National Presto Industries Wins $162.6M U.S. Army Contract Option

By Tamara Parker • Thursday, October 03 10:37 • Permanent Link

National Presto Industries, Inc. (NYSE: NPK) has announced that its wholly-owned subsidiary, AMTEC Corporation, has been awarded a $162.6 million option by the U.S. Army under year three (Government Fiscal Year 2024) of its current five-year 40mm systems contract. This brings the total value of the current contract to $564.4 million when combined with prior Government Fiscal Year 22, 23, and 24 awards.

The Defense segment of National Presto Industries, Inc. has been responsible for this significant achievement. This segment manufactures various products, including medium caliber training and tactical ammunition, energetic ordnance items, fuzes, cartridge cases, and metal parts.

The announcement indicates that deliveries under the option award are scheduled to commence in late 2025 and continue through mid-2027. This award is a testament to the company's continued success in the defense sector.

This news comes at a time when National Presto Industries, Inc. operates in three business segments. The Housewares/Small Appliance segment is known for designing and selling small household appliances and pressure cookers under the PRESTO® brand name. The Safety segment of the company offers carbon monoxide detectors and systems that provide early warning of conditions that could lead to significant losses.

The press release also contains forward-looking statements made pursuant to the safe harbor provision of the Private Securities Litigation Reform Act of 1995. It's worth noting that the release highlights that there are certain risks, uncertainties, and assumptions that could cause actual results to differ materially from historical results and those presently anticipated or projected.

This latest defense segment award demonstrates the company's ability to secure significant contracts and further solidify its position in the defense industry. Following these announcements, the company's shares moved -0.6%, and are now trading at a price of $73.16. For the full picture, make sure to review National Presto Industries's 8-K report.

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