VVX

Image source: The Motley Fool. Monday, Aug. 3, 2026 at 8:00 a.m. ET Vice President of Treasury, Investor Relations and Corporate Development - Michael Smith President and Chief Executive Officer - Jeremy Wensinger Senior Vice President and Chief Financial Officer - Shawn Mural Operator: Thank you for joining us for the V2X Second Quarter 2026 Earnings Conference Call and Webcast. Today's call is being recorded. My name is Gary, and I'll be the operator for today's call. [Operator Instructions] And now I'll pass the call over to your host, Mike Smith, Vice President of Treasury, Investor Relations and Corporate Development at V2X. Please go ahead. Michael Smith: Thank you. Good afternoon, everyone. Welcome to the V2X Second Quarter 2026 Earnings Conference Call. Joining us today are Jeremy Wensinger, President and Chief Executive Officer; and Shawn Mural, Senior Vice President and Chief Financial Officer. Slides for today's presentation are available on the Investor Relations section of our website, gov2x.com. Please turn to Slide 2. During today's presentation, management will be making forward-looking statements pursuant to the safe harbor provisions of the federal securities laws. Please review our safe harbor statements in our press release and presentation materials for a description of some of the factors that may cause actual results to differ materially from the results contemplated by these forward-looking statements. The company assumes no obligation to update its forward-looking statements. In addition, in today's remarks, we will refer to certain non-GAAP financial measures because management believes such measures are useful to investors. You can find a reconciliation of these measures to the most comparable measure calculated and presented in accordance with GAAP on our slide presentation and in our earnings release filed with the SEC, both of which are available on the Investor Relations section of our website. At this time, I'd like to turn the call over to Jeremy. Jeremy Wensinger: Thank you, Mike, and good afternoon, everyone. Thank you for joining us today. Please turn to Slide 3. Today, I will be providing a recap of our second quarter results for 2026 and sharing more of our outlook for the rest of the year. Before I go through some of the highlights, I want to thank our team at V2X for their continued focus and dedication to delivering our customers' mission. In the second quarter and first half, our consistent execution, recent contract wins and continued alignment to national security priorities drove double-digit revenue growth. The value of our end-to-end solutions was reinforced by approximately $1 billion in recent awards across modernization, global training, aerospace and mission readiness. These awards are expected to improve the composite margin of our backlog as we continue to prioritize profitable growth. We continue to pursue new bids throughout the quarter, leveraging our AI solutions that deliver differentiated customer outcomes with more than $8 billion in bids submitted that incorporate these solutions, our focus remains on margin accretive opportunities that further enhance the quality of our backlog. Supported by our strong cash generation and healthy balance sheet, we also continue to evaluate growth opportunities to allow us to further our Go Towards Tomorrow's strategy. As we enter the second half of 2026, we are confident in our market position and are increasing our full year guidance for revenue, adjusted EBITDA and adjusted diluted EPS. We expect revenue and adjusted EBITDA to increase approximately 10% year-over-year at the midpoint and adjusted diluted EPS to increase 16% at the midpoint. Our results to date and momentum underway underscores our continued ability to deliver for our customers and shareholders. With that, let's move to Slide 4, which summarizes the financial operating highlights of the second quarter and the first half of 2026. In the second quarter, revenue increased 17% year-over-year to $1.26 billion. Adjusted net income was $51.6 million, representing an increase of 22% year-over-year. Adjusted EBITDA was $89.8 million with a margin of 7.1%. Adjusted diluted EPS was $1.64, representing an increase of 23% compared to the same period last year. Our solid financial and operating performance reflects the progress we've been delivering on our strategic priorities and our position as a leading provider of mission capabilities. Turning now to Slide 5. We have received approximately $1 billion in recent awards, demonstrating the breadth of our portfolio and its close alignment with our customers' priorities. As it relates to modernization, we were selected to provide multiyear production of carriage equipment, enabling next-generation weapons for the strategic bomber fleet. And in global training we captured awards to deliver solutions for enhanced UAS maintenance and operator training. This reflects the sustained demand we are seeing for training solutions that improve readiness and operational effectiveness. With respect to aerospace, we continue to support essential requirements securing a 5-year recompete to continue delivering proven readiness for the U.S. Air Force C-12 fleet. And in mission readiness, we received awards to support operations for U.S. Marine Corps assets and enhanced electronic security capabilities for a foreign military customer in the Middle East. With an aggregate margin that is accretive to our current portfolio, these recent awards reinforce our continued pursuit of high-quality profitable growth opportunities, and our team is focused on disciplined execution. Moreover, it underscores the diversity of our offerings across markets and capabilities. This is a great sample of differentiated, high-value work that our team is pursuing. While we recognize that all our awards will have this margin profile, these awards exemplify the progress we have made in our strategic focus looking towards future opportunities. As an end-to-end mission provider, we are proud of our proven ability to support our customers wherever and however they need. Moving to Slide 6. Our robust backlog, funding and pipeline of high-quality awards support our positioning and outlook for the remainder of this year. Bookings were $600 million in the quarter, yielding a quarterly book-to-bill ratio of 0.5x and a trailing 12-month book-to-bill of 1.4x. I'd like to note that our bookings do not reflect approximately $1 billion in recent awards as they came in shortly after the quarter. Total backlog for the quarter was $12.7 billion which includes the modified scope of our LOGCAP work in Kuwait. Importantly, funded backlog increased 10% sequentially and 8% year-over-year, $2.5 billion. This further supports the confidence we have in our 2026 outlook and demonstrates the strong funding environment for the solutions we provide. We are also continuing to see increased activity and funding in the Asia Pacific region and are optimistic about the growth prospects. Altogether, our diverse portfolio, strong backlog and continued demand position us well to drive value and deliver for our customers over the long-term. Turning to Slide 7. As we highlighted in the first quarter, we continue to advance our Go Towards Tomorrow strategy, including expanding our AI capabilities. We are currently operating 3 AI platforms across our enterprise IT infrastructure. And we see strong adoption across the business. To further employee education, productivity and operational efficiency, we're investing in ongoing training and continuing to expand internal use cases. At the same time, our AI capabilities are embedded into our pursuit of new bids. Last quarter, we introduced early customer-facing applications focused on predictive readiness and operational efficiency. We are expanding our AI opportunities across a wide range of customer solutions, further diversifying our bid portfolio. This is reflected in more than $8 billion of margin accretive, new bids, we recently submitted that include V2X's AI solutions. By investing in AI capabilities that enhance both internal operations and customer solutions, we are strengthening our ability to deliver more efficient, innovative and mission relevant outcomes for our customers while driving more value for our shareholders. I look forward to sharing more on these strategic pursuits in the coming quarter. I will now turn the call over to Shawn for a more detailed review of our financials. Shawn Mural: Thank you, Jeremy, and good afternoon, everyone. Please turn to Slide 8. We reported exceptional second quarter financial performance across the business. Revenue in the second quarter increased 17% year-over-year to $1.257 billion Revenue growth was driven primarily by the ramp-up of training and aerospace programs and continued support for national security activities. Our ability to rapidly scale and support customer requirements by leveraging capabilities, contracts and global presence remains a key differentiator of our business. We are seeing continued demand to support discrete national security activities, which contributed approximately $100 million of revenue in the second quarter. Based on the demand signals from our customers, we currently see these requirements continuing through 2026 and into the early part of 2027. From a geographic perspective, I'd like to note the growth we're seeing in Asia Pacific, which increased 13% year-over-year in the second quarter. As Jeremy discussed, we are seeing a step-up in activities and funding in the region as compared to last year. Our revenue associated with the U.S. also continues to grow, increasing 26% year-over-year driven primarily by new program starts and national security support. As it relates to the Middle East, revenue was up slightly year-over-year, reflecting contributions from foreign military sales. For the year, we expect revenue in the region to be flat to down as support for logistics-related contracts shift within the region. Overall, we are well positioned with differentiated solutions across multiple geographies. With our diversified portfolio, global presence and operational excellence, we have the flexibility necessary to ramp our presence to adjust to our customers' needs in real time. For example, we are ramping up to support additional activities in Israel as well as national security requirements in the U.S. while responding to evolving customer requirements in Kuwait. This demonstrates our strategy in action, supporting critical mission requirements across multiple fronts and meeting our customers wherever they are. We are proud of our team's accomplishments in the second quarter, which reflect our ability to deliver integrated solutions across geographies by leveraging capabilities, technology past performance and access to the right contracts. Turning back to our performance for the quarter. Adjusted EBITDA in the quarter was $89.8 million, increasing 9% from the same period in the prior year. Adjusted EBITDA margin was 7.1%. Interest expense in the second quarter was $16.7 million. Cash interest expense was $15.1 million, reflecting a 21% improvement year-over-year. Net income for the quarter was $25.5 million. Adjusted net income was $51.6 million, up 22% year-over-year. Second quarter diluted EPS was $0.81 based on 31.5 million weighted average shares. Adjusted diluted EPS