Arxium, Inc.

Arxium, Inc., a for-profit manufacturer of pharmacy automation equipment headquartered in Buffalo Grove, Illinois, operates as a 100% prime contractor delivering maintenance, repair, technical support, and equipment supply services for proprietary OptiFill and FastPak automated medication dispensing systems to the Department of Veterans Affairs across multiple Veterans Integrated Service Networks, with no set-aside designation across its federal footprint.

Arxium's customer concentration is extreme and singular: the Department of Veterans Affairs Veterans Health Administration accounts for the entire active federal footprint across 240 prime awards. Within the VA system, five VISNs account for 54% of award count, but the ranking shifts dramatically by dollar value — Veterans Integrated Service Network 12 anchors 78% of combined potential value with $46.9 million across 15 awards, while VISN 17 (39 awards) and VISN 2 (22 awards) carry substantially smaller dollar magnitudes ($9.2 million and $8.9 million respectively). The Defense Logistics Agency Troop Support Medical represents the only non-VA customer with material exposure ($4.5 million across 4 awards). Arxium also holds a contract with the Defense Health Agency for MedSelect medical software support services at the White House Medical Unit ($138.8 thousand through March 2028), representing minimal non-VA engagement.

Arxium's primary contracting vehicle is the VA's General Services Administration Medical Equipment and Supplies Multiple Award Schedule, from which 149 task orders carry $29.3 million in combined potential value. A secondary Blanket Purchase Agreement (36C24122A0019) with Veterans Integrated Service Network 1, valued at $359,790 through December 2026, functions as a standing authority for OptiFill maintenance and repair calls. Recent large awards include a $1.3 million purchase order from VISN 8 (Caribbean Healthcare System, San Juan, Puerto Rico) for OptiFill II system upgrade and preventive maintenance through August 2030; a $2.6 million firm-fixed-price purchase order from VISN 2 for OptiFill automated dispensing system upgrade at Brooklyn and Manhattan VA medical centers (sole-source under FAR 13.106-1(b), completed January 2025); and a $1.2 million VISN 17 order for OptiFill services in San Antonio, Texas (August 2022–January 2024). Smaller task orders ($71 thousand to $150 thousand) recur across VISN 1, 7, 12, 17, 19, and 21 for preventive maintenance, emergency repairs, software upgrades, and canisters.

Activity has contracted sharply in recent years: 14 awards in 2022 declined to 6 in 2023, 8 in 2024, 8 in 2025, and 2 in 2026 year-to-date. Combined potential value across all 240 awards stands at $98.6 million with $42.7 million obligated (43% obligation rate). Thirteen awards with ultimate completion dates in the next twenty-four months carry $2.3 million in combined potential value facing recompete exposure. The vendor's position rests on original-equipment-manufacturer (OEM) status: Arxium justifies sole-source awards across the VA system on the proprietary nature of its OptiFill and FastPak systems and its exclusive authority to supply qualified technicians and replacement parts. This OEM lock-in model shields the vendor from competitive pressure but concentrates portfolio risk on VA pharmacy automation modernization strategy and VISN procurement patterns.

SCI-reported invoicing covers only $485 thousand across FY2022–FY2024 (FY2023: $243 thousand across 0.3 FTEs; FY2024: $243 thousand across 0.3 FTEs), reflecting the fact that most Arxium work falls below the $150 thousand SCI reporting threshold or is classified as goods rather than services. The SCI dataset is therefore an incomplete view of federal revenue. On the reported service work, government-paid hourly rates run a median of $321.12 per hour with senior labor pricing through $490.80 per hour (90th percentile), suggesting field technician and engineering support roles. Arxium performs all contracted work internally with no subcontractor engagement across the federal portfolio. The vendor's NAICS profile reflects its manufacturing footprint: Surgical and Medical Instrument Manufacturing dominates (168 awards), followed by Other Electronic and Precision Equipment Repair and Maintenance (30 awards).

Arxium operates entirely as a prime and carries zero federal subcontract work, positioning it as a direct supplier to the VA rather than a teaming partner or feeder to larger defense primes. The business model — OEM maintenance exclusivity coupled with federal healthcare system lock-in — generates recurring revenue streams but creates recompete vulnerability if the VA opts to modernize beyond OptiFill or consolidates VISN procurement authority.

ARxIUM is an industry leading developer of pharmacy automation, workflow, and consulting solutions. The ARxIUM approach, Pharmacy 4.0, improves the quality, flexibility, speed, and productivity of the pharmacy production process.

Recognized for quality, integrity and knowledge, ARxIUM helps customers optimize operations and business. Our comprehensive offering includes:

Automated compounding, packaging and dispensing

Compliance packaging management

Inventory control and storage

Access control

Industry-leading workflow and scheduling software

Expert consultation

Production and workflow design

Onsite technical and implementation assistance

Much more

ARxIUM takes great pride in our disciplined process of assessing your business objectives and designing a solution that fits your needs and goals. Contact us today to learn how ARxIUM can advance your clinical, operational and financial performance.