New Risk • Jun 07
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of German stocks, typically moving 8.4% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Share price has been volatile over the past 3 months (8.4% average weekly change). Significant insider selling over the past 3 months (€952k sold). Recent Insider Transactions • May 20
Independent Director recently sold €534k worth of stock On the 12th of May, Orlando Carvalho sold around 7k shares on-market at roughly €76.22 per share. This transaction amounted to 12% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of €4.7m more than they bought in the last 12 months. Announcement • Apr 15
Mercury Systems, Inc. to Report Q3, 2026 Results on May 05, 2026 Mercury Systems, Inc. announced that they will report Q3, 2026 results at 4:00 PM, US Eastern Standard Time on May 05, 2026 Announcement • Jan 14
Mercury Systems, Inc. to Report Q2, 2026 Results on Feb 03, 2026 Mercury Systems, Inc. announced that they will report Q2, 2026 results at 4:00 PM, US Eastern Standard Time on Feb 03, 2026 Announcement • Nov 07
Mercury Systems, Inc. (NasdaqGS:MRCY) announces an Equity Buyback for $200 million worth of its shares. Mercury Systems, Inc. (NasdaqGS:MRCY) announces a share repurchase program. Under the program, the company will repurchase up to $200 million worth of its shares. The share repurchase program has no expiration date. Announcement • Oct 29
Mercury Systems, Inc. Approves Election of William L. Ballhaus as Class I Director and Constitution of Committees Mercury Systems, Inc. at its AGM held on October 22, 2025, approved the election of William L. Ballhaus as Class I Director to serve for a three-year term, and in each case until their successors have been duly elected and qualified, and to elect one Class II Director nominated by the Board of Directors, to serve for a one-year term, until her successor has been duly elected and qualified: The committees of the Board will be constituted as follows: Audit Committee: Barry R. Nearhos, Chair; Jean Bua; Lisa S. Disbrow; and Debora A. Plunkett. Government Relations Committee: Lisa S. Disbrow, Chair; Jean Bua; Gerard J. DeMuro; and Debora A. Plunkett. Human Capital and Compensation Committee: Howard L. Lance, Chair; Orlando P. Carvalho; Lisa S. Disbrow; and Scott Ostfeld. M&A and Finance Committee: Orlando P. Carvalho, Chair; Gerard J. DeMuro; Howard L. Lance; and Scott Ostfeld. Nominating and Governance Committee: Barry R. Nearhos, Chair; Orlando P. Carvalho; Howard L. Lance; and Debora A. Plunkett. Announcement • Oct 15
Mercury Systems, Inc. to Report Q1, 2026 Results on Nov 04, 2025 Mercury Systems, Inc. announced that they will report Q1, 2026 results After-Market on Nov 04, 2025 Announcement • Sep 11
Mercury Systems, Inc., Annual General Meeting, Oct 22, 2025 Mercury Systems, Inc., Annual General Meeting, Oct 22, 2025. Location: 50minuteman road, massachusetts 01810, andover United States Announcement • Jul 22
Mercury Systems, Inc. to Report Q4, 2025 Results on Aug 11, 2025 Mercury Systems, Inc. announced that they will report Q4, 2025 results After-Market on Aug 11, 2025 Announcement • Jul 03
U.S. Department of Defense Selects Mercury Systems, Inc. to Improve U.S. Defense Supply Chain Resilience for Priority Domestic Microelectronics Technology Mercury Systems, Inc. announced it has been selected by the U.S. Department of Defense (DoD) for funding through its Industrial Base Analysis and Sustainment (IBAS) Program to develop a next-generation RF signal conditioning multi-chip package (MCP). The IBAS Program aims to improve the readiness and competitiveness of the defense industrial base through investments in high-priority domestic technologies and supply chains. Under a two-year, $8.5 million contract with commercial partner Systems Innovation Engineering, Mercury will develop and demonstrate a new solution designed to enhance the performance and cost of X-band Active Electronically Steered Array (AESA) radars used in air, sea, and ground-based applications. This ultra-compact signal conditioning package will leverage Mercury expertise and innovation in microwave and mixed signal technologies to reduce the size, weight, and power requirements of these integrated assemblies by more than 80% compared to existing hardware. By leveraging state-of-the-art processes, this capability will be more reproduible, affordability will be improved, and high-volume missions will be enabled. Announcement • May 15
Mercury Systems, Inc. Introduces First Safety-Certifiable, Siosa-Aligned Mission Computer for Aviation Platforms Mercury Systems, Inc. introduced the first safety-certifiable, SOSA-aligned aviation mission computer, which will allow government and commercial organizations to field and modernize aircraft that support next-generation applications such as those enabled by 5G communications and artificial intelligence. Mercury's new ROCK3 is a DAL-certifiable, 3U OpenVPX mission computer that features Intel Core i7 safety-certifiable processors and delivers up to 20 times the performance of PowerPC-based aircraft computers. ROCK3 is purpose-built to support advanced, safety-critical applications for military and urban mobility aircraft including mission management, sensor fusion and processing, and surveillance. ROCK3's open architecture allows customers to break vendor lock and eliminate stovepiped systems to enable greater application interoperability and deploy new capabilities faster and more cost-effectively. ROCK3 leverages lessons learned from Mercury's participation in the U.S. Army's Aviation Mission Common Server program, which was intended to develop a single mission computing architecture for the Army's rotorcraft fleet that would allow them to store, process, and transport data and serve as application network nodes across the battlespace. Mercury's ROCK3 features: 11th Gen Intel®? Core i7™? quad core processors with integrated GPU; DO-254 and DO-178C artifacts, certifiable up to DAL-A; Rugged, SWaP optimized; Discrete, MIL-STD-1553, ARINC-429, RS-485, CAN avionics interfaces; Certifiable RTOS, CAST-32A compliant; 32GB DDR4 with ECC; 64 MB FLASH; 80GB M.2 SSD storage. Mercury will be demonstrating a number of next-generation mission computing applications alongside industry partners at the Army Aviation Mission Solutions Summit 2025, May 14-16 in Nashville, Tenn. Demonstrations will be shown at Mercury (booth 779), Parry Labs (booth 2322), Elbit Systems (booth 978), Green Hills Software (booth 2621), and GTRI (booth 2911). Announcement • Apr 16
Mercury Systems, Inc. to Report Q3, 2025 Results on May 06, 2025 Mercury Systems, Inc. announced that they will report Q3, 2025 results After-Market on May 06, 2025 Announcement • Jan 07
Mercury Systems, Inc. Announces Board Changes Mercury Systems, Inc. announced the departure of Roger Krone from its Board of Directors and the appointment of new Independent Director Jean Bua. Since joining Mercury’s Board of Directors, Mr. Krone has been appointed as President and Chief Executive Officer of the Boy Scouts of America and is planning to focus his time on the Boy Scouts and other business matters. Jean Bua is the Chief Financial Officer of NetScout Systems Inc., a publicly traded network performance and cybersecurity solutions company. Ms. Bua has decades of financial and accounting experience and will serve on the Audit and Government Relations Committees of the Board. Jean Bua has served as the Chief Financial Officer at NetScout Systems Inc., a publicly traded network performance and cybersecurity solutions company, since 2011. Jean brings over 40 years of financial, accounting, audit, operational, and business experience and a passion for technological transformation. She joined NetScout from American Tower, where she served as Executive Vice President of Finance and Treasurer and previously as the Senior Vice President and Corporate Controller. She also held roles as Controller at several former companies, including Iron Mountain, Inc., and Duracraft, was a management consultant at Ernst & Young and an Auditor at KPMG. Jean has served as an Independent Director on several publicly traded company boards. Jean received an M.B.A. from the University of Rhode Island and a B.S. in accounting from Bryant University. Announcement • Dec 12
