XTEKs Subsidiary HighCom Completes Final Delivery of US$33.21m Order
Key highlights:
• US$33.21m order for specialist ballistic armour received on 27 May 22
• Final tranche now shipped with revenue of US$6.6m recognised in Sep 22
• 100% of order was prepaid and has now been fully recognised
Monday, 26 September 2022: XTEK Limited (ASX: XTE, ‘XTEK’, ‘Group’) is pleased to announce that the Group’s HighCom Armor Solutions Inc. (HighCom) business, has now dispatched the final US$6.6m tranche, of the transformational US$33.21m order that it previously announced on 27 May 22.
As was noted in the initial announcement, the entire US$33.21m contract value was prepaid in full before the first shipment of goods occurred.
This final shipment means that the Group has now recognised the entire US$33.21m order as scheduled (i.e. US$11m in Q4 FY22 and US$22.21m in Q1 FY23).
Since the start of the new Financial Year on 1 July 2022, and with this order now completed and other orders as announced dispatched in September, the Group’s HighCom business has shipped and recognised record revenues of A$35.8m (US$23.85m) in Q1 FY22.
Order Summary:
Completion time – 113 days from receipt of signed contract to last items delivered into Europe.
Total items – 120,000+ individual items
Total weight – 278.8 Tons
Total pallets – 400
Total volume – 17 semi-trailer loads transported on 16 chartered cargo plane flights
Shipped from HighCom Columbus Ohio facility and delivered into the customer’s area of operations in, fully kitted out, and ready to wear.
Scott Basham, XTEK Group CEO, said,
“Our HighCom Armor team have done a truly amazing job of sourcing, building, managing, and shipping this transformational order for the XTEK Group.
The feedback we have had, as a result of the great work our HighCom team has undertaken for this very important international customer to produce and ship the more than 120,000 high quality, life-saving personal ballistic protective products included in this order, has been nothing short of glowing.
On the back of having supplied this massive order so smoothly for them, and in record time, we believe from their feedback, that we are uniquely positioned to assist them over the coming weeks and months to fulfill any additional orders they may have for life-saving body armour and ballistic helmets.
In addition to the ongoing engagement we have with this customer, we continue to progress many other large order opportunities with customers spread right across Central and Eastern Europe.”