Lockheed Martin Awarded $219M

The U.S. Army has awarded Lockheed Martin (NYSE: LMT) a $219 million contract to produce more Early Operational Capability (EOC) Precision Strike Missiles (PrSM).

The award is the fourth production contract to date for the long-range surface-to-surface missile, which will allow for a significant increase in production capacity to meet Army demand.

Lockheed Martin delivered the first missiles in December 2023 following a successful November production qualification test.

Initial deliveries achieved a major modernization milestone for the U.S. Army, securing needed long-range precision fires capability.

“We’re proud to deliver this long-range deterrent capability to our Army customer and continue work to advance the program and production on an aggressive schedule,” said Jay Price, vice president of Precision Fires at Lockheed Martin.

PrSM production will continue as Lockheed Martin ramps manufacturing efforts to fulfil current EOC contracts. Additional testing is also planned this year to include an Army-led user test.

PrSM is the U.S. Army’s next-generation long-range precision strike missile capable of neutralizing targets beyond 400 kilometres. The new surface-to-surface weapon features an open systems architecture design for maximum flexibility, is modular for future growth and is HIMARS and Multiple Launch Rocket System (MLRS) compatible.

Lockheed Martin uses digital tools such as augmented reality, ARISE™ advanced modelling and simulation, data analytics, and software factory to advance the development and improve producibility, quality and performance.