MCLEAN, Va., June 1, 2023 /PRNewswire/ — V2X, Inc., (NYSE: VVX), a leading provider of critical mission solutions and support to defense clients globally, announced that company management will address the Stifel 2023 Cross Sector Insight Conference on Wednesday, June 7, at 3:00 p.m. Eastern time.
ABOUT V2X V2X builds smart solutions designed to integrate physical and digital infrastructure – from base to battlefield – by aligning people, actions, and outputs. Formed by the merger of Vectrus and Vertex, we bring a combined 120 years of successful mission support. Our lifecycle solutions improve security, streamline logistics, and enhance readiness.
The Company delivers a comprehensive suite of integrated solutions across the operations and logistics, aerospace, training, and technology markets to national security, defense, civilian and international clients. Our global team of approximately 15,000 employees brings innovation to every point in the mission lifecycle, from preparation to operations, to sustainment, as it tackles the most complex challenges with agility, grit, and dedication.
Contact Information
Investor Contact Mike Smith, CFA Vice President, Treasury, Corporate Development and Investor Relations IR@goV2X.com 719-637-5773
Media Contact Angelica Spanos Deoudes Senior Media Strategist Communications@goV2X.com 571-338-5195
Bjornson is a nationally recognized professional in the defense industry bringing decades of experience.
McLEAN, Va., June 1, 2023 /PRNewswire/ — V2X (NYSE: VVX) has named Jo Ann Bjornson to Senior Vice President, Chief Human Resources Officer (CHRO), effective June 1, 2023. In this role, Bjornson will be responsible for the company’s global human resources strategy and operations including talent management, recruitment, leadership development, and compensation and benefits. She will join the executive team and report to President and Chief Executive Officer, Chuck Prow.
V2X names Jo Ann Bjornson to Senior Vice President, Chief Human Resources Officer.
“We are thrilled to have a dynamic leader like Jo Ann join V2X, further strengthening our dedication to our employees during this transformative growth phase,” said Chuck Prow, V2X’s President and CEO. “Jo Ann’s unparalleled expertise in human capital management will play a pivotal role in fostering our thriving business culture and ensuring long-term growth and success.”
Bringing more than two decades of experience, Bjornson has established herself as a leading professional in the field of recruiting, compensation, and HR business partnering. Having most recently served at Leidos, her expertise spans broad market areas including defense, intelligence, federal civilian, health, and commercial sectors.
“I am excited to join the V2X team and a company that is deeply committed to the mission and its people,” said Bjornson. “I look forward to continuing to build an environment and workforce that thrives, embraces innovation, and achieves remarkable results.”
Bjornson earned a Bachelor’s degree from the University of Virginia, a Master’s degree in HR Management from Marymount University, and an Executive MBA from the Robert H. Smith School of Business at the University of Maryland. She recently served as Chair of the Human Resources Council of WashingtonExec and as a valued member of the Workforce and Education Executive Committee with the Virginia Chamber of Commerce. Her dedication to both personal and professional advancement is further evident through her past presidency and board membership of the Northern Virginia chapter of the Society for Human Resource Management.
About V2X V2X builds smart solutions designed to integrate physical and digital infrastructure – from base to battlefield – by aligning people, actions, and outputs. Formed by the merger of Vectrus and Vertex, we bring a combined 120 years of successful mission support. Our lifecycle solutions improve security, streamline logistics, and enhance readiness.
The Company delivers a comprehensive suite of integrated solutions across the operations and logistics, aerospace, training, and technology markets to national security, defense, civilian and international clients. Our global team of approximately 15,000 employees brings innovation to every point in the mission lifecycle, from preparation to operations, to sustainment, as it tackles the most complex challenges with agility, grit, and dedication.
Media Contact Angelica Spanos Deoudes Senior Media Strategist Communications@goV2X.com 571-338-5195
Investor Contact Michael Smith Vice President, Treasury, Corporate Development and Investor Relations IR@goV2X.com
ATLANTA, May 31, 2023 (GLOBE NEWSWIRE) — DLH Holdings Corp. (NASDAQ: DLHC) (“DLH” or the “Company”), a leading provider of digital transformation, systems engineering and integration, and science research and development solutions to federal agencies, today announced that it has filed a new shelf registration statement on Form S-3 with the United States Securities and Exchange Commission (“SEC”) to replace its expiring shelf registration statement. The registration statement was filed on May 30, 2023 and will become effective upon successful review by the SEC.
If and when it is declared effective, the registration statement will allow DLH to offer and sell, from time to time, up to $100 million of its equity securities; however, there are no current plans to do so. The Company did not issue any securities under the expired registration statement. Like many issuers, DLH filed the shelf registration statement to provide it with flexibility to access capital markets if circumstances arise that would make the sale of securities advantageous to the Company.
These securities may not be sold, nor may offers to buy be accepted, prior to the time the registration statement becomes effective. Following the effectiveness of the shelf registration statement, DLH may periodically offer one or more of the registered securities in amounts, at prices, and on terms to be announced when, and if, the securities are offered. The terms of any securities offered under the registration statement, and the intended use of the net proceeds resulting therefrom, will be established at the times of the offerings and will be described in prospectus supplements filed with the SEC at the times of the offerings.
This press release is not an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. Any offer of securities covered by the registration statement may be made solely by means of the prospectus included in the registration statement and a related prospectus supplement containing specific information about the terms of any such offering.
About DLH
DLH (NASDAQ:DLHC) delivers improved health and national security readiness solutions for federal programs through science research and development, systems engineering and integration, and digital transformation. The Company’s experts in public health, performance evaluation, and health operations solve the complex problems faced by civilian and military customers alike, leveraging digital transformation, artificial intelligence, advanced analytics, cloud-based applications, telehealth systems, and more. With over 3,200 employees dedicated to the idea that “Your Mission is Our Passion,” DLH brings a unique combination of government sector experience, proven methodology, and unwavering commitment to innovation to improve the lives of millions. For more information, visit www.DLHcorp.com.