in the quarter increased approximately 23% year-over-year to $1.64. Adjusted operating cash flow improved 23% year-over-year and was $71.8 million in the quarter. Please turn to Slide 9, where I'll discuss our year-to-date results. Year-to-date revenue was $2.511 billion, up 20% year-over-year, driven by new programs and on-contract growth. This growth was partially offset by lower volume on certain logistics programs. Adjusted EBITDA for the first half of the year was $175.4 million, increasing approximately 17% year-over-year with a margin of 7%. The interest expense through June was $34.8 million. Cash interest expense was $31.6 million, improving approximately 15% compared to the first half of 2025. Year-to-date net income was $44.5 million. Adjusted net income was $99.7 million increasing 35% year-over-year. Diluted EPS in the first half was $1.41. Adjusted diluted EPS was $3.16, up 37% compared to prior year. Year-to-date, net cash used by operating activities was $108.4 million. Adjusted net cash from operating activities was $49.7 million, reflecting a $109.5 million year-over-year improvement. As discussed last quarter, we expected our cash flow in the first half of 2026 to track more favorably relative to our historical profile, and our first half results demonstrate that performance. Please turn to Slide 10, where I will further discuss our cash flow profile and strengthening balance sheet. The ability to generate significant durable cash flow with low CapEx remains a hallmark of our business and this quarter was no exception. Our capital expenditure requirements remain disciplined, averaging approximately 0.4% of revenue over the past 3 years. The positive cash flow attributes of our business are evident in the balance sheet with a net debt improving approximately $71.4 million year-over-year. The progress we've made strengthening the financial and operational aspects of the business presented us with the opportunity to reprice our first lien term loan immediately lowering our borrowing costs and creating additional interest savings. This progress was also acknowledged by Moody's, which recently revised its credit ratings outlook to positive. Putting it all together, we expect 2026 to be a year of solid adjusted operating cash flow generation, which we anticipate will drive our net leverage ratio to approximately 2x or below by the end of 2026. Please turn to Slide 11, where I'll discuss how the combination of high operating cash flow and low CapEx combined with our focused capital allocation strategy, creates significant flexibility to pursue growth and value-creating opportunities. Looking ahead, our capital allocation strategy remains unchanged. We are focused on: one, generating strong predictable cash flow and targeting at or above 100% adjusted net income conversion on average over time; two, maintaining a low CapEx profile and three, strategically deploying capital to pursue growth and margin expansion via organic and inorganic opportunities. As it relates to margin accretive M&A, our focus is on opportunities that reinforce our value proposition and expand our capabilities, customer access and domains. We continue to prioritize M&A that is strategically complementary to our business and the missions we support today, some of which are represented on the slide. From an organic growth perspective, we will continue to invest in our innovation strategy, which includes deploying internal R&D to support opportunities we are seeing in engineering and modernization. Key recent success here was the carriage equipment production award for the strategic bomber fleet, which went from a development program to full rate production expected to continue for years until the fleet is built out. Additionally, and as Jeremy discussed, we will continue to invest in AI to advance business processes, customer solutions and profitability. We believe that in aggregate, these investments strengthen our ability to generate recurring cash flow and further compound the growth and value creation flywheel. Overall, we have established clear criteria as we actively evaluate opportunities to invest for growth and value. Please turn to Slide 12. We are pleased with our performance through the second quarter as our team continued to bring the best of V2X to meet our customers' critical mission requirements. Given our momentum and current trends, we are increasing our guidance ranges for revenue, adjusted EBITDA and adjusted diluted EPS. Revenue is now expected to be between $4.875 billion and $5.025 billion. Adjusted EBITDA is expected to be between $347.5 million and $362.5 million. Adjusted diluted earnings per share is expected to be between $5.90 and $6.30. Adjusted net cash from operating activities is expected to be between $160 million and $180 million. With that, I'll turn the call back over to Jeremy for some closing remarks. Jeremy Wensinger: As outlined on Slide 13, we have a solid momentum heading into the second half of the year. We continue to innovate and expand our capabilities across the enterprise, making V2X a stronger, more integral national security partner. As we advance our Go Towards Tomorrow's strategy, I want to again recognize the dedication and talent of our global team. Their continued hard work and commitment to our company and our customers' mission, drive our success. Their unwavering focus is what allows us to pursue growth opportunities and support the critical missions of tomorrow. With that, I'll open it up to questions. Operator: [Operator Instructions] The first question today is from John Siegmann with Stifel. Jonathan Siegmann: So nice news about that recompete you won on the C-12. You had talked about previously how this year was light for recompetes. Do you mind taking a forward look at 2027. Is there anything to think about as potential things that we should be tracking I'd appreciate it. Jeremy Wensinger: I mean, John, we don't talk specifically about programs. What I've been saying from the better part of the 18 months is we're in a nice recompete holiday. And that recompete holiday, even though we had C-12 come at us, we're thrilled with the outcome there. Obviously, we'll have other recompetes that we'll pursue in the same vein. But if you look at the majority of the capital allocation for our new business, it's on growth. And it's on new business that is not in the portfolio today. And I think that's why you're seeing not only on the win rates, but also on our ability to drive top line growth. Those investment dollars, the strategy we've put in place are all benefiting us as it stands right now. But again, we're highly focused on recompetes. I'm thrilled with our recompete win rate. But again, we don't talk about specifics. But we benefited from the fact that we've had a smaller portfolio, the part of the portfolio in the recompete world, which has enabled us to spend the money we have on new growth. Jonathan Siegmann: Great. And then maybe just given the level of tempo for the war fighters, it's pretty high in the last couple of months, is there any way to think about what that's meant for your business and how that may or may not taper off in the months ahead. Jeremy Wensinger: No. I think because it's a global business, we respond on a global basis. And so we are very able to spin up and spin down capabilities within a region or on a global basis. I think that's the advantage of the portfolio. Regardless of where we're at, we're enabling our customers to deliver their mission. And I think that serves well for the portfolio and also for our customers. One thing I will say is that item in the Middle East, I am so proud of our team. They stood shoulder to shoulder with our customer and continue to do so. And it's a testament to the leadership, but it's also a testament to the people in that region that they deliver on their mission every day and unwaveringly, -- and so my heart goes out to them and everything they do because they have done everything that the customer has asked. And I'm just so very proud of them. Operator: The next question is from Trevor Walsh with Citizens. Trevor Walsh: Jeremy, maybe for you, just piggybacking a little bit off the win rate. Can you just give us a sense of -- for that new business? It sounds like you -- both in the few -- the $1 billion or so that you've won across several opportunities and then the $8 billion plus that you've just submitted in pipeline. How are you just -- how are you assessing the win rates there in terms of what you're expecting? I guess is that -- is it by nature of what you're actually bidding for? Do you feel like you have maybe better chances than what V2X may have had in the past? Maybe just give a sense of how you -- just how the team is just sort of seeing what the prospects are for kind of the things that you've submitted and kind of what your chances are there. Jeremy Wensinger: It's a really good question, and that's why I spent so much time on the call talking about what Greg Lundy is doing with -- as our CTO doing to help us create differentiation with AI. I look at what we're doing in terms of the bid submittal. Now look, there's a very rigid process to get something to the point where you submit a bid, and it's a very disciplined process because we wouldn't bid something if we didn't feel like we had a better than most chance of winning it. But I do appreciate what the team has done to put us in a position to put things on the table that are compelling to the customer. And I think that they are seeing that. And so when I look at what we have on the table, I view that as one, differentiated solution, great customer intimacy and also the ability for us to look at the requirements from what we do on a global basis and meet their needs. Trevor Walsh: Fantastic. Appreciate it. Shawn, maybe just a quick follow-up for you. Around your comments for Middle East revenues being flat to maybe even down for the year. Do you -- obviously, I don't like to have a crystal ball and a lot of moving kind of moving dynamics there as far as conflict of Iran, et cetera. But any just thoughts as far as the way you've got the guidance now kind of set up for the back half of the year, whether things that could move in the Middle East are pretty much more to the upside? Or could there be any surprises kind of more on the negative? Or do you think most of kind of the, I guess, the disruption has been watched out of the system for the most part, and you guys are sort of kind of know at least what's happening there. Again, as much as you can understand what's going on in a pretty dynamic environment. Shawn Mural: Perfect. Yes. Thanks, Trevor. I appreciate that. Let me give you some context. I'll start with, as we sit here today, 98% of our revenue for the total year is in backlog. That's a testament to exactly what Jeremy was saying before with having the right strategy, the right contracts, the right capabilities around the globe consistently. And so this team does a remarkable job of doing that, and that's what we would say is our strategy in action. Relative to the Middle East and in the assumptions, we do have the activity that we were performing in Kuwait significantly contracting in the second half of the year. That's baked into the guide that we issued today. That's down probably about $150 million sequentially from what it did in the first half