Mercury Systems, Inc. Introduces Digital Signal Processing Products Powered by Altera's Newest Agilex 9 FPGAs Mercury Systems, Inc. introduced a system-on-module (SOM) and 3U SOSA-aligned OpenVPX board powered by Altera's™? most advanced Agilex 9 Direct RF FPGAs chips. The DRF2270 SOM and DRF5270 3U board are the latest additions to Mercury's portfolio of Direct RF digital signal processing products that use Altera FPGAs to detect and process information from a wide portion of the electromagnetic spectrum. These commercially available products directly digitize radio frequency signals at the antenna, eliminating the analog signal down conversion stages required by legacy hardware. This approach requires extremely fast converters, high-bandwidth digital data links, and powerful real-time digital signal processing. The results are reductions in size, weight, power, cost, and latency that can benefit a variety of radar, communications, electronic warfare, SIGINT, and industrial applications. The DRF2270OM can also be packaged into other small form factor and customized designs. Mercury continues to offer the DRF2580 SOM based on the earlier Agilex 9 AGRW014 FPGA, and the DRF4580L, a small-form-factor module that incorporates the DRF2580 within a ruggedized, conduction-cooled enclosure that is ready for defense applications. All of Mercury's Direct RF products come with the Navigator®? Board Support Package and FPGA Design Kit that allow customers to develop custom IP for the module that can be installed within hours. The DRF2270 and DRF5270 feature: 2.6" x 4.75" system on module architecture; Altera Agilex 9 SoC FPGA AGRW027; Eight 64 GSPS A/D and D/A converters; 16 GB DDR4 SDRAM; Built-in multichip and multi-board synchronization circuitry for high channel, phased array antenna systems; GT connections for gigabit serial communication; Ruggedized and conduction-cooled options for DRF5270; FPGA design kit for custom IP development; Board Support Package (BSP) for software development; IP functions suite and example applications and; Carrier Design Kit. Mercury will be showcasing the DRF2270 and DRF5270 at booth 616 at the AOC International Symposium and Convention in National Harbor, MD, December 11-13, 2024. Reported Earnings • Nov 07
First quarter 2025 earnings released: US$0.30 loss per share (vs US$0.64 loss in 1Q 2024) First quarter 2025 results: US$0.30 loss per share (improved from US$0.64 loss in 1Q 2024). Revenue: US$204.4m (up 13% from 1Q 2024). Net loss: US$17.5m (loss narrowed 52% from 1Q 2024). Revenue is forecast to grow 3.8% p.a. on average during the next 3 years, compared to a 15% growth forecast for the Aerospace & Defense industry in Germany. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 115 percentage points per year, which is a significant difference in performance. Announcement • Oct 16
Mercury Systems, Inc. to Report Q1, 2025 Results on Nov 05, 2024 Mercury Systems, Inc. announced that they will report Q1, 2025 results After-Market on Nov 05, 2024 Announcement • Sep 13
Mercury Systems, Inc., Annual General Meeting, Oct 23, 2024 Mercury Systems, Inc., Annual General Meeting, Oct 23, 2024. Location: at the company`s headquarters, at 50 minuteman road, massachusetts 01810, andover United States Recent Insider Transactions • Aug 23
Executive VP recently sold €240k worth of stock On the 19th of August, David Farnsworth sold around 7k shares on-market at roughly €35.70 per share. This transaction amounted to 5.3% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. David has been a net seller over the last 12 months, reducing personal holdings by €147k. Reported Earnings • Aug 14
Full year 2024 earnings released: US$2.38 loss per share (vs US$0.50 loss in FY 2023) Full year 2024 results: US$2.38 loss per share (further deteriorated from US$0.50 loss in FY 2023). Revenue: US$835.3m (down 14% from FY 2023). Net loss: US$137.6m (loss widened 386% from FY 2023). Revenue is forecast to grow 5.1% p.a. on average during the next 3 years, compared to a 17% growth forecast for the Aerospace & Defense industry in Germany. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 124 percentage points per year, which is a significant difference in performance. Announcement • Aug 13
Mercury Systems, Inc. Appoints Brad Whittington as Senior Vice President of Engineering Mercury Systems, Inc. announced the appointment of Brad Whittington as its Senior Vice President of Engineering, effective August 12, 2024. Reporting to Chief Operating Officer Roger Wells, Whittington is responsible for the strategic planning, leadership, and execution of Mercury’s recently integrated Engineering organization. Whittington has more than 25 years of experience in technical leadership roles in aerospace and defense. He most recently served as Vice President of Engineering and Chief Engineer for the Defense Systems Sector within Leidos. Prior to that he held numerous leadership positions at Raytheon, Lockheed Martin, and NASA. He has an M.S. in engineering from Texas Tech University and a B.S. in physics and B.S. in mathematics from Harding University. Earlier this year, Mercury reorganized its business to streamline and simplify its operations. The Engineering, Operations, and Mission Assurance functions were centralized to bring the full breadth and depth of the company’s technical and mission knowledge to bear in support of customer missions. Interim Engineering leader Joe Plunkett will now transition to a permanent role leading the Advanced Concepts organization that was established to drive innovation and strategic growth pursuits. Announcement • Jul 24
Mercury Systems, Inc. to Report Q4, 2024 Results on Aug 13, 2024 Mercury Systems, Inc. announced that they will report Q4, 2024 results After-Market on Aug 13, 2024 Announcement • Jun 19
Mercury Systems, Inc. Announces the Appointment of Tod Brindlinger as Senior Vice President of Operations Mercury Systems, Inc. announced the appointment of Tod Brindlinger as Senior Vice President of Operations, effective June 10, 2024. The company also announced the completion of the second phase of an organizational restructuring that began in January to improve performance and accelerate growth by consolidating and simplifying its operations.Reporting to Chief Operating Officer Roger Wells, Brindlinger is responsible for the company’s global manufacturing, facilities, and supply chain. He has more than 30 years of leadership experience in business development, operations, engineering, supply chain, and quality roles, most recently serving as Vice President of Global Operations, Quality, and Supply Chain in L3Harris Technologies’ Commercial Aerospace Sector. Brindlinger previously held executive positions at Paradigm Precision, Ducommun, and United Technologies Corporation. Reported Earnings • May 08
Third quarter 2024 earnings released: US$0.77 loss per share (vs US$0.091 profit in 3Q 2023) Third quarter 2024 results: US$0.77 loss per share (down from US$0.091 profit in 3Q 2023). Revenue: US$208.3m (down 21% from 3Q 2023). Net loss: US$44.6m (down US$49.7m from profit in 3Q 2023). Revenue is forecast to grow 6.2% p.a. on average during the next 3 years, compared to a 16% growth forecast for the Aerospace & Defense industry in Germany. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 117 percentage points per year, which is a significant difference in performance. Announcement • May 08
Mercury Systems, Inc. Provides Earnings Guidance for the Full Fiscal Year 2024 Mercury Systems, Inc. provided earnings guidance for the Full Fiscal Year 2024. For the period, the company expects revenue in the range of $800.0 million to $850.0 million. Board Change • Apr 17
High number of new directors There are 6 new directors who have joined the board in the last 3 years. Independent Director Scott Ostfeld was the last director to join the board, commencing their role in 2023. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Announcement • Apr 17
Mercury Systems, Inc. to Report Q3, 2024 Results on May 07, 2024 Mercury Systems, Inc. announced that they will report Q3, 2024 results After-Market on May 07, 2024 Announcement • Mar 19
Mercury Announces Early Access Program for New Direct Rf Multi-Chip Module Powered by Amd Versal Adaptive Socs Mercury Systems, Inc. announced the early access program for its RFS1140 direct RF System-in-Package (SiP). Electronic warfare, communications, test and measurement, and radar applications at the edge are becoming more sophisticated, requiring secure, direct digitization of RF signals with high sampling rates and low latency. The RFS1140 is the first multi-chip module to combine the processing power of the AMD Versal® AI Core series adaptive SoC along with Jariet Technologies high-speed data converters and Micron LPDDR4 NOR flash memory. By integrating the latest commercial processing chips into a SWaP-optimized, rugged package, Mercury’s SiP offers maximum performance for next-generation applications. The early access program for the RFS1140 includes product documentation and support as well as priority delivery for evaluation hardware as it becomes available this year. A trusted, edge-ready direct RF chip-scale solution that reduces back-end processing . AMD Versal AI Core series adaptive SoC with AI Engines ?to run powerful algorithms, High-speed (64 GSPs) Jariet Electra-MA data converters with up to 36 GHz analog bandwidth. 4 GB Micron LPDDR4. 4 Gb Micron NOR flash. Qualified to MIL standards with operating temperatures of -40°C to +85°C. Designed, manufactured, and tested in DMEA-accredited facilities to mitigate supply chain vulnerabilities. Announcement • Feb 09
