Kratos Q4 revenue $249.3M (+17.8% YoY); net loss $8.3M; FY23 guidance $980M-$1B

ress Contact: Yolanda White 858-812-7302 Direct Investor Information: 877-934-4687 investor@kratosdefense.com Kratos Reports Fourth Quarter and Fiscal 2022 Financial Results Fiscal 2022 Revenues of $898.3 Million and Fourth Quarter 2022 Revenues of $249.3 Million Increased 10.7 Percent and 17.8 Percent over Fiscal Year and Fourth Quarter 2021 Revenues, Respectively Fourth Quarter 2022 Consolidated Book to Bill Ratio of 1.2 to 1 Fiscal 2022 Consolidated Book to Bill Ratio of 1.1 to 1 SAN DIEGO, CA, February 23, 2023 – Kratos Defense & Security Solutions, Inc.

For the fourth quarter of 2022, Kratos reported Revenues of $249.3 million, Operating Income of $4.1 million, Net Loss of $8.3 million, Adjusted EBITDA of $19.2 million and a consolidated book to bill ratio of 1.2 to 1.0. Included in fourth quarter 2022 Net Loss and Operating Income is non-cash stock compensation expense of $6.4 million and Company-funded Research and Development (R&D) expense of $10.6 million, primarily reflecting significant ongoing development efforts being made, including in our Space and Satellite business to develop our virtual, software-based OpenSpace command & control (C2), telemetry tracking & control (TT&C) and other ground system solutions. Also included in fourth quarter 2022 Net Loss is a tax provision of $6.0 million primarily resulting from a non-cash valuation allowance of $5.6 million recorded related to deferred tax assets of certain state net operating loss carryforwards and R&D credits. Kratos reported a fourth quarter 2022 GAAP Net Loss per share