of the year. There's a ramp on some other activities there that we know of today, but I'll say that they're modest, Trevor. And so you exactly know that it's dynamic to say the least. Our teams respond in a timely manner. But as we see things today, those are hence the comments that you saw flat to perhaps down in light of activities in that region. But it can change very quickly, and you saw that happen since the last time we talked at the end of Q1 versus today. Jeremy Wensinger: I just would add to that, as we look at Kuwait, I think when I think about regional stuff, I think the diversity of the portfolio is really important to understand. As we look at Kuwait, look at Israel, an award we announced, right? And so as that spools up, we'll continue to look at how we can support the customer in Kuwait. But again, I think the diversity of the portfolio and our ability to be present in region or present, as Shawn said, with contracts that are accessible is what differentiates us from many other companies. Operator: Next question is from Tobey Sommer with Truist. Tobey Sommer: I was wondering if you could speak to the M&A market, what you're seeing out in the market for opportunities for acquisitions and whether you had any call-outs of professional fees in the quarter as you're looking for opportunities. Jeremy Wensinger: No, it's a good question. I think I've said in previous quarters, we have a capital allocation strategy that we've talked about before. In terms of the market and what we continue to have the opportunity to look at opportunities that would augment either platform modernization, counter UAS, space domain awareness, electronic warfare, integrated air and missile defense, C6ISR, all those things that we do today and would augment the overall portfolio. And so we're very disciplined in the way we look at things. And I think that has bode very well for us. But again, I think as we look at the market, it is really -- it has to fit within the strategy for which we put forward. So I think that disciplined approach has proven well served for us. But again, when someone comes to the market or it doesn't come to the market, I don't get to make that call. But again, I think the capital allocation strategy and being patient is probably the best thing that I would say that we have to date. Tobey Sommer: And were there any notable investments to pursue acquisitions in the quarter or nothing to call out like in 1Q? Shawn Mural: Yes. I'd say, Tobey, there was a modest amount of spend in the quarter, down from what we had spent previously. I'll amplify what Jeremy said, listen, we won't comment on any specifics about any M&A activities, as you would expect. But we do have a solid pipeline, and the team goes through a disciplined approach, just as Jeremy said, to evaluate those opportunities. Tobey Sommer: Great. And then if I could, on your recent wins that are coming at a higher margin and you say the bid pipeline, superior margin as well. How would you characterize that and sort of define it? Is it the contract type is varying favoring higher-margin forms like fixed price or time of materials? How would you sort of break that down and provide us a basis for understanding it further? Jeremy Wensinger: I think it comes down to -- I don't think it's a contract type issue as much as I think it is -- we have really looked at what we do for living and use differentiation to create separation between us and maybe others. And like I said, whether it's the AI tool or whether it's past performance or whether it's the readiness rate that we provide, I think those things are things that the customer is recognizing and recognize the fact that, that differentiation gives them better mission outcomes. And so that has been an opportunity for us to work with them to give them what they want and where they want it and when they want it. And so I'm excited about this strategy coming together and actually starting to see benefits of it for lack of a better term. Operator: The next question is from Peter Arment with Baird. Peter Arment: Jeremy, Shawn, Mike, nice results. Jeremy, 98% already in backlog. So a CR to you, I guess, is more noise. But maybe you could just describe what you kind of baked in or assumed for kind of the budget process. Jeremy Wensinger: Yes, it's a good question. I think where we sit, Peter, obviously, CRs always can potentially impact it. But even in the last CR, most of what we do in terms of the world in terms of readiness, those tend to be mission-critical environments. And so that doesn't tend to impact us that much. We went through the last CR and it was a rather protracted CR, we were really not impacted by it. You have to still keep aircraft in the air. I still need to do the things we're doing. I still need to deliver on the production programs that we have. These are all time-based programs. So again, I really didn't see much of an impact. Look, do I hope that they cannot go through a continuing resolution. But again, I don't think the type of work we do is really at risk a lot of times in that unless something happens that we can't foresee. Peter Arment: Got it. That's good color. And then regarding the T-6 program, could you just give us an update there, how the second half ramp is scheduled to go. Shawn Mural: Sure. Peter, so program is off doing exactly what it should be doing. I'll give a little bit of color and provide some numbers around it roughly. So it delivered -- the program delivered about $40 million of revenue in the first half of the year and consistent with what we've said previously and the program is tracking exactly that, we expect it to be about $100 million in the second half of the year. So right in that range of what we said when we established the guide. Team is doing an exceptional job. It's ramped exactly as expected. We have regular program check-ins with the team and very happy with the progress the team has made. Operator: Next question is from Joe Gomes with Noble Capital. Joseph Gomes: Can you either from a high level kind of break down the recent revenue growth into new program wins, expansion on existing contracts and maybe higher volume on recompetes? Shawn Mural: Yes, sure. So I think the growth, at least on a year-to-date basis is existing contracts and contract vehicles that the company has had. So I'll go back to the strategy that we talked about previously, the right contracts, the right capabilities around the globe. And so a significant driver in our growth in the first half and for the total year will be the support for the national security mission that we talked about previously. And that's an activity set that we've had. It's at a much higher ops tempo than it was. And that's the largest set of activities contributing to growth beyond what we had in last year, meaning from a material standpoint, Joe. I would say the program -- the other programs around the globe that we ramped at the beginning of the year include our activities in the Middle East and Balad as well as WTRS, and those programs are performing exactly as we would have thought. So that's really the, I'll say, a significant contributor, Joe, but not necessarily distinguish new wins or something like that as part of what the core capability has been. Jeremy Wensinger: I don't -- I think sometimes people underestimate having the right contract vehicle and you being in the right location yields growth. And I think the team does -- I mean, university does an exceptional job at new requirements being added to an existing program or new requirements being added to a vehicle. The team does a great job at that. And again, we'll get our -- we'll do a T-6 win, we'll do a Balad win, we'll do an Israeli win, all that. But I will tell you, on a global basis, this team does an exceptional job of being available to deliver mission outcomes for the customer in a timely way just because of the presence and the contract vehicles that we have. Joseph Gomes: Okay. And then, Jeremy, maybe you've got a lot of wins here, a lot of high-profile large wins. But if you look at the recent awards, -- which one do you view as most strategically important rather than simply just the largest 1 going forward for the company? Jeremy Wensinger: It's interesting because I kind of think they fall in 2 buckets. One, I think each falls in the bucket of a proof of strategy. But I also think the bomber fleet, having a large production program that came out of like Shawn said in his, where it was a development item and moving that into a long-term production program for a strategic program, I think, again, demonstrates not only the engineering prowess, but also the ability to move something from design all the way through into production, and that is a production run that kind of goes for a long-term. So I'm pretty excited about that. I'm excited candidly about a lot of the programs that are kind of tailing that, that have similar characteristics. Joseph Gomes: Okay. And then, Shawn, just one real quick one here. I'm trying to find my notes here. But on the guide, you're guiding the revenue up roughly about $50 million and then adjusted EBITDA only up by about $2.5 million, would you be below that kind of first half 7% margin? And just maybe you could talk a little bit as to what is causing the lower projected margin on the guide for the second half of the year. Shawn Mural: Yes. Just some modest mix changes, nothing more than that, Joe, based on how we see it. I'll say the guide contemplates about 49% of the adjusted EBITDA in the first half. 51% in the second half. So that will imply, in fact, a higher margin contribution in the second half of the year versus the first half, consistent with the profile that we have seen. And those are productivity improvements that we tend to see in the back half of the year, contract actions, that sort of stuff. So there is a margin expansion in the back half of the year, consistent with what we've seen and delivered previously. Operator: Next question is from Andre Madrid with BTIG. Edward Morgan: This is actually Ned Morgan on for Andre. You guys highlighted recent awards are carrying margins above the current company average. I guess how should we think about these high-quality awards impacting margins and when we can see the accretion? Jeremy Wensinger: Well, okay. Great question because as we've talked before, you got to -- we're bleeding off backlog. And as we add new backlog to the portfolio on an accretive basis, it will work its way into the overall margin profile. But again -- and again, these are programs that will start relatively immediately like C-12, where there was a recompete. So I think when I look at it, it will be a progression as we continue to execute this strategy. And as we win new work and add accretive margins to the portfolio, it will work its way through. But again, these programs that we have in backlog, those were long-lived assets. And as we work them down and we replace them with new wins or recompete, the overall strategy is to continue to look at margin expansion. Shawn Mural: These awards that are not in backlog today, important to note that we highlighted because they occurred post Q2. They'll be booked in the third quarter, and they are multiyear, I think, 5-year type programs. So it will -- you will see incremental improvements, of course, but they'll be modest when you