Mercury Systems, Inc. Announces Executive Changes Mercury Systems, Inc. announced the appointment of Douglas Munro as Vice President and Chief Accounting Officer, effective February 12, 2024. Reporting to Chief Financial Officer Dave Farnsworth, Mr. Munro will be responsible for the Company's accounting operations and financial reporting. Mr. Munro joined Mercury in 2012 and has held several accounting leadership roles, most recently serving as the Company’s Corporate Controller. Previously, Mr. Munro held various positions in public accounting at regional accounting firms. He has an MBA from University of Massachusetts Lowell and a B.S. in Accounting from Merrimack College and holds his CPA license in Massachusetts. Mr. Munro succeeds Michelle McCarthy, who has accepted another role outside the Company. Announcement • Feb 07
Mercury Systems, Inc. Provides Earnings Guidance for the Year 2024 Mercury Systems, Inc. provided earnings guidance for the year 2024. For the full fiscal year 2024, revenues are forecasted to be in the range of $800.0 million to $850.0 million based on first half revenue performance coupled with reduced volumes expected in the second half. First half revenue performance, particularly in the second quarter, included significant revenue reductions due to program cost growth. In addition, the company expects lower volumes in the second half as continue to apply operational capacity to advance challenged and late-stage development programs as well as reduce working capital especially related to unbilled receivables. Announcement • Feb 02
Bronstein, Gewirtz & Grossman LLC Files Class Action Lawsuit Against Mercury Systems, Inc Bronstein, Gewirtz & Grossman, LLC notified investors that a class action lawsuit has been filed against Mercury Systems, Inc. and certain of its officers. Class Definition: This lawsuit seeks to recover damages against Defendants for alleged violations of the federal securities laws on behalf of all persons and entities that purchased or otherwise acquired Mercury Systems securities between December 7, 2020 and July 23, 2023, inclusive (the “Class Period”). Such investors are encouraged to join this case by visiting the firm’s site: bgandg.com/mrcy. Case Details: The complaint alleges that defendants throughout the Class Period made false and/or misleading statement and/or failed to disclose that: (i) Mercury Systems’ serial acquirer strategy was not working and Mercury Systems was using improper revenue recognition practices such as changing to long-term contracts to mask deteriorating organic growth; (ii) Mercury Systems’ acquisition of POC caused POC to lose its small business accreditation, which prevented POC from winning contracts that made up a large portion of its historical business; (iii) Mercury Systems had at least twenty programs that were suffering and not performing well; and (iv) Mercury Systems’ initiative to increase margins was not working and was in fact cutting into margins. The complaint further alleges that on July 26, 2022, Glasshouse Research initiated coverage of Mercury Systems with a strong sell report entitled “Roll-Up Mercury Systems Set to Unravel,” and following this news, Mercury Systems common stock dropped roughly 8%. Announcement • Jan 26
Mercury Systems, Inc. Announces Executive Changes Mercury Systems, Inc. announced the appointment of Stuart Kupinsky as Executive Vice President and Chief Legal Officer, effective January 29, 2024. Reporting to Mercury Chairman and CEO Bill Ballhaus, Kupinsky will be responsible for the company’s legal strategy, including M&A, intellectual property, and enterprise contracts. Previously, Kupinsky served as Chief Legal Officer and General Counsel for five public and private technology companies, including Blackboard Inc. through its sale to Anthology Inc., now one of the largest global education technology companies, and Tekelec, Inc., a public global telecommunications technology company serving the U.S. Department of Defense until its sale to Oracle. Kupinsky was also Chief Counsel for FirstNet, a multibillion-dollar independent government agency building a nationwide network for first responders. Earlier in his career he served as a trial attorney for the U.S. Department of Justice and as a law clerk on the U.S. Court of Appeals for the Federal Circuit. Kupinsky holds a J.D. with honors from The George Washington University Law School and a B.S. in electrical engineering from Lehigh University. Kupinsky succeeds Christopher Cambria, who has been Mercury’s Executive Vice President, General Counsel, and Secretary since 2016. During his tenure, Cambria led 12 successful acquisitions that transformed the company and significantly expanded the capabilities of the Mercury Processing Platform. He will remain with the company until March 2024 and will consult for one year afterward to ensure a smooth transition. Announcement • Jan 22
Mercury Introduces Direct RF System-On-Module Powered by Intel Agilex FPGA Mercury Systems, Inc. introduced a Direct RF system-on-module (SOM) that uses Intel Agilex FPGAs to detect and process adversary emissions from a wide portion of the electromagnetic spectrum. Direct RF components and modules directly digitize radio frequency signals at the antenna signal frequency, eliminating the analog signal down conversion stages required by legacy hardware. This approach requires extremely fast converters, high bandwidth digital data links, and powerful real-time digital signal processing. The results are reductions size, weight, power, cost, and latency that can benefit a variety of radar, communications, electronic warfare, SIGINT, and industrial applications. Mercury offers industry-leading Direct RF products including system-in-package and multi-chip modules and 3U VPX processing boards. The playing card-sized DRF2580 SOM brings new capability to the Mercury Processing Platform, giving customers the ability to design aerospace and defense systems that digitize a large swath of the RF spectrum at the edge, enhancing security and accelerating decision-making in the field. The DRF2580 is a four-channel SOM based on the Intel Agilex 9 SoC FPGA AGRW014 that converts between analog and digital signals at 64 Gigasamples per second. It is available in standard form factors and supported by a best-in-class carrier design kit that allows users to focus on application-specific carrier development,with much of the most challenging aspects of embedded circuit design already solved by the SOM. Announcement • Jan 19
Mercury Systems, Inc. Announces Executive Changes Mercury Systems, Inc. announced the appointment of Charles R. Wells, IV as Executive Vice President, Chief Operating Officer, effective January 22, 2024. Mr. Wells, age 51, joined in November 2021 as Executive Vice President and President of the Microelectronics division. Mr. Wells has more than 25 years’ experience across multiple disciplines including engineering, business development, program management, and executive management. Previously, he served as Vice President and General Manager for the Unmanned & Integrated Solutions Business Unit of Teledyne FLIR with full P&L responsibility while ensuring high levels of product quality and customer satisfaction. Earlier in his career, he worked as a Department of Defense civilian supporting the development and fielding of world-wide C4ISR networks and information systems. He also held positions in Northrop Grumman and ICX Technologies and served as a private consultant for large aerospace and defense companies. The company announced resignation of Christine F. Harbison as Executive Vice President, Chief Growth Officer. Announcement • Jan 17
Mercury Systems, Inc. to Report Q2, 2024 Results on Feb 06, 2024 Mercury Systems, Inc. announced that they will report Q2, 2024 results After-Market on Feb 06, 2024 Announcement • Dec 14
