Thursday, November 11, 2021
Vectrus (VEC)
Overall Strong 3Q21 Results
Vectrus Inc is a U.S.-based company that provides services to the U.S. government. It operates as one segment and offer facility and logistics services and information technology and network communications services. The information technology and network communications capabilities consist of communications systems operations and maintenance, management and service support, systems installation and activation, system-of-systems engineering and software development, and mission support for the department of defense. The facility and logistics service include airfield management, ammunition management, civil engineering, communications, emergency services, life support activities, public works, security, transportation operations and others.
Joe Gomes, Senior Research Analyst, Noble Capital Markets, Inc.
Joshua Zoepfel, Research Associate, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
3Q21 Results. Vectrus’ 3Q21 revenue was $459.4 million, up 30.4% y-o-y, with organic growth of 13%. Adjusted EBITDA was $20.5 million, up from $17.0 million last year. EPS was $0.87 compared to $0.88, while adjusted EPS was $1.15 in 3Q21 versus $0.89 last year. We had forecast revenue of $434 million, adjusted EBITDA of $19.1 million, and EPS of $0.79.
INDOPACOM. Vectrus is beginning to see the positive impact of the INDOPACOM AOR. The Company recently received an 8-year contract in the Philippines and recently completed the pre-transition site survey for the Kwajalein task order. Revenue from Asia jumped 686.3% to $21.9 million in the quarter, with INDOPACOM accounting for approximately 5% of overall revenue, up from 1% in the same period last …
This research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.
