# KBR's government business revenue falls 5% ahead of planned spin-off Mission Technology Solutions posts higher operating income despite lower sales, while its Antarctic support contract is not yet in reported backlog ahead of the planned Trinzic separation. Published 2026-10-29 by TGOs. Canonical: https://tgos.io/news/2026/10/29/kbrs-government-business-revenue-falls-5-ahead-of-planned/ KBR's Mission Technology Solutions business reported third-quarter fiscal 2026 revenue of $1,266 million.[1] Revenue fell 5% from a year earlier.[1] KBR attributed the decline primarily to lower federal civilian volumes associated with anticipated NASA headwinds, partly offset by growth with Defense & Intelligence and International Government customers.[1] The business preserved operating profit as sales contracted: operating income rose 2% to $115 million.[1] KBR credited higher earnings from unconsolidated joint ventures, favorable portfolio mix and project execution, partly offset by lower revenue and higher selling, general and administrative expenses.[1] Mission Technology Solutions backlog and options fell to $17.3 billion at quarter end from $17.5 billion at the end of the preceding quarter.[1][2] The Antarctic Science and Engineering Support Contract is not yet reflected in backlog or book-to-bill.[1] KBR was re-awarded the National Science Foundation contract following resolution of a Government Accountability Office protest; the 20-year contract has an $8 billion ceiling.[1] The segment also won a $208 million Army task order supporting precision strike and aviation modernization over five years.[1] It also won a $60 million NATO PATRIOT technical and engineering support contract.[1] Mission Technology Solutions will become Trinzic upon separation.[1] KBR targets completion on January 4, 2027.[1] The separation remains subject to final board approval and other customary conditions, including effectiveness of the Form 10 registration statement.[1] ## Why it matters KBR is preparing to separate businesses whose revenue moved in opposite directions this quarter, with Sustainable Technology Solutions revenue up 26% to $762 million.[1] That segment reported record backlog of $5.8 billion.[1] KBR and Trinzic plan to present their financial outlooks at separate Investor Days on November 11 and November 12, respectively.[1] ## Sources 1. KBR third quarter fiscal 2026 results, Exhibit 99.1 to Form 8-K 2. KBR second quarter fiscal 2026 results, Exhibit 99.1 to Form 8-K