Financial leverage has escalated significantly, with total debt reaching $867.0 million in 2026Q1, creating a strained capital structure relative to the $405.7 million in total equity.
| Total Current Assets | 370.29M | 291.4M | 201.71M | 157.69M | 119.73M |
| Cash & Short-Term Investments | 73.8M | 33.96M | 11.53M | 5.45M | 6.63M |
| Cash Only | 73.8M | 33.96M | 11.53M | 5.45M | 6.63M |
| Short-Term Investments | 0 | 0 | 0 | 0 | 0 |
| Accounts Receivable | 267.98M | 235.01M | 162.44M | 139.78M | 108.91M |
| Days Sales Outstanding | 159.19 | 181.93 | 171.73 | 181.76 | 175.66 |
| Inventory | 16.14M | 10.66M | 9.88M | 9.84M | 2.27M |
| Days Inventory Outstanding | 16.86 | 13.83 | 16.93 | 20.5 | 5.7 |
| Other Current Assets | 12.37M | 11.77M | 12.2M | 0 | 0 |
| Total Non-Current Assets | 1.05B | 851.26M | 572.25M | 553.14M | 562.86M |
| Property, Plant & Equipment | 199.75M | 207.01M | 136.96M | 58.19M | 55.53M |
| Fixed Asset Turnover | 2.93x | 2.28x | 2.52x | 4.82x | 4.08x |
| Goodwill | 439.21M | 352.51M | 225.15M | 217.27M | 217.27M |
| Intangible Assets | 400.46M | 285.89M | 208.95M | 207.56M | 221.96M |
| Long-Term Investments | 0 | 0 | 0 | 0 | 563.46K |
| Other Non-Current Assets | 8.03M | 5.85M | 1.19M | 70.12M | 67.53M |
| Total Assets | 1.42B | 1.14B | 773.96M | 710.83M | 682.59M |
| Asset Turnover | 0.47x | 0.41x | 0.45x | 0.39x | 0.33x |
| Asset Growth % | 138.93% | 47.64% | 8.88% | 4.14% | - |
| Total Current Liabilities | 104.8M | 88.67M | 114.61M | 87.07M | 58.3M |
| Accounts Payable | 38.42M | 31.63M | 28.3M | 21.04M | 12.92M |
| Days Payables Outstanding | 38.73 | 41.02 | 48.46 | 43.85 | 32.44 |
| Short-Term Debt | 12.42M | 3.84M | 7.14M | 6.26M | 6.26M |
| Deferred Revenue (Current) | 64.44M | 22.81M | 29.87M | 36.07M | 16.07M |
| Other Current Liabilities | 10.2M | 5.09M | 12.49M | 0 | 8.87M |
| Current Ratio | 3.53x | 3.29x | 1.76x | 1.81x | 2.05x |
| Quick Ratio | 3.38x | 3.17x | 1.67x | 1.70x | 2.01x |
| Cash Conversion Cycle | 137.31 | 154.74 | 140.2 | 158.41 | 148.91 |
| Total Non-Current Liabilities | 907.25M | 671.31M | 463.36M | 441.3M | 446.69M |
| Long-Term Debt | 752.18M | 495.31M | 351.92M | 318.02M | 320.24M |
| Capital Lease Obligations | 345.41M | 81.94M | 83.3M | 81.4M | 71.09M |
| Deferred Tax Liabilities | 187.3M | 86.4M | 25.37M | 36.88M | 47.59M |
| Other Non-Current Liabilities | 6.93M | 7.65M | 2.77M | 5M | 7.78M |
| Total Liabilities | 1.01B | 759.98M | 577.96M | 528.37M | 505M |
| Total Debt | 866.99M | 587.31M | 447.87M | 409.33M | 403.58M |
| Net Debt | 793.19M | 553.35M | 436.34M | 403.88M | 396.95M |
| Debt / Equity | 2.14x | 1.53x | 2.29x | 2.24x | 2.27x |
| Debt / EBITDA | 6.45x | 5.08x | 4.65x | 5.41x | 7.28x |
| Net Debt / EBITDA | 5.90x | 4.78x | 4.53x | 5.34x | 7.16x |
| Interest Coverage | 1.93x | 1.73x | 1.28x | 1.02x | 0.54x |
| Total Equity | 405.69M | 382.69M | 196M | 182.46M | 177.6M |
| Equity Growth % | 111.53% | 95.25% | 7.42% | 2.74% | - |
| Book Value per Share | 3.06 | 2.89 | 1.48 | 1.38 | 1.34 |
| Total Shareholders' Equity | 405.69M | 382.69M | 196M | 182.46M | 177.6M |
| Common Stock | 133K | 132K | 204.26M | 203.42M | 202.92M |
| Retained Earnings | 16.82M | 9.03M | -8.34M | -21.04M | -25.4M |
| Treasury Stock | 0 | 0 | 0 | 0 | 0 |
| Accumulated OCI | 75K | 75K | 75.08K | 76.32K | 75.89K |
| Minority Interest | 0 | 0 | 0 | 0 | 0 |
High Debt-to-Equity Leverage