think about where the -- what those contributions would be on an annual basis. Edward Morgan: Okay. And then could you guys just discuss the opportunity you're seeing in Asia Pacific today? Where is demand the strongest? And how could we think about that region becoming a more meaningful contributor to growth over the next couple of years? Jeremy Wensinger: Yes. Thank you. We continue to pursue -- we consider that to be our backyard. And so we are continuing to pursue not just the organic side of new business, but also with the contract vehicles we have in region, looking how we can support the customer to deliver on their mission requirements. So we're highly focused on INDOPACOM. And I think the team does very well, very well on-contract growth. But also, I think on the new business front, the team is doing well to look at opportunities to take advantage of what we do as a core company to deliver on mission requirements for our customer in that region. Shawn Mural: Really happy with -- we delivered 13% growth year-over-year in the quarter and seeing strong demand signals with our incumbency, as Jeremy mentioned, in several of the places and putting in proposals, white papers, that sort of stuff. So clearly, strong demand signals. Now we'll have to see that turn into funded activities. That hasn't happened yet. but very strong performance in the second quarter, and we think the prospects are very good for that region at large. Operator: Next question is from John Godin with Citi. Jeremy Jason: This is Jeremy Jason on for John Godin. Congrats on the quarter. Just going back to Joe's question, I was kind of wondering if you could dive a bit deeper into the main sources of upside to the new guide on the back of what looks like already pretty solid business momentum. Shawn Mural: Yes. I think let me give you the assumptions that go into the guide, and I'll use the same categories that we've used previously to paint that picture a bit. So I mentioned the assumptions about Kuwait. The first half of the year, Kuwait activities delivered approximately $180 million in revenue. In the second half, we see that as $20 million to $30 million in revenue. So very modest. Think of that as a, call it, $150-ish million type headwind. Our national security support missions in the first half of the year delivered about $200 million in revenue. You see that spiked out specifically in the T&M line. And then in the second half of the year, we see it being slightly less, probably about $180 million. And then the ramp on T6, I mentioned that it delivered about $40 million in the first half, ramping to approximately $100 million in the second half. So that's about $60 million incremental. So when we think about what the growth is, those are major programs. To highlight a couple of the others that are performing exactly as expected. We had our support with Balad in Iraq, and we have our support with WTRS that are performing very much in line with plan. So those are some of the assumptions that are in there. At the midpoint of the guide, 51% of the revenue in the first half, about 49% in the second half. And you can see that based on the walk that I just gave you and the assumptions that we have around Kuwait specifically, if that helps. Jeremy Jason: Got you. No, that's really helpful. And then as a follow-up, just kind of wanted to go pick your brain on your thought process behind if we could -- let's expect with a potential blue wave, how are we thinking about midterms and what you'd like investors to think about on that front? Jeremy Wensinger: Yes. I don't really have much to say about what happens on Capitol Hill in terms of who's elected, who's not elected. I just -- I view what we do as mission-critical. I don't think the strategy is going to change that you need readiness around the globe. I think it's an imperative for the U.S. national security. And so I like being in the space of making sure that national security is in a position to deliver the readiness that is required. So with regards to the blue wave, that's not something that keeps me up as much as it does what we do, how we do it and making sure we do it in an excellent way for the -- for our customers. Operator: The next question is from Greg Parrish with Morgan Stanley. Gregory Parrish: Congrats on the results. I want to ask about the national security customer. I appreciate the color you gave, Shawn, about demand signals through the end of the year and then early next year. But maybe just like zooming out, is there potential for this pace to continue? Or is the work more onetime in nature? Shawn Mural: Yes. It's certainly evolved, right? And so I think that speaks to the capability that the team has and what we're able to provide that customer. And so that ops tempo has continued. We do see capability being delivered into, call it, the first part of 2027 today. As I'm sure everyone can appreciate, it's dynamic and evolving. And so hence, that's why I wanted to walk you through the assumptions that we've got today. And we remain ready to support that customer as those needs evolve. But clearly, given the volume that we're seeing, that speaks to the capability that the company is able to offer this particular customer to deliver that mission. Gregory Parrish: Yes. Great. Okay. I appreciate that color. And then I wanted to ask about AI, and thank you for this AI slide. I think it's sort of a great way to frame what you're doing. Maybe it's kind of -- you called out AI built into some of the bids that you're putting out there, fantastic opportunity. Maybe could you just give us some flavor and maybe some examples of what those AI capabilities that are built into these bids look like? Jeremy Wensinger: I think its twofold on the AI. One is using it internally as a proof point to increase operational effectiveness. And then two, it is in the bids. We've announced partnerships in the past. Those -- they're great partners. They have worked with us to enable our customer to see increased readiness rates, better training platforms, more predictive analytics, things like that, that I think increase readiness rates and overall mission performance. And I think that has been a proof point that we have seen most recently with many of our bids, but I've also seen it internally, the use of some of these tools internally to increase overall operational effectiveness. So I'm excited about what our CIO, Mike Uster is doing. I'm excited about what our CTO, Greg Lundy, is doing. These guys are delivering on this commitment, and it's manifesting itself not only in bids, but also in internal operations. Operator: The next question is from Ken Herbert with RBC. Kenneth Herbert: Again congrats on the nice quarter. Maybe, Shawn, your guidance implies about 3% growth in the second half, and I know you're facing some more challenging comps than you were in the first half. And I appreciate all the detail you just went through on the programmatic basis here. I'm just trying to get a sense as to the bookings outlook in the quarter and where maybe could we see some conservatism in the assumptions for the second half of the year? Shawn Mural: Yes. Great question, Ken. So the bookings for the year because there's always some timing of things, right? You heard us talk about some awards that happened after the quarter closed. But Jeremy has been very clear. We talk about it in terms of the trailing 12 months. And so we're looking at a book-to-bill for the total year between 1.3x and 1.5x for the total year. There could be some lumpiness to it, which is typical. If we were to play out the high side of the guide, what would be occurring? Well, there could be some change in OPTEMPO in the Middle East from the assumptions that I already laid out that could have demand signals. Similarly, with both T6 and WTRS, those could be things that might play out differently. That's how I think about it today. We think we've got it appropriately bracketed, of course, and wanted to make sure that we convey the most updated information that we know of, feeling very good about 2026 with, like I said before, 98% of the revenue and backlog as we sit here at the midpoint of the year, very strong position to be in. Kenneth Herbert: Yes, that's helpful, Shawn. And you're going to exit this year looks like, give or take, 2x levered. Is the goal as we think beyond this year to continue to push leverage down? Or how should we think about capital allocation post '26, considering where the leverage should be? Jeremy Wensinger: Yes. As I said, I think there was a previous question on it, we have a fairly healthy pipeline of things that we can look at from an M&A standpoint that are consistent with the 6 items I had referenced before to round out the portfolio or enhance the portfolio, create competitive posturing for us. And so we're looking at that. I think we've been clear about capital allocation in the past. But again, as we look at the business, the best thing that we can do is drive shareholder value by using that capital allocation in a way that's going to drive shareholder wealth. Operator: This concludes our question-and-answer session. I would like to turn the conference back over to Jeremy Wensinger for any closing remarks. Jeremy Wensinger: I want to thank everyone for joining today. And I also want to thank my team. They work on it tirelessly on a global basis. And I just -- I can't thank them enough for what they do. But thank you for joining the call. I appreciate the question, and I appreciate you taking time out of your schedule to participate today. Operator: The conference has now concluded. Thank you for attending today's presentation. You may now disconnect. Before you buy stock in V2X, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and V2X wasn’t one of them. The 10 stocks that made the cut are built for long-term growth and could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $399,832!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,374,595!* That performance is why people listen. With a track record of beating the S&P 500 by 4x, Stock Advisor offers a distinct advantage. