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The ASX-listed defence company has advanced delivery of its ballistic armour products as part of a $48 million deal.
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XTEK subsidiary HighCom Armor Solutions Inc (HighCom) has dispatched the second tranche of specialist ballistic armour equipment to an undisclosed international customer under a US$33.2 million (AU$48.2 million) contract.
This second tranche represents 10 per cent (AU$4.8 million) of the contract value, with the entire cost paid in full before the first shipment.
XTEK has confirmed it has recognised US$11 million (AU$16 million), one-third of the total order in FY22.
“Our HighCom Armor team in our Columbus [Ohio] facility has been working at an amazing pace to manufacture, prepare, and ship all of the many large orders we have received since the start of March,” Scott Basham, XTEK group CEO, said.
“With the dispatch of this last shipment, we have now successfully completed the delivery of 33 per cent of this major order. XTEK is excited to have finished FY22 on a high.”
The products, billed as “ultra-lightweight” and “high-performance”, are manufactured at the company’s advanced manufacturing site in Columbus, Ohio and supported by the patented XTclave capability in Adelaide, South Australia.
In 2019, XTEK acquired HighCom in a bit to enhance its focus on proprietary products, accelerating XTclave commercialisation through ballistic protection products.
HighCom also provides XTEK with access to an expanded distribution network in the United States.
This latest ballistic armour deal is among a number of contracts awarded to XTEK in recent months.
Last month, XTEK Limited received an $8.1 million purchase order from the Commonwealth of Australia’s Department of Defence for small unmanned aerial systems (SUAS) spare parts for existing SUAS fleets.
A two-year extension option was also signed for the SUAS support contract, extending the deal to July 2024.
[Related: Defence taps XTEK for SUAS support]
