Why Kratos Could Be Defense Tech's Biggest Growth Story | CEO Eric DeMarco
Kratos says production ramps in hypersonics, drones, and engines will drive multi-year growth. CEO Eric DeMarco highlights AI,Β ...
Chief Executive Officer, President & Director, Kratos Defense Security
Search every verified Eric Demarco interview, podcast appearance, and on-the-record quote β each transcript cross-checked by AI and human review to confirm speaker identity. Eric DeMarco, CEO of Kratos Defense & Security Solutions, stated during the company's Q4 2025 earnings call that Kratos expects to approximately double its hypersonic franchise revenues in 2026 over 2025 to around $400 million, with a potential further increase of over 75% in 2027 to approximately $700 million. He described the current period as a "generational recapitalization of strategic weapon systems" driven by geopolitical threats, and noted that Kratos is one of the few non-traditional prime contractors qualified to address the resulting demand for military-grade hardware. DeMarco also emphasized the company's focus on low-cost, high-volume production of jet drones, hypersonic systems, and small jet engines, citing the principle that "quantity has a quality all of its own." In interviews and public appearances, DeMarco has discussed Kratos's vertical integration strategy for mission-critical parts and its use of non-traditional manufacturers, such as automotive industry suppliers, to manage costs. He has expressed concern about low-cost, fiber-optic tethered drones used by adversaries, describing them as difficult to counter. DeMarco has also argued that the U.S. defense industry needs to prioritize fielding systems at 90% capability rather than pursuing perfection, stating that "better is the enemy of good enough." He characterized his role at Kratos as a "passion" and a "mission," citing "God, family, country" as his guiding principles)Skip
“There's a generational recapitalization of strategic weapon systems happening right now to take on Russia and China; we have a trillion-dollar defense spend in 2026 including the base budget and about $120 billion from the reconciliation bill.”
“Quantity has a quality all of its own β you're going to see quantities of very capable autonomous or AI-driven systems that by definition need to be very low cost, delivering perhaps 90% of the capability of an exquisite system at orders of magnitude lower cost so you can have affordable mass.”
“Crisply stated, we now have a $1 trillion annual defense spend that is expected to increase for the foreseeable future. And as a result of the defense industry consolidation, which began with the infamous DoD Last Supper in 1993, there are few qualified companies with proven capabilities to address the required militar...”
“We are expecting to approximately double Kratos's hypersonic franchise revenues in 2026 over 2025 up to approximately 400 million and then potentially increase over 75% again in 27 up to approximately 700 million.”
Kratos says production ramps in hypersonics, drones, and engines will drive multi-year growth. CEO Eric DeMarco highlights AI,Β ...
02/23/2026 Q&A: 38:43 Kratos Defense & Security Solutions, Inc., a technology company, provides technology, products, andΒ ...
Watch the full interview with Kratos Defense CEO Eric DeMarco on Drone Wars Podcast: Full Episode Here β From droneΒ ...
Watch the full interview with Kratos Defense CEO Eric DeMarco on Drone Wars Podcast From drone swarms to hypersonics andΒ ...
Watch the full interview with Kratos Defense CEO Eric DeMarco on Drone Wars Podcast From drone swarms to hypersonics andΒ ...
Watch the full interview with Kratos Defense CEO Eric DeMarco on Drone Wars Podcast: Full Episode Here β From droneΒ ...
Watch the full interview with Kratos Defense CEO Eric DeMarco on Drone Wars Podcast From drone swarms to hypersonics and AI in warfare, this conversation explores how the battlefield is evolvingβand what it takes to stay ahead. #DroneWarsPodcast #EricDeMarco #KratosDefense #MilitaryTech #Hypersonics #AIWarfare #DefenseInnovation
Watch the full interview with Kratos Defense CEO Eric DeMarco on Drone Wars Podcast From drone swarms to hypersonics andΒ ...
Watch the full interview with Kratos Defense CEO Eric DeMarco on Drone Wars Podcast From drone swarms to hypersonics andΒ ...
Watch the full interview with Kratos Defense CEO Eric DeMarco on Drone Wars Podcast From drone swarms to hypersonics andΒ ...
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