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built for the long haul. See the 10 stocks » *Stock Advisor returns as of August 10, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. V2X (VVX) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Interested in V2X, Inc.? Here are five stocks we like better. V2X raised its 2026 outlook after second-quarter revenue rose 17% year over year to $1.26 billion. The company now expects $4.875 billion–$5.025 billion in revenue, $347.5 million–$362.5 million in adjusted EBITDA, and adjusted diluted EPS of $5.90–$6.30. The company reported a $12.7 billion backlog and received approximately $1 billion in awards after quarter-end, spanning weapons production, unmanned aircraft training, Air Force fleet readiness, and electronic security. Recent awards are expected to improve portfolio margins. V2X is managing lower expected Kuwait activity while expanding national security, aerospace, training, and international programs. Management is also embedding AI in internal operations and customer bids, while targeting net leverage of approximately 2x or below by the end of 2026. V2X Stock: Defense Underdog Riding a $4.3B Air Force Contract V2X (NYSE:VVX) reported second-quarter 2026 revenue of $1.26 billion, up 17% from a year earlier, as training and aerospace program ramp-ups and national security activity supported growth. The company raised its full-year outlook for revenue, adjusted EBITDA and adjusted diluted earnings per share. Adjusted EBITDA increased 9% year over year to $89.8 million, while adjusted EBITDA margin was 7.1%. Adjusted net income rose 22% to $51.6 million, and adjusted diluted EPS increased 23% to $1.64. Net income for the quarter was $25.5 million, or $0.81 per diluted share. → Lost in Space: Why Aerospace Valuations Are Plummeting Right Now “In the second quarter and first half, our consistent execution, recent contract wins, and continued alignment to national security priorities drove double-digit revenue growth,” President and Chief Executive Officer Jeremy Wensinger said on the company’s earnings call. V2X increased its 2026 revenue forecast to a range of $4.875 billion to $5.025 billion. The company now expects adjusted EBITDA of $347.5 million to $362.5 million and adjusted diluted EPS of $5.90 to $6.30. It maintained expected adjusted net cash from operating activities of $160 million to $180 million. → MarketBeat Week in Review – 07/27- 07/31 At the midpoint of its updated guidance, V2X expects revenue and adjusted EBITDA to rise about 10% year over year, while adjusted diluted EPS is expected to increase 16%, according to Wensinger. For the first half, revenue increased 20% to $2.51 billion, driven by new programs and growth on existing contracts, partially offset by lower volume on certain logistics programs. First-half adjusted EBITDA rose about 17% to $175.4 million, with a 7% margin. Adjusted net income increased 35% to $99.7 million, while adjusted diluted EPS rose 37% to $3.16. → GE HealthCare Stock Climbs on Vital Diagnostics Demand Senior Vice President and Chief Financial Officer Shawn Mural said the company’s guidance assumes a significant reduction in Kuwait activity during the second half. Kuwait activities generated about $180 million in first-half revenue, while the company expects $20 million to $30 million in second-half revenue from those activities. National security support missions generated about $200 million of revenue during the first half, and V2X expects about $180 million in the second half. Mural said the company currently expects these customer requirements to continue through 2026 and into the early part of 2027, though he described the operating environment as dynamic. V2X reported $600 million of quarterly bookings, representing a 0.5x book-to-bill ratio for the quarter and a trailing 12-month book-to-bill ratio of 1.4x. Total backlog stood at $12.7 billion, including the modified scope of the company’s LOGCAP work in Kuwait. Funded backlog rose 10% sequentially and 8% year over year to $2.5 billion. Management noted that bookings did not include about $1 billion of recent awards received shortly after the end of the second quarter. Those awards span modernization, global training, aerospace and mission readiness and are expected to be margin-accretive to the company’s existing portfolio. A multi-year production award for carriage equipment supporting next-generation weapons for the strategic bomber fleet. Training awards for unmanned aircraft system maintenance and operator training. A five-year recompete to support U.S. Air Force C-12 fleet readiness. Work supporting U.S. Marine Corps assets and electronic security capabilities for a foreign military customer in the Middle East. Wensinger said the strategic bomber program had progressed from development into full-rate production and is expected to continue until the fleet is built out. He also described the C-12 recompete as evidence of the company’s strategy and cited the company’s focus on pursuing new work outside its current portfolio. Revenue from the Asia-Pacific region increased 13% year over year in the second quarter, while U.S. revenue rose 26%, primarily due to new program starts and national security support. Middle East revenue was slightly higher year over year due to foreign military sales, though V2X expects full-year revenue in the region to be flat to down as logistics-related support shifts within the region. Mural said the company is ramping additional work in Israel while responding to changing customer needs in Kuwait. Management also cited demand signals in the Asia-Pacific region, though Mural said those signals must still translate into funded activity. V2X said it is operating three artificial intelligence platforms across its enterprise IT infrastructure and is expanding internal AI use cases focused on employee education, productivity and operational efficiency. The company has also introduced customer-facing applications for predictive readiness and operational efficiency. Management said more than $8 billion of recently submitted, margin-accretive bids include V2X AI solutions. Wensinger said the company is using AI both internally and in customer proposals, including for predictive analytics, training platforms and readiness-related applications. “We wouldn’t bid something if we didn’t feel like we had a better-than-most chance of winning it,” Wensinger said, adding that the company seeks to differentiate its offers through technology, customer relationships, global capabilities and past performance. V2X generated $71.8 million in adjusted operating cash flow in the second quarter, a 23% year-over-year improvement. For the first half, adjusted net cash from operating activities was $49.7 million, representing a $109.5 million improvement from the prior-year period. The company said net debt improved by approximately $71.4 million year over year. It also repriced its first-lien term loan to lower borrowing costs, while Moody’s revised its credit ratings outlook to positive. Mural said V2X expects its net leverage ratio to reach approximately 2x or below by the end of 2026. Management said its capital allocation priorities remain generating predictable cash flow, maintaining a low-capital-expenditure profile, investing in organic innovation and evaluating strategically complementary acquisitions. The company said it is assessing M&A opportunities that could expand capabilities and customer access in areas including platform modernization, counter-unmanned aircraft systems, electronic warfare, integrated air and missile defense, and C6ISR. V2X, Inc provides critical mission solutions and support services to defense clients worldwide. It offers a suite of integrated solutions across the operations and logistics, aerospace, training, and technology markets to national security, defense, civilian, and international clients. The company was incorporated in 2014 and is headquartered in Mclean, Virginia. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "V2X Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Revenue growth of 17% in Q2 was primarily driven by the rapid ramp-up of training and aerospace programs alongside sustained demand for national security activities. Management attributes recent contract wins to a 'Go Towards Tomorrow' strategy, which utilizes AI-driven predictive readiness and operational efficiency to create competitive differentiation. The company is successfully navigating a 'recompete holiday,' allowing management to shift capital allocation and internal focus toward high-margin new business growth rather than defensive bidding. Operational performance in the Middle East remains a core driver, with the team maintaining high readiness levels despite dynamic regional shifts and evolving customer requirements. Backlog quality is expected to improve as approximately $1 billion in recent awards carry an aggregate margin profile that is accretive to the current portfolio. The company's ability to rapidly scale and deploy capabilities globally is cited as a key differentiator, enabling V2X to meet urgent national security needs in real-time. Internal AI adoption across three platforms is enhancing organizational productivity and providing a 'proof of strategy' that is now being embedded into over $8 billion of new bids. Full-year 2026 guidance was increased across revenue, adjusted EBITDA, and EPS, reflecting strong momentum and 98% of projected revenue already secured in backlog. Management assumes a significant contraction in Kuwait logistics work during the second half of 2026, projecting a sequential drop from $180 million to approximately $20 million to $30 million. The T-6 program is expected to ramp significantly, contributing approximately $100 million in revenue in the second half compared to $40 million in the first half. National security support missions are projected to remain at a high tempo through 2026 and into early 2027, though management notes these requirements are dynamic and subject to change. Capital allocation will prioritize reaching a net leverage ratio of 2x or below by year-end 2026 while evaluating margin-accretive M&A in domains like electronic warfare and space awareness. V2X successfully repriced its first-lien term loan, immediately lowering borrowing costs and contributing to a 21% year-over-year improvement in cash interest expense. Moody's recently revised the company's credit rating outlook to positive, reflecting improved financial stability and operational execution. The company reported a $109.5 million year-over-year improvement in adjusted net cash from operating activities, driven by disciplined CapEx and favorable timing. A key strategic bomber carriage equipment award transitioned from development to full-rate production, providing a long-term, high-value revenue stream. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management confirmed they are currently in a 'recompete holiday,' which has allowed them to focus investment dollars on new growth and business not currently in the portfolio. While specific 2027 programs were not named, the CEO expressed high confidence in the current recompete win rate and the ability to drive top-line growth through new business. Management has baked a $150 million headwind from Kuwait into the second-half guidance but noted that the diversity of the portfolio allows them to offset this with ramps in Israel and other regions. The CFO emphasized that while the environment is dynamic, the company's global presence and accessible contract vehicles allow them to respond to customer needs in real-time. Higher margins in recent wins are attributed to technical differentiation—such as AI tools and superior readiness rates—rather than just changes in contract types. Management explained that as new, accretive backlog is added and legacy programs bleed off, the overall corporate margin profile is expected to progress upward. Management stated that their work is 'mission-critical' and generally insulated from political shifts or protracted continuing resolutions (CRs). The CEO noted that even during the last long CR, there was no material impact because aircraft must stay in the air and production programs must remain on schedule.

