The US subsidiary of ASX-listed defence supplier XTEK has shipped a fourth tranche from a $US 33.2 million order of armour components received on May 27.
In a statement on Wednesday morning, the company said it remains on track to complete the order for the unnamed client by the end of Q1 this financial year. It has completed two-thirds of the total order so far.
“Our HighCom Armor team continue to live up to every expectation on the timely fulfilment of this transformative contract for the business,” said XTEK Group CEO Scott Basham in a statement.
“The completion of this order by the end of September, and the positive cashflows we will recognise from it as a result, on top of what we expect will be a number of new Defence technology related contract wins throughout the coming year, will position us for continued strong growth in FY23, on the back of a tremendous set of FY22 results.”
The armour is being produced at a Columbus, Ohio factory.
XTEK Group is made up of XTEK Ltd and HighCom, which XTEK acquired in 2019, and operates in two separate divisions: ballistics and technology. The former is based on the HighCom brand, and produces body armour, helmets, and composite armour structures.
The company operates Australian sites in Canberra and Adelaide.
Subscribe to our free @AuManufacturing newsletter here.