Naval Systems, Inc.

Naval Systems, Inc., a service-disabled veteran-owned small business headquartered in Lexington Park, Maryland, operates as a prime contractor (62% of recent awards) and subcontractor on defense and maritime programs for the Navy and Air Force, delivering engineering services, logistics support, program management, and technical labor across naval aviation platforms and unmanned systems. The company is a Subchapter S corporation, minority-owned, and self-certified as a small disadvantaged business; it competes across full-and-open vehicles alongside set-aside work, with the latter concentrated in Total Small Business designations on Navy multiple-award contracts.

Naval Systems' customer footprint is heavily concentrated with the Department of the Navy. The Naval Air Warfare Center (85 awards, $2.32 billion combined potential value) and Naval Air Systems Command (39 awards, $6.94 billion) anchor the Navy presence, with Naval Sea Systems Command (15 awards, $10.07 billion) rounding out the service command concentration. The Office of the Secretary of Defense (6 awards, $48.01 billion) and Department of the Air Force (3 awards, $46 billion) reflect the company's position on two multi-billion-dollar government-wide vehicles. The top five customer agencies account for 90% of awards by count and 99% of combined potential value, signaling acute customer concentration risk despite the vendor's active engagement across fifteen distinct customer agencies. The tension between award-count concentration (Naval Air Warfare Center leads) and potential-value concentration (OSD dominates) reflects Naval Systems' mixed portfolio of small task orders on Navy sustainment vehicles and massive single awards on OSD and Air Force platforms.

Naval Systems holds seat on multiple high-value contract vehicles anchoring its delivery pipeline. The company places 29 task orders under an Indefinite Delivery Contract (N0042119D0075) with the Naval Air Warfare Center valued at $24.2 million combined potential, 23 task orders under SeaPort-e valued at $191.7 million, 20 task orders under a second Naval Air Warfare Center IDC (N6852023D0001), seven task orders under the NAVAIR Sustainment Group Product Support Management/Integration Multiple Award Contract (PSMI, $600 million vehicle) valued at $127.1 million combined potential, and six task orders under NAVAIR AIR 6.6 Logistics Support valued at $89.1 million. Recent major vehicle awards include a $249.9 million NAVAIR Logistics Information Integration Systems Continuous Modernization Deployment and Sustainment MAC (LIIS CMDS MAC) on June 11, 2026, a $698.785 billion unmanned maritime systems engineering services multiple-award contract from Naval Information Warfare Systems Command on May 11, 2026, a $46 billion position on the Air Force's Eglin Wide Agile Acquisition Contract (EWAAC) as of March 2025, a seat on GSA's OASIS+ Unrestricted vehicle (multi-billion-dollar ceiling, no spending cap specified) as of April 2025, and an Army Basic Ordering Agreement for drones and drone components through December 2030 valued at zero ceiling (framework only) as of December 2025. The company also holds single-award BOAs with Naval Air Systems Command for aircraft information management systems, warehousing, and tooling ($0 ceiling, requirement-based) and a $600 million PSMI multiple-award vehicle.

Representative prime delivery orders illustrate Naval Systems' core work. In May 2026, the Naval Air Warfare Center awarded a $15.69 million cost-plus-fixed-fee delivery order under PSMI for research, development, test and evaluation labor and administrative modification work under Total Small Business set-aside, with performance at Loveville, Maryland through October 31, 2031. In December 2024, Naval Air Warfare Center placed a $17.976 million delivery order under PSMI for Program Management Area 231 support (cost-plus-fixed-fee, Total Small Business) at Patuxent River through December 2028. In January 2024, Naval Air Warfare Center issued a $29.6 million delivery order under Seaport-NXG for cost estimating and analysis support to the Cost and Schedule Analysis Department (cost-plus-fixed-fee, no set-aside) at Patuxent River through December 2029. In June 2024, Naval Air Warfare Center awarded a definitive contract valued at $21.298 million for labor support performed in Saudi Arabia (firm fixed-price, no set-aside) through May 2029. Naval Systems also supplies goods: in May 2026, Naval Sea Systems Command issued a $716,674 delivery order under Total Small Business for launch kit band clamps fabrication support for the Hammerhead project (firm fixed-price) at Lexington Park through August 2026. These awards span cost-plus-fixed-fee and firm fixed-price structures with performance periods ranging from months to five years, reflecting the company's role as both a sustainment labor provider and a fabrication supplier.

