Leonardo DRS Extends Naval Aviation’s Communications Edge With $39.6 Million JTT-X Production Award

Leonardo DRS won a $39.6 million NAVAIR award to supply JTT-X communication terminals that enhance EA-18G Growler mission connectivity.

Rhea-AI Summary

Leonardo DRS (DRS) received a $39.6 million NAVAIR contract on September 14, 2026 to produce Joint Tactical Terminal Transceiver (JTT-X) units for EA-18G Growler aircraft.

The firm-fixed-price, cost-plus-fixed-fee award covers non-recurring engineering, production, aircraft integration, qualification and production support. JTT-X supports the Navy’s Global Lightning initiative, enhancing resilient, multi-network SATCOM, threat warning and situational awareness through a modular open systems design and SOSA-aligned secure crypto modules.

Positive

• $39.6 million NAVAIR production and support contract for JTT-X units
• Contract scope includes engineering, integration, qualification and production support for EA-18G Growler
• JTT-X adds hybrid SATCOM across government and commercial networks, supporting Navy Global Lightning initiative

Negative

• None.

Market Context

Pre-headline, DRS was down 0.66% while three listed peers also declined, placing the $39.6 million a...

Analysis

Pre-headline, DRS was down 0.66% while three listed peers also declined, placing the $39.6 million award against a broader defense-stock move before publication.

Key Figures

Contract value: $39.6 million

Contract value

$39.6 million

JTT-X production and delivery contract from NAVAIR

Historical Context

1 past event · Latest: Sep 10

1 event

1. Sep 10

   Navy contract award

   24h Move

   +0.7%

   Prior Navy contract awards covered MK 41 launcher electronics hardware for naval platforms.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

firm-fixed-price, cost-plus-fixed-fee, haipe

3 terms

firm-fixed-price financial

"The firm-fixed-price, cost-plus-fixed-fee contract includes non-recurring engineering"

A firm-fixed-price contract sets a single, unchanging price for goods or services that the seller must deliver, regardless of how much those costs rise or fall during performance. For investors, this matters because the buyer bears little cost uncertainty while the seller absorbs any cost overruns, which can make revenue more predictable but can squeeze profit margins if expenses increase—think of agreeing to buy a product at a set price even if the seller’s costs go up.

cost-plus-fixed-fee financial

"The firm-fixed-price, cost-plus-fixed-fee contract includes non-recurring engineering"

Cost-plus-fixed-fee is a payment method used in contracting where the buyer agrees to cover all the costs of a project plus an additional fixed amount as profit. This means the total payment depends on the actual expenses incurred, plus a set fee that doesn’t change regardless of the project's final costs. For investors, understanding this arrangement helps assess how project costs and profit margins are managed and how they might impact financial risk and potential returns.

haipe technical

"latest NSA SERD 2.0 High Assurance Internet Protocol Encryption (HAIPE) standards"

High Assurance Internet Protocol Encryptor (HAIPE) is a class of government‑grade encryption devices and technical specifications used to protect classified information sent over IP networks. It matters to investors because companies that design, manufacture, or integrate HAIPE equipment often compete for secure government and defense contracts and must meet strict certification and interoperability rules; think of HAIPE like a tamper‑resistant mailbox that only authorized parties can open.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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NAVAIR contract supports Leonardo DRS’ strategy to deliver secure, modular, open-architecture and multi-network connectivity for EA-18G Growler missions, helping aircrews maintain communications, threat awareness and mission advantage in contested environments

ARLINGTON, Va., Sept. 14, 2026 (GLOBE NEWSWIRE) -- Leonardo DRS, Inc. (Nasdaq: DRS) announced today that its Airborne and Intelligence Systems business unit has been awarded a $39.6 million contract by Naval Air Systems Command (NAVAIR) for the production and delivery of Joint Tactical Terminal Transceiver (JTT-X) units. The firm-fixed-price, cost-plus-fixed-fee contract includes non-recurring engineering, production, aircraft integration, qualification, and production support for the EA-18G Growler aircraft.

The award supports the Navy’s Global Lightning initiative with continued investment in resilient communications, enhanced threat warning, and improved situational awareness for Naval Aviation operating in contested and complex mission environments.

