Mercury Systems receives $17M order for advanced data transfer systems

Rhea-AI Summary

Mercury Systems (MRCY) has secured a $17 million order from the U.S. Naval Air Warfare Center for Advanced Data Transfer Systems (ADTS), aimed at multiple rotary-wing and tilt-rotor platforms. This order is part of an $84.9 million IDIQ contract obtained in September 2020, following Mercury's acquisition of Physical Optics Corporation. The delivery order, expected over several quarters, highlights Mercury's commitment to enhancing the Naval air fleet's capabilities through secure technology solutions.

Positive

• Secured a $17 million order for Advanced Data Transfer Systems, enhancing revenue.
• Order is part of a larger $84.9 million IDIQ contract, indicating strong future earnings potential.
• Strengthens partnership with U.S. Naval Air Warfare Center, boosting credibility.

Negative

• None.

ANDOVER, Mass., Aug. 12, 2021 (GLOBE NEWSWIRE) -- Mercury Systems, Inc. (NASDAQ: MRCY, www.mrcy.com), a leader in trusted, secure mission-critical technologies for aerospace and defense, announced it received a $17 million order from the U.S. Naval Air Warfare Center’s Aircraft Division (NAWC-AD) for Advanced Data Transfer Systems (ADTS) for deployment across multiple rotary-wing and tilt-rotor platforms. The ADTS, a rugged data, video, and audio loader and recorder with cybersecurity capability, is used for moving mission data securely to and from the aircraft for pre- and post-mission analysis.

The order is part of a firm-fixed-price, indefinite delivery/indefinite quantity (IDIQ) contract award worth up to $84.9 million originally received in September 2020 by Physical Optics Corporation, recently acquired by Mercury Systems. The $17M delivery order was received in Mercury’s fiscal 2021 third quarter and is expected to be delivered over the next several quarters.

"We value our long-standing partnership with NAWC-AD and are excited about the opportunity to expand our role through the delivery of trusted and secure ADTS technology solutions across multiple platforms,” said Jay Abendroth, vice president and general manager, Mercury Mission. “The IDIQ allows Mercury to fulfill our commitment to deliver critical purpose-built solutions to the Naval air fleet and further strengthens our position as a leader in making commercial technology profoundly more accessible to aerospace and defense.”

Mercury envisions, creates and delivers innovative technology solutions purpose-built to meet its customers most pressing high-tech needs. For more information, visit mrcy.com or contact Mercury at (866) 627-6951 or info@mrcy.com.

Mercury Systems – Innovation That Matters^®
Mercury Systems is a global commercial technology company serving the aerospace and defense industry. Headquartered in Andover, Mass., the company delivers trusted, secure open architecture processing solutions powering a broad range of mission-critical applications in the most challenging and demanding environments. Inspired by its purpose of delivering Innovation that Matters, By and For People Who Matter, Mercury helps make the world a safer, more secure place for all. To learn more, visit mrcy.com, or follow us on Twitter.

NAVAIR Public Release 2021-423 Distribution Statement A – “Approved for public release; distribution is unlimited”

Forward-Looking Safe Harbor Statement
This press release contains certain forward-looking statements, as that term is defined in the Private Securities Litigation Reform Act of 1995, including those relating to the products and services described herein and to fiscal 2021 business performance and beyond and the Company’s plans for growth and improvement in profitability and cash flow. You can identify these statements by the use of the words “may,” “will,” “could,” “should,” “would,” “plans,” “expects,” “anticipates,” “continue,” “estimate,” “project,” “intend,” “likely,” “forecast,” “probable,” “potential,” and similar expressions. These forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those projected or anticipated. Such risks and uncertainties include, but are not limited to, continued funding of defense programs, the timing and amounts of such funding, general economic and business conditions, including unforeseen weakness in the Company’s markets, effects of epidemics and pandemics such as COVID, effects of any U.S. federal government shutdown or extended continuing resolution, effects of continued geopolitical unrest and regional conflicts, competition, changes in technology and methods of marketing, delays in completing engineering and manufacturing programs, changes in customer order patterns, changes in product mix, continued success in technological advances and delivering technological innovations, changes in, or in the U.S. Government’s interpretation of, federal export control or procurement rules and regulations, changes in, or in the interpretation or enforcement of environmental rules and regulations, market acceptance of the Company’s products, shortages in components, production delays or unanticipated expenses due to performance quality issues with outsourced components, inability to fully realize the expected benefits from acquisitions, restructurings and value creation initiatives such as 1MPACT, or delays in realizing such benefits, challenges in integrating acquired businesses and achieving anticipated synergies, increases in interest rates, changes to industrial security and cybersecurity regulations and requirements, changes in tax rates or tax regulations, changes to interest rate swaps or other cash flow hedging arrangements, changes to generally accepted accounting principles, difficulties in retaining key employees and customers, unanticipated costs under fixed-price service and system integration engagements, and various other factors beyond our control. These risks and uncertainties also include such additional risk factors as are discussed in the Company’s filings with the U.S. Securities and Exchange Commission, including its Annual Report on Form 10-K for the fiscal year ended July 3, 2020. The Company cautions readers not to place undue reliance upon any such forward-looking statements, which speak only as of the date made. The Company undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date on which such statement is made.

CONTACT
Robert McGrail, Director of Corporate Communications
Mercury Systems Inc.
+1 (978) 967-1366   |   robert.mcgrail@mrcy.com

Mercury Systems and Innovation That Matters are registered trademarks of Mercury Systems, Inc. Other product and company names mentioned may be trademarks and/or registered trademarks of their respective holders.

FAQ

What is the recent order received by Mercury Systems related to?

Mercury Systems received a $17 million order for Advanced Data Transfer Systems from the U.S. Naval Air Warfare Center.

How does the $17 million order affect Mercury Systems' financial outlook?

The $17 million order is part of a larger $84.9 million IDIQ contract, which supports potential future earnings growth.

When is the delivery of the new order expected to occur?

The delivery of the $17 million order is expected over several quarters.

What technology is included in the new Mercury Systems' order?

The order includes Advanced Data Transfer Systems, which provide secure data transfer for military applications.