Recent activity shows year-over-year growth through 2025, then contraction. Awards per year climbed from seven in 2022 to nineteen in 2023, thirty-seven in 2024, and thirty-eight in 2025, then dropped to nine in 2026 through the reporting date; this trajectory likely reflects the timing of multi-year contract awards and task-order issuance rather than demand weakness, given the multi-billion-dollar ceiling values on recent vehicle awards. Seven awards with combined potential value of $82.6 million face ultimate completion in the next twenty-four months, representing moderate recompete exposure concentrated on older Navy logistics and program management task orders.

On subcontracted work, Naval Systems partners with large defense primes including Fleet JV LLC (logistics and engineering support across multiple Program Management Areas and naval platforms, thirty-plus sub awards), Vectrus Systems LLC (facilities and sustainment labor), General Dynamics Information Technology (global security engineering and supply chain services), Booz Allen Hamilton (F-35 Lightning II joint program office engineering and technical services), Deloitte Consulting LLP (cost demand management and business management support for Navy AIRLANT), Science Applications International Corporation (procurement and avionics engineering for PMA 299), ManTech Advanced Systems International (marine engineering and naval architecture at Patuxent River), Odyssey Systems Consulting Group (engineering and professional support), and KBR Wyle Services (aircraft armament and aerial refueling systems analysis). Naval Systems also serves as a sub-recipient under National Center for Manufacturing Sciences grant programs, performing digital learning and transformation, maturing data solutions, and aircraft maintenance optimization work across twelve sub-grant awards spanning 2023–2026.

Across SCI-reportable prime service contracts, Naval Systems invoiced $18.2 million over FY2022–FY2025 (FY2022: $14.3 million, FY2023: $3.8 million, FY2024–FY2025: $0 recorded in SCI). The FTE trajectory shows 120 FTEs in FY2022, declining to 23.6 in FY2023, then rising to 58.8 in FY2024 and 43.0 in FY2025, reflecting volatility in SCI-reportable work magnitude. On federal services contracts captured in SCI, government-paid hourly rates for prime labor ran a median of around $71.26/hr, with the 10th percentile at $2.92/hr (likely indirect-rate or overhead charges on low-invoice records) and the 90th percentile at $75.99/hr, indicating mid-tier professional labor pricing. Across SCI-reportable prime contracts, Naval Systems subcontracted an average of 22% of total contractor hours to fifteen named subcontractors, suggesting a mixed delivery model combining direct labor and subcontractor augmentation rather than pure pass-through or pure build-it-yourself positioning.

The company competes predominantly under full-and-open vehicles (OASIS+ Unrestricted, EWAAC, SeaPort-e, PSMI, Seaport-NXG) and Navy Total Small Business set-asides on multiple-award vehicles. The set-aside posture is consistent across the prime footprint, with the majority of Navy task orders carrying Total Small Business or no set-aside designation; the company does not appear in the source data as a participant in 8(a) or HUBZone vehicles. Naval Systems' SDVOSB and minority-owned certifications, combined with its sub-$250 million ceiling positions on major GWACs, position it as a mid-market defense logistics and engineering firm with strong Navy relationships and growing exposure to broader OSD and Air Force platforms through recent vehicle awards.

Naval Systems, Inc. (NSI) is a service-disabled veteran owned small business of over 240 professionals supporting the Navy/Marine Corps at various locations in the Continental United States and on Foreign Military Sales (FMS) cases worldwide. Since 2004, NSI has developed the reputation as a high value provider of knowledge-based services and innovative solutions to advance U.S. national security interests. NSI contracts extend across Department of the Navy, Department of the Air Force, and other Department of Defense offices and programs. Headquartered outside NAS Patuxent River, NSI also has office locations near other DoD bases and facilities across the U.S. NSI's founding precepts are of a Warfighter-focused enterprise built on core values of superior service quality, technical innovation, personal integrity, teamwork, and mission success. NSI is an ISO 9001:2015 registered company for Aerospace and Defense customers.