Amaero Releases Quarterly Activities Report and Appendix 4C

Core Insights - Amaero Ltd is transitioning from the build-out phase to commercialization and scaling revenue, focusing on production scaling, cost reduction, and sustainable commercial outcomes [3][4]. Financial Performance - Revenue for the first half of FY2026 reached A$7.7 million, a 366% increase compared to the same period in FY2025 [4]. - Updated financial guidance estimates FY2026 revenue between A$18 million and A$20 million, reflecting a growth of 372% to 425% over FY2025 [4][16]. - Contracted revenue of A$9.7 million has been secured for the second half of FY2026 [4][16]. - The cash and restricted cash balance at the end of December was A$52.6 million, an increase of A$1.7 million from September [4][16]. Capital Investments - Key capital investments were executed to support U.S. manufacturing scale-up, including contracts for an Argon recycling plant and a fourth advanced EIGA Premium atomizer [4][8]. - The Argon recycling plant was secured at approximately 60% below earlier cost estimates, expected to reduce Argon costs by about 80% once fully operational [4][8]. Strategic Partnerships and Validation - Received a Letter of Support from the United States Navy, validating Amaero's PM-HIP manufacturing process as a viable alternative to traditional supply chains [10][11]. - Converted a strategic partnership into a commercial supply order, receiving a A$4.6 million order from Titomic Limited under a five-year exclusive agreement [12][4]. Operational Progress - Continued operational momentum was reported, with increases in powder shipments and atomization output, reflecting improved capacity utilization [4][13]. - Ongoing manufacturing optimization initiatives are focused on process, safety, and quality controls [9]. Market Outlook - The company anticipates positive tailwinds in 2026, driven by national policy support for re-shoring and scaling the defense industrial base [6][18]. - Amaero is positioned as a critical enabler of advanced manufacturing supply chains across various sectors, including defense and aerospace [6][18].