Northrop Grumman Systems Corporation

Northrop Grumman Systems Corporation, a subsidiary of Northrop Grumman Corporation headquartered in Falls Church, Virginia, is a defense contractor that designs, manufactures, and sustains advanced optical, electronic, and targeting systems for the Department of Defense as a prime contractor (98% of recent awards) competing in full-and-open procurements with no SBA set-aside designations. The company operates from Apopka, Florida and serves 41 distinct federal agencies, with primary capability concentration in night-vision equipment, fire-control designators, laser rangefinders, handheld targeting systems, and precision optical-mechanical assemblies for aircraft, ground vehicles, and infantry platforms.

The portfolio breaks sharply into two mission areas by customer concentration. Army programs dominate dollar value — the Department of the Army Acquisition Support Center PEO Soldier anchors $1.72 billion (49% of combined potential value across 94 awards), and the Army Materiel Command Aberdeen Proving Ground adds another $904.4 million across 20 awards. The Defense Logistics Agency Aviation and Land and Maritime rank second and third by award count (176 and 237 awards respectively) but carry far smaller per-order values ($27.4 million and $7.1 million combined), reflecting routine component and spare-parts replenishment rather than system development. The Marine Corps holds the third-largest single-customer dollar footprint at $334.8 million across 12 awards, driven primarily by the Next Generation Handheld Targeting System (NGHTS) program.

Northrop Grumman holds two anchor indefinite delivery contracts with the Marine Corps and Army. The $252 million single-award IDC with the Marine Corps (awarded February 2022, completion February 2027) covers NGHTS first-article testing, low-rate initial production, full-rate production, and contractor support, with task orders totaling approximately $73 million executed to date — including a $28.8 million firm-fixed-price delivery order for full-rate production systems (March 2024), a $16.7 million order for 51 production units with first-article testing and operator training (December 2022), and a $6.5 million order for non-recurring engineering and production data (August 2022). The $19.1 million single-award IDC with Army Communications-Electronics Command (awarded July 2023, completion June 2028) covers national maintenance and depot-level repair for Lightweight Laser Designator Rangefinder systems (AN/PED-1, AN/PED-1A, AN/PED-1B models), with task orders including a $50 thousand test-and-repair delivery order for the Target Locator Module II.

The largest parent vehicles by task-order volume are Army indefinite-delivery contracts: Indefinite Delivery Contract W91CRB09D0061 carries 41 task orders worth $571.5 million combined potential value, and Indefinite Delivery Contract W91CRB05D0033 carries 26 task orders worth $434.6 million. These vehicles support Army equipment production and sustainment across platforms including targeting systems, fire-control components, and aircraft gunnery equipment. A Navy Basic Ordering Agreement N0016411GJQ01 anchors 21 task orders worth $11.5 million for optical and electronic systems work.

Recent prime awards span both high-dollar system production and routine component supply. Representative large orders include the $6.6 million NGHTS delivery order from the Marine Corps (March 2026), the $1.93 million GDES (targeting system) delivery order from the Marine Corps (March 2025), the $1.76 million prototype cover units delivery order from the Marine Corps (June 2025), and a $2.19 million Army test-and-evaluation delivery order for 144 laser range finders and repair of 114 units (June 2024). Smaller firm-fixed-price purchase orders from the Defense Logistics Agency Aviation and Land and Maritime address cable assemblies, battery boxes, fasteners, optical filters, and related components, typically valued between $4 thousand and $150 thousand each.

Activity has declined year over year — eleven awards in 2022 to four in 2026 (year-to-date through May) — a trajectory potentially reflecting the maturation of NGHTS production or a lag in new task-order issuance; only one award ($6.6 million) faces ultimate completion within the next twenty-four months, presenting minimal recompete cliff exposure near term but raising questions about pipeline replenishment.

In its subcontractor role, Northrop Grumman provides FLIR thermal-imaging systems, lasers, and precision optical-electronic components to Raytheon Company on Navy performance-based logistics contracts for the H-60 Multi-Tactical Shelters FLIR system (recent orders April through May 2026 for periods of performance 5 and foreign military sales spares). The company also subcontracts to Lockheed Martin on a Modernized Target Acquisition Designation Sight (M-TADS/PNVS) post-production support task (July 2024) and to Atlantic Diving Supply on software installation and integration work (September 2024) and maritime HPU I/O board tasks (June 2024). Northrop Grumman's subcontracting footprint (2% of awards) is confined to defense-prime teaming on optical, electronic, and sustainment work rather than independent pursuit.

The company's subcontractor ecosystem on NGHTS production includes Nano Motion Inc., Logic PD Inc., Optimax Systems Inc., Arete Associates, Stratasys Inc. (foreign-owned additive manufacturing), and Contour Machining Inc. (woman-owned small business providing precision machining). These subs supply electronic components, optical elements, 3D-printed enclosures, and metal fabrication supporting system integration and production.

NAICS concentration reflects the product portfolio: Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing (216 awards), Optical Instrument and Lens Manufacturing (163 awards), and All Other Miscellaneous Electrical Equipment and Component Manufacturing (106 awards) dominate the prime footprint. PSC concentration aligns: Optical Sighting and Ranging Equipment (232 awards), Night Vision Equipment (88 awards), Fire Control Designating and Indicating Equipment (85 awards), and Aircraft Gunnery Fire Control Components (84 awards) frame the operational scope.