ManTech, Mercury report sales increases, but warn of delays

By Marjorie Censer / May 5, 2021 at 3:08 PM

ManTech International this week said sales in its most recent quarter totaled $633 million, up 4% from the same three-month period a year earlier.

The company reported quarterly profit of $32.3 million, up nearly 13% from the prior year.

In a call with analysts Tuesday, Kevin Phillips, ManTech’s chief executive, said the company is still seeing delays in contract awards. However, he said he thinks the situation will soon get better.

“We do expect improvement because people are getting back in the government to help adjudicate and to move to normal operations,” Phillips said. “That will help with the pace of -- hopefully -- all things, getting talent as well as adjudicated decisions and procurement decisions within funded amounts.”

Meanwhile, Mercury Systems said this week sales in its most recent quarter totaled $257 million, up 23% from a year earlier.

Mercury said it benefited from about $39 million in sales attributable to its acquisition of Physical Optics.

However, the company reported quarterly profit of $15.6 million, down almost 34%.

Mercury said it has seen delays related to the ongoing pandemic, the administration change and foreign military sales, among other issues.

Mark Aslett, Mercury’s CEO, said the company saw bookings delays on a large naval electronic warfare program in production.

“Probably one of the other ones that I would touch upon is that . . . we've seen a customer, in particular, program execution issue on a large airborne program,” he told analysts during a call this week. “That said, the programs themselves are fine. They're well-funded programs. They're just experiencing different delays actually for different reasons.”