Bragar Eagel & Squire, P.C. Files Class Action Lawsuit Against Mercury Systems, Inc Bragar Eagel & Squire, P.C. announced that a class action lawsuit has been filed against Mercury Systems, Inc. (Mercury Systems or the Company) in the United States District Court for the District of Massachusetts on behalf of all persons and entities who purchased or otherwise acquired Mercury Systems securities between December 7, 2020 and June 23, 2023, both dates inclusive (the Class Period). Investors have until February 12, 2024 to apply to the Court to be appointed as lead plaintiff in the lawsuit. The Mercury Systems class action lawsuit alleges that defendants throughout the Class Period made false and/or misleading statement and/or failed to disclose that: (i) Mercury Systems’ serial acquirer strategy was not working and Mercury Systems was using improper revenue recognition practices such as changing to long-term contracts to mask deteriorating organic growth; (ii) Mercury Systems’ acquisition of POC caused POC to lose its small business accreditation, which prevented POC from winning contracts that made up a large portion of its historical business; (iii) Mercury Systems had at least twenty programs that were suffering and not performing well; and (iv) Mercury Systems’ initiative to increase margins was not working and was in fact cutting into margins. The Mercury Systems class action lawsuit further alleges that on July 26, 2022, Glasshouse Research initiated coverage of Mercury Systems with a strong sell report entitled “Roll-Up Mercury Systems Set to Unravel.” The Mercury Systems class action lawsuit alleges that on this news, the price of Mercury Systems common stock fell nearly 8%. Then, as the Mercury Systems class action lawsuit further alleges, on May 2, 2023, Mercury Systems reported its third quarter of 2023 financial results which revealed that Mercury Systems forecast revenue to be in the range of $990.0 million to $1.01 billion (down from $1.01 billion to $1.05 billion), GAAP net loss of $19.0 million to $11.1 million (down from GAAP net income of $13.9 million to $24.8 million), adjusted EBITDA in a range of $160.0 million to $170.0 million (down from $202.5 million to $215.0 million), and adjusted EPS in a range of $1.36 to $1.50 per share (down from $1.90 to $2.08 per share). On this news, the price of Mercury Systems common stock fell more than 17%, the complaint alleges. Thereafter, on June 23, 2023, Mercury Systems announced a series of changes to leadership and its Board of Directors, including changes to the positions of President and CEO, the appointment of a new independent director, and the identification of a second new independent director and a permanent CFO, the complaint further alleges. The Mercury Systems class action lawsuit alleges that on this news, the price of Mercury Systems common stock fell nearly 10%. Announcement • Nov 17
Mercury Systems, Inc. Announces Mission Systems Leadership Transition Mercury Systems, Inc. announced the departure of Dr. Mitch Stevison, Executive Vice President and President of Mercury’s Mission Systems division, effective December 1, 2023. Dr. Stevison will pursue a new opportunity outside of the company. Mercury Chairman and CEO Bill Ballhaus will lead the Mission Systems team until a permanent leader is identified. Dr. Stevison joined Mercury as Executive Vice President and Chief Growth Officer in October 2021 and became Executive Vice President and President of Mercury’s Mission Systems Division in October 2022. Recent Insider Transactions • Nov 17
Independent Director recently bought €1.1m worth of stock On the 13th of November, Orlando Carvalho bought around 35k shares on-market at roughly €31.63 per share. This transaction increased Orlando's direct individual holding by 2x at the time of the trade. In the last 3 months, there was an even bigger purchase from another insider worth €1.4m. Insiders have collectively bought €1.7m more in shares than they have sold in the last 12 months. Announcement • Nov 10
Mercury Systems, Inc. Provides Earnings Guidance for the Second Quarter and Fiscal Year 2024 Mercury Systems, Inc. provided earnings guidance for the second quarter and fiscal year 2024. Revenues in the second quarter are expected to be lower than that of the prior year, as it continue to focus on the execution of its challenged programs.For the year 2024, the company expects revenue of $950 million to $1,000 million. GAAP results are expected to be in the range of a net loss of $15.9 million to net income of $3.8 million with GAAP loss per share of $0.28 to earnings per share of $0.07. Reported Earnings • Nov 08
First quarter 2024 earnings released: US$0.64 loss per share (vs US$0.26 loss in 1Q 2023) First quarter 2024 results: US$0.64 loss per share (further deteriorated from US$0.26 loss in 1Q 2023). Revenue: US$181.0m (down 21% from 1Q 2023). Net loss: US$36.7m (loss widened 156% from 1Q 2023). Revenue is forecast to grow 5.5% p.a. on average during the next 3 years, compared to a 14% growth forecast for the Aerospace & Defense industry in Germany. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 100 percentage points per year, which is a significant difference in performance. Announcement • Oct 18
Mercury Systems, Inc. to Report Q1, 2024 Results on Nov 07, 2023 Mercury Systems, Inc. announced that they will report Q1, 2024 results After-Market on Nov 07, 2023 Announcement • Oct 10
Mercury to Bring Raytheon’s Advanced Cyber Resiliency and Intrusion Detection Tools to the Mercury Processing Platform Mercury Systems, Inc. announced it is working with Raytheon, an RTX business, to increase survivability and resiliency of its mission-critical solutions by incorporating Raytheon’s advanced cyber resiliency and intrusion detection tools into Mercury’s processing platform. As threats against critical systems continue to grow in scope and sophistication, Mercury and Raytheon recognize the need for significantly stronger security controls to protect mission-critical systems, and both are dedicated to delivering comprehensive and resilient protection solutions to maintain mission effectiveness in cyber-contested environments. Through this relationship, Mercury gains the ability to integrate Raytheon’s Electronic Armor and CADS products into its portfolio of mission systems, including secure mission processors, communication management units, rugged servers, communication management units, and data recorders. Raytheon’s cybersecurity tools complement Mercury’s BuiltSECURE technology that protects critical data with physical security, cryptography, and secure boot features. Mercury and Raytheon are industry leaders in building and securing high-performance, open-architecture products and subsystems for the aerospace and defense industry, including SOSA-aligned mission computers. Their combined offerings provide aerospace and defense programs with an effective approach to addressing emerging cyber survivability endorsement requirements, which are focused on preventing, detecting, responding, and recovering from cyberattacks. Electronic Armor is a cyber resiliency solution that prevents reverse engineering and protects the confidentiality and integrity of data, as well as applications from attackers who have bypassed traditional information assurance controls and/or gained escalated privilege on a system. Among its many features is the hardening of the operating system, providing data-at-rest and runtime protections, preventing execution of unauthorized applications, and preventing modification/introspection of sensitive applications and data. CADS is a real-time Intrusion Detection System (IDS) for the standard control buses found in airframes and ground vehicles. CADS provides cyber anomaly detection and complete bus traffic logging for mission- and safety-critical systems. It heightens situational awareness for platform operators and support teams and includes offline analysis tools to provide long-term performance and cross-fleet analysis of cyber trends. New Risk • Sep 24
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 2.8% This is considered a minor risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Major Risk Share price has been highly volatile over the past 3 months (9.5% average weekly change). Minor Risk Shareholders have been diluted in the past year (2.8% increase in shares outstanding). Announcement • Sep 20
Mercury Systems, Inc. Introduces the First Space-Qualified FPGA Processing Board Powered by AMD Xilinx Versal Technology Mercury Systems, Inc. introduced the first space-qualified FPGA processing board to use AMD's Xilinx Versal AI core. The SCFE6933 is a radiation-tolerant, 6U SpaceVPX board that will make high-performance computing more accessible for a broad range of space applications and customers. Mercury's SCFE6933 allows data to be processed on orbit faster, more efficiently, and more reliably. Optimized for size, weight, and power, the SCFE6933 performs in a single board what previously required three boards, simplifying mission architectures, and reducing costs. The Versal AI core drives heterogeneous processing efficiencies never before available as an off-the-shelf product for space systems, allowing more data to be processed in less time. It is also software-defined, bringing the ability to dynamically add application-specific IP and customize its functions in orbit, extending spacecraft utility as mission objectives evolve over time. Mercury's first customer for the SCFE6933 is Ball Aerospace, with whom the product is being co-developed. Mercury will make lab development models available to commercial customers this year with flight units available in 2024. Mercury has a strong legacy in space, having delivered more than 20,000 space-qualified devices with no in-flight failures and solutions used on more than 65 satellite and launch vehicle programs. space systems and components are purpose-built for harsh, radiation-intense environments: Cockpit displays allow commercial space vehicle crews to operate safely; Solid-state data recorders leverage the VPX form factor for agile interoperability and accelerated system design; Memory modules enable sophisticated in-space applications and manage exploding volumes of data; RF components including filters, amplifiers, and ferrites support high-performance, high-reliability space missions. The demand for advanced data processing in orbit has never been greater--from keeping satellite costs low by using software-defined satellite architectures, to minimizing latency for rapid response to emerging threats, to having the ability to pre-process sensor data and downlink only mission-relevant information. Mercury's unique position at the intersection of high-tech and defense allows it to serve as the semiconductor industry's partner of choice to supply COTS and modified COTS processing hardware and a trusted partner to aerospace and defense customers that want to leverage the latest commercial technologies in their space architectures. Announcement • Sep 12
