Mercury Systems, Inc.

Mercury Systems, Inc., operating as a subsidiary of publicly traded Mercury Systems Inc. (headquartered in Andover, Massachusetts), manufactures ruggedized servers, signal processors, circuit card assemblies, and acoustic processors for the Department of the Navy as a prime contractor on purchase orders and as a subcontractor on Navy and defense platform engineering programs. The Chantilly, Virginia subsidiary competes on an unrestricted, full-and-open basis with no SBA set-aside posture across its federal footprint.

The company's prime work centers on Naval Supply Systems Command (NAVSUP) purchase orders for specialized electronic components. Representative recent prime awards include a $217.9 thousand purchase order from NAVSUP on September 13, 2022 for circuit card assemblies (electrical and electronic assemblies, boards, cards, and associated hardware) with ultimate completion September 13, 2023; a $113.6 thousand order on July 7, 2025 for 33 circuit card assemblies (NSN 7H-5998-016524997) to Defense Logistics Agency Distribution locations in New Cumberland, Pennsylvania and Tracy, California; and a $104 thousand order on May 21, 2025 for an automatic data server with completion March 31, 2026. A September 25, 2024 order from Naval Sea Systems Command for four Mercury RES XR6 servers (part number 535-400149-39562 Rev F) valued at $71 thousand represents specialized qualification work for the COLUMBIA class submarine program Shipboard Data System. A $30 thousand April 7, 2026 order from NAVSUP covers repair of six acoustic processors (NSN 5845016608112, part number 701253-01) for a Foreign Military Sales program with New Zealand, with ultimate completion September 21, 2027.

Customer concentration is acute: NAVSUP accounts for 35 awards with $1.4 million combined potential value, and Naval Sea Systems Command adds 38 awards with $71 thousand combined potential value. The United States Marine Corps holds 45 awards (concentrated in Military Armored Vehicle, Tank, and Tank Component Manufacturing work under subcontracts to Oshkosh Defense and Lockheed Martin) and Strategic Systems Programs holds 3 awards. Across the 129 total awards in the source, the top five customers by award count represent 95% of recent activity; the two top-dollar rankings track closely, with NAVSUP dominating dollars while Marine Corps volume is routed through sub awards.

The subcontractor footprint dominates the portfolio: 91 of 129 awards (71%) are sub awards. Lockheed Martin is the largest prime partner, with more than 40 sub awards dating from 2022 onward covering engineering design and development, engineering services, and engineering and technical services for Navy programs (reflected in descriptions such as "ENGINEERING DESIGN AND DEVELOPMENT (USN) TI24-SSD04 480GB SATA WP MERCURY TI24-SSD06 6400GB NVME STD MERCURY" and "LITTORAL COMBAT SHIP FREEDOM VARIANT COMBAT SYSTEM IN-SERVICE ENGINEERING AND SUSTAINMENT SUPPORT SERVER 24-CORE PROCESSOR RUGGED 1U"). Oshkosh Defense holds approximately 20 sub awards spanning 2023 through 2024 for electrical components on the JLTV family of vehicles under a ten-year contract. L3Harris Interstate Electronics Corporation, Raytheon, Boeing, and Seacorp, LLC round out the named sub prime relationships. NAICS concentration shows 45 awards under Military Armored Vehicle, Tank, and Tank Component Manufacturing (the Oshkosh JLTV work) and 36 under Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing (Navy sensor and processing systems); PSC concentration shows 12 awards in IT Help Desk and Workspace tools, 9 in Underwater Sound Equipment, and 6 in Electrical and Electronic Assemblies.

Recent activity has contracted sharply: 61 awards in 2023 declined to 37 in 2024, 15 in 2025, and 2 in the first quarter of 2026. The combined potential value across all 129 awards stands at $1.8 million, with obligated dollars of $38.1 million, indicating that most awards are small purchase orders with heavy execution relative to remaining ceiling. Five awards (combined potential value $240 thousand) reach ultimate completion within the next twenty-four months and face recompete risk. The parent Mercury Systems Inc. holds significant indefinite delivery contracts with the Air Force and Naval Air Warfare Center worth hundreds of millions of dollars according to multiple award summaries, providing the subsidiary access to broader defense computing and sensor processing capabilities.