A Bloomberg Government report says the federal government’s total contract spending reached $682 billion in fiscal year 2020, a 14 percent increase from FY 2019 spending of $599 billion.
BGOV said Thursday FY 2020 marks the fifth consecutive year of increase in contract spending and federal agencies primarily used $1.6 trillion in enacted FY 2020 discretionary budget to fund government contracts.
The BGOV200 report showed that the top 200 government contractors accounted for 65 percent of the total contract obligations in FY 2020 and 98 contractors improved their rankings.
According to the report, the top 10 federal contractors based on FY 2020 data for prime, unclassified government contracts are Lockheed Martin (NYSE: LMT), Raytheon Technologies (NYSE: RTX), General Dynamics (NYSE: GD), Boeing (NYSE: BA), Northrop Grumman (NYSE: NOC), Analytic Services, McKesson (NYSE: MCK), Leidos (NYSE: LDOS), TriWest Healthcare Alliance and Huntington Ingalls Industries (NYSE: HII).
BGOV predicts federal contract obligations to reach $600 billion to $695 billion in FY 2021 and forecasts facilities and construction, professional services and information technology markets to witness continued growth this fiscal year.