Northrop is counting on $2 billion for rocket boosters
Aerospace and defense company Northrop Grumman (NOC) expects a contract worth $2 billion for the supply of solid-fuel boosters. Without these accelerators, many government contracts cannot fulfilled, and there are no alternatives to Northrop solutions. In April 2022, the management of ULA, an alliance of Lockheed Martin Corporation (LMT) and The Boeing Company (BA) announced their intention to organize a supply chain that will allow 20-25 Vulcan Centaur missile launches annually.
They designed this rocket for NASA cargo launches to the moon, defense orders and other tasks. The rocket will use cheap fuel (liquefied natural gas) and will also be able to compete in the commercial launch market. ULA has high hopes for this rocket:
it uses a lot of proven parts from old Atlas and Delta rockets, but the engines and control system are only American—made and made using modern technologies to reduce the cost of launching.
In 2015, ULA has chosen Orbital ATK as a supplier of solid-fuel boosters for Vulcan Centaur rockets. Later, Northrop Grumman gained Orbital ATK, and the production of solid-fuel accelerators became one of the most valuable assets gained will actively use the Vulcan Centaur rocket in the coming years, and Northrop is waiting for the first major contract for the supply of accelerators.
Depending on the required orbit and output load, from two to six accelerators can install on Vulcan Centaur. Northrop is turning into a major player in the space industry, and the company’s revenue in this segment is increasing. In the first quarter of 2022, Northrop’s revenue in the defense segment decreased, but in the space segment it reached $2.8 billion, compared with $2.5 billion a year earlier.
