Tetra Tech Awarded $30 Million Watershed Resiliency Contract

Rhea-AI Summary

Tetra Tech (NASDAQ: TTEK) has secured a five-year, single-award contract worth up to $30 million from the Utah Army National Guard. The contract focuses on watershed restoration and resiliency at Camp Williams training site, which has experienced increased risks from flooding, wildfires, and erosion due to extreme climate impacts over the past two decades. Tetra Tech's team of scientists and engineers will develop nature-based solutions to restore degraded habitats, mitigate future losses, and enhance biodiversity and ecosystem functions.

Positive

• Secured new $30 million contract from Utah Army National Guard
• Five-year contract duration provides stable revenue stream
• Contract expands company's presence in environmental restoration sector

Negative

• None.

Insights

Financial Analyst

This $30 million watershed contract win strengthens Tetra Tech's position in the growing environmental resilience market. With a $12.6 billion market cap, while the contract size is relatively modest at 0.24% of market value, it represents strategic expansion in climate adaptation services - a sector seeing increased government spending. The 5-year duration provides steady revenue visibility. The contract aligns with rising demand for climate resilience solutions, particularly from military installations facing extreme weather risks. The company's expertise in nature-based engineering positions it well to capture more contracts as federal climate spending increases under recent infrastructure bills.

Environmental Engineering Expert

The scope of this watershed restoration project is technically significant, addressing multiple complex challenges including flood control, wildfire mitigation and erosion management through nature-based solutions. The interdisciplinary approach combining biological and engineering expertise demonstrates advanced capabilities in ecosystem restoration. Camp Williams' challenges mirror those faced by many military installations nationwide, making this contract a potential template for similar projects. The focus on biodiversity and ecosystem functions, rather than just infrastructure hardening, represents an innovative approach to climate resilience that could yield valuable case studies and competitive advantages for future contracts.

PASADENA, Calif.--(BUSINESS WIRE)-- Tetra Tech, Inc. (NASDAQ: TTEK), a leading provider of high-end consulting and engineering services in water, environment, and sustainable infrastructure, announced today that the Utah Army National Guard awarded Tetra Tech a five-year, single-award contract not to exceed $30 million. The watershed-focused restoration and resiliency contract will support its Camp Williams training site.

Extreme climate impacts over the past two decades have affected the Camp Williams watershed, creating increased risks from flooding, wildfires, and erosion. Under this contract, Tetra Tech’s interdisciplinary team of scientists and engineers will develop nature-based solutions to restore degraded habitats, mitigate against future losses, and preserve and enhance biodiversity and ecosystem functions.

“Climate change impacts have increased in recent years, posing risks to human health and the environment,” said Dan Batrack, Tetra Tech Chairman and CEO. “Our team of biologists and restoration engineers will use our Leading with Science^® approach to support the Utah Army National Guard in designing and implementing sustainable solutions focused on long-term ecosystem stewardship and enhanced resiliency.”

About Tetra Tech

Tetra Tech is the leader in water, environment and sustainable infrastructure, providing high-end consulting and engineering services for projects worldwide. With 28,000 employees working together, Tetra Tech provides clear solutions to complex problems by Leading with Science^® to address the entire water cycle, protect and restore the environment, design sustainable and resilient infrastructure, and support the clean energy transition. For more information about Tetra Tech, please visit tetratech.com or follow us on LinkedIn and Facebook.

Any statements made in this release that are not based on historical fact are forward-looking statements. Any forward-looking statements made in this release represent management’s best judgment as to what may occur in the future. However, Tetra Tech’s actual outcome and results are not guaranteed and are subject to certain risks, uncertainties and assumptions ("Future Factors"), and may differ materially from what is expressed. For a description of Future Factors that could cause actual results to differ materially from such forward-looking statements, see the discussion under the section "Risk Factors" included in the Company’s Form 10-K and Form 10-Q filings with the Securities and Exchange Commission.

View source version on businesswire.com: https://www.businesswire.com/news/home/20241106431068/en/

Jim Wu, Investor Relations

Charlie MacPherson, Media & Public Relations

(626) 470-2844

Source: Tetra Tech, Inc.

FAQ

What is the value of Tetra Tech's (TTEK) new Utah Army National Guard contract?

Tetra Tech (TTEK) secured a five-year, single-award contract worth up to $30 million from the Utah Army National Guard.

What services will Tetra Tech (TTEK) provide under the Camp Williams watershed contract?

Tetra Tech will develop nature-based solutions to restore degraded habitats, mitigate against future losses, and preserve and enhance biodiversity and ecosystem functions at Camp Williams training site.

What environmental challenges is Tetra Tech (TTEK) addressing at Camp Williams?

Tetra Tech is addressing increased risks from flooding, wildfires, and erosion caused by extreme climate impacts over the past two decades at Camp Williams.