Executive Summary
These three civilian Federal IT & Cybersecurity contracts total $793,294,053 in obligations with 0/3 defense-related, focusing on IT facilities management services (NAICS 541513 dominant) for Department of State, HHS/NIH, and GSA.
The highest-conviction bullish signal is DLH, LLC's $107,319,406 Firm Fixed Price BPA Call from NIH's NHLBI, with $86M already outlayed and performance through April 2026, signaling steady revenue for DLH Holdings Corp. CGI Federal Inc.'s dominant $619,973,465 obligation from Department of State for passport IT support remains neutral amid partial $191M outlays and a 2024 end-date. General Dynamics Information Technology's $66M GSA contract adds modest bullish exposure. Key watch item: Recompetes for CGI's contract ending May 2024 and DLH's in April 2026, given high pricing risks on fixed-price structures.
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Tracking the trend? Catch up on the prior Federal IT & Cybersecurity Contracts digest from April 15, 2026.
Investment Signals (3)
- DLH, LLC Secures $107M NIH IT Management BPA Call (HIGH)▲
DLH, LLC (DLH Holdings Corp) won a $107,319,406 Firm Fixed Price BPA Call from NIH's NHLBI under full and open competition, with $86,080,827 outlayed to date over a 5-year period ending April 2026.
- General Dynamics IT Wins $66M GSA Service Desk Delivery Order (MEDIUM)▲
General Dynamics Information Technology, Inc. (General Dynamics Corp) received a $66,001,181 Time and Materials delivery order from GSA's Federal Acquisition Service, with $47,069,417 outlayed since 2020 and performance to 2025.
- CGI Federal's $620M State Department Passport IT Contract Nears End (MEDIUM)▲
CGI Federal Inc. (The Timken Company) holds a $619,973,465 obligation Delivery Order from Department of State with $190,995,377 outlayed, but performance ends May 2024 with no extension indicated.
Risk Flags (3)
- Execution [HIGH RISK]▼
DLH, LLC's Firm Fixed Price contract carries high pricing risk with $21M remaining obligation after $86M outlays, potentially impacting margins through April 2026.
- Competition [MEDIUM RISK]▼
CGI Federal Inc.'s $619M Department of State contract ends May 9, 2024, with no extension, exposing to recompete under full and open competition.
- Budget [MEDIUM RISK]▼
General Dynamics IT's Time and Materials GSA contract has medium pricing risk with $19M remaining after $47M outlays, vulnerable to GSA budget shifts.
Opportunities (3)
- ◆
DLH, LLC could exercise options to reach $111,786,657 base + all options on NIH NHLBI IT services contract.
- ◆
General Dynamics Information Technology has potential to hit $71,165,298 base + all options on GSA Federal Service Desk task.
- ◆
CGI Federal Inc. recompete for passport IT services post-2024 could sustain $95M annual revenue equivalent if options exercised to $844M.
Sector Themes (1)
- ◆
Two of three contracts (CGI Federal $620M State, DLH $107M NIH) under NAICS 541513 highlight steady demand for IT facilities management, with $86M+ outlays each and full/open competition wins.
Watch List (3)
- 👁
{"entity"=>"DLH Holdings Corp", "reason"=>"$107M NIH contract with $21M remaining obligation and high fixed-price risk", "trigger"=>"option exercise to $111M or outlays through April 15, 2026"}
- 👁
{"entity"=>"CGI Federal Inc. (The Timken Company)", "reason"=>"Dominant $620M State Department obligation nearing end with partial $191M outlays", "trigger"=>"recompete post-May 9, 2024 or options to $844M"}
- 👁
{"entity"=>"General Dynamics Corp", "reason"=>"$66M GSA contract with $19M remaining and $2.16M subawards", "trigger"=>"outlay progress or end August 3, 2025"}
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