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KBR Wins $52M Contract for US Military Counter IT Systems
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KBR, Inc. (KBR - Free Report) secured a $52 million, 60-month contract from the U.S. Department of Defense. The company will support the Counter Improvised Threat Systems Test and Evaluation for the Naval Air Warfare Center Weapons Division (NAWCWD) Quick Reaction Capability Office (QRCO). This contract is a cost-plus-fixed-fee recompete under the Information Analysis Center Multiple Award Contract (IAC MAC).
Per the follow-on contract, the company will mitigate improvised threats through research, conducting analysis, and providing quality data products. The agreement covers requirements analysis, quick reaction test planning, execution and reporting, prototyping, data acquisition and technical analysis. It also includes developing and evaluating test methodologies and designing, developing and maintaining representative test environments.
KBR's expertise in the counter IT community positions the company as a vital supporter of the U.S. military. KBR will enhance the effectiveness and survivability of counter IT systems globally.
The company will use systems engineering, innovative research, and task-specific assets to conduct data collection, analysis and reporting. The research will address key Department of Defense technology areas, including future-generation wireless technology, advanced materials, integrated network systems-of-systems, microelectronics and directed energy.
Consistent Contract Wins Boost Backlog
KBR’s focus on a resilient business model and efficiency-boosting initiatives have sparked its project-winning momentum. Heightening focus on national security on a global scale, energy security, energy transition and climate change is a major tailwind.
In first-quarter 2024, KBR received $1.9 billion in bookings and options in highly strategic areas, with a trailing 12-month book-to-bill of 1.1X.
As of Mar 29, 2024, the total backlog (including award options of $3.596 billion) was $20.8 billion compared with $21.73 billion at 2023-end. Of the total backlog, Government Solutions booked $12.89 billion. The Sustainable Technology Solutions segment accounted for $4.36 billion of the total backlog.
Image Source: Zacks Investment Research
Shares of this Zacks Rank #3 (Hold) company have gained 16.8% year to date compared with the Zacks Engineering - R and D Services industry’s 21.2% growth. Although shares of the company have underperformed the industry this year, the ongoing contract wins are likely to boost its prospects in the forthcoming quarters. KBR’s earnings estimate for 2024 reflects 10.7% year-over-year growth on a 9.3% increase in revenues.
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KBR Wins $52M Contract for US Military Counter IT Systems
KBR, Inc. (KBR - Free Report) secured a $52 million, 60-month contract from the U.S. Department of Defense. The company will support the Counter Improvised Threat Systems Test and Evaluation for the Naval Air Warfare Center Weapons Division (NAWCWD) Quick Reaction Capability Office (QRCO). This contract is a cost-plus-fixed-fee recompete under the Information Analysis Center Multiple Award Contract (IAC MAC).
Per the follow-on contract, the company will mitigate improvised threats through research, conducting analysis, and providing quality data products. The agreement covers requirements analysis, quick reaction test planning, execution and reporting, prototyping, data acquisition and technical analysis. It also includes developing and evaluating test methodologies and designing, developing and maintaining representative test environments.
KBR's expertise in the counter IT community positions the company as a vital supporter of the U.S. military. KBR will enhance the effectiveness and survivability of counter IT systems globally.
The company will use systems engineering, innovative research, and task-specific assets to conduct data collection, analysis and reporting. The research will address key Department of Defense technology areas, including future-generation wireless technology, advanced materials, integrated network systems-of-systems, microelectronics and directed energy.
Consistent Contract Wins Boost Backlog
KBR’s focus on a resilient business model and efficiency-boosting initiatives have sparked its project-winning momentum. Heightening focus on national security on a global scale, energy security, energy transition and climate change is a major tailwind.
In first-quarter 2024, KBR received $1.9 billion in bookings and options in highly strategic areas, with a trailing 12-month book-to-bill of 1.1X.
As of Mar 29, 2024, the total backlog (including award options of $3.596 billion) was $20.8 billion compared with $21.73 billion at 2023-end. Of the total backlog, Government Solutions booked $12.89 billion. The Sustainable Technology Solutions segment accounted for $4.36 billion of the total backlog.
Image Source: Zacks Investment Research
Shares of this Zacks Rank #3 (Hold) company have gained 16.8% year to date compared with the Zacks Engineering - R and D Services industry’s 21.2% growth. Although shares of the company have underperformed the industry this year, the ongoing contract wins are likely to boost its prospects in the forthcoming quarters. KBR’s earnings estimate for 2024 reflects 10.7% year-over-year growth on a 9.3% increase in revenues.
Stocks to Consider
Some better-ranked companies from the Construction sector are discussed below.
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AAON, Inc. (AAON - Free Report) carries a Zacks Rank of 2. AAON delivered a trailing four-quarter earnings surprise of 9.7%, on average.
The Zacks Consensus Estimate for AAON’s 2024 sales and EPS indicates a rise of 3.1% and 1.8%, respectively, from the prior-year levels.
Quanta Services, Inc. (PWR - Free Report) carries a Zacks Rank of 2. PWR delivered a trailing four-quarter earnings surprise of 4.7%, on average.
The Zacks Consensus Estimate for PWR’s 2024 sales and EPS indicates a rise of 8.5% and 17.9%, respectively, from the prior-year levels.