One defense company is making big gains in federal contracting

Despite a drop in total federal contracting dollars last year, Harris Corporation made huge gains in the amount of money it was awarded by the government in 2015.

Harris Corporation jumped a whopping 15 spots in Bloomberg Government’s BGov200 list, which ranks the top federal contractors.

The communications company saw $3.4 billion in federal contracts moving from 29th place to 14th for fiscal 2015. The company received $5 billion in total revenue with a market cap of almost $10 billion.

Most of the company’s 2015 contracts came unsurprisingly from the Defense Department, a total of $2.2 billion.

Advertisement

Harris Corporation received a potential $450 million contract from the Defense Information Systems Agency in March 2015 to provide systems engineering and program management services to the agency’s Crisis Management System.

The company was also awarded large sums from the military services, combatant commands and other defense agencies.

The Defense Logistics Agency increased Harris Corporation’s Tactical Radio contract ceiling by $100 million in September. The company also signed a $97 million Airborne Jammer order with the Navy and was awarded a $390 million contract for a new Two-Channel  Handheld Tactical Radio by U.S. Special Operations Command.

Another company that skyrocketed up the ranks in the report is Bahrain Petroleum Company. The government-owned oil company shot up 28 spots to number 62 by selling fuel to the Defense Logistics Agency.

The company saw $865 million in federal contracts in 2015.

In a reversal of government contracting fortunes, General Electric dropped nine spots from 2014, down to 32nd.

GE still managed $1.7 billion in federal contracts, but in the grand scheme of things federal contracting is pennies compared to the company’s total revenues.

GE brought in $115 billion in 2015. The small part of that revenue that did come from the government came mostly from the military. GE won contracts with DoD, the Navy, Army, Air Force and SOCOM.

It also did business with the Veterans Affairs and Homeland Security departments.

GE has been going through a transformation lately. It recently sold off its famous appliance segment to Qingdao Haier Company Limited for $5.4 billion.

GE is focusing more on industrial business. Its CEO recently said that in the face of market uncertainty, the company will localize in response to protectionist trade policies.

Another company taking a thumping in the report is Verizon Communications Inc., which tumbled 54 spots in the rankings, landing at number 125.

Verizon, like many other companies, did most of its business with DoD. The company did a total of $423 million in government contracts.

However, Verizon is diversified throughout the government in the contracts it was awarded. The company did business with Health and Human Services Department, Treasury Department, the legislative branch, Transportation Department, Environmental Protection Agency, Commerce Department and many more.

Topping the report’s list were the usual big defense companies. First place went to Lockheed Martin, second to Boeing, third to General Dynamics and fourth to Raytheon.

The four companies received more than $80 billion in federal contracts.

Overall, 91 companies increased their rankings, 70 decreased, 12 remained the same and 27 entered the list.