Raytheon awarded $71 million in Navy contracts for missile systems

Investing.com -- Raytheon Technologies (NYSE: RTX) has secured two military contracts worth a combined $71 million for missile system work, according to the U.S. Department of Defense.

The larger award, valued at $57.5 million, goes to Raytheon Missiles and Defense in Tucson, Arizona. This cost-plus-fixed-fee order covers non-recurring engineering work including detailed design, integration, qualification, and verification of a redesigned Digital Scene Matching Area Correlator (DSMAC) for Navy and Foreign Military Sales customers.

The DSMAC work will be performed primarily in Tucson (85%) with the remainder in McKinney, Texas (15%), with completion expected by December 2028. The contract includes $21.3 million in Navy weapons procurement funds and $36.1 million in Foreign Military Sales funds.

In a separate award, Raytheon's Tucson facility received a $13.5 million firm-fixed-price order to procure various components facing obsolescence for future Tomahawk missile production. This work supports both Navy and Marine Corps requirements and is scheduled for completion by April 2028.

Funding for the Tomahawk components comes from fiscal 2024 Navy weapons procurement ($2.8 million), fiscal 2023 Navy weapons procurement ($9.1 million), and fiscal 2023 Marine Corps procurement ($1.7 million).

Both contracts were awarded without competition by the Naval Air Systems Command in Patuxent River, Maryland.

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