Kratos Defense & Security Solutions received approximately $400 million in funding from the Department of Defense. The capital supports hypersonic systems and various national security programs. Funding began in June and accelerated throughout July.
The company expects the investment to boost its organic growth rate and operating cash flow. CEO Eric DeMarco stated the funds will reduce customer receivables and inventory. Kratos previously used internal resources to maintain customer schedules.
Work will occur at secure Kratos facilities and government locations. Kratos develops hypersonic flight vehicles, solid rocket motors, and high-speed systems. Specific program details remain undisclosed for security reasons.