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KBR Awarded Seat on $10 Billion Ceiling Readiness and Sustainment Support Contract with U.S. Naval Supply Systems Command

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KBR (NYSE: KBR) was awarded a seat on the U.S. Naval Supply Systems Command WEXMAC 2.1 TITUS multiple‑award IDIQ contract for readiness and sustainment supporting defense of the continental United States.

The award lets KBR compete for firm‑fixed‑price task orders across a five‑year base period with a five‑year option/b that would raise the contract ceiling from to $20 billion. Services may include stability operations, civil support, supply chain and distribution, humanitarian assistance and disaster relief.

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Positive

  • Awarded a seat on WEXMAC 2.1 TITUS IDIQ for U.S. Navy readiness
  • Eligible to compete for task orders across a 5‑year base and optional 5‑year extension
  • Contract ceiling increases to $20 billion if option exercised

Negative

  • Revenue is not guaranteed — KBR must compete for IDIQ task orders
  • Initial ceiling of $10 billion only; upside requires option exercise

News Market Reaction

-0.21%
10 alerts
-0.21% News Effect
-$11M Valuation Impact
$5.17B Market Cap
0.6x Rel. Volume

On the day this news was published, KBR declined 0.21%, reflecting a mild negative market reaction. Our momentum scanner triggered 10 alerts that day, indicating notable trading interest and price volatility. This price movement removed approximately $11M from the company's valuation, bringing the market cap to $5.17B at that time.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Contract ceiling (base): $10 billion Full ceiling with option: $20 billion Base period: 5 years +5 more
8 metrics
Contract ceiling (base) $10 billion WEXMAC 2.1 TITUS base contract ceiling
Full ceiling with option $20 billion WEXMAC 2.1 TITUS with five-year option exercised
Base period 5 years Initial WEXMAC 2.1 TITUS contract term
Option period 5 years Additional option term for WEXMAC 2.1 TITUS
Q3 2025 revenue $1.931 billion Quarterly revenue from 10-Q dated 2025-10-30
Q3 2025 diluted EPS $0.90 Up from $0.75 a year ago per 10-Q
Operating cash flow YTD $506 million Year-to-date continuing operations per 10-Q
Remaining performance obligations $13.5 billion Backlog detail in 10-Q filing

Market Reality Check

Price: $41.26 Vol: Volume 939,600 is below 2...
normal vol
$41.26 Last Close
Volume Volume 939,600 is below 20-day average 1,280,514 (relative volume 0.73). normal
Technical Trading below 200-day MA of 48.32, about 29.67% under 52-week high and 8.28% above 52-week low.

Peers on Argus

While KBR was up about 0.7% pre‑news, key engineering and construction peers lik...

While KBR was up about 0.7% pre‑news, key engineering and construction peers like FLR, PRIM, IESC, ROAD, and DY showed declines between roughly -3% and -11%, indicating today’s defense‑focused contract is more stock‑specific than sector‑driven.

Historical Context

5 past events · Latest: Dec 16 (Positive)
Pattern 5 events
Date Event Sentiment Move Catalyst
Dec 16 Green methanol tech award Positive -1.1% Award for PureMSM biomethanol technology at Saudi landfill-gas project.
Dec 15 Green ammonia contract Positive -0.9% Technology and engineering contract for 200,000 tpa green ammonia plant in Spain.
Dec 04 NAVAIR FMS contract Positive +1.9% Estimated <b>$117M</b> follow-on F/A‑18 and EA‑18G Foreign Military Sales support deal.
Nov 20 Spacesuit testing milestone Positive -1.8% Successful AxEMU thermal vacuum and NBL testing with Axiom Space for Artemis III.
Nov 06 Iraq gas project design Positive -2.5% Detailed engineering role in TotalEnergies-led Gas Growth Integrated Project in Iraq.
Pattern Detected

Recent positive contract and technology announcements often saw mixed-to-negative next‑day price reactions, with only one clear alignment.

Recent Company History

Over the last two months, KBR reported several contract and technology wins across defense, energy transition, and space. Highlights include a $117M NAVAIR F/A‑18 support contract on Dec 4, major engineering roles in Iraq’s Gas Growth Integrated Project on Nov 6, and multiple low‑carbon technology awards in Saudi Arabia and Spain in mid‑December. Despite generally positive operational momentum, share responses have often been muted or negative, suggesting investors may already price in steady contract flow.

Market Pulse Summary

This announcement highlights KBR’s continued role in mission-critical U.S. defense support, with a p...
Analysis

This announcement highlights KBR’s continued role in mission-critical U.S. defense support, with a place on the WEXMAC 2.1 TITUS contract that could reach a $20 billion ceiling over a potential ten-year span. When viewed alongside recent defense and energy-transition awards and a $13.5 billion backlog from the latest 10‑Q, it reinforces steady contract flow. Investors may watch task order wins, execution performance, and backlog conversion for future context.