According to the 2026Q1 balance sheet, KRMN's total debt has surged to $867.0 million, driving the debt-to-equity ratio to 2.14, which suggests that the company is increasingly reliant on external financing to fund its aggressive acquisition-led growth strategy in the aerospace and defense sector.
The rapid expansion of debt levels relative to equity indicates a capital structure that may be sensitive to interest rate fluctuations and refinancing requirements. Investors should monitor whether this leverage is being utilized to generate sustainable returns on invested capital or if it primarily serves to bridge the gap between operational cash burn and capital expenditure needs.
Based on reported financial statements, KRMN's asset base is heavily weighted toward intangibles, with goodwill reaching $439.2 million in 2026Q1, representing a significant portion of the $1.4 billion in total assets and highlighting the risks inherent in the company's historical roll-up acquisition strategy.
The high concentration of goodwill suggests that the company's valuation is sensitive to the performance of acquired entities and potential impairment charges if those units fail to meet growth targets. While PPE has grown to $199.8 million, the reliance on intangible assets warrants caution regarding the long-term durability of the balance sheet.
As reported in recent filings, KRMN's cash position of $73.8 million against $471 million in revenue suggests a relatively thin liquidity buffer, which may limit the company's flexibility to navigate operational shocks or unexpected delays in defense program payments during this high-growth phase.
While the current ratio of 3.53 appears healthy on the surface, the underlying cash-to-revenue profile indicates that the company is operating with minimal margin for error. This liquidity profile suggests that the firm may remain dependent on external capital markets or parent-level support to sustain its current operational trajectory.
Based on the 2026Q1 data, KRMN's equity base of $405.7 million remains modest relative to its debt load, with retained earnings of only $16.8 million, indicating that the company has yet to build a significant internal capital buffer through its own profitable operations.
The limited accumulation of retained earnings reflects the company's history of losses and the high costs associated with its rapid consolidation strategy. Investors should evaluate whether the current equity base is sufficient to support future growth without necessitating further dilution or additional debt issuance.
Quick answers to the most common questions about buying KRMN stock.
As of 2025, Karman Holdings Inc. (KRMN) had total assets of $1.14B including $291.4M in current assets.
Karman Holdings Inc. (KRMN) carries total debt of $587.3M, offset by $34.0M in cash and short-term investments. Comparing total debt to cash helps evaluate the company's debt burden and net leverage.
Karman Holdings Inc. (KRMN) has total shareholders' equity (book value) of $382.7M ($2.89 book value per share). Book value represents the net worth of the company belonging to common stock holders.
Karman Holdings Inc. (KRMN) reported a current ratio of 3.29x. A current ratio above 1.0x indicates that the company has more current assets than current liabilities, suggesting sufficient short-term liquidity.