FBR Secures A$6.3M R&D Rebate, Boosting Cash Reserves Amid US Program Completion
FBR Limited has received a substantial A$6.3 million R&D tax incentive rebate from the Australian Taxation Office, strengthening its financial position as it wraps up its US Demonstration Program with additional funding from CRH Ventures.
- FBR obtains A$6.3 million R&D tax incentive cash rebate for FY2024
- Repays A$4.3 million drawn from R&D revolving tax loan facility with FC Capital
- Retains A$2.0 million cash from rebate for operational flexibility
- Receives final US$400,000 tranche from CRH Ventures post US Demonstration Program
- Potential to redraw on revolving loan facility against FY2025 expected tax refund
FBR’s Financial Boost from R&D Tax Incentive
Robotic technology innovator FBR Limited (ASX:FBR) has announced receipt of a significant A$6.3 million cash rebate under the Australian Government’s Research and Development (R&D) Tax Incentive program for the fiscal year ended 30 June 2024. This inflow marks a pivotal moment for the company, reinforcing its balance sheet and enabling further investment in its cutting-edge robotic solutions.
FBR has strategically utilised a revolving tax loan facility with FC Capital to manage cash flow around its R&D activities. The company has drawn down A$4.3 million against this facility and will now fully repay this amount using the newly received rebate funds. This repayment leaves FBR with a net cash retention of A$2.0 million, providing a buffer to support ongoing operations and innovation.
US Demonstration Program Completion and Additional Funding
In parallel, FBR has successfully completed its United States Demonstration Program, a key milestone in expanding its market footprint. Following this, the company received the final tranche of US$400,000 from CRH Ventures, a strategic investor supporting FBR’s growth initiatives. This funding injection complements the Australian rebate and underscores investor confidence in FBR’s technology and commercial prospects.
FBR’s flagship product, the Hadrian X®, leverages its proprietary Dynamic Stabilisation Technology® (DST®) to automate bricklaying, offering builders a faster, safer, and more precise alternative to traditional methods. The company’s Wall as a Service® model is gaining traction, positioning FBR as a disruptive force in the construction robotics sector.
Looking Ahead: Funding and Innovation Trajectory
With the ability to redraw on its revolving loan facility against expected tax refunds for the year ending 30 June 2025, FBR is well-positioned to maintain momentum in its R&D pipeline. The financial flexibility afforded by these developments will be critical as the company navigates the challenges of scaling its technology and expanding commercial deployments.
Investors will be watching closely to see how FBR leverages this capital to accelerate product development and market penetration, particularly in the competitive landscape of construction automation. The company’s ability to convert innovation into sustainable revenue streams will be a key determinant of its medium-term success.
Bottom Line?
FBR’s latest funding milestones set the stage for accelerated innovation and market expansion, but execution remains key.
Questions in the middle?
- How will FBR allocate the retained A$2.0 million cash to maximize R&D impact?
- What are the next commercial milestones following the US Demonstration Program completion?
- How might future tax incentives and loan facilities influence FBR’s growth strategy?
