Slide 1: Q2 2025 Earnings Presentation, July 31, 2025
July 31, 2025 Stuart Bradie, President and CEO Mark Sopp, EVP and CFO Jamie DuBray, VP of Investor Relations
Slide 2: Forward-Looking Statements
Forward-Looking Statements The statements in this presentation that are not historical statements, including statements regarding our expectations for our future financial performance, effective tax rate, operating cash flows, contract revenues, award activity and backlog, program activity, our busi
Slide 3: Stuart Bradie, President and CEO
Stuart Bradie President and CEO © 2025 KBR, Inc.
Slide 4: Zero Harm Moment: Safety Excellence
Zero Harm Moment: Safety Excellence © 2025 KBR, Inc. Delivering Solutions, Changing the World.Ⓡ 4
Slide 5: 2Q 2025 | Key Messages
2Q 2025 | Key Messages $2.0B 1 Delivered solid financial performance in Revenues and strong bottom Revenues line performance with Adj. EBITDA margin1 expansion +6% Executing our strategy through customer centricity in key geographic 2 markets; poised for growth in key U.S. defense markets $242M 1 Ad
Slide 6: Advancing Strategy through Strong Execution and New Contract Wins
Advancing Strategy through Strong Execution and New Contract Wins Key Contract Wins 1.0x Mission Tech: TTM • Awarded subcontract with Strategic Resources Inc to expand psychological health Book-to-Bill1 services to aid Army resilience training • Awarded $476M base operations support contract in Djib
Slide 7: Building Future Opportunities Amidst Delayed Decisions
Building Future Opportunities Amidst Delayed Decisions Mission Tech Sustainable Sustainable Technology Tech Solutions Bid pipeline: $4.5 billion Bids awaiting award: $19 billion Bids expected to be awarded in Bids won and in protest: $2 billion 2H: More than $1.5 billion 1.0x QTD 0.9x TTM 17.8B Back
Slide 8: Executing our Growth Strategy: Middle East
Executing our Growth Strategy: Middle East THRIVE and EXPAND in Core Markets and New Geographies IRAQ Capture Breakout Growth DELIVER Technical, Digital, Process Innovation KUWAIT Create Customer Intimacy DRIVE Operational Excellence Globally UAE Achieve Industry-leading Margins KBR’s Differentiator
Slide 9: KBR Alignment to Government Budget Priorities
KBR Alignment to Government Budget Priorities DoD: RDT&E DoD: O&M NASA International • $11B more funding to US • $16B for Army, Navy and • $7B more funding for Space • Nations strive for sovereign Space Force USAF Sustainment Exploration and Human defense capabilities and ◦ Aligned to LinQuest & Cen
Slide 10: MTS Positioning for the Future
MTS Positioning for the Future Strengthen government engagement and Expand digital leverage KBR’s broader Expand presence in engineering and AI commercial acumen international markets through unique solutions on a combination of technical broader range of consulting and program programs delivery Rea
Slide 11: Mark Sopp, EVP and CFO
Mark Sopp EVP and CFO © 2025 KBR, Inc.
Slide 12: 2Q 2025 | KBR Delivers Continued Growth and Margin Expansion
2Q 2025 | KBR Delivers Continued Growth and Margin Expansion Revenues Adj. EBITDA1 Adj. EPS1 YTD OCF +6% +12% +10% +20% 11.7% 12.4% • Growth in Defense & Intel fueled • Growth due to strong • Growth due to Adj. EBITDA • YTD conversion1 123% by the LinQuest acquisition unconsolidated joint venture an
Slide 13: Strong Segment Performance in an Increasingly Challenging Environment
Strong Segment Performance in an Increasingly Challenging Environment Underscores Business Model Durability Mission Tech Sustainable Sustainable Technology Tech Solutions Revenues Adj. EBITDA1 Revenues Adj. EBITDA1 +7% +6% +2% +17% 10.1% 10.0% 20.7% 23.9% • Revenues: Growth in Defense & • Adj. EBITD
Slide 14: 2Q 2025 | Balance Sheet and Capital Allocation
2Q 2025 | Balance Sheet and Capital Allocation Liquidity and Leverage Net debt 2,234 Balanced Capital Allocation Priorities TTM Adj. EBITDA1 935 Organic Growth Strategic M&A Net debt / TTM Adj. EBITDA1 2.4x • Innovation, digital solutions • Disciplined approach to and engineering accretive, strategi
Slide 15: Revising FY 2025 Guidance
Revising FY 2025 Guidance FY 2025 Guidance Revenues $7.9B - $8.1B vs. $8.7B - $9.1B Adj. EBITDA1 $960M - $980M vs. $950M - $990M Adj. EPS1 $3.78 - $3.88 Financial Modeling Assumptions vs. $3.71 - $3.95 • Capex: ~$30M - $40M Operating Cash Flow $500M - $550M • Effective tax rate: 25% - $27% • Depreci
Slide 16: Updating FY 2027 Financial Targets
Updating FY 2027 Financial Targets Updated Prior FY27 Targets FY27 Targets Revenues $9.0B+ $11.5B+ Revenues CAGR1 MTS: 5% - 8% MTS: 11% - 15% STS: 11% - 15% STS: 11% - 15% Adj. EBITDA2 $1.15B+ $1.15B+ Adj. EBITDA Margin 11%+ 10% - 11% Segment Adj. EBITDA Margin MTS: 10%+ MTS: 9% - 10% STS: 20%+ STS:
Slide 17: Key Takeaways
Key Takeaways • Delivered solid financial performance in Revenues and strong bottom line performance with Adj. EBITDA margin1 expansion • Executing our strategy through customer centricity in key geographic markets; poised for growth in key U.S. defense markets • Disciplined and balanced capital all
Slide 18: Q&A
Q&A © 2025 KBR, Inc.
