DRS: the cash flow

MyFinsight

For the quarter ending 2026-03-31, DRS had -$319M decrease in cash & cash equivalents over the period. -$96M in free cash flow.

Cash Flow	2026-03-31	2025-12-31	2025-09-30	2025-06-30
Other	-	0	0	0
Net earnings	62	102	72	104
Depreciation and amortization	24	24	23	46
Deferred income taxes	0	28	-1	1
Stock-based compensation expense	4	13	5	14
Accounts receivable	-10	7	62	12
Contract assets	44	-123	38	144
Inventories	19	-52	4	42
Prepaid expenses	1	-6	6	-1
Other current assets	-4	-4	1	-20
Other noncurrent assets	-4	57	-4	-9
Defined benefit obligations	-3	-4	-1	-5
Accounts payable	-152	1	76	-156
Contract liabilities	55	145	4	37
Other current liabilities	-3	-6	41	-32
Other noncurrent liabilities	-7	1	-5	-7
Net cash used in operating activities	-66	425	107	-166
Capital expenditures	30	49	30	60
Proceeds from sales of assets	1	0	0	-
Purchases of investments	-	0	15	-
Net cash used in investing activities	-29	-49	-45	-60
Net (decrease) increase in borrowings (maturities of 90 days or less)	-4	2	2	-3
Repayments of borrowings	191	2	3	6
Proceeds from borrowings	-	0	0	0
Proceeds from stock issuance	3	0	6	3
Repurchases of common stock	4	11	10	14
Payments of employee taxes withheld from stock-based awards	0	0	0	21
Dividends paid to related party-Nonrelated Party	7	7	7	14
Dividends paid to related party-Related Party	17	17	17	34
Other	-4	-3	-2	-5
Net cash used in financing activities	-224	-38	-31	-94
Effect of exchange rate changes on cash and cash equivalents	0	0	0	0
Net decrease in cash and cash equivalents	-319	338	31	-320
Cash and cash equivalents at beginning of year	647	309	598	-
Cash and cash equivalents at end of period	328	647	309	-

Unit: Million (M) dollars (except for numbers of shares and EPS). Numbers labeled with * are estimated quarterly values.