Mercury Systems Inc
MRCY Industrials Aerospace & Defense
Mercury Systems Inc’s revenue for fiscal 2026 (year ended June 2026) was $983.6 million, up 7.85% from fiscal 2025. In the quarter to June 2026, revenue grew 6.11%, EPS fell 94.8%, free cash flow fell 15.9% and total debt fell 25.4%, each against the same quarter a year earlier.
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Mercury Systems Inc (MRCY) Altman Z-score
Mercury Systems Inc's Altman Z-score for fiscal 2026 is 6.14, in the safe zone (above 2.99).
Altman Z-score, annual
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Annual newest first
| Period | Altman Z-score | Change (points) |
|---|---|---|
| FY2026 | 6.14 | 3.34 |
| FY2025 | 2.80 | 1.13 |
| FY2024 | 1.67 | (0.69) |
| FY2023 | 2.36 | (1.46) |
| FY2022 | 3.83 | (2.00) |
| FY2021 | 5.83 | (6.90) |
| FY2020 | 12.73 | (3.82) |
| FY2019 | 16.54 | 11.76 |
| FY2018 | 4.79 | (8.10) |
| FY2017 | 12.88 | 9.96 |
How fiscal 2026’s score is made up
| Component | This year | Year before | Result | Points |
|---|---|---|---|---|
| Working capital / total assets | 0.28 | — | 0.33 | |
| Retained earnings / total assets | 0.07 | — | 0.09 | |
| EBIT / total assets | 0.00 | — | 0.00 | |
| Market value of equity / total liabilities | 8.81 | — | 5.29 | |
| Sales / total assets | 0.42 | — | 0.42 | |
| Altman Z-score | Safe zone | 6.14 | ||
| Z″ Variant for non-manufacturing and asset-light companies (drops the sales/assets term, uses book equity) | Safe zone | 3.94 | ||
How the Altman Z-score works
Z = 1.2 × working capital ÷ total assets + 1.4 × retained earnings ÷ total assets + 3.3 × EBIT ÷ total assets + 0.6 × market value of equity ÷ total liabilities + 1.0 × revenue ÷ total assets (Altman, 1968). The market value of equity is the close on the last trading day of the fiscal year times weighted basic shares.
Z″ = 6.56 × working capital ÷ total assets + 3.26 × retained earnings ÷ total assets + 6.72 × EBIT ÷ total assets + 1.05 × book equity ÷ total liabilities (Altman, Hartzell and Peck, 1995), the variant for non-manufacturing and asset-light companies.
| Zone | Z | Z″ |
|---|---|---|
| Safe zone | above 2.99 | above 2.60 |
| Grey zone | 1.81–2.99 | 1.10–2.60 |
| Distress zone | below 1.81 | below 1.10 |
Not worked out for banks, insurers and REITs, whose balance sheets the model does not describe, nor when a figure is missing or there is no share price in the week to the fiscal year end.
Altman Z-score against peers
| Company | Altman Z-score |
|---|---|
| ACHR Archer Aviation Inc. compare | 9.4× |
| KRMN Karman Holdings Inc. compare | 8.9× |
| MRCY Mercury Systems Inc | 6.1× |
| VSEC VSE Corporation compare | 5.1× |
| LOAR Loar Holdings Inc. compare | 5.1× |
| MOG.B Moog Inc. compare | 4.0× |
| AIR AAR Corp. compare | 3.7× |
| BETA BETA Technologies, Inc. compare | 3.5× |
| PL Planet Labs PBC compare | 3.4× |
What Altman Z-score is
The Altman Z-Score weighs working capital, retained earnings, operating profit, market value and sales against assets and debts to gauge the risk of distress.
1.2 × working capital ÷ total assets + 1.4 × retained earnings ÷ total assets + 3.3 × EBIT ÷ total assets + 0.6 × market value of equity ÷ total liabilities + 1.0 × revenue ÷ total assets