DLHC DLH Holdings Corp.
Price Chart
Executive Summary
DLH Holdings reported Q2 FY2026 (March 2026) results with revenue of $59.3M, down 33.5% YoY, and a GAAP net loss of $2.5M ($0.17 per share) versus a $0.9M profit last year. The revenue decline was driven by the ongoing transition of legacy prime contracts to small-business set-aside contractors. EPS missed the consensus estimate of -$0.16, coming in at -$0.17.
Key Financial Metrics
Actionable Insight
The continued revenue erosion and EPS miss reinforce a negative trajectory. Watch Q3 for completion of program transitions — if revenue stabilizes, the stock could find a floor; further declines would deepen losses. Debt reduction and FCF are supportive but secondary to top-line stabilization.
Key Facts
- Revenue $59.3M, down 33.5% YoY from $89.2M
- GAAP diluted EPS $(0.17) vs $(0.16) consensus (miss)
- Net loss $(2.5)M vs net income $0.9M last year
- Adjusted EBITDA $5.3M (9.0% margin) vs $9.4M (10.5%) last year
- Debt reduced to $132.7M from $136.6M at Q1 end
- Free cash flow $3.8M in Q2
- Awarded two-year sole source NIH contract extension
- Management guides for transition completion in Q3 FY2026
Financial Impact
Revenue declined 33.5% YoY to $59.3M; net loss of $2.5M (EPS -$0.17) vs consensus -$0.16; adjusted EBITDA margin compressed to 9.0% from 10.5%
Risk Factors
- Further revenue shrinkage if transition extends beyond Q3
- Inability to win new contracts to fill the revenue gap
- Potential covenant breaches if debt reduction stalls
Market Snapshot
Documents Analyzed
This report is based on 6 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001628280-26-031338 |
| Document: dlhc-20260506.htm | 0001628280-26-031338 |
| Document: 0001628280-26-031338-index-headers.html | 0001628280-26-031338 |
| Document: 0001628280-26-031338-index.html | 0001628280-26-031338 |
| Document: 0001628280-26-031338.txt | 0001628280-26-031338 |
| 8-K Data (Synthetic) | 0001628280-26-031338 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
|
Jun 4, 2026
5d ago
|
S-3
| $5.68 awaiting T+20 | awaiting T+20 | — | $5.56 (+2.11%) |
|
May 6, 2026
4w ago
|
8-K
| $5.73 $5.51 | ▲ +3.84% | ▲ +6.98% | $5.56 (+2.97%) |
US Market Status
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