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995:
This press release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements relate to future events or DLH`s future financial performance. Any statements that refer to expectations, projections or other characterizations of future events or circumstances or that are not statements of historical fact (including without limitation statements to the effect that the Company or its management “believes”, “expects”, “anticipates”, “plans”, “intends” and similar expressions) should be considered forward looking statements that involve risks and uncertainties which could cause actual events or DLH’s actual results to differ materially from those indicated by the forward-looking statements. Forward-looking statements in this release include, among others, statements regarding estimates of future revenues. These statements reflect our belief and assumptions as to future events that may not prove to be accurate. Our actual results may differ materially from such forward-looking statements made in this release due to a variety of factors, including: the outbreak of the novel coronavirus (“COVID-19”), including the measures to reduce its spread, and its impact on the economy and demand for our services, are uncertain, cannot be predicted, and may precipitate or exacerbate other risks and uncertainties; the risk that we will not realize the anticipated benefits of the GRSi acquisition; (including anticipated future financial operating performance and results); diversion of management’s attention from normal daily operations of the business and the challenges of managing larger and more widespread operations resulting from the acquisition; the inability to retain GRSi employees and customers; contract awards in connection with re-competes for present business and/or competition for new business; the risks and uncertainties associated with client interest in and purchases of new services; compliance with new bank financial and other covenants; changes in client budgetary priorities; government contract procurement (such as bid and award protests, small business set asides, loss of work due to organizational conflicts of interest, etc.) and termination risks; the ability to successfully integrate the operations of GRSi and any future acquisitions; the impact of inflation and higher interest rates; and other risks described in our SEC filings. For a discussion of such risks and uncertainties which could cause actual results to differ from those contained in the forward-looking statements, see “Risk Factors” in the Company’s periodic reports filed with the SEC, including our Annual Report on Form 10-K for the fiscal year ended September 30, 2022, as well as subsequent reports filed thereafter. The forward-looking statements contained herein are not historical facts, but rather are based on current expectations, estimates, assumptions and projections about our industry and business.
Such forward-looking statements are made as of the date hereof and may become outdated over time. The Company does not assume any responsibility for updating forward-looking statements, except as may be required by law.
Clearbox’s Foresight Network and Spectrum Monitoring Product Will Become the Latest to Run on Kratos’ OpenSpace® Virtual Ground System
SAN DIEGO and NEW SOUTH WALES, Australia, May 22, 2023 (GLOBE NEWSWIRE) — Kratos Defense & Security Solutions, Inc. (Nasdaq: KTOS), a technology company in Defense, National Security and Global Markets, and Clearbox Systems Pty Ltd, the Australian company that uses technology to provide better approaches and techniques for the operations and management of communications networks and the electromagnetic spectrum, have signed a collaboration agreement to co-develop and co-market solutions to advance the capabilities of software-defined satellite ground systems.
As part of the agreement, Clearbox will integrate its flagship Foresight product to run seamlessly on Kratos’ OpenSpace® dynamic ground platform. Foresight provides a unified user interface across essential ground functions including equipment monitoring and control, spectrum monitoring and network management. Foresight can be deployed on physical, virtual or cloud infrastructure and, being web-based, can be accessed by users on any workstations connected on the network. It is trusted by militaries, governments, satellite operators and commercial users large and small in Australia and globally in deployments ranging across SATCOM, ISREW, Crypto, OSS and Space Domain Awareness (SDA).
Foresight’s web-based, modular, distributed and open architecture makes it a natural application for running in the software-defined satellite network environments enabled by OpenSpace, the first and only commercially available virtual and orchestrated satellite ground system. OpenSpace enables satellite and network operators to fully support next-generation satellites, dynamically provision services and missions, and integrate far better with the networks used by global terrestrial and cellular communications providers.
“We have been highly successful working with Kratos in the past and are extremely excited to be expanding that relationship moving forward,” said Matthew Collins-Leslie, CEO & Managing Director of Clearbox. “With this agreement we will be working together to develop new, advanced solutions for the global market.”
As part of the agreement, Clearbox will integrate Foresight with OpenSpace and enhance the product to take advantage of OpenSpace’s unique dynamic operating capabilities. In addition, the two companies will work together to co-market each other’s products, Clearbox representing OpenSpace to its Australian customers and Kratos marketing Foresight globally. Clearbox will also become Kratos’ primary representative in Australia for opportunities incorporating systems engineering, installation and support for several of Kratos’ other space networking products. Both companies will also work together to deliver SDA solutions that combine Clearbox’s SpaceAware product and sensors with Kratos’ global RF signal monitoring SDA network.
“Our experience with Clearbox has been extremely productive,” commented Stuart Daughtridge, SVP for Advanced Technologies at Kratos. “Their people and technology are first-class, and we are looking forward to putting our heads together on the cause of advancing virtual ground system technologies to enable systems that are as dynamic, flexible and agile as smart phones are today.”
About Kratos OpenSpace Kratos’ OpenSpace family of solutions enables the digital transformation of satellite ground systems to become a more dynamic and powerful part of the space network. The family consists of three product lines: OpenSpace SpectralNet for converting satellite RF signals to be used in digital environments; OpenSpace quantum products, which are virtual versions of traditional hardware components; and the OpenSpace Platform, the first commercially available, fully orchestrated, software-defined ground system. These three OpenSpace lines enable satellite operators and other service providers to implement digital operations at their own pace and in ways that meet their unique mission goals and business models. For more information about the OpenSpace family visit http://KratosDefense.com/OpenSpace.
About Kratos Defense & Security Solutions Kratos Defense & Security Solutions, Inc. (NASDAQ: KTOS) is a Technology Company that develops and fields transformative, affordable systems, products and solutions for United States National Security, our allies and global commercial enterprises. At Kratos, Affordability is a Technology, and Kratos is changing the way breakthrough technology is rapidly brought to market – at a low cost – with actual products, systems and technologies rather than slide decks or renderings. Through proven commercial and venture capital backed approaches, including proactive, internally funded research and streamlined development processes, Kratos is focused on being First to Market with our solutions, well in advance of competition. Kratos is the recognized Technology Disruptor in our core market areas, including Space and Satellite Communications, Cyber Security and Warfare, Unmanned Systems, Rocket and Hypersonic Systems, Next-Generation Jet Engines and Propulsion Systems, Microwave Electronics, C5ISR and Virtual and Augmented Reality Training Systems. For more information, visit www.KratosDefense.com.
