Leidos is a U.S. government-focused technology and services company, generating roughly 87% of revenue from U.S. federal contracts. Leidos operates across four segments: Intelligence and Digital (~33% of revenue), Health (~27%), Defense (~21%), and Homeland (~18%). In the Intelligence and Digital segment, Leidos manages IT infrastructure, cyber operations, and mission software for the DoD and Intelligence Community. The Health segment — Leidos' highest-margin business — runs medical disability exam clinics for the VA and DoD, and operates the military's electronic health record system. The Defense segment designs and produces hardware including integrated air defense systems, hypersonic missile components, and maritime autonomous vessels, primarily through the Dynetics business. The Homeland segment covers airport and border security detection products, international government work in the UK and Australia, FAA mission software, and energy infrastructure engineering for commercial utilities. Leidos sells primarily through direct contracts with government agencies as a prime or subcontractor, using a mix of cost-reimbursable, time-and-materials, and fixed-price contracts — the latter now ~43% of the portfolio. The key margin driver is Leidos' ability to deploy AI and automation to reduce program delivery costs below contracted prices. Leidos' growth strategy focuses on space and maritime systems, energy infrastructure, digital modernization and cyber, mission software, and managed health services.