HIGHBuilt-in & outside partyCustomer
97%
government customers
“10-K Item 1A: 'to the U.S. government, as well as foreign governments, accounted for approximately 97%...of our total net revenues in fiscal years 2025'”
MRCY · Concentration risk · 10-K extracted
Mercury Systems (MRCY) concentration risks
Updated
The most significant concentration Mercury Systems discloses is government customers at 97%, 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: Mercury Systems’s SEC Form 10-K filed — view the filing on SEC EDGAR ↗
At a glance
Disclosed-size breakdown · 5 disclosed concentrations
HIGH2
MEDIUM0
LOW3
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 1A: 'Several components used in our products are currently obtained from sole-source suppliers'”
LOWOutside partyCustomer
13%
RTX Corporation
“10-K Item 1A: 'In fiscal 2025, RTX Corporation accounted for 13% of our total net revenues'”
LOWOutside partyCustomer
10%
Lockheed Martin
“10-K Item 1A: 'both Lockheed Martin and U. S. Navy accounted for 10% of our total net revenues'”
LOWBuilt-inCustomer
10%
U.S. Navy
“10-K Item 1A: 'both Lockheed Martin and U. S. Navy accounted for 10% of our total net revenues'”
TrendMatrix Research · concentration synthesis
What these concentrations mean together
updated 2026-06-24The company's disclosed concentration profile is almost entirely government-facing, with supply-side vulnerability layered on top. Sales to the U.S. government and foreign governments accounted for approximately 97% of total net revenues in fiscal year 2025 — a high share by disclosed size with mixed character, reflecting both a structural positioning as a defense electronics specialist and a dependency on government program funding and appropriations continuity. The near-totality of this government exposure means the business is functionally insulated from commercial cycles but highly sensitive to defense budget dynamics, program cancellations, and procurement decisions. On the supply side, several components are currently obtained from sole-source suppliers — a high share by disclosed size with a dependency character. For a defense electronics company operating under program timelines and qualification requirements, sole-source component arrangements create a pinch point where a single supplier's capacity, pricing, or continuity can constrain production schedules in ways that are difficult to resolve quickly. At the named-customer level, RTX Corporation accounted for 13% of total net revenues in fiscal 2025 and Lockheed Martin accounted for 10% — both small shares by disclosed size at the consolidated level, with the U.S. Navy also at 10%. These are program-level dependencies within the broader defense ecosystem. In aggregate, the profile is structurally concentrated in government demand, with sole-source supply risk as the most idiosyncratic near-term operational variable.
For the engine’s reasoning on MRCY’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 |
|---|---|---|---|---|---|
| MRCY● | Mercury Systems Inc | 2 | 0 | 3 | 5 |
| 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.