***Aerospace and Defense Industry Projected to Grow
9:15 am ET September 6, 2017 (PR Newswire) Print
According to a research report by Deloitte, the global aerospace and defense industry is likely to experience stronger growth in 2017. The report indicates that the industry has experienced multiple years of positive but a subdued rate of growth and in 2017, the aerospace and defense industry is estimated to grow by about 2.0 percent. The global A&D sector revenue rebound is attributed to a number of factors in both the commercial aerospace sub-sector and the defense sub-sector. The defense sub-sector revenues are likely to grow at a much faster 3.2 percent in 2017. This is due to stronger defense spending in the United States, which has returned to growth after several years of declines in defense budgets. Patriot One Technologies Inc. (OTC: PTOTF), Raytheon Company (NYSE: RTN), Axon Enterprise Inc. (NASDAQ: AAXN), Lockheed Martin Corporation (NYSE: LMT), Kratos Defense & Security Solutions, Inc. (NASDAQ: KTOS).
The report by Deloitte indicates that future growth is expected to be driven by the new U.S. administration's increased focus on strengthening the U.S. military. "Rising global tensions have led to increasing demand for defense and military products in the Middle East, Eastern Europe, North Korea, and the East and South China Seas. This is in turn resulting in increased defense spending globally, especially in the United Arab Emirates (UAE), Saudi Arabia, South Korea, Japan, India, China, Russia," according to the research.
Patriot One Technologies Inc. (OTCQB: PTOTF) is also listed on the TSX Venture Exchange under the ticker symbol "PAT". Earlier today the company announced, "Its award-winning PATSCAN CMR(TM) (Cognitive Microwave Radar) concealed weapons detection system has received Industry Canada (IC) certification for commercial use in Canada. Initial deployments will be undertaken in collaboration with law enforcement and government agency personnel at several strategic locations.
Company CEO Martin Cronin said, "We are gratified that a major regional police force has stepped forward to offer locations and personnel to assist our efforts in optimizing best practices for installation and operation. We are also working with an important enforcement arm of the Canadian government that has shown a keen interest in engaging a PATSCAN CMR deployment on-premise."
Due to the operational and sensitive nature of their activities, the law enforcement organization names and installation locations are withheld under non-disclosure agreements. The planned deployment of the PATSCAN CMR by these organizations is currently for internal, non-public use, and will focus on physical installation processes, fine tuning weapons profiles and ongoing software validation studies.
"We are very thankful to have the co-operation, time and effort of the officers and related civilian personnel, and their support for our quest to guard the public from random acts of violence," said Mr. Cronin.
Patriot One Technologies CTO, Dinesh Kandanchatha added, "The receipt of our Industry Canada approvals is a validation of our engineering and manufacturing processes for regulated environments which mirrors our efforts in the USA. We have worked hard to build our certification expertise and anticipate FCC authorization shortly. Today we are excited to get our equipment into customers' hands to further prove the system's efficacy in typical day-to-day situations at client locations. We are also excited by the opportunity to work with established software and hardware vendors to create a robust integrated security solution."
Patriot One is in the enviable position of having secured sales commitments for more units than it had planned for 2017. The Company is now finalizing sub-manufacturing agreements to increase its 2018 production capability in order to meet growing demand.
Raytheon Company (NYSE: RTN) is a technology and innovation leader specializing in defense, civil government and cybersecurity solutions. On July 27, 2017, the company announced net sales for the second quarter 2017 of $6.3 billion, up 4.2 percent compared to $6.0 billion in the second quarter 2016. Second quarter 2017 EPS from continuing operations was $1.89 compared to $2.41 in the second quarter 2016. Second quarter 2017 EPS from continuing operations included a $0.09 charge associated with the early retirement of debt. Second quarter 2016 EPS from continuing operations included a tax-free gain of $0.53 related to the previously disclosed ThalesRaytheonSystems (TRS) transaction.
Axon Enterprise Inc. (NASDAQ: AAXN) protects life with a network of connected public safety technologies. Founded in 1993, Axon first transformed law enforcement with its TASER electrical weapons. On July 13, 2013, the company announced that it would extend its free cloud-based evidence management and body camera trial program to include all Canadian police agencies. The program, which was originally launched in the United States in April of this year, provides Evidence.com usage, body-worn cameras, training, and supporting hardware free of charge for up to one year to any interested agency. Axon's Evidence.com solution has helped to shepherd in a new era of evidence management in public safety.
Lockheed Martin Corporation (NYSE: LMT) is a global security and aerospace company that employs approximately 97,000 people worldwide and is principally engaged in the research, design, development, manufacture, integration and sustainment of advanced technology systems, products and services. Recently, the company announced that it received a $900 million contract from the U.S. Air Force to develop and mature technologies for the Long Range Stand Off missile program. The TMRR phase of the program is a critical step in advancing technologies, systems and subsystems for the weapon program, leading up to the engineering, manufacturing and development milestone expected in 2022.
Kratos Defense & Security Solutions, Inc. (NASDAQ: KTOS) develops transformative, affordable technology for the Department of Defense and commercial customers. The company recently announced that its Unmanned Systems Division (USD) has recently received $2.2 million in contract awards for one of its newest high performance jet powered unmanned aerial drone aircraft and related services. This new unmanned drone system is scheduled to be delivered within the next 12 months. Kratos USD is a leading provider of high performance jet powered unmanned aerial drone systems for tactical and target threat emulation requirements. Steve Fendley, President of Kratos Unmanned Systems Division, said, "Kratos is focused on rapidly designing, demonstrating, and fielding the highest performance unmanned aerial drone systems in the world, and we are very proud to be working with this important customer on this next generation UAS."
