LDOS · 10-Q · 2026Q3 · Full report

Income Tax Rate Changes

Leidos Holdings, Inc. · 2026-08-04 · Importance 47 · Surprise 48

Leidos' effective tax rate decreased to 21.1% from 24.1% for the three months ended July 3, 2026. The six-month effective tax rate decreased to 21.5% from 23.9% in the prior-year period. The reductions in both periods were primarily caused by lower unrecognized tax benefits. Six-month income tax expense decreased 20.6% to $189 million from $238 million.

Key facts

• The effective tax rate was 21.1% for the three months ended July 3, 2026 and 24.1% for the three months ended July 4, 2025. source
• The effective tax rate was 21.5% for the six months ended July 3, 2026 and 23.9% for the six months ended July 4, 2025. source
• The decrease in the effective tax rate in both periods was primarily due to a decrease in unrecognized tax benefits. source