Rocket Lab NASDAQ:RKLB shares climbed more than 6% in early Wednesday after the space company secured a $266 million U.S. government contract covering 12 suborbital launches.
The agreement is structured as a firm-fixed-price contract and includes an option for six additional launches. Missions will be conducted from the Pacific Spaceport Complex in Alaska, with work scheduled to continue through Dec. 31, 2028.
At the time of the award, about $112 million in fiscal 2025 research, development, test and evaluation funding had been obligated. The U.S. Space Systems Command is serving as the contracting agency and will oversee execution of the program.
The latest award adds to Rocket Lab's growing portfolio of government launch work as the company expands its role in national security and defense missions. Investors have increasingly focused on Rocket Lab's ability to secure long-term government contracts alongside its commercial launch business. Shares rose about 6% in extended trading following the announcement, reflecting investor optimism over the multiyear agreement and the potential for additional launches if the contract options are exercised.