Mercury Systems, Inc. Announces the Availability of Its JDAR Type-1 Encryptor Module, Which Protects U.S. Government Classified and Sensitive Data Mercury Systems, Inc. announced the availability of its JDAR Type-1 encryptor module, which protects U.S. government classified and sensitive data in use on military platforms operating in tactical environments. Mercury's JDAR data-at-rest encryptor received NSA Type-1 encryption certification in 2022, and it has since been integrated into several of the company's data storage and transfer solutions that have been deployed across multiple U.S. airborne platforms. Now, JDAR will be made available for standalone purchase to the U.S. military organizations and contractors as well as the Five Eyes Alliance. JDAR's NSA type-1 encryption prevents unauthorized personnel from gaining access to inactive classified mission data. Suitable for many types of manned and unmanned airborne platforms and ground vehicles, the module protects classified information ranging from confidential to secret, making it easier for operators to physically move mission data during operations without risk of compromise. Purpose-Built to Protect Data-at-Rest: NSA Certified Type-1 encryptor; Small form-factor for easy integration: 5.04 x 3.94 x 0.63 inches, weight less than 1 pound; Lower power consumption: less than 7-watt power consumption; Operating temperature at -40degC to +85degC; Cold start ®? by and for people who matter. Purpose-Built to Protect Data-at-Rest · NSA Certified Type-1 encrypto · Small form-factor for easy integration: 5.04 x 3.94 x 0.63 inches, weight less than 1 poun · Lower power consumption: less than 7-watt power consumptio · Operating temperature at -40°C to +85° · Cold start ® by and for people who matter. Recent Insider Transactions • Aug 24
President recently bought €1.4m worth of stock On the 18th of August, William Ballhaus bought around 40k shares on-market at roughly €34.55 per share. This transaction amounted to 16% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. This was William's only on-market trade for the last 12 months. Reported Earnings • Aug 16
Full year 2023 earnings released: US$0.50 loss per share (vs US$0.20 profit in FY 2022) Full year 2023 results: US$0.50 loss per share (down from US$0.20 profit in FY 2022). Revenue: US$973.9m (down 1.4% from FY 2022). Net loss: US$28.3m (down 351% from profit in FY 2022). Revenue is forecast to grow 6.5% p.a. on average during the next 2 years, compared to a 13% growth forecast for the Aerospace & Defense industry in Germany. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 80 percentage points per year, which is a significant difference in performance. Announcement • Aug 04
Mercury Systems, Inc. Introduces the Industry's First Open Blade Server Architecture for Defense Systems Mercury Systems, Inc. introduced the Common Module System (CMS) X08, the industry's first rugged, open standards-based blade server architecture to deliver a plug-n-play infrastructure model for tactical platforms operating at sea, on land, or in the air. Mercury's solution is built around the Open Compute Project (OCP(R) openEDGE standard and allows customers to eliminate vendor lock-in, simplify technology upgrades, reduce costs, and accelerate workloads. Organizations that manage tactical data centers, signal processing systems, and remotely located console controllers have historically been locked into a single hardware provider for their blade ecosystems. With this new architecture, users can mix and match modules from various vendors into a Mercury chassis, creating a system tailored to their needs. With advanced thermal and mechanical design features that deliver superior resilience to shock, vibration, and temperature extremes, CMS X08 is the only OCP-based server capable of surviving edge deployments for aerospace and defense customers. Optimized Performance and Reliability in the most Demanding Environments. Disaggregated compute modules that can be clustered into footprints of 1U 2U, and 3U for optimal space utilizationon; Each compute module is equipped with a 4th Gen Intel(R) Xeon(R) Scalable processor (formerly Sapphire Rapids), capacity of up to 4 TB of DDR5-4800 EC memory, and up to 246 TB of NVMe storage; Compact and powerful computing platform with 18-inch depth; Constructed with cutting-edge commercial off-the-shelf components such as NVIDIA H100 and A100 Tensor Core GPUs; Only OCP-based platform engineered to comply with MIL-STD-810H and MIL-STD-167-1A standards. The CMS X08 extends Mercury's leadership in the rugged blade serverarket with thousands of nodes currently deployoyed onboard U.S. Navy and U.S. Army platforms. Announcement • Jul 23
Mercury Systems, Inc. Announces Thomas Huber Will Leave as Executive Vice President and Chief Transformation Officer Mercury Systems, Inc. announced Thomas Huber, the Company’s Executive Vice President, Chief Transformation Officer, will leave the Company. Mr. Huber will receive severance based on the terms of the Company’s severance benefits agreement for non-CEO executives. Announcement • Jul 12
Mercury Systems, Inc. to Report Q4, 2023 Results on Aug 15, 2023 Mercury Systems, Inc. announced that they will report Q4, 2023 results After-Market on Aug 15, 2023 Announcement • Jul 08
Mercury Systems, Inc. Announces Management Changes Mercury Systems, Inc. announced that on July 6, 2023, the company has agreed to appoint Scott Ostfeld as a director in Class II of the Company’s Board of Directors for a term expiring at the Company’s 2023 annual meeting of stockholders, subject to completion and satisfaction of customary director onboarding requirements, and to re-nominate Mr. Ostfeld for a three-year term at the 2023 Annual Meeting. In connection with the Agreement, and in accordance with the Bylaws of the Company, the number of Class II director positions has been temporarily increased to five. JANA agreed to certain voting agreements with respect to the 2023 Annual Meeting. JANA agreed to vote in favor of Gerard J. DeMuro, Roger A. Krone, and Scott Ostfeld for election to the Board. In accordance with the Agreement, the Board has agreed to appoint Scott Ostfeld, Managing Partner and Portfolio Manager at JANA Partners, as a director in Class II of the Board for a term expiring at the 2023 Annual Meeting, subject to completion and satisfaction of customary director onboarding requirements, and to re-nominate Mr. Ostfeld for a three-year term at the 2023 Annual Meeting. Mr. Ostfeld will serve as a member of the Board’s Human Capital and Compensation and M&A and Finance Committees. In connection with the previously disclosed retirement of William K. O’Brien from the Board immediately prior to the commencement of the 2023 Annual Meeting (the Effective Time), the Board has appointed William L. Ballhaus as Chair of the Board as of the Effective Time. While Mr. Ballhaus serves as Chair and Interim President and Chief Executive Officer, the Board appointed Barry R. Nearhos as lead independent director of the Board as of the Effective Time. Mary Louise Krakauer informed the Board of her decision to retire from the Board as of the Effective Time and in connection with such retirement, the Board has appointed Howard L. Lance as Chair of the Human Capital and Compensation Committee of the Board as of the Effective Time. In connection with Mr. O’Brien and Ms. Krakauer’s resignations, the Board determined that the size of the Board will decrease by two directors, thereby decreasing the number of Class II director positions to three as of the Effective Time. Scott Ostfeld is a Managing Partner and Portfolio Manager at JANA Partners where he has nearly 20 years of experience enhancing value as an engaged shareholder. Prior to joining JANA in 2006, Mr. Ostfeld was at GSC Partners, where he served in their distressed debt private equity group and focused on acquiring companies through the restructuring process and enhancing value as an equity owner. He was previously an investment banker at Credit Suisse First Boston Corporation. Mr. Ostfeld currently serves on the Board of Directors of TreeHouse Foods. He was previously a director at Conagra Brands, HD Supply until its sale to Home Depot, and Team Health until its sale to Blackstone Group. Mr. Ostfeld serves on the board of Columbia University’s Richman Center for Business, Law and Public Policy. He received a JD from Columbia Law School, where he was a Harlan Fiske Stone Scholar and a Senior Editor of Columbia Law Review, an MBA, Beta Gamma Sigma, from Columbia Business School, and a BA, magna cum laude, Phi Beta Kappa, from Columbia University. Board Change • Jul 05
