Amentum - Comprehensive Analysis Report

Summary

Amentum is a government and commercial services contractor providing engineering and technology solutions. Its mission is to deliver advanced engineering and technology solutions to address challenges in science, security, and sustainability. The company plays a significant role in supporting critical national programs across energy, environment, intelligence, space, defense, civilian, and commercial markets.

1. Strategic Focus & Objectives

Core Objectives

• Provide advanced engineering, technology solutions, and mission support to enhance military readiness and national security.

• Focus on research, development, and testing of advanced systems.

• Support key locations such as INDOPACOM and Europe.

Specialization Areas

• Environment and climate sustainability

• Intelligence and counter threat solutions

• Data fusion and analytics

• Engineering and integration

• Advanced test, training and readiness

• Citizen solutions

• Maintenance and modernization

Target Markets

• Government

• Defense

• Space

• Intelligence

• Commercial

2. Financial Overview

Funding History

• In December 2024, Amentum reported $8.4 billion in GAAP revenues for fiscal year 2024 and $13.9 billion in pro forma revenues, a 4% increase year-over-year.

• As of September 27, 2024, Amentum’s total backlog was $45 billion, with $7.6 billion funded.

• Amentum affirmed its outlook for FY 2025, projecting revenues of $13.8 billion to $14.2 billion and adjusted diluted earnings per share between $2 and $2.20.

• The company anticipates adjusted EBITDA between $1.06 billion and $1.1 billion and free cash flow ranging from $475 million to $525 million for FY 2025.

• Amentum Holdings had revenue of $3.49B in the quarter ending March 28, 2025, with 70.21% growth.

• This brings the company's revenue in the last twelve months to $11.26B, up 38.56% year-over-year.

• In the fiscal year ending September 27, 2024, Amentum Holdings had annual revenue of $8.39B with 6.65% growth.

3. Product Pipeline

Key Products/Services

• Counter-Unmanned Aircraft Systems (C-UAS): Prototypes being developed under a $260 million contract with the Department of Homeland Security (DHS).

• Modernization of the U.S. Army's fixed-wing transport fleet: Amentum is involved in modernizing the fleet.

• NASA's Exploration Ground Systems Program: Supporting the Artemis Program at Kennedy Space Center.

• U.S. Space Force's Eastern and Western Ranges: Operating and maintaining the ranges under a potential 10-year, $4 billion contract.

4. Technology & Innovation

Technology Stack

• Augmented Reality Remote Expert™ system for rapid iteration and deployment of solutions.

• Cloud-based drone detection systems.

• Leverages technologies like AI and machine learning to enhance situational awareness and decision-making.

• Advanced analytical techniques for open-source intelligence.

5. Leadership & Management

Executive Team

• John Heller: Chief Executive Officer.

• Steve Arnette: Chief Operating Officer.

• Travis Johnson: Chief Financial Officer.

• Jill Bruning: Chief Technology Officer.

• Darren Burton: Chief People Officer.

• Luis German: Chief Information Officer.

• Sean Mullen: Chief Growth Officer.

• Roela Santos: Chief Marketing & Communications Officer.

• Michele St. Mary: Chief Legal Officer and General Counsel.

• Karina Vollmer: Chief Ethics & Compliance Officer.

• Karl Spinnenweber: President, Mission Solutions.

• Mark Whitney: President, Energy & Environment.

• Jennifer Walsmith: President, Intelligence & Cybersecurity Business.

• Adam Harrison: SVP, Strategy & Corporate Development.

• Tom Foster: COO, Nuclear & Environment Strategic Business Unit.

Recent Leadership Changes

• John Heller has been the CEO since March 2022.

6. Competitive Analysis

Major Competitors

• Parsons.

• CACI International.

• SAIC (Science Applications International Corporation).

• Leidos Holdings.

• Black & Veatch.

• AECOM.

• Tetra Tech.

7. Market Analysis

Market Overview

• The U.S. Department of Defense (DoD) is increasing its focus on drone defense, with $3.1 billion allocated to C-UAS programs in the 2025 budget.

• The market for C-UAS is expected to grow, driven by executive orders and FAA/DOJ mandates.

8. Strategic Partnerships

• University of Manchester: Collaboration to drive advances in materials science, robotics, digitalization, energy, and social impact.

• WaveAerospace: Integration of advanced uncrewed aircraft into Amentum's portfolio.

• TB2 Aerospace: Collaboration on the Drone Recharging Operational Payload System (DROPS).

• SkySafe: Deployment of cloud-based drone detection systems.

9. Operational Insights

• Global reach and presence in approximately 80 countries.

• Full lifecycle support for government programs, from R&D to operations and maintenance.

• Commitment to safety, collaboration, and well-being.

10. Future Outlook

Strategic Roadmap

• Expanding capabilities in C-UAS and drone defense.

• Leveraging expertise in space systems and ground systems.

• Providing solutions for environmental remediation and sustainability.

• Driving innovation through strategic partnerships and technology integration.