Austal wins $US44m contract modification

Austal has picked up $US44.4 million ($A58.7 million) of additional works from the US defence department for modifications to its ongoing littoral combat ship contract.

News of the contract’s award comes less than a fortnight after the Henderson-based shipbuilder slashed its financial targets over delays and costs incurred because of ongoing legal action lodged by the Australian Securities and Investments Commission.

Revenue for the business is expected to be $100 million lower this financial year, from about $1.65 billion to $1.55 billion.

Shares in the group were trading at $2.07 at 11:30 AEST.