High number of new directors There are 5 new directors who have joined the board in the last 3 years. Independent Director Jerry DeMuro was the last director to join the board, commencing their role in 2023. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Reported Earnings • May 03
Third quarter 2023 earnings released: EPS: US$0.091 (vs US$0.074 in 3Q 2022) Third quarter 2023 results: EPS: US$0.091 (up from US$0.074 in 3Q 2022). Revenue: US$263.5m (up 4.1% from 3Q 2022). Net income: US$5.16m (up 25% from 3Q 2022). Profit margin: 2.0% (up from 1.6% in 3Q 2022). Revenue is forecast to grow 6.7% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Aerospace & Defense industry in Germany. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 63 percentage points per year, which is a significant difference in performance. Recent Insider Transactions • Feb 22
Insider recently sold €141k worth of stock On the 17th of February, Michael Ruppert sold around 3k shares on-market at roughly €50.77 per share. This transaction amounted to 1.3% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of €2.6m more than they bought in the last 12 months. Reported Earnings • Feb 02
Second quarter 2023 earnings released: US$0.19 loss per share (vs US$0.048 loss in 2Q 2022) Second quarter 2023 results: US$0.19 loss per share (further deteriorated from US$0.048 loss in 2Q 2022). Revenue: US$229.6m (up 4.2% from 2Q 2022). Net loss: US$10.9m (loss widened 314% from 2Q 2022). Revenue is forecast to grow 7.2% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Aerospace & Defense industry in Germany. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 56 percentage points per year, which is a significant difference in performance. Announcement • Jan 28
Mercury Systems, Inc. Makes Intel’s Newest Data Center-Class Xeon Processors Available for Aerospace & Defense Missions with its Next-Generation Rugged Rack Servers Mercury Systems, Inc. announced its next-generation rugged edge servers, featuring 4th generation Intel® Xeon® Scalable processors—formerly known as Sapphire Rapids—that will accelerate compute-intensive edge workloads and drive faster insights for critical aerospace and defense missions. Building on decades of heritage in its COTS Rugged Edge Server rackmount family, Mercury’s new RES X08 servers support low-latency PCIe 5.0 fabrics, powerhouse NVIDIA H100 GPUs, 400 Gbps network cards, high-speed DDR5 memory, and versatile Compute Express Link (CXL) expansion in an ultra-rugged, highly configurable chassis. Designed from the ground up to dissipate massive thermal loads created by larger and more powerful components, Mercury’s innovative and secure design delivers higher computational performance in a smaller footprint optimized for accelerated workloads in military and industrial applications. Why it Matters: The proliferation of sensors on aerospace and defense platforms has created a tsunami of data that must be processed and exploited in real-time using sensor fusion, artificial intelligence (AI), and high-performance computing (HPC) technologies to gain a situational awareness advantage. But insights derived are often bottlenecked by outdated computing infrastructure that does not adequately allow data to flow seamlessly between peripheral devices and the CPU. Besides compute and network performance, modern edge servers must also support seamless integration into retrofit platforms, extended lifecycles, manufacturing to high AS9100 quality standards, and validation testing for extreme environmental conditions. RES X08 delivers significant performance improvements over prior-generation technology: 50% increased CPU core count; 6x greater GPU performance; 50% increased memory bandwidth; 2x faster PCIe throughput; 2x faster optical networking; 1.5x faster NVMe data storage speeds; 2.5x increase in total compute capability per rack unit; 15% improved power efficiency. Mercury is now taking orders for pre-production samples. Announcement • Jan 24
Mercury Systems, Inc. Unveils the Industry's First Signal Processing Board To Feature Intel's Latest Direct RF Technology Mercury Systems, Inc. introduced a new COTS open-architecture board that delivers the latest commercial signal processing technology for aerospace and defense applications, driving higher performance from a smaller form factor. The DRF3182 Direct RF Processing Module is the first standard product purpose-built for the aerospace and defense industry that leverages Intel's new Stratix(R) 10 AX SoC field programmable gate array (FPGA), which adds a key capability to the Mercury Processing Platform by enabling the direct digitization and processing of broadband RF signals. Unlike traditional systems that use costly analog frequency conversion hardware, direct RF technology allows the direct processing of broadband signals. This streamlined architecture reduces the total system size and cost while increasing flexibility. Designed for radar and electronic warfare (EW), this technology can enhance a wide range of applications including software-defined radio and communications. Why it Matters Today's rapidly evolving threat environment requires deploying advanced processing capabilities to the tactical edge. Through a deep collaboration with Intel, Mercury has set a new standard for performance that will ensure modern EW and radar systems can provide a decision advantage to U.S. and allied forces and make the world a safer, more secure place. Announcement • Jan 12
Mercury Systems, Inc. to Report Q2, 2023 Results on Jan 31, 2023 Mercury Systems, Inc. announced that they will report Q2, 2023 results After-Market on Jan 31, 2023 Announcement • Nov 10
Mercury Systems, Inc. Introduces Radiation-Tolerant 8GB DDR4 Memory Component to Power Enhanced Edge Processing for Space Missions Mercury Systems, Inc. introduced a new radiation-tolerant version of its proven 8GB DDR4 memory component that sets a new bar for performance in data-intensive processing applications in space. Space systems play an outsized role in modern life and require ever-increasing amounts of processing power to enable sophisticated in-space applications and manage exploding volumes of data. Military satellites enable critical national security missions such as missile warning, communications, and Earth observation. Commercial satellites provide in-flight wi-fi connectivity, direct-to-home television and radio services, and global infrastructure and asset monitoring. Crewed and uncrewed civil government spacecraft are expanding the company's understanding of its own world and everything beyond it. As space systems become more complex, new capabilities and requirements necessitate high-density memory capabilities to complement greater processing power. And as space systems are increasingly developed with smaller form factors, Mercury’s 8GB DDR4 components offer 75% space savings compared to alternative memory options. Mercury’s 8GB DDR4 memory components feature: Data transfer speed up to 2,666 Mb/s, -55 to +125°C operating temperature, 13 x 20 x =2.36 mm form factor, Eutectic solder balls for superior board-level reliability, 100% burn-in and electrical test for the highest quality assurance and Manufactured in a DMEA-trusted facility. Reported Earnings • Nov 03
First quarter 2023 earnings released: US$0.26 loss per share (vs US$0.13 loss in 1Q 2022) First quarter 2023 results: US$0.26 loss per share (further deteriorated from US$0.13 loss in 1Q 2022). Revenue: US$227.6m (up 1.1% from 1Q 2022). Net loss: US$14.3m (loss widened 101% from 1Q 2022). Revenue is forecast to grow 5.6% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Aerospace & Defense industry in Germany. Over the last 3 years on average, earnings per share has fallen by 49% per year but the company’s share price has only fallen by 9% per year, which means it has not declined as severely as earnings. Announcement • Nov 02