Notice Regarding Forward-Looking Statements Certain statements in this press release may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are made on the basis of the current beliefs, expectations, and assumptions of the management of Kratos and are subject to significant risks and uncertainty. Investors are cautioned not to place undue reliance on any such forward-looking statements. All such forward-looking statements speak only as of the date they are made, and Kratos undertakes no obligation to update or revise these statements, whether as a result of new information, future events or otherwise. Although Kratos believes that the expectations reflected in these forward-looking statements are reasonable, these statements involve many risks and uncertainties that may cause actual results to differ materially from what may be expressed or implied in these forward-looking statements. For a further discussion of risks and uncertainties that could cause actual results to differ from those expressed in these forward-looking statements, as well as risks relating to the business of Kratos in general, see the risk disclosures in the Annual Report on Form 10-K of Kratos for the year ended December 25, 2022, and in subsequent reports on Forms 10-Q and 8-K and other filings made with the SEC by Kratos.
For more than 70 years, Vectrus has provided critical mission support for our customers’ toughest operational challenges. As a high-performing organization with exceptional talent, deep domain knowledge, a history of long-term customer relationships, and groundbreaking technical expertise, we deliver innovative, mission-matched solutions for our military and government customers worldwide. Whether it’s base operations support, supply chain and logistics, IT mission support, engineering and digital integration, security, or maintenance, repair and overhaul, our customers count on us for on-target solutions that increase efficiency, reduce costs, improve readiness, and strengthen national security. Vectrus is headquartered in Colorado Springs, Colo., and includes about 8,100 employees spanning 205 locations in 28 countries. In 2021, Vectrus generated sales of $1.8 billion. For more information, visit the company’s website at www.vectrus.com or connect with Vectrus on Facebook, Twitter, and LinkedIn.
Joe Gomes, Managing Director, Equity Research Analyst, Generalist , Noble Capital Markets, Inc.
Joshua Zoepfel, Research Associate, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
An Excellent Quarter. Driven by outstanding results in the INDOPACOM region, V2X reported excellent results for 1Q23. With the Talisman exercise moving “to the left,” INDOPACOM revenue increased 300% year-over-year and 18% sequentially. Continued expansion on existing programs, contribution from new awards, and successful re-competes, all added to top line growth.
1Q23 Results. Revenue came in at $943.5 million, up 12% y-o-y on a pro forma basis, and exceeded our $830 million estimate. Adjusted EBITDA was $68 million, or a 7.2% margin, compared to our estimate of $54.8 million. Adjusted diluted EPS was $0.80 versus our projection of $0.62.
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*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.
MCLEAN, Va., April 25, 2023 /PRNewswire/ — V2X, Inc., (NYSE: VVX), a leading provider of critical mission solutions and support to defense clients globally, will report first quarter 2023 financial results on Tuesday, May 9, 2023, after market close. Senior management will conduct a conference call at 4:30 p.m. ET that same day.
U.S.-based participants may dial in to the conference call at 888-886-7786, while international participants may dial 416-764-8658. A live webcast of the conference call as well as an accompanying slide presentation will be available under the Investors section of the V2X website at https://gov2x.com/.
A replay of the conference call will be posted on the V2X website shortly after completion of the call and will be available for one year. A telephonic replay will also be available through May 23, 2023, at 844-512-2921 (domestic) or 412-317-6671 (international) with passcode 30124902.
ABOUT V2X V2X is a leading provider of critical mission solutions and support to defense clients globally, formed by the 2022 merger of Vectrus and Vertex to build on more than 120 combined years of successful mission support. The Company delivers a comprehensive suite of integrated solutions across the operations and logistics, aerospace, training and technology markets to national security, defense, civilian and international clients. Our global team of approximately 15,000 employees brings innovation to every point in the mission lifecycle, from preparation, to operations, to sustainment, as they tackle the most complex challenges with agility, grit and dedication.
SAN DIEGO, April 24, 2023 (GLOBE NEWSWIRE) — Kratos Defense & Security Solutions, Inc. (NASDAQ: KTOS), a Technology Company in the Defense, National Security and Global Markets, announced today that it will publish financial results for the first quarter 2023 after the close of market on Wednesday, May 3rd. Management will discuss the Company’s operations and financial results in a conference call beginning at 2:00 p.m. Pacific (5:00 p.m. Eastern).
The call will be available at www.kratosdefense.com. Participants may register for the call using this Online Form. Upon registration, all telephone participants will receive the dial-in number along with a unique PIN that can be used to access the call. For those who cannot access the live broadcast, a replay will be available on Kratos’ website.
About Kratos Defense & Security Solutions Kratos Defense & Security Solutions, Inc. (NASDAQ: KTOS) is a Technology Company that develops and fields transformative, affordable systems, products and solutions for United States National Security, our allies and global commercial enterprises. At Kratos, Affordability is a Technology, and Kratos is changing the way breakthrough technology is rapidly brought to market – at a low cost – with actual products, systems, and technologies rather than slide decks or renderings. Through proven commercial and venture capital backed approaches, including proactive, internally funded research and streamlined development processes, Kratos is focused on being First to Market with our solutions, well in advance of competition. Kratos is the recognized Technology Disruptor in our core market areas, including Space and Satellite Communications, Cyber Security and Warfare, Unmanned Systems, Rocket and Hypersonic Systems, Next-Generation Jet Engines and Propulsion Systems, Microwave Electronics, C5ISR and Virtual and Augmented Reality Training Systems. For more information, visit www.KratosDefense.com.
