Xos Inc. (NASDAQ:XOS) shares jumped 86.60% in Monday’s after-hours trading after the company announced a prototype contract with the U.S. Air Force to develop and deliver a deployable mobile charging solution.

The stock closed Monday’s regular session up 0.24% at $2.09 before jumping 86.60% to $3.90 in after-hours trading.

Xos is an electric commercial vehicle and energy-infrastructure company that makes battery-electric trucks, mobile EV charging systems and fleet-management technology.

US Air Force Contract

Xos announced Monday that it was awarded a prototype Other Transaction Agreement (OTA) by the United States Air Force to develop and deliver a deployable mobile charging solution for electrified support equipment and vehicles.

The award was made through the Air Force Global Strike Command Rapid Capabilities Division 2026 Showcase and marks Xos’ entry into the defense market.

Under the prototype agreement, Xos will adapt its Xos Hub mobile battery energy storage system for defense charging applications. The system is designed to provide high-capacity charging for electrified support equipment and vehicles without permanent infrastructure.

The company said the system will undergo primary assembly and integration at its facility in Byrdstown, Tennessee.

Read Also: Rocket Lab Joins Boeing, Lockheed Martin and Northrop Grumman in $981M Space Force Program to Build Advanced Test Infrastructure

Xos Hub For Defense Applications

Xos said the prototype system will provide grid-independent power for field environments and will be adapted to meet the requirements of defense applications.

The company said the award expands the potential customer base for the Xos Hub beyond commercial fleets, ports and municipalities into the U.S. defense ecosystem.

The agreement has a period of performance extending into late 2027, according to the company.

Price Action

Xos has a market capitalization of approximately $29.64 million.

The stock has a 52-week high of $8.27 and a 52-week low of $1.60. XOS shares were down 33.01% over the past year.

Benzinga Edge Stock Rankings show negative rankings across the short-, medium- and long-term time frames.

Read Also: Michael Saylor Says Don't Invest in Bitcoin Unless You’ll Hold It for Over 4 Years— Strategy Chair Offers No 'Useful Wisdom' for Short-Term Traders

Photo Courtesy: ZCOOL HelloRF on Shutterstock.com