REG - QinetiQ Group plc - $170m US new business contract win

QinetiqAnnouncement

20/11/2023 07:00

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RNS Number : 9069T  QinetiQ Group plc  20 November 2023

News release

 

QinetiQ Group plc

$170m US new business contract win underpins Avantus growth

20 November 2023 - QinetiQ Group plc ("QinetiQ") is pleased to announce that
it has won a 5-year $170m contract with the US Department of Homeland Security
for the Tethered Aerostat Radar System (TARS).

 

TARS is the largest new business competitive win for Avantus since our
acquisition last year and builds on recent significant contract awards,
reported in our Interim Results last week. This win takes the total new
contract awards this year for Avantus to $827m, equivalent to more than 2.5x
years of revenue cover. These major contract wins deliver new incremental
business, building momentum to deliver strong revenue growth in the second
half of this year and beyond, underpinning our confidence that Avantus will
deliver double-digit revenue growth at stable margin into the medium term.

Avantus has transformed our customer access in the US, expanding our customer
base and creating a disruptive mid-tier business in the US. During the first
half of the year, we have also identified new business opportunities worth an
additional $1.5bn over the next five years, created through the combination of
capabilities across the US and our other markets to drive our future growth
plan.

TARS provides detection, tracking and monitoring capabilities in diverse
environments at and beyond the US borders. Under this 5-year contract, QinetiQ
will deliver aerostat operations, air-surface radar operations, ground control
and data networking systems monitoring, and data analysis in support of border
security and air sovereignty missions. The programme will be delivered through
the provision of mission support, operations and maintenance, and lifecycle
and programme management.

Steve Wadey, Group Chief Executive Officer of QinetiQ, said:

"Winning TARS is another significant and exciting milestone in the US - a
clear demonstration of Avantus delivering growth. TARS is an integral part of
our customer's mission to protect the US border and a critical capability to
US national security. This win further reinforces our growth plan for Avantus
and our wider business in the US."

About QinetiQ

QinetiQ is an integrated global defence and security company focused on
mission-led innovation. QinetiQ employs circa 8,500 highly-skilled people,
committed to creating new ways of protecting what matters most; testing
technologies, systems, and processes to make sure they meet operational needs;
and enabling customers to deploy new and enhanced capabilities with the
assurance they will deliver the performance required. Visit our website
www.QinetiQ.com (http://www.QinetiQ.com) .

For further information please contact:

 John Haworth, Group Director Investor Relations:                 +44 (0) 7920 545841
 Lindsay Walls, Group Director Communications (Media enquiries):  +44 (0) 7793 427582

 

 

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