Partnership Focuses on Delivering Fully Digital-Enabled Edge Terminal Solutions
SAN DIEGO and READING, United Kingdom, April 17, 2023 (GLOBE NEWSWIRE) — Kratos Defense & Security Solutions, Inc. (Nasdaq: KTOS), a technology company specializing in defense, national security and communications solutions, and ALL.SPACE, the world’s only provider of multi-orbit smart terminals, announced today a strategic partnership aimed at jointly developing and delivering solutions that will enable software-defined satellite ground systems to better leverage the capabilities of next-generation smart terminals. The combined solutions are expected to enhance dynamic operations end-to-end across the ground segment from the gateway to the network’s edge, placing more application power in the hands of end users and greatly expanding flexibility beyond today’s proprietary, purpose-built, satellite terminals.
The space industry is immersed in a renaissance driven by technology breakthroughs such as software-defined payloads, small satellite constellations, multi-orbit services and more. On the ground, advances in satellite networks are occurring as well, including the growth of ground station-as-a-service, virtualized ground systems and the need to better mainstream with terrestrial and cellular communications networks. These advances at both ends of the space/ground connection mean that satellite network systems must come to act more dynamically, adapting on-the-fly to changing needs, conditions and business or mission requirements.
Today’s announcement is part of a multi-year collaboration to integrate and enhance both companies’ products. It is supported by a joint development roadmap focused on new features, functions and capabilities that will deliver more powerful, flexible and agile terminal capabilities at the network’s edge for both defense and commercial uses, such as advanced support for multi-mission and multi-orbit capabilities.
According to Greg Quiggle, Senior Vice President of Space Product Management at Kratos, “Historically, satellite terminals have been defined by proprietary technologies resident on purpose-built hardware, severally limiting what users could accomplish at the network’s edge. That all changes with software-defined networking, which has long been the standard in global terrestrial communications and is now available for satellite network operators through the OpenSpace Platform. ALL.SPACE is a leader in smart terminal technology and a profound partner for Kratos to work with in revolutionizing what users can accomplish at the satellite network’s edge.”
“We are creating a new generation of digital, flexible terminals featuring both a multi-beam antenna and a platform capable of hosting software-defined applications,” said John-Paul Szczepanik, Chief Technology Officer for ALL.SPACE. “ALL.SPACE’s multilink terminal delivers the combined strengths of all orbits by unlocking simultaneous access to multiple networks. We believe pairing this flexibility with the Kratos OpenSpace Platform will dramatically enhance dynamic operations at the edge.”
Kratos and ALL.SPACE have already begun integrating their respective technologies, including elements of Kratos’ OpenSpace® software-defined ground system, such as its OpenSpace virtual modem (vModem) and OpenEdge™ 2500 digitizer, with ALL.SPACE’s S2000 Smart Terminal.
The jointly developed solutions will conform to industry standards for maximum flexibility, including the IEEE-ISTO Std 4900-2021: Digital IF Interoperability Standard from the Digital IF Interoperability (DIFI) Consortium (DIFI). Both companies believe that common standards are essential for the space industry to realize the opportunities on the horizon and to advance the industry’s integration with the larger global communications infrastructure. Both are founding members of DIFI, an independent organization created to develop and promote standards for interoperability in space and satellite systems.
About Kratos Defense & Security Solutions Kratos Defense & Security Solutions, Inc. (NASDAQ: KTOS) is a technology company that develops and fields transformative, affordable systems, products and solutions for United States National Security, its allies and global commercial enterprises. At Kratos, affordability is a technology, and Kratos is changing the way breakthrough technology is rapidly brought to market with actual products, systems and technologies rather than slide decks or renderings. Through proven commercial and venture capital backed approaches, including proactive, internally funded research and streamlined development processes, Kratos is focused on being first to market with our solutions, well in advance of competition. Kratos is the recognized Technology Disruptor in our core market areas, including Space and Satellite Communications, Cyber Security and Warfare, Unmanned Systems, Rocket and Hypersonic Systems, Next-Generation Jet Engines and Propulsion Systems, Microwave Electronics, C5ISR and Virtual and Augmented Reality Training Systems. For more information, visit www.KratosDefense.com.
About ALL.SPACE Headquartered in Reading, UK, ALL.SPACE is the first and only field-proven platform to simultaneously deliver full-performance connections across all significant orbits from a single device. The company recently concluded live field tests with the US and UK governments and several satellite operators demonstrating multiple, simultaneous connections across LEO, MEO and GEO orbits, which empowers users in markets ranging from government and defence to maritime, aero and land mobile to harness the full benefits of new satellite constellations and the convergence of GEO and NGSO (Non-Geostationary Orbit) services.
Notice Regarding Forward-Looking Statements Certain statements in this press release may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are made on the basis of the current beliefs, expectations and assumptions of the management of Kratos and are subject to significant risks and uncertainty. Investors are cautioned not to place undue reliance on any such forward-looking statements. All such forward-looking statements speak only as of the date they are made, and Kratos undertakes no obligation to update or revise these statements, whether as a result of new information, future events or otherwise. Although Kratos believes that the expectations reflected in these forward-looking statements are reasonable, these statements involve many risks and uncertainties that may cause actual results to differ materially from what may be expressed or implied in these forward-looking statements. For a further discussion of risks and uncertainties that could cause actual results to differ from those expressed in these forward-looking statements, as well as risks relating to the business of Kratos in general, see the risk disclosures in the Annual Report on Form 10-K of Kratos for the year ended December 25, 2022, and in subsequent reports on Forms 10-Q and 8-K and other filings made with the by Kratos.
Kratos Press Contact: Yolanda White 858-812-7302 Direct
SAN DIEGO, April 13, 2023 (GLOBE NEWSWIRE) — Kratos Defense & Security Solutions, Inc. (Nasdaq: KTOS), a leading National Security Solutions provider, announced today that it was awarded a contract by a DoD Prime contractor to provide a concurrency upgrade to multiple ground tactical platform maintenance training systems.
Commenting on the award, Jose Diaz, Sr. Vice President at Kratos Training Solutions, stated: “Over the last 25 years Kratos has supported DoD and allied military customers by designing, developing and delivering advanced maintenance training systems. We are committed to delivering the same high level of quality with these upgrades.”
