KBR Enhancing F/A-18 Foreign Military Sales with Contract for NAVAIR

Rhea-AI Summary

KBR (NYSE: KBR) was awarded an estimated $117M cost-plus-fixed-fee follow-on contract to provide Foreign Military Sales (FMS) support to Naval Air Systems Command’s F/A-18 and EA-18G Program Office (PMA-265).

The five-year scope covers integrated program management, engineering, financial and logistics support for FMS programs with Australia, Finland and Switzerland, and includes sustaining aircraft systems, acquisition and training support, lifecycle logistics and communications security across U.S. and partner-nation locations.

KBR noted its more than 40 years of F/A-18 experience and ongoing partnership with NAVAIR.

Positive

• Contract value: $117M estimated award
• Contract term: 5 years of performance
• Scope: integrated program management, engineering, finance and logistics
• Geographic reach: support for Australia, Finland, Switzerland and U.S. locations

Negative

• None.

News Market Reaction

+1.87%

1 alert

+1.87% News Effect

On the day this news was published, KBR gained 1.87%, reflecting a mild positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Contract value: $117M Contract duration: 5 years Platform experience: More than 40 years

3 metrics

Contract value $117M Estimated cost-plus-fixed-fee F/A-18 FMS follow-on contract

Contract duration 5 years Performance period across U.S. and partner nations

Platform experience More than 40 years KBR’s history supporting F/A-18 programs

Market Reality Check

Price: $41.30 Vol: Volume 983,351 is 0.86x t...

normal vol

$41.30 Last Close

Volume Volume 983,351 is 0.86x the 20-day average of 1,145,784, indicating no unusual trading interest pre-announcement. normal

Technical Shares at $44.02 are trading below the 200-day MA of $48.45 and 27.81% under the 52-week high.

Peers on Argus

While KBR was flat pre-news (0% change), key engineering and construction peers ...

While KBR was flat pre-news (0% change), key engineering and construction peers like FLR, PRIM, IESC, ROAD and DY showed gains between 1.48% and 3.93%, suggesting broader sector strength but a stock-specific lag for KBR.

Historical Context

5 past events · Latest: Dec 04 (Positive)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Dec 04	Defense contract win	Positive	+1.9%	Award of estimated $117M five-year F/A-18 FMS support contract.
Nov 20	Space suit testing	Positive	-1.8%	Successful AxEMU thermal vacuum and dual-suit tests for Artemis III.
Nov 06	Iraq gas project design	Positive	-2.5%	Selection for multi-discipline engineering on TotalEnergies’ AGUP2 project.
Nov 04	Qatar offshore contract	Positive	+1.8%	Detailed engineering award for Bul Hanine offshore oil and gas field.
Nov 03	JV acquisition deal	Positive	-2.8%	Brown & Root JV agreement to acquire SWAT, expanding welding services.

Pattern Detected

Recent KBR headlines are generally positive (new contracts, strategic projects, JV acquisition), yet price reactions have often been negative, with three of the last five news events seeing declines despite constructive developments.

Recent Company History

This announcement of an estimated $117M F/A-18 Foreign Military Sales support contract extends a pattern of KBR securing technically complex, long-duration work. Over the past months, KBR reported steady Q3 results, won major engineering awards in Iraq and Qatar, advanced space-suit testing with Axiom Space, and pursued growth via its Brown & Root joint venture acquiring SWAT. Market reactions to these positive updates were mixed, with several contract and partnership wins followed by share price declines, indicating uneven investor enthusiasm.

Market Pulse Summary

This announcement highlights an estimated $117M cost‑plus‑fixed‑fee, five‑year contract that deepens...

Analysis

This announcement highlights an estimated $117M cost‑plus‑fixed‑fee, five‑year contract that deepens KBR’s long‑standing role on the F/A‑18 platform and broadens Foreign Military Sales support for Australia, Finland and Switzerland. In recent months, KBR has combined steady quarterly results with new energy, offshore and space‑related awards, plus a JV acquisition to expand industrial services. Investors may watch how this contract contributes to backlog quality, execution risk, and future earnings visibility alongside other large projects.