Mercury Systems, Inc. Provides Earnings Guidance for the Second Quarter and Full Year of 2023 Mercury Systems, Inc. provided earnings guidance for the second quarter and full year of 2023. For the second quarter of fiscal 2023, revenues are forecasted to be in the range of $225.0 million to $240.0 million. GAAP net loss for the second quarter is expected to be approximately $10.3 million to $6.2 million, or $0.18 to $0.11 per share, assuming no incremental other non-operating adjustments, or non-recurring financing in the period, and approximately 56.4 million weighted average diluted shares outstanding. For the full fiscal year 2023, revenues are forecasted to be in the range of $1.01 billion to $1.05 billion, and GAAP net income of $14.8 million to $24.7 million, or $0.26 to $0.44 per share, assuming no incremental other non-operating adjustments, or non-recurring financing in the period, and approximately 56.6 million weighted average diluted shares outstanding. Announcement • Oct 26
Mercury Systems, Inc. Announces New mPOD Mercury Systems, Inc. announced that its new mPOD, a rapidly reprogrammable electronic attack (EA) training system designed to train pilots using realistic, near-peer jamming capabilities, has successfully completed initial flight testing and is available for order. Tactical Air Support, a leader in commercial air services, tactical aviation training, and technical advisory services for U.S. military and international partners, oversaw three days of flight testing that ran beyond visual range tactical intercept training engagements replicating adversary tactics. F-5 aircraft equipped with Mercury’s mPOD EA training system successfully broke, delayed, and denied opposing fighter radar locks, created multiple false targets on the opposing fighter radar, and performed other electronic attack techniques. mPOD is built with proven technology for electronic warfare training, test, and evaluation: Simultaneously emulate multiple National Air and Space Intelligence Center (NASIC)-validated threats with proven Filthy Buzzard digital RF memory (DRFM) technology developed and validated over 35 years in partnership with the U.S. Air Force and Navy; Quickly reprogram missions and threats for different aircraft and radar systems in minutes via an intuitive software interface; Speed integration with the aircraft display and control panel using the user interface or an integrated cockpit control panel; Attach the mPOD to any aircraft weapon’s pylon or integrate it within the aircraft to reduce drag and maintain aircraft performance; and Decrease overall sustainment cost through a scalable and modular design with six swappable, high MTBF hardware components including a wideband Meggitt antenna. Recent Insider Transactions • Oct 20
Executive VP & Chief Growth Officer recently sold €74k worth of stock On the 15th of October, James Stevison sold around 2k shares on-market at roughly €44.00 per share. This transaction amounted to 2.8% of their direct individual holding at the time of the trade. In the last 3 months, there was an even bigger sale from another insider worth €1.1m. Insiders have been net sellers, collectively disposing of €1.5m more than they bought in the last 12 months. Announcement • Oct 12
Mercury Systems, Inc. to Report Q1, 2023 Results on Nov 01, 2022 Mercury Systems, Inc. announced that they will report Q1, 2023 results at 4:00 PM, US Eastern Standard Time on Nov 01, 2022 Announcement • Sep 28
Mercury Systems, Inc. Introduces Its Model 5560 Fpga Co-Processing Board Powered by Amd Xilinx Versal® Technology Mercury Systems, Inc. introduced the Model 5560, its next-generation 3U OpenVPX™ SOSA™ aligned co-processing board that is the first to be powered by the AMD Xilinx Versal® HBM series with integrated high-bandwidth memory. Electronic warfare and spectrum processing applications used by land, air, and sea-based platforms must capture input signals, process them, and deliver output signals on extremely short timelines. Near-peer adversaries are investing in capabilities to achieve split-second information advantages in warfare, and the United States and its allies must rely on trusted, secure processing to maintain technological superiority. Many existing defense systems use field programmable gate arrays (FPGAs) as co-processers to accelerate data processing at the edge, but they run into bottlenecks when data is transferred to memory that is positioned elsewhere on the board, which delays decision making. Mercury’s Model 5560 is directly integrated with the on-chip HBM via the Versal Programmable Network-On-Chip, resulting in up to an 8x increase in bandwidth and 63% lower power compared to a system using external memory. With gigabytes of HBM directly accessible by the Versal HBM adaptable engines, the overall amount of data that can be pushed through the system can be significantly increased. Model 5560 is the new flagship in Mercury’s portfolio of co-processors that use HBM technology, joining the Model 5585 and 5586 modules. Processing massive amounts of data at the edge with Model 5560: 16 GB of Versal high-bandwidth memory, Versal HBM series delivers memory bandwidth of up to 820 GB/sec, 8x the bandwidth of DDR5 memory at 63% lower power, Four 100 GigE high-speed optical data pipes for an aggregate data throughput rate of 50 GB/sec, Navigator® FPGA design kit (FDK) and board support package (BSP) for operational control and IP development. Mercury envisions, creates, and delivers innovative technology solutions purpose-built to meet its customers' most pressing high-tech needs. Announcement • Sep 16
Mercury Systems, Inc. Appoints of Allen Couture as Senior Vice President of Execution Excellence, effective October 3, 2022 Mercury Systems, Inc. announced that Allen Couture will join the company as Senior Vice President of Execution Excellence, effective October 3, 2022. In this customer-centric role reporting to Mercury CEO Mark Aslett, Mr. Couture will have a matrixed responsibility for engineering, supply chain, operations, quality, and program management to ensure Mercury has systems, processes, and talent that can scale to support Mercury’s growth strategy. Mr. Couture has spent the last 10 years in leadership roles with Raytheon Technologies, most recently serving as Vice President of Operations & Security at Raytheon Missiles & Defense, where he was responsible for all aspects of manufacturing, security, and facilities for the $15.5 billion, 29,000-employee business. Earlier in his career he held senior manufacturing and operations roles with Hawker Beechcraft, including Vice President of Program Management and Vice President of Engineering & Product Development. Mr. Couture spent 15 years in the Canadian Armed Forces Infantry Reserves, where he was a platoon sergeant and battle school instructor. He has a Master’s Certificate in Operations Management from York University and a B.A. in Economics from McMaster University. Announcement • Sep 01
Mercury Systems, Inc. Introduces Rugged Data Storage System Mercury Systems, Inc. announced the new Rugged Data Storage (RDS) system. The data center-class, all-flash network-attached storage (NAS) system is ruggedized for mission-critical aerospace, defense, and commercial edge applications and is designed for low-latency, scalability, and security. Developed in collaboration with VAST Data Federal, RDS changes the paradigm for enterprise storage with a universal, single-tier flash cloud for all types of data that eliminates bottlenecks and complex storage tiering traditionally done with hard disk drives and other media. The proliferation of sensors like radar and image capture have resulted in an explosion of data that is difficult to store, access, or analyze in real-time on conventional hard disk or flash drives. RDS’s universal data storage approach enables fast, secure access to big data and AI and machine learning-powered exploitation at the edge, so users can make critical decisions quickly. RDS utilizes commercial flash technology coupled with unique software algorithms from VAST Data to extend write endurance to 10+ years, as well as reduce disk space requirements via innovative data reduction and compression capabilities that lower total cost of ownership for Mercury customers. Optimized for size, weight, and power-constrained rugged environments such as aircraft, ships, ground radar stations, and industrial applications, Mercury’s RDS system improves performance, ease of serviceability, and data protection at the edge. Multi-Petabyte All-Flash Network-Attached Storage at the Edge: Universal, single-tier flash cloud for all types of data with high-speed NVMe performance to eliminate bottlenecks and complex storage tiering. DPU network acceleration, storage class memory, affordable hyperscale flash technology and VAST DATA software algorithms for fast access to big data, AI and ML insights over high-speed Ethernet. More short-depth storage boxes (D-BOX), compute boxes (C-BOX) and/or network switch boxes can infinitely scale performance or storage capacity. MIL-STD-810 ruggedization and integrated FIPS 140-2 security. Mercury envisions, creates and delivers innovative technology solutions purpose-built or off-the-shelf to meet their customers’ most pressing high-tech needs. Announcement • Aug 23