Due to customer, competitive, security-related and other considerations, no additional information will be provided related to this contract award.
Kratos develops advanced, cost-effective maintenance and operational training solutions for U.S. and allied forces to enhance warfighter readiness and survivability. Kratos is driving innovation in military simulation and training programs through application of immersive technologies within advanced simulation systems for air, ground, maritime and space domains.
About Kratos Defense & Security Solutions
Kratos Defense & Security Solutions, Inc. (NASDAQ: KTOS) is a Technology Company that develops and fields transformative, affordable systems, products and solutions for United States National Security, our allies and global commercial enterprises. At Kratos, Affordability is a Technology, and Kratos is changing the way breakthrough technology is rapidly brought to market – at a low cost – with actual products, systems and technologies rather than slide decks or renderings. Through proven commercial and venture capital backed approaches, including proactive, internally funded research and streamlined development processes, Kratos is focused on being First to Market with our solutions, well in advance of competition. Kratos is the recognized Technology Disruptor in our core market areas, including Space and Satellite Communications, Cyber Security and Warfare, Unmanned Systems, Rocket and Hypersonic Systems, Next-Generation Jet Engines and Propulsion Systems, Microwave Electronics, C5ISR and Virtual and Augmented Reality Training Systems. For more information, visit www.KratosDefense.com.
Notice Regarding Forward-Looking Statements
Certain statements in this press release may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are made on the basis of the current beliefs, expectations, and assumptions of the management of Kratos and are subject to significant risks and uncertainty. Investors are cautioned not to place undue reliance on any such forward-looking statements. All such forward-looking statements speak only as of the date they are made, and Kratos undertakes no obligation to update or revise these statements, whether as a result of new information, future events or otherwise. Although Kratos believes that the expectations reflected in these forward-looking statements are reasonable, these statements involve many risks and uncertainties that may cause actual results to differ materially from what may be expressed or implied in these forward-looking statements. For a further discussion of risks and uncertainties that could cause actual results to differ from those expressed in these forward-looking statements, as well as risks relating to the business of Kratos in general, see the risk disclosures in the Annual Report on Form 10-K of Kratos for the year ended December 25, 2022, and in subsequent reports on Forms 10-Q and 8-K and other filings made with the SEC by Kratos.
For more than 70 years, Vectrus has provided critical mission support for our customers’ toughest operational challenges. As a high-performing organization with exceptional talent, deep domain knowledge, a history of long-term customer relationships, and groundbreaking technical expertise, we deliver innovative, mission-matched solutions for our military and government customers worldwide. Whether it’s base operations support, supply chain and logistics, IT mission support, engineering and digital integration, security, or maintenance, repair and overhaul, our customers count on us for on-target solutions that increase efficiency, reduce costs, improve readiness, and strengthen national security. Vectrus is headquartered in Colorado Springs, Colo., and includes about 8,100 employees spanning 205 locations in 28 countries. In 2021, Vectrus generated sales of $1.8 billion. For more information, visit the company’s website at www.vectrus.com or connect with Vectrus on Facebook, Twitter, and LinkedIn.
Joe Gomes, Managing Director – Generalist Analyst, Noble Capital Markets, Inc.
Joshua Zoepfel, Research Associate, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
A New Award. Yesterday, V2X was awarded a maintenance contract from the U.S. Navy to provide aircraft maintenance support for Naval Test Wing Pacific (NTWP) VX-30 and VX-31 at Point Mugu, CA and China Lake, CA. The maintenance will consist of flightline maintenance, logistics, and technical support for the two weapons development and test squadrons. The contract is for $440 million and has a seven year period that will end in 2030.
Expanding into the Navy. The specific contract awarded yesterday is the sister to the contract given by the Navy towards Naval Test Wing Atlantic, awarded in April of 2022, also won by Vertex. With the merger of Vertex and Vectrus, the Navy accounted for 24.7% of total revenue for 2022. With both Naval Test Wings contracted under V2X along with a stronger revenue base towards the Navy following the merger, we believe V2X is well positioned to continue to win additional work with the Navy.
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*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.
V2X awarded O-level maintenance contract for Naval Test Wing Pacific
MCLEAN, Va., April 5, 2023 /PRNewswire/ — Vertex, a V2X company (NYSE: VVX), was awarded a $440 million contract by the U.S. Navy to provide aircraft maintenance support for Naval Test Wing Pacific (NTWP) VX-30 and VX-31 at Point Mugu, CA and China Lake, CA. Under this contract, V2X, under its legacy company Vertex, is the chosen provider of flightline maintenance, logistics, and technical support for the two weapons development and test squadrons. This important mission complements NAVAIR’s efforts to develop, test and sustain the Navy’s most current suite of capabilities.
“V2X is honored to be selected to support the critical test and evaluation activities performed at Naval Test Wing Pacific,” said Chuck Prow, V2X CEO. “Our established history and record of performance providing maintenance, repair, overhaul and technical support for a variety of Naval Aviation platforms demonstrate our commitment to maintaining high levels of mission readiness.”
NTWP provides safe, effective, and efficient ground and flight test, airborne flight test support, and experimental operations of manned and unmanned aircraft, weapons, and weapons systems for the Department of the Navy.
This contract has a seven-year award period ending in March 2030.
ABOUT V2X
V2X is a leading provider of critical mission solutions and support to defense clients globally, formed by the 2022 Merger of Vectrus and Vertex to build on more than 120 combined years of successful mission support. The Company delivers a comprehensive suite of integrated solutions across the operations and logistics, aerospace, training, and technology markets to national security, defense, civilian and international clients. Our global team of approximately 15,000 employees brings innovation to every point in the mission lifecycle, from preparation to operations to sustainment, as it tackles the most complex challenges with agility, grit, and dedication.
