Investing.com — shares rose 8% on Tuesday after the defense company secured a $1.4 billion European contract for military modernization and reported first-quarter results.
The company reported revenues of $2,188.8 million for the first quarter of 2026, compared to $1,895.8 million in the same period last year. Gross profit reached $552.1 million, representing 25.2% of revenues, up from $454.3 million, or 24.0% of revenues, in the first quarter of 2025.
Non-GAAP gross profit totaled $558.7 million, or 25.5% of revenues, compared to $460.6 million, or 24.3% of revenues, in the year-ago quarter. The company’s backlog exceeded $30 billion for the first time.
“We began 2026 with a strong quarter across all key metrics, including double-digit growth in revenue and profitability, with Non-GAAP operating margins surpassing the 10% mark,” said Bezhalel (Butzi) Machlis, President and CEO of Elbit Systems.
Machlis added that the European contract win strengthens the company’s position as a strategic partner to customers worldwide. The company is scaling production capacity and increasing the use of automation, robotics and artificial intelligence to meet rising demand while maintaining capital discipline and expanding operational margins.
Elbit Systems is also increasing investment in research and development to develop next-generation offerings.
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