This article first appeared on GuruFocus. Revenue: $1.257 billion in Q2 2026, up 17% year-over-year. Adjusted Net Income: $51.6 million, up 22% year-over-year. Adjusted EBITDA: $89.8 million, with a margin of 7.1%. Adjusted Diluted EPS: $1.64, up 23% year-over-year. Net Income: $25.5 million in Q2 2026. Diluted EPS: $0.81 based on 31.5 million weighted average shares. Adjusted Operating Cash Flow: $71.8 million in Q2, up 23% year-over-year. Bookings: $600 million in the quarter, with a book-to-bill ratio of 0.5 times. Total Backlog: $12.7 billion. Funded Backlog: $2.5 billion, up 10% sequentially and 8% year-over-year. Year-to-Date Revenue: $2.511 billion, up 20% year-over-year. Year-to-Date Adjusted EBITDA: $175.4 million, up 17% year-over-year with a margin of 7%. Year-to-Date Adjusted Net Income: $99.7 million, up 35% year-over-year. Year-to-Date Adjusted Diluted EPS: $3.16, up 37% year-over-year. Year-to-Date Net Cash Used by Operating Activities: $108.4 million; adjusted net cash from operating activities was $49.7 million. Interest Expense: $16.7 million in Q2; cash interest expense was $15.1 million, down 21% year-over-year. Full-Year Revenue Guidance: Increased to $4.875 billion to $5.025 billion. Full-Year Adjusted EBITDA Guidance: Increased to $347.5 million to $362.5 million. Full-Year Adjusted Diluted EPS Guidance: Increased to $5.90 to $6.30. Full-Year Adjusted Net Cash from Operating Activities Guidance: $160 million to $180 million. Warning! GuruFocus has detected 6 Warning Sign with VVX. Is VVX fairly valued? Test your thesis with our free DCF calculator. Release Date: August 03, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. V2X Inc (NYSE:VVX) delivered strong Q2 2026 results with revenue up 17% year-over-year to $1.26 billion, and adjusted diluted EPS up 23% to $1.64. The company secured approximately $1 billion in recent awards across modernization, global training, aerospace, and mission readiness, which are expected to improve the composite margin of its backlog. V2X Inc (NYSE:VVX) is increasing its full-year 2026 guidance for revenue, adjusted EBITDA, and adjusted diluted EPS, reflecting confidence in its market position and momentum. The company's AI solutions are being integrated into over $8 billion in new bids, providing differentiated customer outcomes and supporting margin-accretive growth. V2X Inc (NYSE:VVX) reported strong cash generation, with adjusted operating cash flow up 23% year-over-year in Q2, and net debt improving by $71.4 million year-over-year. The company's funded backlog increased 10% sequentially and 8% year-over-year to $2.5 billion, supporting its 2026 outlook. V2X Inc (NYSE:VVX) successfully repriced its first lien term loan, lowering borrowing costs, and Moody's revised its credit outlook to positive. The company is seeing strong growth in the Asia Pacific region, with revenue up 13% year-over-year in Q2, and expects continued demand. V2X Inc (NYSE:VVX) won a key recompete for the US Air Force C-12 fleet, demonstrating its ability to retain strategic contracts. The company's capital allocation strategy remains focused on generating strong cash flow, low CapEx, and pursuing margin-accretive M&A opportunities. V2X Inc (NYSE:VVX) reported a quarterly book-to-bill ratio of 0.5 times in Q2, which is low, though the trailing 12-month ratio is a healthier 1.4 times. The company's Middle East revenue is expected to be flat to down for the year, with logistics-related contracts shifting within the region. V2X Inc (NYSE:VVX) faces a significant headwind from the Kuwait LOGCAP contract, with revenue expected to decline by approximately $150 million in the second half of 2026. The company's adjusted EBITDA margin was 7.1% in Q2, which is relatively low, and the guidance implies only modest margin expansion in the second half. V2X Inc (NYSE:VVX) noted that the recent awards, while accretive, will have a modest impact on margins in the near term due to their multiyear nature. The company's cash flow from operations was negative on a GAAP basis in the first half of 2026, though adjusted cash flow was positive. V2X Inc (NYSE:VVX) faces potential risks from continuing resolutions (CRs) in the US budget process, which could impact funding for some programs. The company's growth is partly dependent on national security support missions, which are dynamic and could taper off after early 2027. V2X Inc (NYSE:VVX) is seeing increased competition and must maintain high win rates on new bids to sustain growth, which is not guaranteed. The company's M&A pipeline is active, but it remains disciplined, which could limit near-term inorganic growth opportunities. Q: Can you provide a forward look at 2027 recompetes, given this year was light?A: Jeremy Wensinger (CEO) stated that while the company is in a "recompete holiday," they do not discuss specific programs. The majority of capital allocation for new business is focused on growth and new opportunities not currently in the portfolio, which is driving top-line growth and win rates. The company remains highly focused on recompetes and is thrilled with its recompete win rate. Q: How should we think about the revenue growth breakdown between new program wins, expansion on existing contracts, and higher volume on recompetes?A: Shawn Mural (CFO) explained that the growth is primarily driven by existing contracts and contract vehicles, particularly the support for national security missions, which is at a much higher ops tempo. Other contributors include ramped-up activities in the Middle East, Vlad, and WTRS programs. Jeremy Wensinger added that having the right contract vehicles and location yields growth, and the team excels at adding new requirements to existing programs. Q: What are the main sources of upside to the new guidance, and what are the key assumptions?A: Shawn Mural (CFO) detailed the assumptions: Kuwait activities are expected to decline from ~$180 million in H1 to $20-30 million in H2 (a ~$150 million headwind). National security support missions are expected to be ~$180 million in H2, slightly down from ~$200 million in H1. The T-6 program is ramping from ~$40 million in H1 to ~$100 million in H2. The guidance implies 51% of revenue in H1 and 49% in H2. Q: Can you provide an update on the T-6 program and its second-half ramp?A: Shawn Mural (CFO) confirmed the program is performing as expected, delivering ~$40 million in revenue in H1 and expected to deliver ~$100 million in H2. The team is executing well, with regular program check-ins and progress tracking exactly as planned. Q: How should we think about the margin accretion from recent high-quality awards, and when will it impact results?A: Jeremy Wensinger (CEO) explained that as lower-margin backlog is bled off and replaced with accretive new awards, the overall margin profile will improve progressively. Shawn Mural (CFO) noted that these awards, which occurred post-Q2, will be booked in Q3 and are multiyear (five-year) programs, so the incremental improvements will be modest on an annual basis. Q: What is the outlook for Middle East revenues, and what are the key assumptions?A: Shawn Mural (CFO) stated that 98% of total year revenue is in backlog. The guidance assumes Kuwait activities will significantly contract in H2, down ~$150 million sequentially. Other activities in the region are modest, leading to a flat-to-down expectation for the year. Jeremy Wensinger added that the portfolio's diversity, including new awards in Israel, helps offset regional changes. Q: Can you provide examples of the AI capabilities being embedded into bids and how they differentiate V2X?A: Jeremy Wensinger (CEO) highlighted that AI is used both internally to increase operational effectiveness and in bids to provide customers with increased readiness rates, better training platforms, and predictive analytics. Partnerships with companies like Palantir have enabled these capabilities, which have been a proof point in recent bids and internal operations. Q: What is the company's M&A strategy and what is the current market environment?A: Jeremy Wensinger (CEO) reiterated a disciplined capital allocation strategy focused on opportunities that augment platform modernization, counter-UAS, space domain awareness, electronic warfare, integrated air and missile defense, and ISR. Shawn Mural (CFO) noted modest spend in the quarter, down from previous levels, with a solid pipeline being evaluated through a disciplined approach. Q: How should we think about the potential for the national security support mission to continue beyond 2026?A: Shawn Mural (CFO) stated that the demand signals currently show these requirements continuing through 2026 and into early 2027. The capability is evolving, and the company remains ready to support the customer as needs change, given the strong volume and the team's ability to deliver on the mission. Q: What is the outlook for the Asia Pacific region and its potential contribution to growth?A: Jeremy Wensinger (CEO) described the region as the company's "backyard," with a focus on both organic new business and on-contract growth. Shawn Mural (CFO) reported 13% year-over-year growth in Q2, with strong demand signals and incumbency in several areas, though funded activities have not yet fully materialized. The prospects for the region are considered very good. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Second Quarter Financial Highlights Revenue of $1.26 billion, up 17% year-over-year Net income of $25.5 million; Adjusted net income1 of $51.6 million, up 22% year-over-year Adjusted EBITDA1 of $89.8 million; Adjusted EBITDA1 margin of 7.1% Diluted EPS of $0.81; Adjusted diluted EPS1 of $1.64, up 23% year-over-year Increasing full-year 2026 revenue, adjusted EBITDA1, and adjusted diluted earnings per share1 guidance RESTON, Va., Aug. 3, 2026 /PRNewswire/ -- V2X, Inc. (NYSE:VVX) today announced second quarter 2026 financial results and increased 2026 guidance for revenue, adjusted EBITDA1, and adjusted diluted earnings per share1. "With double-digit top and bottom-line growth, our strong second quarter performance reflects consistent strategic execution, robust demand for our differentiated capabilities and continued alignment to national security priorities," said Jeremy C. Wensinger, President and Chief Executive Officer. "Recent awards across modernization, global training, aerospace and mission readiness reinforce the value of our end-to-end solutions, ability to support global no-fail missions, and pursuit of profitable growth opportunities that increase the value of our backlog. Our solid first-half performance and current backlog position us well as we enter the second half of 2026 and as such are increasing our 2026 outlook for revenue, adjusted EBITDA1 and adjusted EPS1. We remain focused on advancing our Go Towards Tomorrow strategy, prioritizing investments that accelerate innovation across the enterprise and strengthen our competitive solutions, and delivering differentiated value for customers and shareholders." Second Quarter 2026 Results In the second quarter, V2X reported revenue of $1.26 billion, representing 17% year-over-year growth. The Company reported solid topline growth and strong operating performance, yielding double-digit growth in adjusted net income1 and adjusted EPS1. Net income for the quarter was $25.5 million. Adjusted net income1 was $51.6 million, an increase of 22%, year-over-year. Second quarter GAAP diluted EPS was $0.81. Adjusted diluted EPS1 for the quarter increased 23% year-over-year to $1.64. V2X delivered adjusted EBITDA1 of $89.8 million, with a margin1 of 7.1%, representing an increase of 9%, from the prior year. Second quarter net cash provided by operating activities was $21.6 million. Adjusted net cash provided by operating activities1 was $71.8 million. At the end of the second quarter, net debt for V2X was $876.1 million, representing an improvement of $71.4 million year-over-year and a 2.4x net leverage ratio1. The Company expects to achieve a net leverage ratio1 of approximately 2.0x by the end of 2026. As of July 3, 2026, total backlog1 was $12.7 billion and funded backlog1 was $2.5 billion. Book-to-bill1 in the second quarter was approximately 0.5x. Trailing twelve-month book-to-bill1 was approximately 1.4x. 2026 Guidance The Company is increasing its 2026 guidance ranges for revenue, adjusted EBITDA1, and adjusted diluted earnings per share1 as follows: The Company is not providing a quantitative reconciliation with respect to the foregoing forward-looking non-GAAP measures in reliance on the "unreasonable efforts" exception set forth in SEC rules because certain financial information, the probable significance of which cannot be determined, is not available and cannot be reasonably estimated. For example, unusual, one-time, non-ordinary, or non-recurring costs, which relate to M&A, integration and related activities cannot be reasonably estimated. Forward-looking statements are based upon current expectations and are subject to factors that could cause actual results to differ materially from those suggested here, including those factors set forth in the Safe Harbor Statement below. Second Quarter Conference Call Management will conduct a conference call with analysts and investors at 4:30 p.m. ET on Monday, August 3, 2026. U.S.