On July 5, 2022 (“Closing Date”), Vectrus, Inc. (“Vectrus”) completed its merger (“the Merger”) with Vertex Aerospace Services Holding Corp. (“Vertex”), thereby forming V2X, Inc. Fourth quarter “reported results” reflect the contributions of Vectrus and Vertex from October 1, 2022, through December 31, 2022. Full year 2022 “reported results” reflect the contributions of Vectrus from January 1, 2022, through December 31, 2022, and Vertex from the Closing Date through December 31, 2022, unless otherwise noted. Comparisons to historical periods are relative to legacy Vectrus results, unless otherwise noted.
Fourth Quarter 2022 Highlights:
Revenue of $978.2 million, up 20% y/y on a pro forma basis
Grew INDOPACOM revenue sevenfold as presence and footprint continues to expand
Recently awarded two key contracts with Space Command and a National Security client
Reported operating income of $31.0 million; adjusted operating income1 of $74.5 million
Adjusted EBITDA1 of $79.3 million with a margin1 of 8.1%
Diluted EPS of ($0.35); adjusted diluted EPS1 of $0.92
Repaid $25.0 million of debt and in February 2023 executed a more efficient credit facility with substantial interest savings and improved liquidity
2023 Guidance:
Establishing full-year 2023 guidance with revenue growth of 5% and adjusted EBITDA1 growth of 8% at the mid-point
MCLEAN, Va., March 2, 2023 /PRNewswire/ — V2X, Inc. (NYSE:VVX) announced fourth quarter and full-year 2022 financial results.
“This was a very successful year, achieving several milestones, including the completion of the merger with Vertex and making significant progress on the integration while driving strong results with high quality uninterrupted service and support to our clients,” said Chuck Prow, President and Chief Executive Officer of V2X. “Our teams came together seamlessly, demonstrating agility and outstanding performance, delivering 9% pro forma revenue growth for the full year. Importantly, current demand and leading indicators for our business remain strong with a substantial backlog of over $12 billion and close to 4.5 years of future revenue already under contract for our top ten programs. With our enhanced and differentiated capabilities, we are providing increased innovation and technology to our clients’ complex mission requirements and believe we have meaningful opportunity for future growth with our expanded addressable market of approximately $160 billion dollars.”
Mr. Prow continued, “We capped off the year with 20% year-over-year pro forma revenue growth in the fourth quarter, driven by new business wins, successful recompetes, and continued expansion on our core programs. Importantly, we demonstrated significant growth in the Pacific or INDOPACOM, as our presence and footprint expands to support increasing mission requirements. Our momentum is continuing this year, and in January 2023 we were awarded a strategically important five-year recompete contract valued at over $90 million with a National Security client. I’d like to thank our team for their exceptional performance and dedication, which has resulted in significant growth with this client over the past several years. Adjusted EBITDA margin1 was 8.1%, due to favorable program performance, strong execution, and the acceleration of program productivity that was expected in 2023. Our integration related activities continue to progress, and we were successful in delivering our expected cost synergies for the quarter. We remain on track to achieve our integration milestones and previously communicated cost synergies.”
Mr. Prow concluded, “The significant momentum in our business, a robust backlog exceeding $12 billion, and limited recompete risk, provides solid visibility that we believe should drive revenue growth of approximately 5% at the mid-point in 2023. Importantly, over 90% of 2023 revenue is expected to be generated from existing contracts. Furthermore, recompetes are expected to comprise only 2% of revenue. In 2023, we remain focused on delivering on our strategy to drive growth and value creation by providing converged solutions that fuse the digital and physical aspects of our clients’ missions. We have much to be excited about and will continue to execute our strategic framework to: Expand the Base, Capture New Markets, Deliver with Excellence, and Enhance Culture.”
Fourth Quarter 2022 Results
Revenue of $978.2 million, up 20% y/y on a pro forma basis
Operating income of $31.0 million, including merger and integration related costs of $23.4 million and amortization of acquired intangible assets of $20.1 million
Adjusted operating income1 of $74.5 million
Adjusted EBITDA1 of $79.3 million with an 8.1% adjusted EBITDA margin1
Diluted EPS of ($0.35) including merger and integration related costs
Adjusted diluted EPS1 of $0.92
Net debt as of December 31, 2022, of $1,221 million, representing an $87 million decrease from the Merger closing on July 5, 2022
The Company was undrawn on its revolver as of December 31, 2022
Total backlog as of December 31, 2022, of $12.3 billion
“Our fourth quarter financial results were strong and provide great traction for V2X leading into 2023,” said Susan Lynch, Senior Vice President and Chief Financial Officer. “Pro forma revenue increased 20% year-over-year to $978.2 million. Revenue growth was driven by continued expansion in INDOPACOM and on LOGCAP, volume associated with rapid response efforts in Europe, and growth associated with new programs including Fort Benning, E-6B, Advanced Helicopter Training System, Navy Test Wing Atlantic, and Global Strike programs. Notably, revenue from INDOPACOM increased sevenfold year-over-year to $54.4 million, reflecting our additional work throughout the region, including Kwajalein and the Philippines.”
Ms. Lynch continued, “In the fourth quarter, V2X leveraged its solid cash position to repay $25 million of its second lien term loan. Importantly, our strong fundamentals and visibility have allowed V2X to significantly improve its capital structure by refinancing portions of its debt into a lower cost, pro rata credit facility. This new, five-year $750 million credit facility is expected to generate substantial interest expense savings and drive value for our shareholders. At the end of the fourth quarter, our net consolidated indebtedness to EBITDA1 (net leverage ratio) was 3.7x, a 0.3x improvement from Merger close. We have been able to reduce our leverage in line with plan and anticipate that our leverage ratio will show further improvement in 2023.”
Full-Year 2022 Results
Full-year revenue was $2.891 billion and pro forma revenue was $3.670 billion, up 8.8% pro forma year-on-year. The Company reported full-year operating income of $55.8 million and adjusted operating income1 of $187.5 million. Full-year EBITDA1 was $201.0 million with a margin of 7.0%. Full year pro forma Adjusted EBITDA1 was $278.0 million with a margin of 7.6%. Full-year diluted EPS was ($0.68), due primarily to Merger and integration related costs, amortization of acquired intangible assets and interest expense. Adjusted diluted EPS1 for 2022 was $4.60.
