Unisys Corporation (UIS – Analyst Report) recently received an IT services contract from the Department of Justice (DOJ) for a potential value of $1.1 billion.
The company is among the 20 winners of the DOJ’s Information Technology Support Services 4 (ITSS-4) contract. ITSS-4 has a seven-month base period with six one-year options. This is an indefinite delivery/indefinite quantity contract, allowing DOJ to fulfil its critical objectives related to law enforcement, with the help of Unisys’innovative solutions.
Under, the contract Unisys will compete for task orders to provide IT services in areas such as applications modernization, integration, and operations and maintenance.
The company has managed to acquire new engagements that help clients deal with the disruptive trends associated with cloud computing, cybersecurity, global computing, social computing, smart computing and IT appliance offerings.
Earlier, Unisys reported revenues of $911 million in the first quarter of 2011, down 7% year over year, due to a $50 million reduction in revenue from the U.S. Federal government.
The company reported a loss of $40.8 million or 95 cents per share, compared with a net loss of $11.6 million or 27 cents in the year-ago quarter. Excluding a charge of $31.8 million related to debt reduction, the net loss came in at 21 cents per share, wider than the Zacks Consensus Estimate for a loss of 10 cents.
Unisys has been restructuring its business to improve profitability. This restructuring strategy includes cutting jobs to reduce costs, selling non-core businesses, revamping its sales strategy and focusing investments on a few higher-growth areas such as outsourcing.