Ameresco wins $197 million contract with Naval Research Laboratory

WASHINGTON - Ameresco, Inc. (NYSE:AMRC), a $2.03 billion market cap clean technology integrator with revenue growth of 22.85% over the last twelve months, has secured a $197 million Energy Savings Performance Contract (ESPC) with the U.S. Naval Research Laboratory (NRL) to modernize infrastructure at its Washington, D.C. campus and Chesapeake Bay Detachment, according to a press release issued Monday.

The contract, executed through the U.S. Army Engineering Support Center, Huntsville ESPC III Multiple Award Task Order Contract, aims to upgrade energy and water systems across NRL facilities. The project includes modernizing steam generation and distribution, chilled water systems, and implementing a Supervisory Control and Data Acquisition (SCADA) system. According to InvestingPro data, Ameresco maintains a healthy current ratio of 1.56, indicating sufficient liquidity to handle large-scale projects.

The initiative is expected to generate more than $362 million in savings over a 21-year performance period, with annual cost savings projected at $12.5 million once fully implemented.

Key improvements include boiler and chiller plant upgrades, site-wide LED lighting installation, retrofits to steam distribution and plumbing systems, and cooling tower optimization through enhanced water treatment technologies.

A significant portion of the work will address urgent infrastructure needs, such as repairing and replacing aging steam and condensate distribution systems that are critical to the laboratory’s operations.

"By integrating high-efficiency systems and SCADA-enabled technologies, we’re modernizing aging infrastructure and delivering significant cost savings," said Nicole Bulgarino, President of Federal Solutions and Utility Infrastructure at Ameresco.

The project was included in Ameresco’s previously reported awarded backlog as of June 30, 2025. The stock has shown remarkable momentum, with a 245% return over the past six months, and is currently trading near its 52-week high. InvestingPro subscribers have access to 21 additional exclusive tips and comprehensive analysis for AMRC, including detailed valuation metrics and growth forecasts.

In other recent news, Ameresco reported several significant developments. The company has completed energy infrastructure projects at Ave Maria University in Florida, implementing a new building automation system across five campus buildings. This initiative is projected to save approximately $200,000 annually. Additionally, Ameresco announced a partnership with the U.S. Navy to develop a 100 MW AI-optimized data center at Naval Air Station Lemoore in California. This project, in collaboration with CyrusOne, will include a new microgrid and infrastructure upgrades to enhance energy resilience.

In terms of stock analysis, Jefferies upgraded Ameresco’s stock rating from Hold to Buy, increasing the price target to $39.00, citing reduced execution risks and diminished uncertainty surrounding the Inflation Reduction Act. Baird also upgraded the stock rating from Neutral to Outperform, raising the price target to $35.00 due to strong demand for Ameresco’s clean energy services. These upgrades reflect a positive outlook from analysts on Ameresco’s growth prospects.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.