Slide 19: KBR Investment Thesis
KBR Investment Thesis Multi-year transformation into a leading provider of differentiated, innovative, up-market 1 science, technology, and engineering solutions with large scale, global reach Serving diverse, attractive end markets aligned with secular growth trends including global 2 security, sus
Slide 20: Appendix
er e: Appendix © 2025 KBR, Inc.
Slide 21: HomeSafe Alliance JV - Discontinued Operations
HomeSafe Alliance JV - Discontinued Operations • Substantially completed the wind-down of the joint venture • Contained cash costs to meet obligations through H2 2025 Net Loss Attributable to KBR from Discontinued Operations $(36)M Loss on operations1 Loss on disposal1 $(24)M $(12)M A supplemental i
Slide 22: Non-GAAP Reconciliation
NON-GAAP RECONCILIATION Adjusted EBITDA - KBR Consolidated 2Q'24 2Q'25 YTD 2024 YTD 2025 Net income attributable to KBR $106 $73 $199 $189 Net (income) loss from discontinued operations, net of tax (1) 48 (1) 54 Net (loss) income attributable to noncontrolling interest included in 1 (16) 1 (18) disc
Slide 23: Non-GAAP Reconciliation
NON-GAAP RECONCILIATION Adjusted EBITDA - Segment 2Q'24 2Q'25 YTD 2024 YTD 2025 Operating income - MTS $113 $110 $219 $231 Net loss attributable to noncontrolling interests included in continuing operations 2 1 2 1 Depreciation and amortization 21 30 45 59 Legacy legal fee and settlements (3) — (2)
Slide 24: Non-GAAP Reconciliation
NON-GAAP RECONCILIATION Adjusted EBITDA - Segment 2Q'24 2Q'25 YTD 2024 YTD 2025 Operating income - Corporate $(39) $(39) $(74) $(77) Depreciation and amortization 7 7 14 13 Acquisition, integration and other 5 4 6 10 Adjusted EBITDA - Corporate $(27) $(28) $(54) $(54) Operating income - KBR $180 $19
Slide 25: Non-GAAP Reconciliation
NON-GAAP RECONCILIATION Adjusted EPS 2Q'24 2Q'25 YTD 2024 YTD 2025 Diluted EPS attributable to KBR $0.79 $0.56 $1.47 $1.44 Diluted EPS from discontinued operations — (0.25) — (0.27) Diluted EPS from continuing operations $0.79 $0.81 $1.47 $1.71 Adjustments: Amortization related to acquisitions 0.04
Slide 26: Non-GAAP Reconciliation
NON-GAAP RECONCILIATION Operating Cash Flow Conversion 2Q'24 2Q'25 YTD 2024 YTD 2025 Cash flows provided by operating activities from continuing operations $157 $217 $256 $308 Operating cash flow per share $1.17 $1.68 $1.90 $2.35 Adjusted EPS $0.83 $0.91 $1.59 $1.91 Operating cash flow conversion 14
Slide 27: Supplemental Reconciliation
SUPPLEMENTAL RECONCILIATION Reconciliation of Adjusted EBITDA to Adjusted EPS Three Months Ended July 4, 2025 KBR Adjusted EBITDA $242 Interest expense (41) Other non-operating income (expense) (8) Provision for income taxes (39) Depreciation and amortization (45) EPS adjustments: Amortization relat