Stock Track | Austal Ltd Soars 6.20% Intraday After Securing A$4 Billion Government Contract

Stock Track

02/20

Austal Ltd's stock price surged 6.20% during intraday trading on Friday, following the announcement of a major government contract award.

The Australian shipbuilder announced it has been awarded a A$4 billion (approximately US$2.8 billion) contract by the Commonwealth of Australia to build eight landing craft heavy (LCH) vessels. This contract represents a record order book for Austal and provides long-term demand visibility for the company's supply chain.

CEO Paddy Gregg stated that the contract provides "the incentive to invest in uplifting our capability." This marks Austal's second construction award under its Strategic Shipbuilding Agreement with the Australian government, following a A$1.03 billion contract awarded in December last year.

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