Cash provided by operating activities for the year was $93.5 million, compared to $61.3 million in 2021 for legacy Vectrus. Pro forma adjusted operating cash flow for the year was $85.8 million and excludes $62 million of Merger related payments and $8 million of repayments tied to the CARES Act. Lynch continued, “Our ability to generate strong cash flow with low capital intensity is an important attribute of our business.”
During the second half of the year, V2X lowered its net debt balance by $87 million resulting in an ending balance of $1,220.7 million. Cash at year-end was $116.1 million up from $38.5 million at the end of 2021.
Total backlog as of December 31, 2022 was $12.3 billion and funded backlog was $2.6 billion. The trailing twelve-month book-to-bill was 1.3x.
2023 Guidance
Ms. Lynch concluded, “Based on our expected continued strong demand trends and operational execution, we are setting the mid-point of our guidance for revenue at $3.850 billion, representing approximately 5% pro forma growth and Adjusted EBITDA1 of $300 million, representing 8% pro forma growth.”
Guidance for 2023 is as follows:
Fourth Quarter 2022 Conference Call
Management will conduct a conference call with analysts and investors at 4:30 p.m. ET on Thursday, March 2, 2023. U.S.-based participants may dial in to the conference call at 877-506-6380, while international participants may dial 412-542-4198. A live webcast of the conference call as well as an accompanying slide presentation will be available here: https://app.webinar.net/EZQ7LMALNPo
A replay of the conference call will be posted on the V2X website shortly after completion of the call and will be available for one year. A telephonic replay will also be available through March 16, 2023, at 844-512-2921 (domestic) or 412-317-6671 (international) with passcode 10174938.
Presentation slides that will be used in conjunction with the conference call will also be made available online in advance at https://investors.vectrus.com/. V2X recognizes its website as a key channel of distribution to reach public investors and as a means of disclosing material non-public information to comply with its obligations under the U.S. Securities and Exchange Commission (“SEC”) Regulation FD.
Footnotes: 1 See “Key Performance Indicators and Non-GAAP Financial Measures” for descriptions and reconciliations.
About V2X
V2X is a leading provider of critical mission solutions and support to defense clients globally, formed by the 2022 Merger of Vectrus and Vertex to build on more than 120 combined years of successful mission support. The Company delivers a comprehensive suite of integrated solutions across the operations and logistics, aerospace, training and technology markets to national security, defense, civilian and international clients. Our global team of approximately 14,000 employees brings innovation to every point in the mission lifecycle, from preparation, to operations, to sustainment, as it tackles the most complex challenges with agility, grit, and dedication.
Safe Harbor Statement
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995 (the “Act”): Certain material presented herein includes forward-looking statements intended to qualify for the safe harbor from liability established by the Act. These forward-looking statements include, but are not limited to, all the statements and items listed under “2023 Guidance” above and other assumptions contained therein for purposes of such guidance, other statements about our 2023 performance outlook, revenue, contract opportunities, and any discussion of future operating or financial performance.
Forward-looking statements generally can be identified by the use of forward-looking terminology such as “may,” “will,” “expect,” “intend,” “estimate,” “anticipate,” “believe,” “could,” “potential,” “continue” or similar terminology. These statements are based on the beliefs and assumptions of the management of the Company based on information currently available to management.
These forward-looking statements are not guarantees of future performance, conditions, or results, and involve a number of known and unknown risks, uncertainties, assumptions, and other important factors, many of which are outside our management’s control, that could cause actual results to differ materially from the results discussed in the forward-looking statements. In addition, forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from the Company’s historical experience and our present expectations or projections. For a discussion of some of the risks and uncertainties that could cause actual results to differ from such forward-looking statements, see the risks and other factors detailed from time to time our Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and other filings with the SEC.
We undertake no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
Virtualized software apps bring more power and flexibility to the edge by replacing dedicated hardware
SAN DIEGO, Feb. 22, 2023 (GLOBE NEWSWIRE) — Kratos Defense & Security Solutions, Inc. (Nasdaq: KTOS), a leading National Security Solutions provider, released the first of its new OpenEdge™ products, the industry’s first open standards-based and software-enabled satellite terminals. Part of Kratos’ OpenSpace® Platform, OpenEdge is the first generally available family of satellite network edge devices employing a modern, software-defined approach for a range of communications, observation, sensing and TT&C uses. OpenEdge is the next step in Kratos’ ongoing effort to support the mainstreaming of satellite services by enabling satellite ground systems to operate seamlessly with today’s wireless and terrestrial networks.
Until OpenEdge, satellite terminals─ the devices that end users employ at the far edge of a satellite ground network to transmit and receive data─ have been purpose-built hardware devices that seriously restrict functionality and flexibility at the network’s edge. OpenEdge disrupts these limitations by:
employing virtualized software modems that can run on general purpose, off-the-shelf compute, and
adding far more power and versatility by enabling additional apps to run at the network’s edge, fully orchestrated across service delivery
Bringing Flexibility to the Network’s Edge Today’s satellite terminals consist of purpose-built hardware components that are limited to performing a dedicated function, for example a satellite modem performing modulation/demodulation functions. OpenEdge uses a different model for operating at the edge, one that employs standards already widely adopted across the larger global telecommunications industry to expand terminal functions and make them more flexible. These standards are what enable mobile devices such as smartphones to support roaming, use cloud-based functions, interoperate with other networks and do much more. While satellites present a more complex technology challenge, the goal of OpenSpace and OpenEdge is to help satellite operators make their services as mainstream as cellular communications and to capitalize on new services such as 5G.
“OpenEdge satellite terminals extend the dynamic operations of the OpenSpace Platform beyond the core and gateway out to the network’s far edge,” said Greg Quiggle, Senior Vice President of Space Product Management at Kratos, “As a result, signal processing and other value-added network functions happen closer to the end user. This enables satellite service providers to deploy new services in minutes while dramatically reducing the overall lifecycle cost of their network.