JTT-X is a critical upgrade to the Navy’s primary, alternate, contingency, and emergency (PACE) layered communications architecture. As a Hybrid SATCOM Terminal, JTT-X is designed to communicate across a variety of government and commercial network pathways, including proliferated Low Earth Orbit (pLEO) satellite communications architectures. This capability provides resilient, flexible, and survivable communications options for Naval Aviation missions.

JTT-X is designed with a modular open systems approach (MOSA) including 3U VPX expansion slots for technology insertion and future capability growth. DRS’ SOSA-aligned (Sensor Open Systems Architecture), Transceiver Crypto Module (XCM3) cards provide both Embedded Crypto Module (ECM) and UHF secure tactical comms capability. The ECM has been developed to the latest NSA SERD 2.0 High Assurance Internet Protocol Encryption (HAIPE) standards.

“This award is an important milestone for our team and reflects the Navy’s continued confidence in Leonardo DRS to deliver secure, resilient communications for Naval Aviation,” said Larry Ezell, senior vice president and general manager of Leonardo DRS Airborne and Intelligence Systems. “JTT-X strengthens the layered communications architecture aircrews rely on in highly contested environments. We are proud to continue supporting the EA-18G community with technology that enhances threat awareness, improves situational understanding, and supports mission success.”

Leonardo DRS provides platform-agnostic tactical terminals and beyond-line-of-sight communications solutions that support enhanced situational awareness across air, land and maritime operations. To learn more about the company’s Joint Tactical Terminal family and Integrated Broadcast Service capabilities, visit www.LeonardoDRS.com/what-we-do/products-and-services/joint-tactical-terminal-integrated-broadcast-service-jtt-ibs/.

About Leonardo DRS

Leonardo DRS, Inc. (Nasdaq: DRS) is at the forefront of developing transformative defense technologies using its proven agility and delivering innovative solutions for U.S. national security customers and allies worldwide. We specialize in rapidly providing high-performance, multi-domain capabilities across next-generation advanced sensing, network computing, force protection, and electric power and propulsion. Our reputation as a trusted provider is built on a continuous focus on practical innovation, delivering quality, and meeting our customers’ most demanding mission requirements. For further information on our complete range of capabilities, visit www.LeonardoDRS.com.

Forward-Looking Statements

This communication contains statements that constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Those statements reflect current expectations, assumptions and estimates of future performance and economic conditions. The company cautions investors that any forward-looking statements which include contract values, contract performance and our development and production of products are subject to risks and uncertainties that may cause actual results and future trends to differ materially from those matters expressed in or implied by such forward-looking statements.

Leonardo DRS Investor Relations Contact
Camilla Yanushevsky
Director, Investor Relations
+1 571 309 8216
Camilla.Yanushevsky@drs.com   

Leonardo DRS Media Contact
Charles Jones
Director, Marketing and Corporate Communications
+1 571-737-8800
charles.jones@drs.com  

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What capabilities does the JTT-X terminal provide for Naval Aviation missions?

JTT-X is a Hybrid SATCOM Terminal designed to operate across multiple government and commercial network pathways, including proliferated Low Earth Orbit (pLEO) satellite architectures. It supports the Navy’s primary, alternate, contingency and emergency communications architecture, providing resilient, flexible and survivable communications, enhanced threat warning and improved situational awareness for Naval Aviation in contested and complex environments.

How is JTT-X designed to support future technology upgrades?

JTT-X uses a modular open systems approach (MOSA) with 3U VPX expansion slots that allow technology insertion and future capability growth. Its SOSA-aligned Transceiver Crypto Module (XCM3) cards and Embedded Crypto Module are developed to the latest NSA SERD 2.0 High Assurance Internet Protocol Encryption standards, enabling secure UHF tactical communications and future enhancements.

Which aircraft platform is covered by this contract?

The contract covers production, integration and support of JTT-X units for the EA-18G Growler aircraft, supporting the communications architecture and mission performance of that platform.

How does this award align with Leonardo DRS’s broader communications offerings?

Leonardo DRS offers platform-agnostic tactical terminals and beyond-line-of-sight communications solutions that support enhanced situational awareness across air, land and maritime operations. The JTT-X award aligns with this portfolio by extending secure, multi-network connectivity capabilities to Naval Aviation and EA-18G Growler missions.