Mercury Systems, Inc. Announces the New Model 8258 Development Platform Based on A Dual AMD-Xilinx Versal AI Core Device Mercury Systems Inc. announced the new Model 8258 development platform based on a dual AMD-Xilinx Versal® AI Core device. Incorporating Mercury’s previously announced SCFE6931 signal processing module, this ready-to-run, proven platform enables engineers to start application development right “out of the box,” saving them valuable time and reducing project risk. Why It Matters: The Model 8258 development platform allows customers to rapidly deploy Versal AI Core technology, giving soldiers the ability to react quickly and make real-time tactical decisions that are essential for survivability and mission success. The 8258 development platform streamlines the path for engineers to immediately start unlocking the tremendous performance needed for advanced defense system solutions found in the SCFE6931 processing module. The 8258 supports application development on the actual SCFE6931 hardware, versus a lab-only evaluation board, so the IP, software and hardware can transition directly to deployed signals intelligence and electronics intelligence systems, where data can be more quickly analyzed and identified. Versatile development platform ideal for: Developing artificial intelligence applications such as target classification, signal decoding/decryption, image recognition and pattern recognition; Navigator FPGA Development Kit (FDK) allows users to develop custom FPGA IP to add application-specific features; Navigator Board Support Package (BSP) Includes software functions and libraries to program the board and control the Navigator IP; Navigator includes ready to run examples to get started immediately; Optional support for four optical 100 GigE interfaces for fast, parallel processing and data throughput; Two Versal VC1902 processors on the 6U board doubles the heterogeneous processing resources available. Recent Insider Transactions • Aug 19
President recently sold €188k worth of stock On the 17th of August, Mark Aslett sold around 4k shares on-market at roughly €50.38 per share. This was the largest sale by an insider in the last 3 months. Mark has been a seller over the last 12 months, reducing personal holdings by €359k. Recent Insider Transactions • Aug 09
Independent Director recently bought €249k worth of stock On the 5th of August, Howard Lance bought around 5k shares on-market at roughly €49.81 per share. This was the largest purchase by an insider in the last 3 months. Insiders have collectively bought €1.1m more in shares than they have sold in the last 12 months. Reported Earnings • Aug 03
Full year 2022 earnings released: EPS: US$0.20 (vs US$1.13 in FY 2021) Full year 2022 results: EPS: US$0.20 (down from US$1.13 in FY 2021). Revenue: US$988.2m (up 6.9% from FY 2021). Net income: US$11.3m (down 82% from FY 2021). Profit margin: 1.1% (down from 6.7% in FY 2021). Over the next year, revenue is forecast to grow 10%, compared to a 26% growth forecast for the industry in Germany. Over the last 3 years on average, earnings per share has fallen by 33% per year but the company’s share price has only fallen by 6% per year, which means it has not declined as severely as earnings. Announcement • Aug 03
Mercury Systems, Inc. Provides Earnings Guidance for the First Quarter and Full Fiscal Year 2023 Mercury Systems, Inc. provided earnings guidance for the first quarter and full fiscal year 2023. For the quarter, revenues are forecasted to be in the range of $215.0 million to $225.0 million. GAAP net loss for the first quarter is expected to be approximately $18.2 million to $15.6 million, or $0.32 to $0.28 per share, assuming no incremental other non-operating adjustments, or non-recurring financing in the period, and approximately 55.9 million weighted average diluted shares outstanding.For the full fiscal year 2023, revenues are forecasted to be in the range of $1.00 billion to $1.05 billion, and GAAP net income of $15.0 million to $27.9 million, or $0.27 to $0.49 per share, assuming no incremental other non-operating adjustments, or non-recurring financing in the period, and approximately 56.6 million weighted average diluted shares outstanding. Announcement • Jul 15
Mercury Systems, Inc. Announces New mPOD Mercury Systems, Inc. announced that its new mPOD, a rapidly reprogrammable electronic attack (EA) training system designed to train pilots using realistic, near-peer jamming capabilities, is currently undergoing final flight testing. To sharpen their combat skills, pilots need to train in mock air-to-air combat with other pilots operating as adversaries. Using mPOD, “adversary” pilots can emulate enemy jamming techniques accurately, conditioning aircrews to evolving threat scenarios and better preparing them for real combat. Simultaneously emulate multiple National Air and Space Intelligence Center (NASIC)-validated threats with proven Filthy Buzzard digital RF memory (DRFM) technology developed and validated over 35 years in partnership with the U.S Air Force and Navy. Quickly reprogram missions and threats for different aircraft and radar systems in minutes via an intuitive software interface. Speed integration with the aircraft display and control panel using the user interface or an integrated cockpit control panel. Attach the mPOD to any aircraft weapon’s pylon or integrate it within the aircraft to reduce drag and maintain aircraft performance. Decrease overall sustainment cost through a scalable and modular design with six swappable, high MTBF hardware components including a wideband Meggitt antenna. Announcement • Jul 13
Mercury Systems, Inc. to Report Q4, 2022 Results on Aug 02, 2022 Mercury Systems, Inc. announced that they will report Q4, 2022 results After-Market on Aug 02, 2022 Announcement • Jun 25
Mercury Systems Appoints Howard Lance and Bill Ballhaus to Board of Directors Mercury Systems, Inc. announced that Howard Lance, Former Chief Executive Officer of Maxar Technologies, and Bill Ballhaus, Former Chairman and Chief Executive Officer of Blackboard, have been appointed to the Mercury Board of Directors, effective immediately. The addition of these two independent directors to the Board is being made in conjunction with cooperation agreements that the Company has reached with JANA Partners LLC and Starboard Value LP. Howard L. Lance is currently Managing Partner at Lance Advisors LLC. He serves as non-executive Chairman of Summit Materials and as non-executive Chairman of Change Healthcare. He also serves as a Director of New Vista Acquisition Corporation and as non-executive Chairman of privately-held Covanta Energy LLC. He previously served on the public-company boards of Ferrovial S.A., Eastman Chemical Company, Stryker Corporation, and Aviat Networks. Mr. Lance was President and Chief Executive Officer of Maxar Technologies from 2016 to 2019. Previously, he was Executive Advisor – Private Equity at the Blackstone Group from 2012 to 2016. He served as Chairman, President and Chief Executive Officer of Harris Corporation (now L3Harris) from 2003 to 2012. He was Co-President of NCR Corporation and Chief Operating Officer of its Retail and Financial Group from 2001 to 2002. Previously, he spent 17 years at Emerson Electric Company including as Executive Vice President of its Electronics and Telecom businesses, Group President of its Climate Technologies businesses, and Chief Executive Officer of Astec PLC. Mr. Lance holds a Bachelor’s degree in Industrial Engineering from Bradley University and a Master’s degree in Management from Purdue University. Bill Ballhaus currently serves as Chairman of MilestoneRoad Partners, a business consulting firm he founded in 2021 and as Executive Chairman at Government Brands LLC, a provider of software and payments solutions for government customers. He previously served as Chairman and Chief Executive Officer of Blackboard, a leading EdTech company, from 2016 until its merger with Anthology in 2021. Prior to that, he served as Chief Executive Officer and President of SRA International, Inc., a provider of information technology services from 2011 until the creation of CSRA from SRA and CSC’s U.S. public sector business. Before that, Mr. Ballhaus served as Chief Executive Officer and President of private military contractor DynCorp International from 2008 to 2010. Mr. Ballhaus has also held senior leadership positions at BAE Systems, Boeing and Hughes where he led global government and commercial technology businesses particularly focused on software and IT. He currently serves on the Board of Directors of Qmulos, a leading cybersecurity and IT compliance company, and as a senior advisor at PSG, a private equity firm focused on the software industry. He is also a Fellow of the American Institute of Aeronautics and Astronautics. Mr. Ballhaus holds a Bachelor’s degree in Mechanical Engineering from the University of California, Davis and Master’s and Doctorate degrees in Aeronautics and Astronautics from Stanford University. He also earned a Master’s degree in Business Administration from the Anderson Graduate School of Management at UCLA.