Intelsat, one of the world’s largest commercial satellite operators, will be among the first to supplant traditional satellite terminals with OpenEdge capabilities.
“OpenEdge technology powers Intelsat’s family of smart edge satellite terminals providing a highly dynamic and application-optimized customer experience. Through this open and virtualized platform, we are able to deliver new services and features to the customer edge on-demand,” commented Blane Boynton, VP Product Development at Intelsat. “We expect this technology to benefit customers across multiple industries and applications, from fixed cellular backhaul and enterprise connectivity, to inflight and maritime applications. In the near future, we’ll rely on OpenEdge technology to help us be the first to transition to 5G, standards based, service delivery for non-terrestrial applications.”
Adding Power at the Edge The OpenEdge advantage starts with Kratos’ virtual modem, replacing the traditional hardware box with software that can run on off-the-shelf x86 compute devices, such as a generic server, a laptop or in the cloud. It can interface directly with a digitally-enabled antenna or be configured with a built-in digitizer that converts the satellite’s analog RF signals into standard Internet Protocol (IP) packets that can be operated upon digitally.
Because OpenEdge effectively turns the traditional, purpose-built terminal into a generic, off-the-shelf computer─ sometimes referred to as universal customer premises equipment (uCPE)─ it can incorporate any x86 applications into operations at the edge. For example, a spectrum monitoring app can be loaded so that end users in the field can quickly find alternate routes for avoiding interference or intentional jamming of satellite signals. In fact, operators or mission controllers can actually turn the terminal into a remote hub in minutes simply by remotely enabling additional software directly into the terminal. The Value of Orchestration At a time when satcom equipment vendors are still struggling to virtualize even basic network functions, Kratos has done that and more by delivering orchestrated virtual network functions today. Orchestration is the ability to specify and automate how network functions will interoperate with each other to support specific services, missions, customer requirements and satellite payloads, and to intelligently configure and reconfigure themselves in real time as needs and demands change. While common across the global communications infrastructure, orchestration has not been employed to great degree in satellite networks, in part due to the challenge of virtualizing unique satcom functions. However, traditional hardware-based ground systems and terminals simply can no longer keep up with the increasingly dynamic advances in both the space layer, such as software-defined satellites and constellations of smallsats, nor in the world’s global communications networks, such as automated provisioning and mobility. In contrast, OpenSpace can ably support these necessary dynamic operations.
Additional OpenEdge Advantages The dynamic advances in OpenEdge support additional benefits to network operators and their customers with more power and flexibility at the edge, including:
Support for Multiple Missions and Markets. OpenEdge terminals simultaneously support a variety of fixed and mobile satellite use cases, including two-way Satellite Communication (satcom), Earth Observation and Remote Sensing (EO/RS), and Telemetry, Tracking & Command (TT&C). Additionally, they can deliver complementary end-user services in the same way that a terrestrial network does, such as enterprise network extension, cellular backhaul, telecom trunking and defense and government applications.
Lower Hardware Cost, Smaller Footprint. OpenEdge terminals reduce the overall hardware footprint to a single box. As a generic x86 device, it both costs less than proprietary units while enabling more power simply by adding complementary software apps. Because the digitizer can be built in, OpenEdge terminals can work with virtually any mission-suitable antenna.
Enhanced Security at the Edge. Any x86-based app can be loaded on the OpenEdge terminal, including firewalls, encrypters and more advanced or custom security applications for highly sensitive uses.
Eliminate Vendor Lock-In. Today’s purpose-built terminals all employ proprietary architectures which lock customers into their equipment for given services, especially in satcom. In contrast, OpenEdge, and the entire OpenSpace Platform, embrace commonly accepted industry interoperability standards, enabling OpenEdge terminals to work side-by-side with standards compliant devices from other companies. In addition, network operators will find much greater success integrating their space-based offerings into the global communications mainstream, expanding their reach, services and revenue.
About Kratos OpenSpace Kratos’ OpenSpace family of solutions enables the digital transformation of satellite ground systems to become a more dynamic and powerful part of the space network. The family consists of three product lines: OpenSpace SpectralNet for converting satellite RF signals to be used in digital environments; OpenSpace quantum products, which are virtual versions of traditional hardware components; and the OpenSpace Platform, the first commercially available, fully orchestrated, software-defined ground system. These three OpenSpace lines enable satellite operators and other service providers to implement digital operations at their own pace and in ways that meet their unique mission goals and business models. For more information about the OpenSpace family visit http://KratosDefense.com/OpenSpace.
About Kratos Defense & Security Solutions Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS) develops and fields transformative, affordable technology, platforms and systems for United States National Security related customers, allies and commercial enterprises. Kratos is changing the way breakthrough technology for these industries are rapidly brought to market through proven commercial and venture capital backed approaches, including proactive research, and streamlined development processes. At Kratos, affordability is a technology, and we specialize in unmanned systems, satellite communications, cyber security/warfare, microwave electronics, missile defense, hypersonic systems, training, combat systems and next generation turbo jet and turbo fan engine development. For more information go to www.KratosDefense.com.
Notice Regarding Forward-Looking Statements Certain statements in this press release may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are made on the basis of the current beliefs, expectations and assumptions of the management of Kratos and are subject to significant risks and uncertainty. Investors are cautioned not to place undue reliance on any such forward-looking statements. All such forward-looking statements speak only as of the date they are made, and Kratos undertakes no obligation to update or revise these statements, whether as a result of new information, future events or otherwise. Although Kratos believes that the expectations reflected in these forward-looking statements are reasonable, these statements involve many risks and uncertainties that may cause actual results to differ materially from what may be expressed or implied in these forward-looking statements. For a further discussion of risks and uncertainties that could cause actual results to differ from those expressed in these forward-looking statements, as well as risks relating to the business of Kratos in general, see the risk disclosures in the Annual Report on Form 10-K of Kratos for the year ended December 26, 2021, and in subsequent reports on Forms 10-Q and 8-K and other filings made with the SEC by Kratos.
