Two December acquisitions helped Colorado Springs-based defense contractor Vectrus boost revenue and profits sharply during the first quarter, the company reported Monday.
Vectrus acquired HHB Systems, a Virginia-based defense contractor specializing in systems engineering and technical assistance that employs more than 50 people, and Zenetex, another Virginia defense contractor that specializes in providing management and technology services for federal and defense industry clients, both in December. The two deals added $68.9 million in revenue during the January-to-March quarter, or 84% of its revenue increase during the quarter.
The acquisitions helped fuel a 23.4% jump in revenue to $434 million and a 38.7% surge in profits from $8.67 million, or 74 cents a share, in the first quarter of last year to $12.1 million, or $1.02 a share, in this year's first quarter. Much of the rest of the gain came as the company phased in work on its largest contracts to provide logistics support to Army units in the Middle East and Asia.