LDOS · 10-Q · 2026Q4 · Full report
Income Tax Rate Changes
Leidos Holdings, Inc. · 2026-11-03 · Importance 35 · Surprise 48 · In source text
The effective tax rate was 18.9% for the nine months ended October 2, 2026, compared with 23.9% in the prior-year period. For the third quarter, the rate declined to 14.3% from 23.8%. The filing attributed the rate reductions to a higher federal research tax credit and a decrease in unrecognized tax benefits; nine-month income tax expense decreased 26.9% to $258 million.
Key facts
- Leidos's effective tax rate was 14.3% for the three months ended October 2, 2026, versus 23.8% in 2025, and 18.9% for the nine months ended October 2, 2026, versus 23.9% in 2025; the decreases primarily reflected increased federal research tax credits and decreased unrecognized tax benefits. source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| net_income | positive | realized | — | Leidos's effective tax rate was 14.3% for the three months ended October 2, 2026, versus 23.8% in 2025, and 18.9% for the nine months… |