Fairfax-based ManTech International reported last week that it lost $65.6 million in its most recent quarter, primarily because the contractor wrote down the value of its defense technical services business by $85.7 million.
The company attributed the charge to a more rapid withdrawal of troops from Afghanistan as well as a general slowdown in services spending by defense agencies in the last six months of 2013 because of sequestration and the government shutdown.
For the year, the company reported a 10.5 percent drop in revenue, which hit $2.3 billion. The company reported a loss for the year of $6.1 million (17 cents per share), down from profit of $95 million ($2.57) in 2012.
“Unsure of their budgets, our customers delayed procurements and held off spending,” said George J. Pedersen, ManTech’s chief executive, in a call with analysts last week.
But he said there is reason for optimism. “The future funding picture is becoming much clearer,” Pedersen said.
He also said the company is weighing potential acquisition targets.
Cybersecurity company Tangible Security said last week it has acquired Columbia-based A&N Associates, which counts defense and intelligence agencies among its customers.
The deal marks Tangible’s second acquisition in less than six months as the company seeks to add to its cybersecurity skills, the company said in an announcement. A&N will bring relationships with a number of defense and civil agencies, including the Energy Department and the Intelligence Advanced Research Projects Activity.
Tangible, which has government and commercial clients, also said it is relocating its corporate headquarters to Columbia from Bethesda.
When Adnan Ahmed and three friends founded Gaithersburg-based CNSI two decades ago, they could not have predicted what the company would be working on today. They specialized in business transformation technology — which meant servers and databases.
But as technology changed, so has CNSI. The contractor, which graduated from the 8(a) small-business program in 2007, is now a specialist in health IT and advises, develops and manages technology, including cloud-based systems, for federal and state health agencies.
The company is hoping to move into more work in military health and with the Department of Veterans Affairs.
CNSI has just under 1,000 employees, many of whom are in offices in Rockville and Gaithersburg. Ahmed said the contractor is looking to consolidate into one site.
Chantilly-based contractor Vector Planning and Services has agreed to pay the government $6.5 million to settle allegations that the company inflated claims for payment on several Navy contracts, the Justice Department said last week.
The government alleged that from 2005 to 2009, VPSI improperly included direct costs — for which it had already been paid — in indirect cost billings submitted under contracts with the Navy and its contractors.
The allegations arose through a whistleblower, who will receive $1.28 million.
The Justice Department noted that the claims settled by this agreement are only allegations, and there has been no determination of liability. VPSI declined to comment.
The Government Accountability Office has denied a protest filed by Bethesda-based IBM Global Business Services-U.S. Federal against a Transportation Security Administration award to Herndon-based BAE Systems for application development and IT support services for the secure flight program.
IBM submitted a higher bid of $33.7 million to BAE’s $32.2 million. IBM contended that the agency improperly marked it down in some areas and didn’t give it credit for others.
The GAO said it found no basis to sustain the protest.
The GAO has upheld a protest filed by Columbia-based Motorola Solutions against an Army Materiel Command contract for a land mobile radio system for the Detroit Arsenal awarded to Lynchburg-based Harris Corp.
The two received similar evaluations, though Harris’s management plan was rated slightly better. Motorola proposed a price of about $1.9 million, while Harris’s bid was to cost nearly $2.5 million.
The GAO backed Motorola and recommended that the Army reevaluate the proposals and reimburse Motorola the cost of pursuing its protest.