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HERNDON, Virginia - Serco Inc., a $3 billion market cap technology and engineering services provider with annual revenue of $6.65 billion, has been awarded a new indefinite-delivery/indefinite-quantity (IDIQ) contract to continue supporting the U.S. Navy’s Submarine High Data Rate (SubHDR) antenna systems, the company announced Wednesday.
The single-award contract has a potential total value of $97 million over a 10-year period, consisting of a five-year base period and five option years. This represents a re-compete of a program that Serco has supported for more than two decades. According to InvestingPro analysis, the company maintains a "GOOD" financial health score, positioning it well for long-term contract execution.
Under the contract awarded by the Naval Undersea Warfare Center (NUWC) Division Newport, Serco will provide depot-level repair, maintenance, and upgrade services for the SubHDR system, which enables the submarine fleet to transmit and receive secure wide-band communications, voice and data traffic, imagery, and video teleconferencing.
"We are proud to continue our 20-year partnership with the U.S. Navy on this vital program," said Tom Watson, CEO of Serco Inc., in the press release.
Work will be performed primarily at Serco’s production and repair facility in Ludlow, Massachusetts, with additional support provided at NUWC in Newport, Rhode Island. The company will also maintain its indoor near field and compact antenna test range at the Ludlow facility.
Serco Inc., headquartered in Herndon, Virginia, is a wholly owned subsidiary of Serco Group plc and provides professional, technology, engineering, and management services with approximately 10,000 employees and annual revenue of $2 billion. The parent company has shown strong performance this year, with a 61.5% year-to-date return. InvestingPro data reveals additional positive indicators, with more than 8 key insights available to subscribers, including detailed valuation metrics and growth forecasts.
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