Amaero Ltd reported a remarkable 367% revenue increase to A$7.76 million for H1 FY2026, supported by a $50 million capital raise and exclusive supply agreements with industry leaders. Despite widening losses, the company is accelerating capacity expansion and securing key partnerships in aerospace and defence.
- Revenue jumps 367% to A$7.76 million driven by powder sales and manufacturing services
- Loss after tax widens to A$15.35 million amid growth investments
- Completed A$50 million placement and share purchase plan to boost liquidity
- Secured exclusive five-year supply agreements with Titomic and Knust-Godwin
- Advanced capacity expansion with major equipment orders and US Navy endorsement
Strong Revenue Growth Amid Strategic Expansion
Amaero Ltd has delivered a striking 367% increase in revenue for the half-year ended 31 December 2025, reaching A$7.76 million compared to A$1.66 million in the prior corresponding period. This surge was primarily driven by robust sales of high-value refractory and titanium alloy powders, alongside manufacturing services using its Powder Metallurgy Hot Isostatic Pressing (PM-HIP) technology.
Despite this revenue growth, the company reported a loss after tax of A$15.35 million, widening from A$11.09 million a year earlier. The increased loss reflects ongoing investments in capacity expansion, research and development, and commercialisation efforts as Amaero scales its operations in the advanced materials sector.
Capital Raise and Strengthened Liquidity
To support its growth trajectory, Amaero successfully completed a A$50 million capital raising through a placement and a follow-on Share Purchase Plan (SPP), issuing over 126 million shares at A$0.40 each. This significant injection of funds has bolstered the company’s cash position to A$47.6 million at period end, up from A$19.2 million six months prior, providing a solid financial foundation for its expansion plans.
The company also drew A$17.6 million in borrowings under an EXIM Bank facility, aligning debt drawdowns with capital expenditure payments. These funds are earmarked for critical investments including the commissioning of a fourth advanced EIGA Premium atomizer and an Argon recycling plant, both aimed at improving production capacity and reducing operating costs.
Strategic Partnerships and Market Validation
Amaero has secured exclusive five-year supplier and development agreements with Titomic Limited and Knust-Godwin, both prominent players in additive manufacturing and precision machining. The partnership with Titomic has already translated into a A$4.6 million refractory powder purchase order, marking a key milestone towards recurring revenue streams in FY2026.
Further validation of Amaero’s technology came with a Letter of Support from the United States Navy, endorsing its PM-HIP manufacturing process as a viable and technically mature alternative to traditional casting and forging methods. This endorsement underscores Amaero’s differentiated capabilities in serving mission-critical defence and aerospace applications.
Advancing Technical Collaborations and Leadership
The company has deepened its technical collaborations, notably with Auburn University’s National Center for Additive Manufacturing Excellence, and commenced a development partnership with Boeing. These collaborations aim to refine powder quality and manufacturing processes, enhancing Amaero’s competitive edge.
Leadership appointments during the period, including a new Chief Financial Officer and expanded roles for technical executives, reflect Amaero’s commitment to strengthening its management team as it transitions towards commercial scale production.
Outlook and Guidance Revision
In January 2026, Amaero revised its FY2026 revenue guidance downward to a range of A$18 million to A$20 million from prior estimates of A$30 million to A$35 million. This adjustment is attributed to timing delays in contract awards and revenue recognition linked to extended U.S. government funding uncertainties and a temporary federal government shutdown. Importantly, the company emphasises that underlying demand and long-term program pipelines remain intact.
Bottom Line?
Amaero’s bold expansion and strategic partnerships position it well for future growth, but execution risks and funding uncertainties warrant close investor attention.
Questions in the middle?
- How will Amaero manage cost control to narrow losses amid rapid growth?
- What impact will U.S. government funding delays have on contract timing and revenue?
- Can the new capacity investments deliver the expected cost savings and margin improvements?