Key Terms

cost-plus-fixed-fee, foreign military sales, logistics, cybersecurity, +1 more

5 terms

cost-plus-fixed-fee financial

"awarded an estimated $117M cost-plus-fixed-fee follow-on contract"

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.

foreign military sales regulatory

"provide Foreign Military Sales (FMS) support for Naval Air System Command’s"

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.

logistics technical

"This includes implementation, engineering and logistics, ensuring the jets stay"

Logistics is the planning and execution of how goods, materials and related information are moved, stored and delivered from suppliers to customers. It matters to investors because efficient logistics cut costs, speed up delivery and reduce disruptions—similar to a well-run backstage crew that keeps a performance on time—while poor logistics can erode profit margins, damage reputation and create operational risks that affect a company’s value.

cybersecurity technical

"material shortages, cybersecurity and technology development with extensive FMS"

Cybersecurity involves protecting computers, networks, and digital information from theft, damage, or unauthorized access. It is essential for safeguarding sensitive data and maintaining trust in digital systems, which matters to investors because strong cybersecurity reduces the risk of costly breaches and disruptions that can impact a company’s performance and reputation. Think of it as locking and safeguarding valuable information much like securing a safe to prevent theft.

communications security technical

"supporting lifecycle logistics and communications security operations."

Communications security is the set of practices and technologies that keep a company’s messages, calls and data exchanges private and tamper‑free — for example using encryption, secure networks and access controls. Investors care because weak protections can lead to leaked trade secrets, regulatory fines, business disruption or lost customer trust, all of which can hurt revenue and share value, much like leaving a business’s front door unlocked invites theft and damage.

AI-generated analysis. Not financial advice.

HOUSTON, Dec. 04, 2025 (GLOBE NEWSWIRE) -- KBR (NYSE: KBR) announced today it has been awarded an estimated $117M cost-plus-fixed-fee follow-on contract to provide Foreign Military Sales (FMS) support for Naval Air System Command’s (NAVAIR) F/A-18 and EA-18G Program Office (PMA-265). KBR provides expertise to help Australia, Finland and Switzerland maintain and operate their F/A-18 fighter jets through PMA-265 for optimal defense readiness. This includes implementation, engineering and logistics, ensuring the jets stay outfitted with the newest tools and technology and are mission-ready. The work ensures smooth coordination between countries and keeps aircraft safe, reliable and ready to fly. Contract performance will take place across multiple U.S. locations and international partner nations over a period of five years.

Under the terms of the contract, KBR will provide integrated program management, engineering, financial and logistics support for the F/A-18 FMS programs with Finland, Australia and Switzerland. The team will assist PMA-265 in sustaining aircraft systems, managing acquisition and training efforts, and supporting lifecycle logistics and communications security operations.

“KBR has supported this program for multiple decades,” said Mark Kavanaugh, KBR President of Defense, Intel and Space. “This contract win showcases KBR’s expertise on the F/A-18 platform and position as a trusted long-term partner for NAVAIR.”

For more than 40 years, KBR has provided subject matter expertise across systems engineering, diminishing manufacturing sources and material shortages, cybersecurity and technology development with extensive FMS knowledge across all variants of the F/A-18 platform. They regularly analyze Security Assistance and National Disclosure Policy procedures, programs and requirements, and make recommendations for changes to modernize FMS policies and ensure collaboration across the U.S. and partner nations.

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 the delivery of Foreign Military Sales, F/A-18 platform and PMA-265 support services, 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 (KBR) announce on December 4, 2025?

KBR announced an estimated $117M follow-on contract to provide FMS support for NAVAIR’s F/A-18 and EA-18G program over five years.

Which countries will KBR support under the KBR (KBR) F/A-18 FMS contract?

KBR will support Australia, Finland and Switzerland alongside U.S. locations under the PMA-265 FMS programs.

What services will KBR provide under the $117M F/A-18 contract (KBR)?

KBR will provide integrated program management, engineering, financial and logistics support, plus lifecycle logistics, acquisition and training assistance.

How long is the KBR F/A-18 contract performance period?

The contract performance period is five years across multiple U.S. and international partner locations.

How does the KBR announcement reference the company’s experience with the F/A-18 platform?

KBR stated it has provided subject matter expertise on the F/A-18 platform for more than 40 years.