LDOS · 10-Q · 2026Q4 · Full report

Acquisition / Partnership / Divestiture

Leidos Holdings, Inc. · 2026-11-03 · Importance 71 · Surprise 60 · Matches filing data

Leidos completed its $2.338 billion cash acquisition of Entrust in fiscal 2026, funding part of the consideration with $1.4 billion of senior notes issued in March 2026. Entrust contributed $294 million of revenue in Homeland during the first nine months of fiscal 2026 and had $371 million of backlog at the March 27, 2026 acquisition date. On October 5, 2026, Leidos completed the SES Business divestiture, retaining a 41.5% non-controlling interest in the joint venture while Altaris holds 58.5%; management expects fiscal fourth-quarter revenue to be lower than it otherwise would have been.

Key facts

• Nine-month investing cash use increased $2,073 million year over year, primarily due to $2,338 million paid for the Entrust acquisition, net of cash acquired, and higher capital expenditures. source
• The SES Business divestiture closed on October 5, 2026; Leidos retained a 41.5% non-controlling equity interest in the new joint venture and Altaris holds 58.5%. source
• Leidos expects fourth-quarter fiscal 2026 revenue to be lower as a result of the SES Business divestiture than it would have been without the transaction. source

Impact estimates