Federal Professional Services Contracts — May 28, 2026

The cost-plus-award-fee structure minimizes profit risk for Booz Allen, and the full-and-open competition win reinforces its competitive moat in federal engineering services. Annual revenue of $72.9M-$125.3M provides multi-year visibility.

With $71.5M already obligated out of $101.6M total, Noblis has strong execution, but time-and-materials pricing introduces cost overrun risk. The contract ends May 2026, creating re-compete uncertainty.

Both contracts are civilian (GSA and DHS), making them more susceptible to discretionary budget cuts or CR-driven delays than defense programs. The Noblis contract ends May 2026, coinciding with potential FY2027 budget uncertainty.

Noblis's DHS contract is a full-and-open competition award with no set-aside, meaning it faces re-compete risk as the May 2026 end date approaches. Competitors like Booz Allen or Leidos could bid.

Booz Allen's $218.7M award is concentrated in Arlington, VA, for a specific mission set (DSCU ICB). Any scope changes or protest-driven delays could impact revenue recognition.

Booz Allen's $626.5M potential value (if all options exercised) represents a significant revenue growth catalyst through 2028. The cost-plus structure ensures stable margins, and the full-and-open win signals competitive strength.

Noblis's high obligation rate ($71.5M of $101.6M) suggests strong DHS demand for CWMD advisory services. If DHS increases CWMD funding, Noblis could see follow-on contracts or scope expansions.

Both GSA and DHS continue to award large, multi-year professional services contracts for engineering and advisory support, indicating sustained demand despite budget uncertainty. The average signal strength of 6.5/10 reflects moderate conviction in civilian spending.

Booz Allen's cost-plus contract (low pricing risk) contrasts with Noblis's time-and-materials contract (medium pricing risk). This highlights the importance of contract type in assessing margin stability.

{"entity"=>"Booz Allen Hamilton", "reason"=>"GSA FEDSIM option exercises will determine whether the $218.7M base grows to $626.5M, a material revenue driver.", "trigger"=>"Option exercise announcements in FY2024-2028"}

{"entity"=>"Noblis, Inc.", "reason"=>"DHS CWMD contract ends May 2026; re-compete risk is high given full-and-open competition.", "trigger"=>"Re-compete solicitation release (expected late 2025)"}

{"entity"=>"DHS CWMD Program", "reason"=>"Budget allocations for counter-WMD programs will impact Noblis's follow-on opportunities.", "trigger"=>"FY2025 DHS budget request release"}