HIGHBuilt-in & outside partyCustomer
80%
U.S. government
“10-K Item 1: 'Revenues derived directly, as a prime contractor, or indirectly, as a subcontractor, from contracts with the U.S. government represented 80%'”
DRS · Concentration risk · 10-K extracted
Leonardo DRS (DRS) concentration risks
Updated
The most significant concentration Leonardo DRS discloses is U.S. government at 80%, classified HIGH by disclosed size. Below: the full set from the latest 10-K — verbatim quotes, filing references, and a synthesis of what these exposures mean together.
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.
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Source: Leonardo DRS’s SEC Form 10-K filed — view the filing on SEC EDGAR ↗
At a glance
Disclosed-size breakdown · 4 disclosed concentrations
HIGH2
MEDIUM2
LOW0
Disclosed concentrations
Each card carries a disclosed-size chip (HIGH / MEDIUM / LOW — how large the exposure is as a share of revenue, not how dangerous it is) and a nature tag: Built-in(the company’s own model, geography, or products) or Outside party (an external customer, supplier, or distributor it relies on).
HIGHOutside partySupplier
sole-source component suppliers
“10-K Item 1: 'several suppliers serve as the sole source of certain components'”
MEDIUMBuilt-in & outside partyCustomer
36%
U.S. Navy
“10-K Item 1A: 'revenues principally derived directly or indirectly from contracts with the U.S. Navy and U.S. Army, which represented 36% and 36%, respectively, of our total revenues'”
MEDIUMBuilt-in & outside partyCustomer
36%
U.S. Army
“10-K Item 1A: 'revenues principally derived directly or indirectly from contracts with the U.S. Navy and U.S. Army, which represented 36% and 36%, respectively, of our total revenues'”
TrendMatrix Research · concentration synthesis
What these concentrations mean together
updated 2026-06-24The company's disclosed concentration profile is dominated by a large-share reliance on the U.S. government as its primary customer, with further concentration within specific military branches and a supply-chain vulnerability in sole-source components. Revenues derived directly or indirectly from contracts with the U.S. government represented 80% of total revenues, a large-share exposure by disclosed size with a mixed character — structural in that the defense market is the company's intended end-market, but also dependent on the continuation of government appropriations and contract awards that are subject to political and budgetary cycles. Within that broad government share, the U.S. Navy and U.S. Army each represented 36% of total revenues respectively, a moderate-share concentration for each branch individually. This means a significant portion of the revenue base is tied to two specific service branches, and any major program cancellation, delay, or competitive re-award in either would be felt across a material share of the portfolio. On the supply side, several suppliers serve as the sole source of certain components, a large-share concern by disclosed size with a dependency character. Combined with the customer concentration, this creates a compounding risk: the company is dependent on the U.S. government for demand and on sole-source suppliers for production continuity. Disruption in either channel — a program cut or a supplier failure — would affect a large portion of operations simultaneously.
For the engine’s reasoning on DRS’s current verdict — including which dimensions drove the score — see the per-dimension breakdown.
Industry peers · Aerospace & Defense
Peer concentration profile
| Symbol | Name | HIGH | MEDIUM | LOW | Total |
|---|---|---|---|---|---|
| DRS● | Leonardo DRS, Inc. | 2 | 2 | 0 | 4 |
| AVAV | AeroVironment, Inc. | 1 | 1 | 2 | 4 |
| ACHR | Archer Aviation Inc. | 1 | 0 | 0 | 1 |
| AXON | Axon Enterprise, Inc. | 0 | 2 | 0 | 2 |
| AIR | AAR Corp. | 0 | 0 | 1 | 1 |
| ATRO | Astronics Corporation | 0 | 0 | 1 | 1 |
Concentration counts reflect items disclosed in each peer’s most recent 10-K; disclosed-size classification uses TrendMatrix’s internal 10-K extraction taxonomy.