CPI Aerostructures announced a new production contract with Raytheon for the Next Generation Jammer Mid‑Band (NGJ‑MB) program, a key component of the U.S. Navy’s modernization of the EA‑18G Growler electronic‑warfare platform. The agreement, valued at up to $42.3 million with an initial funding amount of $21.1 million, covers the manufacturing of pod structures and air‑management systems that will be integrated into the Growler’s jamming suite.
The win expands CPI’s defense backlog, which was already heavily government‑centric at roughly $500 million in the first three quarters of 2025. By adding a multi‑year revenue stream that begins in 2027, the contract strengthens CPI’s long‑term financial outlook and reinforces its reputation as a trusted supplier to Raytheon and the Navy. The NGJ‑MB program, which achieved initial operational capability in December 2024, is a high‑profile, high‑technology effort that positions CPI at the forefront of advanced electronic‑warfare manufacturing.
CPI’s recent quarterly results show a mixed picture: revenue fell slightly from $20.8 million in Q2 2024 to $15.2 million in Q2 2025, while net income rose from $0.75 million to $1.11 million in Q3 2025. Gross margin improved from 4.4 % in Q2 2025 to 22.3 % in Q3 2025, driven by a shift toward higher‑margin defense contracts and disciplined cost management. The new NGJ‑MB contract is expected to further lift margins by providing a stable, high‑margin production schedule.
President and CEO Dorith Hakim said the award “recognizes CPI’s performance delivering Next Generation Jammer‑Mid Band pods and AMS on or ahead of schedule.” She added that the partnership “demonstrates the Navy’s confidence in CPI’s ability to meet critical defense needs and underscores our commitment to sustaining a robust, high‑quality supply chain for advanced warfare systems.”
Investors responded favorably to the announcement, with analysts noting the contract’s long‑term revenue potential and its alignment with CPI’s strategic focus on high‑technology defense manufacturing. The deal is expected to enhance CPI’s backlog stability and support future growth opportunities within Raytheon's portfolio.
The contract’s start date in 2027 provides CPI with a predictable revenue stream that will help the company continue to reduce debt and invest in capacity expansion. As the NGJ‑MB program scales, CPI is positioned to capture additional work, potentially expanding its role in other electronic‑warfare initiatives and reinforcing its status as a key defense supplier.
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