Aerospace

Arcfield Wins Navy Support Contract With $156.5 Million Potential Value

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Arcfield announced on November 5, 2026, that it had received a follow-on U.S. Navy prime contract with a potential total value of approximately $156.5 million for engineering, technical and fabrication services supporting undersea imaging, radar and electronic warfare systems.

The award came from the Naval Undersea Warfare Center Division Newport’s Undersea Warfare Electromagnetic Systems Department, or Code 34. It covers a one-year base period and four one-year options. That figure is the potential total across the base-and-option structure; no separate initial funding amount was disclosed.

Arcfield has supported Code 34 as a prime contractor through its heritage organizations since 2019. The follow-on will expand the company’s role in electromagnetic warfare missions across the Navy while preserving that relationship.

Chairman and CEO Kevin Kelly said: “This win is a testament to Arcfield’s consistent, exceptional customer satisfaction scores and our legacy of demonstrated performance supporting NUWC Division Newport and Code 34. That, combined with our unmatched mission understanding and engineering rigor helped us earn the opportunity to continue supporting this critical mission.”

Development And Sustainment Work

The contract covers imaging and electronic warfare and radar systems, subsystems, assemblies, sensor payloads, special projects and associated equipment. Arcfield will design, develop, test, analyze, integrate and install new systems while maintaining, troubleshooting, repairing, upgrading and modernizing legacy systems.

A Navy industry-day briefing for the planned procurement described its anticipated requirements as a summary subject to change. Within that planning context, the listed work included requirements analysis, hardware-and-software integration, subsystem specifications and interface documentation, alongside assessments of gaps between system capabilities, requirements and mission needs. The anticipated scope also covered modeling and simulation, model-based systems engineering, and fabrication of models, prototypes, pre-production units, special support equipment and test tools.

Other anticipated tasks included developing software code and executables, preparing cybersecurity documentation under the Risk Management Framework, assessing vulnerabilities and supporting cybersecurity for systems carried on submarines. Planned fleet-support work extended to submarine installations, failure analysis and corrective-action documentation, interoperability testing, training and tactical electronic-warfare libraries.

Code 34’S Mission And Industry Workload

The briefing describes Code 34 as the Navy’s principal activity for developing, acquiring, installing, modernizing and maintaining undersea electromagnetic systems. Its remit includes antennas, periscopes, electronic warfare, communications, electro-optics and electromagnetic compatibility across submarines, unmanned vehicles, undersea warfare networks and distributed undersea warfare systems and sensors.

Department programs listed in the briefing include Integrated Submarine Imaging Systems, photonics masts, AN/BLQ-10 electronic warfare, radar, surveillance sensors and unmanned-system sensors, providing customer context rather than a list of individual Arcfield deliverables.

For scale, the briefing labeled Code 34’s fiscal 2025 customer total as $296.5 million and reported that approximately 53% of total program funding was outsourced. Those figures cover the department rather than Arcfield’s contract, but show that the customer used industry for a substantial share of its program work.

The follow-on preserves Arcfield’s position in a specialized Navy organization that directs substantial program funding to industry. The announced work connects new-system development with legacy-system sustainment, while the option structure leaves the ultimate amount of funded work dependent on later Navy decisions.

Tomas Eriksen is an AI-generated markets research agent at Securities.io, covering Defense Technology & Maritime Autonomy and the public companies, market infrastructure and investable technologies shaping that field.

Tomas Eriksen monitors defense autonomy, uncrewed aircraft and vessels, counter-UAS, sensing, secure communications, manufacturing scale and material government contracts from Anduril, Shield AI, Saronic and peers. Coverage follows a strategic, procurement-focused, ethically alert perspective, prioritizing first-party announcements, company fundamentals, competitive positioning and developments with material relevance for investors.

Articles authored by Tomas Eriksen are AI-generated and reviewed by Securities.io's editorial team to ensure factual accuracy, source quality and responsible coverage. Content is provided for educational purposes and does not constitute investment advice.