DLH Awarded DHA OMNIBUS IV Military Medical Research and Development Contract

Rhea-AI Summary

DLH Holdings Corp. (NASDAQ: DLHC) announced an award of an Indefinite Delivery/Indefinite Quantity (ID/IQ) contract with the Department of Defense. This contract involves health-related research and support services, focusing on medical simulation, infectious diseases, and battlefield healthcare. It has a potential total ceiling of $10 billion over five years, with task orders to be competed as needed. The initiative aligns with DLH's expertise in digital transformation and medical research, positioning the company to enhance military health readiness.

Positive

• Awarded ID/IQ contract with Department of Defense worth up to $10 billion.
• Aligns with DLH's capabilities in digital transformation and medical research.
• Opportunity to compete for task orders enhances revenue potential.

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• None.

ATLANTA, May 25, 2022 (GLOBE NEWSWIRE) -- DLH Holdings Corp. (NASDAQ: DLHC) (“DLH” or the “Company”), a leading provider of innovative healthcare services and solutions to federal agencies, today announced that it has been awarded an Indefinite Delivery/Indefinite Quantity (ID/IQ) multiple award contract to provide health-related research and development and support services to the Department of Defense (“DoD”).

DLH will compete for individual task orders across two of OMNIBUS IV’s market segments – Research & Development and Research & Development Support Services. The contract covers medical simulation technology, research into infectious diseases and radiation effects, battlefield healthcare, clinical medicine, chemical and biological readiness, genomics and omics-based research, and science technologies. The multiple-award contract has a five-year base period and a five-year extension option, and, in aggregate, has a $10 billion ceiling for all awardees. Specific values will be allocated to contractors as task orders are competed and awarded.

“DLH is committed to providing the highest quality care to the American warfighter,” said Jackie Everett, DLH Chief Growth Officer. “The medical research activities covered in this contract perfectly align with our expanded core competencies – including digital transformation, modeling and simulation, clinical, medical, and scientific research, artificial intelligence and machine learning, telehealth research and application, and more – positioning us well to win task orders on this ID/IQ contract.”

“With this vehicle DLH is in a position to help enhance the force health readiness posture of our military through application of our expertise across the full continuum of care – ranging from scientific research and clinical trials through advanced development to care delivery systems in the battlefield,” added Zach Parker, DLH President and CEO.

About DLH
DLH (NASDAQ:DLHC) delivers improved health and readiness solutions for federal programs through research, systems development, and innovative care processes. 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 2,400 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 public health 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, operating income, earnings and cash flow. 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 acquisitions; the challenges of managing larger and more widespread operations; contract awards in connection with re-competes for present business and/or competition for new business; 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 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, 2021, 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.

INVESTOR RELATIONS
Contact: Chris Witty
Phone: 646-438-9385
Email: cwitty@darrowir.com 

FAQ

What contract was awarded to DLH Holdings Corp. on May 25, 2022?

DLH Holdings Corp. was awarded an Indefinite Delivery/Indefinite Quantity (ID/IQ) contract to provide health-related research and support services to the Department of Defense.

What is the value of the ID/IQ contract awarded to DLH?

The ID/IQ contract has a total ceiling of $10 billion for all awardees over a five-year period.

What areas will DLH focus on under the new contract?

DLH will focus on medical simulation, infectious diseases, battlefield healthcare, and clinical research among other health-related services.

How long is the contract with the Department of Defense?

The contract has a five-year base period with a five-year extension option.

What is the significance of the contract for DLH's shareholders?

The contract provides a significant revenue opportunity for DLH, enhancing its position in the federal healthcare market.