Key Terms

indefinite delivery indefinite quantity, IDIQ, firm fixed price
3 terms
indefinite delivery indefinite quantity regulatory
"a multiple award, indefinite delivery indefinite quantity (IDIQ) contract by the U.S."
A contract type where a buyer commits to buying goods or services over a set period but does not promise fixed quantities or delivery dates up front; instead, orders are placed as needed within agreed limits. For investors, it signals a potential steady revenue stream with flexible demand—similar to a standing order at a store that you refill when needed—while also carrying uncertainty about exact timing and total value of future sales.
IDIQ regulatory
"multiple award, indefinite delivery indefinite quantity (IDIQ) contract by the U.S."
An IDIQ (Indefinite Delivery/Indefinite Quantity) is a type of government procurement contract that sets terms and maximum limits for buying goods or services over a period without specifying exact delivery dates or quantities up front. For investors, an IDIQ signals a potential steady revenue stream and easier repeat business because it gives a company preferred access to future orders under agreed terms—think of it as a standing shopping account that can generate unpredictable but recurring sales.
firm fixed price financial
"WEXMAC 2.1 TITUS task orders are expected to be firm fixed price."
A firm fixed price is a contract where the buyer and seller agree on a single, unchanging price for goods or services that does not shift if the seller’s costs go up or down. Investors care because it makes revenue and profit more predictable for the seller while transferring cost risk to the seller; like agreeing to buy a meal at a set price even if ingredient costs later rise, it can boost short-term stability but increase exposure to cost overruns.

AI-generated analysis. Not financial advice.

HOUSTON, Dec. 18, 2025 (GLOBE NEWSWIRE) -- KBR (NYSE: KBR) announced today it has been awarded a seat on a multiple award, indefinite delivery indefinite quantity (IDIQ) contract by the U.S. Naval Supply Systems Command (NAVSUP). The NAVSUP Worldwide Expeditionary Multiple Award Contract (WEXMAC) 2.1 Territorial Integrity of the United States (TITUS) is a contract for readiness and sustainment focused on defense of the continental United States.

Under WEXMAC 2.1 TITUS, KBR will compete on IDIQ task orders to provide essential supplies and services to support U.S. military and coalition partner operations, humanitarian assistance and disaster relief efforts. Tasks may include a wide range of support services such as stability operations, civil support and supply chain and distribution services. WEXMAC 2.1 TITUS task orders are expected to be firm fixed price. The contract spans a five-year base period with an additional five-year option period. The five-year option period would bring the ceiling amount to $20 billion.

“KBR has earned a global reputation as an industry leader in mission-critical support services to the U.S. military and coalition partners,” said Doug Hill, KBR Readiness & Sustainment President. “This contract is an opportunity to support the U.S. Navy at home, focused on defense of the United States. As The Team Behind the Mission®, we’re proud to leverage our decades of Navy experience to help the Naval Supply Systems Command achieve its mission in the U.S.”

KBR currently supports the U.S. Naval Facilities Engineering Systems Command (NAVFAC) in Europe, Africa and Asia. Known for being able to operate in global, austere environments and execute complicated logistics, KBR has a diverse and talented workforce and innovative technologies to support the U.S. government and commercial clients worldwide.

About KBR

We deliver science, technology and engineering solutions to governments and companies around the world. KBR employs approximately 37,000 people worldwide with customers in more than 80 countries and operations in over 29 countries.

KBR is proud to work with its customers across the globe to provide technology, value-added services, and long-term operations and maintenance services to ensure consistent delivery with predictable results. At KBR, We Deliver.

Visit www.kbr.com

Forward Looking Statements

The statements in this press release that are not historical statements, including statements regarding KBR’s mission-critical support services to the U.S. military and coalition partners, are forward-looking statements within the meaning of the federal securities laws. These statements are subject to numerous risks, uncertainties and assumptions, many of which are beyond the company’s control, that could cause actual results to differ materially from the results expressed or implied by the statements. These risks, uncertainties and assumptions include, but are not limited to, those set forth in the company’s most recently filed Annual Report on Form 10-K, any subsequent Form 10-Qs and 8-Ks and other U.S. Securities and Exchange Commission filings, which discuss some of the important risks, uncertainties and assumptions that the company has identified that may affect its business, results of operations and financial condition. Due to such risks, uncertainties and assumptions, you are cautioned not to place undue reliance on such forward-looking statements, which speak only as of the date hereof. Except as required by law, the company undertakes no obligation to revise or update publicly any forward-looking statements for any reason.

For further information, please contact:

Investors
Jamie DuBray
Vice President, Investor Relations
713-753-5082
Investors@kbr.com

Media
Philip Ivy
Vice President, Global Communications and Marketing
713-753-3800
MediaRelations@kbr.com


FAQ

What did KBR announce on December 18, 2025 about the WEXMAC 2.1 TITUS contract?

KBR announced it was awarded a seat on the WEXMAC 2.1 TITUS multiple‑award IDIQ to compete for readiness and sustainment task orders.

How long is the base period and what is the total potential ceiling for the KBR NAVSUP award?

The contract has a five‑year base period and a five‑year option; the initial ceiling is $10 billion, rising to $20 billion if the option is exercised.

What types of services will KBR provide under the NAVSUP WEXMAC 2.1 TITUS task orders?

Services may include stability operations, civil support, supply chain and distribution, humanitarian assistance and disaster relief.

Will KBR automatically receive revenue from the WEXMAC 2.1 TITUS contract?

No; KBR will compete for firm‑fixed‑price IDIQ task orders, so revenue depends on awarded orders.

Does the NAVSUP award expand KBR’s existing Navy support footprint?

Yes; the award complements KBR’s current Navy work and allows further support focused on defense of the United States.

How could the WEXMAC 2.1 TITUS seat affect KBR shareholders in the near term?

The seat creates opportunity to win material task orders, but any shareholder impact depends on the number and size of orders KBR secures.
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