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KBR Secures $98.7 Million Space Force Contract to Advance Digital Engineering Ecosystem

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KBR (NYSE: KBR) was awarded a cost-plus-incentive-fee task order by the United States Space Force on Oct. 16, 2025. The DICE task order builds on the ASCEND2 contract and has a ceiling value of $98.7 million over a three-year period of performance to establish a testing and training environment in Colorado Springs, Colorado.

KBR is authorized to deploy its Integration Accelerator, a collaborative digital engineering ecosystem, and will use the ASCEND2 IDIQ vehicle to provide analytical and technical decision support aimed at advancing Space Force integrated testing and training initiatives.

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Positive

  • $98.7M contract ceiling over three years
  • Authorized deployment of Integration Accelerator digital ecosystem
  • Work expands KBR presence in Space Force testing and training
  • Uses ASCEND2 IDIQ vehicle for follow-on analytical support

Negative

  • Task order is cost-plus-incentive-fee, limiting fixed-price upside
  • Ceiling of $98.7M may be modest relative to large program scales
  • Work scoped to a three-year period, limiting long-term revenue visibility

Insights

KBR won a $98.7 million USSF task order to deploy a digital engineering test and training environment over three years.

KBR will deliver the Integration Accelerator and related analytical support under the ASCEND2 IDIQ to establish a collaborative digital engineering ecosystem in Colorado Springs. The task order has a ceiling value of $98.7 million and a three-year period of performance, and it is structured as a cost-plus-incentive-fee award.

The program moves from contract framework to actionable work, tying revenue opportunity to delivery of the Integration Accelerator and analytical decision support. Key dependencies include timely task order execution, measurable delivery of the testing and training environment, and continued use of the ASCEND2 vehicle; watch milestone deliveries and contract modifications over the next three-year period.

HOUSTON, Oct. 16, 2025 (GLOBE NEWSWIRE) -- KBR (NYSE: KBR) announced today it has been awarded a cost-plus-incentive-fee task order by the United States Space Force (USSF), building on the work under the previously awarded Advanced Solutions for Collaborative Engineering and Digital Development (ASCEND2) contract. The Design Implementation for Collaborative Environment (DICE) task order will focus on establishing a state-of-the-art testing and training environment for the USSF in Colorado Springs, Colorado, and will have a ceiling value of $98.7 million over a three-year period of performance.

This award authorizes KBR to deploy its Integration Accelerator, a groundbreaking collaborative digital engineering ecosystem designed to enhance decision-making and accelerate capability deployment. In addition, KBR will use the ASCEND2 Indefinite Delivery, Indefinite Quantity (IDIQ) contract vehicle to provide analytical and technical decision support aimed at advancing the methodologies, processes and outcomes associated with the acquisition and deployment of future Space Force integrated testing and training initiatives.

“This award marks a pivotal step forward in accelerating Space Force capabilities,” said Mark Kavanaugh, KBR’s President, Defense, Intel and Space. “Through the Integration Accelerator, we’re proud to deliver a collaborative digital engineering ecosystem that empowers smarter, faster and more resilient decision-making for future integrated testing and training.”

This win reinforces KBR’s position as a premier innovative partner to the U.S. government, advancing its strategy to deliver secure infrastructure, digital transformation and mission-critical support across defense and space domains.

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 company’s future operations, strategies and anticipated outcomes related to the DICE task order, 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 (NYSE: KBR) announce on October 16, 2025 regarding the Space Force?

KBR announced a cost-plus-incentive-fee DICE task order with a $98.7 million ceiling over three years to build a testing and training environment in Colorado Springs.

How long is the KBR Space Force DICE task order performance period?

The task order has a three-year period of performance.

What is the Integration Accelerator KBR will deploy for the Space Force?

The Integration Accelerator is KBR’s collaborative digital engineering ecosystem designed to accelerate decision-making and capability deployment.

Will KBR use an IDIQ vehicle for the Space Force work and which one?

Yes; KBR will use the ASCEND2 IDIQ contract vehicle to provide analytical and technical decision support.

Where will the KBR DICE testing and training environment be located?

The testing and training environment will be established in Colorado Springs, Colorado.

Does the DICE award change KBR’s relationship with the U.S. government?

The award reinforces KBR’s role as a government partner in defense and space mission support, per the announcement.
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