-based participants may dial in to the conference call at 877-300-8521, while international participants may dial 412-317-6026. A live webcast of the conference call as well as an accompanying slide presentation will be available here: https://app.webinar.net/9LeOmbNmDjb A replay of the conference call will be posted on the V2X website shortly after completion of the call and will be available for one year. A telephonic replay will also be available through August 17, 2026, at 844-512-2921 (domestic) or 412-317-6671 (international) with passcode 10210672. Presentation slides that will be used in conjunction with the conference call will also be made available online in advance on the "investors" section of the company's website at https://gov2x.com. V2X recognizes its website as a key channel of distribution to reach public investors and as a means of disclosing material non-public information to comply with its obligations under the U.S. Securities and Exchange Commission ("SEC") Regulation FD. About V2X V2X builds innovative solutions that integrate physical and digital environments by aligning people, actions, and technology. V2X is embedded in all elements of a critical mission's lifecycle to enhance readiness, optimize resource management, and boost security. The company provides innovation spanning national security, defense, civilian, and international markets. With a global team of approximately 16,200 professionals, V2X enables mission success by injecting AI and machine learning capabilities to meet today's toughest challenges across all operational domains. Safe Harbor Statement Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995 (the "Act"): Certain material presented herein includes forward-looking statements intended to qualify for the safe harbor from liability established by the Act. Forward-looking statements generally can be identified by the use of forward-looking terminology such as "may," "will," "expect," "intend," "estimate," "anticipate," "believe," "could," "potential," "continue" or similar terminology. These statements are based on the beliefs and assumptions of the management of the Company based on information currently available to management. Forward-looking statements in this press release, include, but are not limited to our future performance and capabilities; all of the statements and items listed under "2026 Guidance" above and other assumptions contained therein for purposes of such guidance; our belief that prior performance provides substantial visibility for future performance; market trends; product development; capital deployment; future net leverage ratio; and our belief that our innovation strategy, visibility, and targeted growth opportunities provide substantial demand for our services and opportunities for value creation. These forward-looking statements are not guarantees of future performance, conditions, or results, and involve a number of known and unknown risks, uncertainties, assumptions, and other important factors, many of which are outside our management's control, which could cause actual results to differ materially from the results discussed in the forward-looking statements. In addition, forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from the Company's historical experience and our present expectations or projections. For a discussion of some of the risks and uncertainties that could cause actual results to differ from such forward-looking statements, see the risks and other factors detailed from time to time in our Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and other filings with the SEC. We undertake no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law. Key Performance Indicators and Non-GAAP Measures The primary financial performance measures we use to monitor results of operations are revenue and operating income. Management believes that these financial performance measures are the primary drivers for our earnings and net cash from operating activities. Management evaluates its contracts and business performance by focusing on revenue and operating income. Operating income represents revenue less both cost of revenue and selling, general and administrative (SG&A) expenses. Cost of revenue consists of labor, subcontracting costs, materials, and an allocation of indirect costs. SG&A expenses consist of indirect labor costs (including wages and salaries for executives and administrative personnel), bid and proposal expenses and other general and administrative expenses not allocated to cost of revenue. Backlog includes funded amounts (funding is contractually authorized and appropriated by the customer) and unfunded amounts (amounts not currently contractually obligated by the customer, including unexercised options when the exercise of those options is considered probable). Total backlog excludes potential orders under IDIQ contracts and contracts awarded to us that are being protested by competitors with the GAO or in the COFC for which a stop work order has been received by the Company. Bookings includes approved values formally booked into V2X's backlog for new business contract awards including unexercised options, contract modifications, recompetes, contract extensions and add-on work to existing contracts. Book-to-bill is derived by dividing bookings by revenue. We manage the nature and amount of costs at the program level, which forms the basis for estimating our total costs and profitability. This is consistent with our approach for managing our business, which begins with management's assessing the bidding opportunity for each contract and then managing contract profitability throughout the performance period. In addition to the key performance measures discussed above, we consider adjusted net income, adjusted diluted earnings per share, adjusted operating income, adjusted EBITDA, adjusted EBITDA margin, net leverage ratio and adjusted operating cash flow to be useful to management and investors in evaluating our operating performance, and to provide a tool for evaluating our ongoing operations. This information can assist investors in assessing our financial performance and measures our ability to generate capital for deployment among competing strategic alternatives and initiatives. We provide this information to our investors in our earnings releases, presentations, and other disclosures. Adjusted net income, adjusted diluted earnings per share, adjusted EBITDA, adjusted EBITDA margin, net leverage ratio, cash interest expense, net, and adjusted net cash provided by (used in) operating activities, however, are not measures of financial performance under GAAP and should not be considered a substitute for financial measures determined in accordance with GAAP. Definitions and reconciliations of these items are provided below. Adjusted EBITDA is defined as operating income, adjusted to exclude depreciation and amortization of intangible assets, and items that may include, but are not limited to, significant charges or credits, and unusual and infrequent non-operating items that impact current results but are not related to our ongoing operations, such as M&A, integration, and related costs. Adjusted EBITDA margin is defined as adjusted EBITDA divided by revenue. Adjusted net income is defined as net income, adjusted to exclude items that may include, but are not limited to, significant charges or credits, and unusual and infrequent non-operating items that impact current results but are not related to our ongoing operations, such as M&A, integration and related costs, amortization of acquired intangible assets, amortization of debt issuance costs, and loss on extinguishment of debt. Adjusted diluted earnings per share is defined as adjusted net income divided by the weighted average diluted common shares outstanding. Cash interest expense, net is defined as interest expense, net adjusted to exclude amortization of debt issuance costs. Adjusted net cash provided by (used in) operating activities or adjusted operating cash flow is defined as net cash provided by (or used in) operating activities adjusted to exclude non-operating items, such as M&A payments and related costs, and MARPA facility activity. Net leverage ratio is defined as net debt (or total debt less unrestricted cash) divided by trailing twelve-month (TTM) bank EBITDA. Non-GAAP Tables Non-GAAP Tables SUPPLEMENTAL INFORMATION Revenue by contract type, geographic region, contract relationship, and customer for the periods presented below was as follows: View original content to download multimedia:https://www.prnewswire.com/news-releases/v2x-reports-second-quarter-2026-results-302841476.html

