HII is Awarded Contract to Support AUKUS Engineering and Design Work

An option, if exercised, would bring the Navy contract’s cumulative value to $91 million.

Rhea-AI Summary

HII (NYSE: HII) received a $56 million U.S. Navy contract for engineering and design work supporting the AUKUS partnership.

The award to Newport News Shipbuilding includes an option that, if exercised, would bring cumulative contract value to $91 million. Work supports the United Kingdom and Australia through technology insertion, engineering, supply chain and workforce development, and digital transformation. Engineers and designers will also support design of the SSN-AUKUS nuclear-powered submarine to be built by the two countries.

HII’s other AUKUS work includes an awarded Australian submarine supplier qualification contract, workforce training efforts, and a December 2025 Nuclear Capability Advisory Services contract supporting Australia’s submarine programs.

4 points · 0 major

PositiveiHow this balance works

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0 major · 1 point

Hollow bars mark forward-looking points. How the balance works

Positive

• Moderate point$56 million U.S. Navy contract awarded to Newport News Shipbuilding for AUKUS engineering and design.
• Minor pointAustralian Submarine Supplier Qualification Program contract awarded to Mission Technologies in Australia.
• Minor pointAustralian workforce development includes educating and training thousands of professionals for the nuclear-powered submarine enterprise.
• Minor pointNuclear Capability Advisory Services contract awarded in December 2025 supports Australia’s submarine programs.

Negative

• Minor point. Forward-looking: it has not happened yet and may not happen.$91 million cumulative contract value depends on exercise of the included option.

Key Figures

Base contract value: $56 million Potential cumulative contract value: $91 million

Base contract value

$56 million

U.S. Navy contract for shipbuilding engineering and design

Potential cumulative contract value

$91 million

If the contract option is exercised

Key Terms

foreign military sales

1 terms

foreign military sales regulatory

"in support of Foreign Military Sales (FMS) requirements"

Foreign military sales are transactions where one country sells military equipment, technology, or services to another country. These sales often involve government agreements and can influence international relationships and stability. For investors, understanding foreign military sales can indicate geopolitical stability and potential shifts in defense-related industries or government spending.

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NEWPORT NEWS, Va., Oct. 13, 2026 (GLOBE NEWSWIRE) -- HII (NYSE: HII) announced today that its Newport News Shipbuilding (NNS) division was awarded a $56 million contract by the U.S. Navy for shipbuilding engineering and design in support of the trilateral Australia, United Kingdom, and United States (AUKUS) partnership. The contract includes an option which, if exercised, would bring the cumulative value of this contract to $91 million. HII continues to take a whole-company approach to support the AUKUS agreement, providing services and support for AUKUS across its business divisions.

Under the contract, in support of Foreign Military Sales (FMS) requirements, NNS will continue supporting the United Kingdom and Australia, including technology insertion, engineering, supply chain and workforce development support, and digital transformation. The award also includes the United States Industry Support (USIS) effort, wherein NNS engineers and designers will support the design of the SSN-AUKUS nuclear-powered submarine to be built by the United Kingdom and Australia.

“Our longstanding nuclear experience at NNS directly benefits the AUKUS mission to support shared security objectives,” said Bryan Caccavale, NNS vice president of program management. “We are honored to leverage that experience and contribute even more to the AUKUS partnership.”

An image accompanying this release is available at: http://hii.com/news/hii-is-awarded-contract-to-support-aukus-engineering-and-design-work/. 

The contract award is the latest in a range of initiatives HII is actively engaged in to advance the AUKUS partnership. HII’s Mission Technologies division in Australia was awarded the contract to deliver the Australian Submarine Supplier Qualification (AUSSQ) Program, which accelerates the identification, development and qualification of Australian suppliers for integration into the United States submarine industrial base.

HII is also working with Australian industry and academia in Australia to develop the skilled workforce needed to support Australia’s nuclear-powered submarine enterprise. This includes educating and training thousands of engineers, maritime specialists, nuclear tradespeople and other professionals to support the enterprise across its full lifecycle.

The company was also awarded the Australian Submarine Agency’s Nuclear Capability Advisory Services (ANCAS) contract in December 2025 to support development of Australia’s Nuclear Power Submarine (NPS) programs through nuclear program management and technical support services.  

About HII

HII is America’s largest shipbuilder, delivering the world’s most powerful ships and all-domain mission technologies, including unmanned systems, to U.S. and allied defense customers. HII is the largest producer of unmanned underwater vehicles for the U.S. Navy and the world.

With a more than 140-year history of advancing U.S. national security, HII builds and integrates defense capabilities extending from the core fleet to C6ISR, AI/ML, EW and synthetic training. Headquartered in Virginia, HII’s workforce is 45,000 strong. For more information, visit:

• HII on the web: https://www.HII.com/
• HII on Facebook: https://www.facebook.com/TeamHII
• HII on X: https://www.twitter.com/WeAreHII
• HII on Instagram: https://www.instagram.com/WeAreHII
• HII on LinkedIn: https://www.linkedin.com/company/wearehii

Contact:

Todd Corillo
Todd.Corillo@HII.com
(757) 688-3220

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/727949c3-e7fb-47d8-a061-7e346f238365

FAQ

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How much is HII’s U.S. Navy AUKUS engineering and design contract worth?

The awarded contract is worth $56 million, with an option that, if exercised, would bring its cumulative value to $91 million. The recipient is HII’s Newport News Shipbuilding division.

What work will HII perform under the AUKUS engineering and design contract?

Newport News Shipbuilding will provide engineering and design support for AUKUS, including design work on the SSN-AUKUS nuclear-powered submarine. Support for the United Kingdom and Australia also covers technology insertion, supply chain and workforce development, and digital transformation.

What does HII’s Australian Submarine Supplier Qualification Program do?

The Australian Submarine Supplier Qualification Program accelerates the identification, development and qualification of Australian suppliers for integration into the United States submarine industrial base. HII’s Mission Technologies division in Australia was awarded the contract to deliver the program.