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CAMDEN, Ark. - L3Harris Technologies (NYSE:LHX), a prominent player in the Aerospace & Defense industry with a market capitalization of $49.6 billion, announced plans to construct a large solid rocket motor (LSRM) production campus at its site in Camden, Arkansas, as part of a nearly $500 million investment across its major production sites. According to InvestingPro data, the company has demonstrated strong financial performance with a 26.7% year-to-date return.
The new campus will span 110 acres and include more than 20 buildings dedicated to producing rocket motor propulsion for missile defense targets, interceptors, and hypersonic vehicles. The expansion will add over 130,000 square feet of manufacturing and office space to the company’s existing 2,000-acre energetic production site, which currently employs approximately 1,300 people. This expansion aligns with L3Harris’s strong market position, as the company generates annual revenue of $21.25 billion and maintains healthy profit margins.
According to the company’s press release statement, the new facilities are expected to increase manufacturing capacity six-fold. The campus will utilize program-agnostic equipment designed to allow rapid production changes based on current demand.
"Large solid rocket motors are essential to our nation’s missile and strategic defense," said Christopher E. Kubasik, Chair and CEO of L3Harris.
Arkansas Governor Sarah Huckabee Sanders welcomed the expansion following discussions with L3Harris leadership at the Paris Air Show last month. The project represents a significant boost for the state’s aerospace and defense sector, which is Arkansas’ leading export industry.
Construction is expected to begin this year with production anticipated to start in 2027.
L3Harris has been producing large solid rocket motors for defense programs for over 60 years, including powering every U.S. Air Force Intercontinental Ballistic Missile ever fielded. In 2020, the company opened a 17,000 square foot Engineering, Manufacturing and Development facility in Camden focused on large solid rocket motors for national security programs. The company’s stock is currently trading near its 52-week high, reflecting investor confidence in its growth strategy. For deeper insights into L3Harris’s financial health and growth prospects, investors can access comprehensive analysis through InvestingPro, which offers detailed metrics and expert research reports covering 1,400+ top US stocks.
The new facilities will support production for missile defense systems and hypersonic vehicles as part of the company’s expansion of its rocket motor manufacturing capabilities.
In other recent news, L3Harris Technologies Inc. has been awarded several significant contracts from the U.S. Department of Defense. The company secured a $487.3 million contract for the modernization of enterprise terminals, which includes depot and engineering services support. Additionally, L3Harris received a $34.4 million contract for the production and delivery of bomb rack units for P-8A aircraft, with contributions from the U.S., Canada, and Germany. Another notable contract is a $29.6 million agreement with the U.S. Army for communications equipment and accessories.
Furthermore, L3Harris has been granted a $28.4 million contract for engineering support services related to the Commercial Broadband Satellite Program for the U.S. Navy. These developments reflect the company’s ongoing engagement with U.S. military branches. In related news, L3Harris Technologies experienced a rise in its stock price following geopolitical tensions in the Middle East, alongside other U.S. defense companies. These recent contracts and developments highlight L3Harris’s continued role in providing defense and communication solutions.
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