Titomic (TTT) H2 2024 earnings summary

Executive summary

• Achieved foundational growth in FY2024, focusing on high-pressure Cold Spray technology for advanced metal component manufacturing and repair, with significant progress in project execution and a record order backlog entering FY2025.

• Commercial strategy targets becoming a preferred supplier for aerospace and defense primes, expanding adoption of coating and repair systems across industries.

• Multiple revenue streams established: part production, machine sales, powder sales, and service/maintenance.

• Strategic focus on expanding manufacturing and service capabilities in the US and Europe, including a new 3,000 sqm facility in Holland operational in early 2025.

• Key customers include Sabanci University, Triton Systems, OMIC R&D, Repkon, French Navy, Airbus, Volvo, and Royal Netherlands Army.

Financial highlights

• FY2024 revenue from customers grew 126% to AUD 5.9 million, with total revenue up 71% to AUD 7.7 million year-over-year.

• Order intake reached AUD 11.5 million over the last 14 months, with AUD 8 million in the most recent six months.

• Loss after tax improved to AUD 12.9 million from AUD 15.7 million in FY2023, with nearly half being non-cash items.

• Operational cash outflows reduced from AUD 10.7 million in FY2023 to AUD 6.2 million in FY2024; cash at year-end was AUD 2.7 million, up from AUD 1.5 million.

• FY2024 cash receipts from customers totaled AUD 6.3 million, with strong inflows early in FY2025.

Outlook and guidance

• Entering FY2025 with unprecedented demand, a robust order book, and strong sales pipeline expected to drive increased revenue and cash flow.

• Confident in further closing the operational cash flow gap, aiming for near break-even and profitability.

• Fully funded for FY2025, with no immediate need for capital raising.

• Expansion plans underway for new production facilities in the Netherlands and future US capacity.

• Anticipates growth in lease model for cold spray systems as corporates shift to OPEX solutions.