V2X (VVX) came out with quarterly earnings of $1.64 per share, beating the Zacks Consensus Estimate of $1.45 per share. This compares to earnings of $1.33 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +13.10%. A quarter ago, it was expected that this government services company would post earnings of $1.18 per share when it actually produced earnings of $1.53, delivering a surprise of +29.66%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. V2X, which belongs to the Zacks Technology Services industry, posted revenues of $1.26 billion for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 4.08%. This compares to year-ago revenues of $1.08 billion. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. V2X shares have added about 65.4% since the beginning of the year versus the S&P 500's gain of 9.4%. While V2X has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for V2X was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.56 on $1.22 billion in revenues for the coming quarter and $6.16 on $4.94 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Technology Services is currently in the bottom 44% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the same industry, Full Truck Alliance Co. Ltd. Sponsored ADR (YMM), has yet to report results for the quarter ended June 2026. This company is expected to post quarterly earnings of $0.19 per share in its upcoming report, which represents a year-over-year change of +5.6%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Full Truck Alliance Co. Ltd. Sponsored ADR's revenues are expected to be $458.67 million, up 1.4% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report V2X, Inc. (VVX) : Free Stock Analysis Report Full Truck Alliance Co. Ltd. Sponsored ADR (YMM) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Marsh & McLennan Companies, Inc. MRSH reported second-quarter 2026 adjusted earnings per share of $2.96, which surpassed the Zacks Consensus Estimate by 2.8%. The bottom line advanced 8.8% year over year. Consolidated revenues of $7.4 billion improved 6.2% year over year. The figure rose 5% on an underlying basis. The top line beat the consensus mark by 2%. The strong quarterly results benefited from solid growth in the Risk and Insurance Services and Consulting units. However, the upside was partially offset by elevated operating expenses, primarily due to increased compensation and benefits. Marsh price-consensus-eps-surprise-chart | Marsh Quote Total operating expenses escalated 7% year over year to $5.5 billion but came in lower than our model estimate of $5.6 billion. The year-over-year rise was due to increased compensation and benefits costs and other operating expenses. Expenses in the Risk and Insurance Services segment rose 5.1% year over year, while the Consulting segment's expenses increased 9.7%. Marsh’s adjusted operating income improved 5% year over year to $2.2 billion. The adjusted operating margin of 29.3% deteriorated 20 basis points year over year. The segment recorded revenues of $4.8 billion in the second quarter, which rose 4% year over year and 3% on an underlying basis. The reported figure beat the Zacks Consensus Estimate by 0.5%. Adjusted operating income advanced 3% year over year to $1.7 billion, which beat the consensus mark by 1.1%. Revenues of Marsh Risk, a unit within the segment, rose 6% year over year and 4% on an underlying basis to $4.1 billion. In the United States/Canada operations, revenues grew 4% on an underlying basis. International operations witnessed revenue growth of 5% year over year on an underlying basis. Among the international operations, Latin America witnessed year-over-year growth of 8% on an underlying basis. Asia Pacific’s and EMEA’s revenues improved 5% each, on an underlying basis. Another unit within the segment, Guy Carpenter's revenues of $664 million fell 2% year over year and 2% on an underlying basis. The figure missed the consensus mark by 4.4%. The unit’s revenues advanced 10% year over year and 8% on an underlying basis to $2.6 billion. The reported figure beat the Zacks Consensus Estimate by 4.9%. Adjusted operating income of $533 million climbed 11% year over year and beat the consensus mark of $521 million. Revenues of Mercer, a unit within this segment, grew 7% year over year and 5% on an underlying basis to $1.6 billion. The reported figure beat the Zacks Consensus Estimate by 2.4%. Wealth and Health revenues rose 8% and 3%, respectively, on an underlying basis. Career revenues grew 2% year over year on an underlying basis. Another unit within the segment, Marsh Management Consulting, recorded revenues of $1 billion, which improved 15% year over year, as well as 13% on an underlying basis. Marsh exited the second quarter with cash and cash equivalents of $1.7 billion, which declined from the 2025-end figure of $2.7 billion. Total assets of $59.7 billion increased from the $58.7 billion figure at the end of 2025. Long-term debt amounted to $18.9 billion, which rose from the $18.3 billion figure as of Dec. 31, 2025. Short-term debt amounted to $1.7 billion. Total equity of $15.4 billion rose from the 2025-end level of $15.3 billion. Net cash provided by operations totaled $835 million in the first six months of 2026 compared with $1 billion in the prior-year comparable period. Marsh bought back 4.5 million shares worth $750 million in the second quarter of 2026. MRSH currently carries a Zacks Rank #4 (Sell). Some better-ranked stocks in the broader Business Services space are GDS Holdings Limited GDS, V2X, Inc. VVX and The GEO Group, Inc. GEO, each sporting a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here. The Zacks Consensus Estimate for GDS Holdings’ current-quarter earnings is pinned at $1.35 per share and has remained stable over the past 60 days. GDS beat earnings estimates in each of the trailing four quarters, with the average surprise being 610%. The consensus estimate for current-quarter revenues is pegged at $463.2 million, implying 14.4% year-over-year growth. The Zacks Consensus Estimate for V2X’s current-quarter earnings of $1.45 per share has remained stable over the past 60 days. VVX beat earnings estimates in each of the trailing four quarters, with the average surprise being 22.8%. The consensus estimate for current-quarter revenues is pegged at $1.2 billion, calling for 12% year-over-year growth. The Zacks Consensus Estimate for GEO Group’s current-quarter earnings is pinned at 28 cents per share and has remained stable over the past 60 days. GEO beat earnings estimates in three of the trailing four quarters and met once, with the average surprise being 25.9%. The consensus estimate for current-quarter revenues is pegged at $720.7 million, implying 13.3% year-over-year growth. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Marsh (MRSH) : Free Stock Analysis Report Geo Group Inc (The) (GEO) : Free Stock Analysis Report GDS Holdings (GDS) : Free Stock Analysis Report V2X, Inc. (VVX) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Acuity Brands, Inc. AYI is scheduled to announce third-quarter fiscal 2026 results on June 25, before the opening bell.In the last reported quarter, the company’s adjusted earnings surpassed the Zacks Consensus Estimate by 3.4% while the net sales missed the same by 1.9%. On a year-over-year basis, both metrics increased 11% and 4.9%, respectively.Acuity Brands beat earnings estimates in each of the trailing four quarters, with an average surprise of 8.4%. For the fiscal third quarter, AYI’s Zacks Consensus Estimate for earnings per share (EPS) has increased to $5.20 from $5.16 in the past seven days. The estimated figure indicates an increase of 1.6% from $5.12 per share reported in the year-ago quarter.The consensus mark for net sales is pegged at $1.18 billion, indicating a 0.4% increase from the year-ago reported figure. Acuity, Inc. price-eps-surprise | Acuity, Inc. Quote SalesDuring the fiscal third quarter, Acuity Brands' top-line performance is expected to have inched up year over year, as the Acuity Intelligent Spaces (AIS) segment continues to be a key growth engine. The AIS segment is likely to have been sailing the ship forward through enhanced building intelligence, efficiency and user experience through platforms Atrius and Distech Controls. The acquisition and integration of QSC, LLC in January 2025 into the AIS segment is expected to have boosted the growth further. The integration of QSC continues to progress well, enabling cross-selling opportunities and expanding capabilities through the Q-SYS platform. Besides, recent innovations, including scalable AV solutions for smaller collaboration spaces and enhanced building automation offerings, further strengthen the segment’s value proposition.This growth trajectory is likely to have been subdued to some extent during the fiscal third quarter by the weak performance of the Acuity Brands Lighting (ABL) segment. The segment’s poor contribution to Acuity Brands’ sales performance is expected to have been due to lower net sales within the direct sales network.Segment-wise, for the to-be-reported quarter, our Zacks model predicts total ABL segment (contributed 77.4% to the second quarter of fiscal 2026 net sales) revenues to decline 0.3% year over year to $920.1 million. Within the ABL segment, we expect Independent Sales Network and Retail revenues to increase 1.8% and 0.7%, respectively, while Corporate Accounts, Direct Sales Network and Other revenues are anticipated to decrease 4.1%, 11.6% and 3.6%, respectively, year over year.Our model predicts the AIS segment’s (contributed 23.5% to the second quarter of fiscal 2026 net sales) revenues in the fiscal third quarter to climb 13.1% year over year to $298.8 million.MarginsThe bottom line is likely to have been supported by continued cost discipline, productivity improvements and a favorable business mix, with the higher-margin AIS segment contributing meaningfully to overall profitability. Strategic pricing actions and ongoing operational efficiencies are likely to have helped mitigate external pressures, including tariffs, while strong cash flow generation and disciplined capital allocation are expected to have further supported earnings growth.We expect the company’s adjusted EBITDA margin to increase 40 basis points (bps) year over year in the fiscal third quarter to 20.4%. We project adjusted operating margin to inch up 20 bps to 19% year over year.However, these tailwinds are expected to have been partially offset by persistent softness in the lighting market, tariff-related cost volatility and the normalization of previously elevated backlog levels, which are likely to have weighed on near-term growth momentum. Our proven model does predict an earnings beat for Acuity Brands this time around. The company has the right combination of the two key ingredients, a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold), which increases the odds of an earnings beat.AYI’s Earnings ESP: The company has an earnings ESP of +0.63%. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.AYI’s Zacks Rank: The stock currently has a Zacks Rank of 3. You can see the complete list of today’s Zacks #1 Rank stocks here. Here are some other companies in the Zacks Business Services sector that, according to our model, have the right combination of elements to post earnings beats in the quarter to be reported.V2X, Inc. VVX has an Earnings ESP of +0.41% and currently carries a Zacks Rank of 2.V2X’s earnings beat estimates in each of the trailing four quarters, with the average surprise being 22.8%. V2X’s earnings for the third quarter of 2026 are expected to increase 9%.Insperity, Inc. NSP presently has an Earnings ESP of +6.06% and a Zacks Rank of 3.Insperity’s earnings beat estimates in one of the trailing four quarters and missed on the other three occasions, with an average negative surprise of 61.1%. Insperity’s earnings for the third quarter of 2026 are expected to increase 26.9%.WEX Inc. WEX currently has an Earnings ESP of +4.82% and a Zacks Rank of 3.WEX’s earnings beat estimates in each of the trailing four quarters, with the average surprise being 4.8%. WEX’s earnings for the third quarter of 2026 are expected to increase 28.1%. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Insperity, Inc. (NSP) : Free Stock Analysis Report Acuity, Inc. (AYI) : Free Stock Analysis Report WEX Inc. (WEX) : Free Stock Analysis Report V2X, Inc. (VVX) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). 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