Graham Corporation Secures Additional Contract for U.S. Navy’s Virginia Class Submarine Program
Graham Corporation, a globally recognized leader in the design and manufacture of mission-critical fluid, power, heat transfer, and vacuum technologies, announced today that its wholly owned subsidiary, Barber-Nichols, LLC (“Barber-Nichols”), has been awarded a significant follow-on contract worth approximately $136.5 million to continue supporting the U.S. Navy’s Virginia Class Submarine program.
The newly awarded contract represents a critical continuation of Barber-Nichols’ contributions to one of the most technologically advanced submarine platforms in the world. With a performance period beginning in April 2025 and extending through February 2034, the long-term nature of this agreement underlines the Navy’s confidence in Graham Corporation’s proven track record of precision manufacturing, reliable performance, and continuous innovation in supporting national defense programs.
Building on a Strong Foundation of Performance
This award marks another milestone in Graham’s ongoing relationship with the U.S. Navy and the broader defense sector. The company recognized approximately $50 million in order backlog during the fourth quarter of its fiscal year ending March 31, 2025, directly attributable to the procurement of long-lead time materials necessary for fulfilling this contract. This early recognition of backlog not only demonstrates the scope and complexity of the project but also signals the Navy’s intention to maintain a steady and uninterrupted production timeline for the Virginia Class fleet.
Michael E. Dixon, General Manager of Barber-Nichols, commented on the contract award, stating, “This substantial follow-on contract award reinforces our position as a trusted and dependable supplier of critical components for the U.S. Navy. It reflects our deep expertise, manufacturing excellence, and the successful execution of previous contracts associated with the Virginia Class Submarine program. We are proud to continue playing a vital role in strengthening the nation’s naval defense capabilities.”
Supporting the Virginia Class Submarine Program
The Virginia Class Submarine program is a cornerstone of the U.S. Navy’s undersea warfare capabilities, designed to replace the aging Los Angeles Class submarines. These advanced nuclear-powered fast-attack submarines are equipped with state-of-the-art technology and serve multiple critical missions, including intelligence gathering, surveillance, special operations support, anti-submarine warfare, and strike operations.
Graham Corporation, through Barber-Nichols, contributes vital components that support the complex propulsion and thermal management systems within these submarines. These systems must operate flawlessly in extreme environments, demanding rigorous engineering precision and adherence to the highest standards of reliability, performance, and durability.
Strategic Collaboration and Investment
A key driver of Graham’s ability to meet the demanding specifications of this program is its long-standing and strategic partnership with HII’s Newport News Shipbuilding (NNS) division, the primary shipbuilder for the Virginia Class Submarines. This collaboration has enabled Graham and Barber-Nichols to align closely with the Navy’s evolving technical requirements while fostering innovation and continuous improvement across manufacturing processes.
In response to the increasing demand for high-performance naval systems, Graham has made substantial investments in capital equipment, advanced machining technologies, and quality assurance infrastructure across its facilities. These investments include:
- Expansion of CNC machining capabilities to accommodate complex geometries and tight tolerances
- Implementation of advanced materials testing and inspection technologies
- Enhancements to cleanroom environments for the assembly and testing of sensitive subsystems
- Ongoing workforce training and certification programs focused on defense-related manufacturing disciplines
These efforts have positioned Graham to deliver not only high-quality components but also responsive support and rapid scalability—critical factors in meeting the operational tempo of the Virginia Class program.
A Broader Role in U.S. Defense and Strategic Programs
This new contract award is part of Graham’s broader strategy to expand its footprint within the defense sector. Over the past decade, the company has steadily increased its participation in programs serving the Department of Defense, NASA, and key prime contractors, cementing its reputation as a preferred supplier of engineered solutions for high-performance, mission-critical applications.
Barber-Nichols, acquired by Graham in 2021, has been a central pillar of this strategy. The subsidiary specializes in turbomachinery, cryogenic pumps, and custom electric motor-driven systems used in defense, aerospace, and energy markets. Its systems are currently in service across a wide variety of platforms, including submarines, aircraft carriers, space launch systems, and advanced energy infrastructure.
Graham’s integration of Barber-Nichols has created synergies that allow both companies to bring their combined engineering expertise and operational capabilities to bear on highly complex and technically demanding projects. The result is a unified organization that can support a diverse range of customer needs while maintaining strict adherence to government security, compliance, and quality standards.
Commitment to Mission-Critical Performance
At the heart of this contract is Graham’s unwavering commitment to mission-critical performance. From product design and prototyping to production and lifecycle support, the company approaches each defense contract with a sense of purpose and responsibility. The components delivered to the U.S. Navy must meet or exceed rigorous military specifications, and each step of the manufacturing process is subject to stringent controls and continuous monitoring.
By leveraging advanced simulation tools, digital manufacturing platforms, and collaborative design methodologies, Graham is able to provide not only high-performance products but also value-added engineering insights that help optimize system integration and lifecycle performance.
With the award of this $136.5 million follow-on contract, Graham Corporation enters a new phase of growth in its defense business. The long-term nature of the agreement provides both revenue visibility and operational stability, enabling the company to further invest in its workforce, facilities, and innovation roadmap.
The contract also underscores the Navy’s recognition of Graham’s reliability and technical capability, which may pave the way for additional opportunities in the Columbia Class submarine program and other future-generation naval platforms.
Daniel J. Thoren, President and CEO of Graham Corporation, expressed optimism about the company’s trajectory, noting, “This contract award represents more than just a financial milestone—it is a testament to our employees’ dedication, engineering excellence, and the trust we have built with our customers in the defense sector. We look forward to continuing to support the Navy’s mission with high-performance solutions that protect and empower our nation’s forces.”
The $136.5 million contract awarded to Barber-Nichols is a resounding affirmation of Graham Corporation’s strategic direction and operational capability in the defense sector. By supporting the Virginia Class Submarine program, Graham is not only contributing to national security but also reaffirming its role as a premier supplier of advanced, mission-critical technologies. With a decade-long performance period, a strong foundation of customer trust, and continued investment in innovation, the company is well-positioned for sustained growth and value creation in the years to come.