Serco Regulatory News (SRP)

MT&S selected as sole provider for training and simulator services to US Air Force

23 September 2025

MT&S, the mission training and satellite ground network communications software business acquired by Serco from Northrop Grumman, has been awarded a single-award indefinite delivery, indefinite quantity (IDIQ) contract by the US Air Force to provide enhanced simulator and training services. MT&S is the sole awardee under the programme which has a ceiling value of up to $972m (£720m) over five years, and is expected to generate revenue of around $60m (£45m) from task orders during 2026.

Under the Air Force Modelling and Simulation Support Services (AFMS3) programme, mission critical training systems and services at over 20 locations for the US Air Force will be delivered ensuring secure, efficient and advanced modelling and simulation capabilities. The programme will support synthetic training exercises, improve warfighter skills and enhance operational readiness.

This significant award in the defence sector follows the acquisition of MT&S and demonstrates Serco's strong position in the virtually enabled training and simulation support market.

Anthony Kirby, Serco Group Chief Executive, said:

"We are proud that MT&S has been selected to deliver the critically important AFMS3 contract for the US Air Force and are well positioned to deliver innovative, technology-enabled solutions which enhance training and maintain the highest levels of mission readiness for the US Armed Forces.

This contract award reflects our growing capabilities in mission simulation, operational training and Live, Virtual, Constructive technologies, which are key areas of strength and opportunity for Serco both in the US and internationally. It builds upon our momentum in defence, where we have deep expertise, from supporting personnel readiness to procurement, design & engineering, to deploying technology and ensuring well-maintained, modern infrastructure and assets for militaries around the world."

Ends.

For further information, please contact:

Jamie Hastings, Head of Investor Relations | +44 (0) 7718 195 074 | jamie.hastings@serco.com

Scot Marchbank, Group External Communications Director | +44 (0) 7958 675 706 | scot.marchbank@serco.com

About Serco

Serco brings together the right people, the right technology, and the right partners to create innovative solutions that make a positive impact and address some of the most urgent and complex challenges facing the modern world.

With a primary focus on serving governments globally, Serco's services are powered by more than 50,000 people working across defence, space, migration, justice, healthcare, mobility, and customer services.

Serco's core capabilities include service design and advisory, resourcing, complex programme management, systems integration, case management, engineering, and asset & facilities management.

Underpinned by Serco's unique operating model, Serco drives innovation and supports customers from service discovery through to delivery.

More information can be found at www.serco.com.

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