KBR Secures $85M Air Force Contract to Boost Global Operations

KBR, Inc. KBR has won an $85 million firm-fixed-price task award from the U.S. Air Force to design, fabricate, and deliver critical airfield damage repair kits worldwide. The contract, known as the AM-2 Matting task award, falls under the Air Force Contract Augmentation Program (AFCAP) and reinforces KBR’s expertise in global sustainment and procurement solutions.KBR’s Role in the ContractUnder the AM-2 task award, KBR will supply and deliver essential airfield matting kits to U.S. Air Force locations worldwide. These kits, crucial for strategic global positioning, require advanced logistics, supply chain expertise, and strict compliance with export regulations. The performance period extends from February 2025 to February 2027, ensuring sustained support for U.S. military operations.KBR’s role includes comprehensive management of the procurement and delivery process, ensuring seamless door-to-door logistics. This contract highlights KBR’s ability to execute complex defense supply missions while enabling the Air Force to focus on operational readiness.Expanding KBR’s Defense PortfolioKBR Government Solutions U.S. president, Byron Bright, emphasized the significance of the contract, stating, “Our Readiness and Sustainment team works closely with the U.S. military to ensure sustainment missions are met globally. KBR’s AFCAP team leverages deep domain expertise and our global delivery platform to execute complex missions.”This award is a testament to KBR’s growing influence in defense logistics and showcases its Procurement as a Service capability. By providing end-to-end supply chain solutions, KBR allows government agencies to streamline operations and focus on mission-critical tasks.Decades of Trusted Military SupportWith more than 30 years of experience supporting the U.S. military and allied nations, KBR continues to expand its presence in key strategic locations, including Spain, Türkiye, Saudi Arabia, Kuwait, UAE, and Japan. The company’s ability to operate in complex environments positions it as a trusted partner in defense sustainment.KBR Stock PerformanceKBR’s shares have lost 11.6% year to date compared with the Zacks Engineering - R and D Services industry’s 20.8% decline. Although high costs and expenses are posing concerns, its focus on high-end and differentiated government business work, strong margin performance, and technology and consulting business bodes well. This latest contract solidifies KBR’s role in defense infrastructure, reinforcing its long-term growth strategy and enhancing shareholder value. Image Source: Zacks Investment ResearchAs of Jan. 3, 2025, the total backlog (including award options) was $21.2 billion compared with $21.73 billion at 2023-end. Of the total backlog, Government Solutions contributed $13.55 billion and the Sustainable Technology Solutions segment contributed $3.71 billion. At the end of 2024, the company delivered a trailing 12-month book-to-bill of 1.1x.Earnings estimates for 2025 have increased to $3.84 per share from $3.83 over the past 30 days. The estimated figure indicates 15% growth from 2024.Find the latest EPS estimates and surprises on Zacks Earnings Calendar.KBR Stock’s Zacks Rank & Key PicksKBR currently carries a Zacks Rank #3 (Hold).Some better-ranked stocks have been discussed below:Sterling Infrastructure, Inc. STRL currently sports a Zacks Rank of 1 (Strong Buy). STRL delivered a trailing four-quarter earnings surprise of 16.2%, on average. The stock has lost 34.1% year to date (YTD). You can see the complete list of today’s Zacks #1 Rank stocks here.The consensus estimate for STRL’s 2025 sales indicates a decrease of 4.1% and an increase of 20.5% for earnings per share (EPS), respectively, from a year ago.Gibraltar Industries, Inc. ROCK currently carries a Zacks Rank #2 (Buy). ROCK delivered a trailing four-quarter earnings surprise of 1.8%, on average. The stock has gained 11.4% YTD.The Zacks Consensus Estimate for ROCK’s 2025 sales and EPS calls for an increase of 9.8% and 15.5%, respectively, from a year ago.Hillman Solutions Corp. HLMN currently carries a Zacks Rank #2. HLMN delivered a trailing four-quarter earnings surprise of 7.6%, on average. The stock has lost 0.3% YTD.The Zacks Consensus Estimate for HLMN’s 2025 sales and EPS calls for an increase of 4% and 18.4%, respectively, from a year ago.Zacks' Research Chief Names "Stock Most Likely to Double"Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.This top pick is among the most innovative financial firms. With a fast-growing customer base (already 50+ million) and a diverse set of cutting edge solutions, this stock is poised for big gains. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.Free: See Our Top Stock And 4 Runners UpWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report KBR, Inc. (KBR): Free Stock Analysis Report Gibraltar Industries, Inc. (ROCK): Free Stock Analysis Report Sterling Infrastructure, Inc. (STRL): Free Stock Analysis Report Hillman Solutions Corp. (HLMN): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks