MRCY FY 2016 Earnings Report — Mercury Systems, Inc. Revenue & Financial Results | Market Cap Arena

Mercury Systems, Inc.MRCY

FY 2016 Earnings

Reported August 16, 2016

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Free Cash Flow

Metric	FY 2016	Prior Q	FY 2015	QoQ Change	YoY Change
Revenue	$270M	—	$235M	—	15.0%
Op. Income	$24M	—	$18M	—	30.6%
Gross Margin	46.2%	—	46.9%	—	-0.7pp
Net Margin	7.3%	—	4.4%	—	2.9pp
EPS (Diluted)	$0.56	—	$0.31	—	80.6%
Free Cash Flow	$29M	—	$26M	—	10.8%

Revenue Flow

Item	Amount
REVENUE	$270M
Cost of Revenue	$145M
GROSS PROFIT	$125M
R&D Expenses	$34M
Selling & Marketing	$0
General & Administrative	$53M
SG&A Expenses	$53M
Other Expenses	$2M
Operating Expenses	$95M
Cost & Expenses	$241M
OPERATING INCOME	$24M
Interest Income	$131.0K
Interest Expense	$1M
Other Income/Expenses	$1M
INCOME BEFORE TAX	$25M
Income Tax Expense	$6M
Net Income from Continuing Ops	$20M
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$20M
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$20M
D&A	$16M
EBIT	$31M
EBITDA	$47M
EPS	$1
EPS Diluted	$1

Income Statement

Item	Amount
REVENUE	$270M
Cost of Revenue	$145M
GROSS PROFIT	$125M
R&D Expenses	$34M
Selling & Marketing	$0
General & Administrative	$53M
SG&A Expenses	$53M
Other Expenses	$2M
Operating Expenses	$95M
Cost & Expenses	$241M
OPERATING INCOME	$24M
Interest Income	$131.0K
Interest Expense	$1M
Other Income/Expenses	$1M
INCOME BEFORE TAX	$25M
Income Tax Expense	$6M
Net Income from Continuing Ops	$20M
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$20M
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$20M
D&A	$16M
EBIT	$31M
EBITDA	$47M
EPS	$1
EPS Diluted	$1

Cash Flow Statement

Item	Amount
Net Income	$20M
Depreciation & Amortization	$16M
Stock-Based Compensation	$10M
Deferred Income Tax	-$3M
Other Non-Cash Items	-$190.0K
Change in Working Capital	-$5M
OPERATING CASH FLOW	$37M
Capital Expenditure	-$8M
Acquisitions (Net)	-$310M
Purchases of Investments	$0
Sales/Maturities of Investments	$0
Other Investing Activities	-$567.0K
NET CASH FROM INVESTING	-$318M
Net Debt Issuance	$195M
Common Stock Repurchased	-$8M
Common Dividends Paid	$0
Other Financing Activities	$5M
NET CASH FROM FINANCING	$285M
FREE CASH FLOW	$29M
Net Change in Cash	$4M

Balance Sheet

Item	Amount
Cash & Equivalents	$82M
Short-Term Investments	$0
Net Receivables	$96M
Inventory	$58M
Other Current Assets	$3M
TOTAL CURRENT ASSETS	$245M
PP&E (Net)	$28M
Goodwill	$344M
Intangible Assets	$117M
Long-Term Investments	-$12M
Tax Assets	$12M
Other Non-Current Assets	$2M
TOTAL NON-CURRENT ASSETS	$491M
TOTAL ASSETS	$736M
Account Payables	$27M
Short-Term Debt	$10M
Deferred Revenue	$7M
Other Current Liabilities	$13M
TOTAL CURRENT LIABILITIES	$68M
Long-Term Debt	$182M
Deferred Revenue NC	$700.0K
Deferred Tax Liabilities	$12M
Other Non-Current Liabilities	$2M
TOTAL NON-CURRENT LIABILITIES	$196M
TOTAL LIABILITIES	$263M
Common Stock	$387.0K
Additional Paid-In Capital	$358M
Retained Earnings	$114M
Treasury Stock	$0
Accum. Other Comp. Income	$947.0K
Other Equity	$0
TOTAL STOCKHOLDERS' EQUITY	$473M
Minority Interest	$0
TOTAL EQUITY	$473M
TOTAL LIABILITIES & EQUITY	$736M
Total Debt	$192M
Net Debt	$111M