KBR, Inc. reported third-quarter net income attributable to the company of $133 million, up 16% from a year earlier, and reaffirmed 2026 guidance as it advanced a planned business separation.
The fiscal third quarter ended Oct. 2. Revenue was $2.028 billion, up 5%, while operating income fell 3% to $186 million. Adjusted EBITDA, a non-GAAP measure, rose 12% to $268 million, and adjusted earnings per share increased 10% to $1.12. KBR disclosed the results in an earnings release attached to its Oct. 29 Form 8-K filed with the SEC.
Sustainable Technology Solutions revenue rose $157 million from a year earlier to $762 million, supported by recently booked work. Expected NASA program reductions in Mission Technology Solutions tempered the companywide increase.
KBR linked the net-income increase to strong operating performance, lower interest expense and interest income associated with a discrete tax benefit. Higher spin-off costs partly offset those factors.
The company maintained its 2026 guidance: revenue of $7.90 billion to $8.36 billion, adjusted EBITDA of $980 million to $1.04 billion, adjusted earnings per share of $3.87 to $4.22, and adjusted operating cash flow of $560 million to $600 million.
KBR plans to spin off its Mission Technology Solutions business, which will become Trinzic, Inc. The company says the separation is expected to benefit KBR and its shareholders by creating two independent public companies with distinct strategic focus, operating flexibility and capital allocation priorities. CEO Stuart Bradie said KBR filed the Form 10 during the quarter and continued work to establish standalone systems.
The separation is targeted for Jan. 4, 2027, subject to final board approval and other conditions, including the Form 10 becoming effective. KBR’s investor day is scheduled for Nov. 11 in New York City, followed by Trinzic’s on Nov. 12.
