Mercury Systems reports Q2 adjusted EPS (42c), consensus 7c

Reports Q2 revenue $197.46M, consensus $214.44M. Reports Q2 bookings of $325.4M and book-to-bill ratio of 1.65. “In the second quarter of this transitional year, we focused on the two dynamics in our business that we believe are transitory-shifting our high mix of development programs to production and converting our high level of working capital into significant cash flow,” said Bill Ballhaus, Mercury’s Chairman and CEO. “While our financial performance was diminished by a number of factors, including what we believe is outsized program cost growth as well as manufacturing adjustments and contract settlements, we made solid headway in each of our four priority focus areas – delivering predictable performance, building a thriving growth engine, expanding margins, and driving improved free cash flow.”