance, Target Acquisition, and Reconnaissance (ISTAR) and Electronic Warfare (EW) revenues increased by 15%.

Elbit Systems' order backlog, as of June 30, 2025, stood at $23.8 billion, with approximately 68% of the backlog coming from outside Israel. This backlog represents a significant portion of the company's future growth potential, with 46% of the orders scheduled to be executed in the remainder of 2025 and 2026.

The company's cash flow from operating activities in the first half of 2025 was $304.0 million, a substantial increase from the $26.0 million reported in the same period last year. Elbit Systems remains optimistic about future growth, citing sustained demand and strategic investments.

Elbit Systems' strong historical performance and analyst optimism suggest that investors may have high expectations for the upcoming earnings report. The company's stock has seen increased institutional investment, with notable increases from firms like Deutsche Bank AG and Charles Schwab Investment Management [3]. Analysts have set new price targets for ESLT, with Wall Street Zen upgrading the stock to a "strong-buy" rating and Bank of America initiating coverage with a "buy" rating and a $500.00 target price [2].

Elbit Systems' growing backlog and strong financial performance position the company for continued growth. The company's focus on innovation and strategic acquisitions remains central to its growth strategy. Historically, Elbit has made value-creating acquisitions to acquire technologies and market positions, including ELOP (2000), ELISRA (2005), SOLTAM (2010), IMI (2015), and more recently HNV (2020).

As global defense spending continues to rise in response to geopolitical tensions, Elbit Systems appears well-positioned to capitalize on these market trends through its comprehensive product portfolio and established global presence.

References:
[1] https://www.gurufocus.com/news/3055376/what-to-expect-from-elbit-systems-ltd-xtaeeslt-q2-2025-earnings
[2] https://www.marketbeat.com/instant-alerts/elbit-systems-eslt-expected-to-announce-earnings-on-wednesday-2025-08-06/
[3] https://www.marketbeat.com/instant-alerts/filing-yd-more-investments-ltd-acquires-2541-shares-of-elbit-systems-ltd-nasdaqeslt-2025-08-07/