General Dynamics Awarded $194 Million Navy Contract Modification for Cruise Missile Program

General Dynamics Mission Systems Inc. has received a $194,139,485 contract modification from the U.S. Navy for work on the Nuclear-Armed, Sea-Launched Cruise Missile Program, the Department of Defense announced.

Contract Details

The award is a cost-plus-fixed-fee modification to a previously issued contract. The scope of the work involves providing technical and engineering support specifically for the program's Fire Control Subsystem. This is a critical component responsible for targeting and launching the missile.

Key details of the contract include:

• Work Locations: The majority of the work (75%) will be performed in Pittsfield, Massachusetts, with the remaining 25% in Manassas, Virginia.
• Completion Date: The project is scheduled to be completed by Sept. 30, 2028.

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Financial and Programmatic Impact

Upon this award, $135,303,302 in fiscal 2025 Navy research, development, test, and evaluation (RDT&E) funds will be obligated. The Department of Defense noted that none of these funds will expire at the end of the current fiscal year, indicating a long-term funding commitment to the program's development.

The contract was awarded on a sole-source basis, a non-competitive process often used when only one supplier can fulfill the requirements due to unique capabilities or expertise. The contracting activity is the Navy's Strategic Systems Programs, located in Washington, D.C.

For investors, this award reinforces General Dynamics' position as a primary contractor for the U.S. military's strategic weapons systems. Long-term defense contracts provide a stable and predictable revenue stream, a key factor in evaluating the financial health of aerospace and defense firms.