13/02/2018 - 12:07

Orbital planning to shift up a gear

13/02/2018 - 12:07

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Balcatta-based Orbital Corporation recorded an unaudited $1.5 million after-tax loss for the first half of the financial year, but expects a profit in its full-year result, as it shifts focus to building engine parts for unmanned aerial vehicles.

Orbital planning to shift up a gear
John Welborn is chair of Orbital Corporation. Photo: Attila Csaszar

Balcatta-based Orbital Corporation recorded an unaudited $1.5 million after-tax loss for the first half of the financial year, but expects a profit in its full-year result, as it shifts focus to building engine parts for unmanned aerial vehicles.

Revenue for the half was $5.9 million, unaudited, Orbital said, a record for the business.

Full-year revenue would be $22 million, the company projected.

Orbital made its first delivery of engine propulsion units to Boeing subsidiary Insitu in October, in a shipment worth $12 million.

The company also established an unmanned aerial vehicle facility in Oregon to support growth in that part of the business.

Orbital divested its Remsafe electrical business in December in a deal that raised $2.2 million.

Orbital managing director Todd Alder said he was confident the business would be successful in 2018, and had built a strong relationship with Insitu.

“Our goal for the 2018 financial year remains transitioning the business into a profitable engine and flight critical component supplier, building a platform for global revenue expansion and increasing profits,” he said.

Shares in Orbital were 5.3 per cent higher at 40 cents each at the time of writing

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