Signs $4.1m 1st stage Australian Defence Contract
The initial stage of multiple proposed work packages is worth A$4.1m, with the majority of this revenue to be recognised in FY2021. A modest contribution to the current financial year (ending 31st December 2020) is expected.
Management expects that further work packages will be contracted based on performance of the initial work package, but advises that these future packages cannot be guaranteed.
Anna Squires, Director of Etherstack's Waveforms Division said, "Etherstack has supplied technologies and services to allied defence organisations and radio manufacturers in Europe and North America for almost two decades. This Australian program is a significant step towards a long-term relationship with the Australian Defence Force".
Etherstack CEO, David Deacon added, "This program builds upon existing Etherstack technology and creates a significant Australian export opportunity to both other nations and international military equipment manufacturers. The supplied solution is repeatable and the first of its kind that will be compliant to a specific military standard. Etherstack expects interest from existing and new radio manufacturer customers internationally, as well as other nations, and will attempt to rapidly capitalise through licensing the solution to other countries. We have a proven track record of engaging and contracting with this customer base."
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About Etherstack Plc
Etherstack (ASX:ESK) is a wireless technology company specialising in developing, manufacturing and licensing mission critical radio technologies for wireless equipment manufacturers and network operators around the globe. With a particular focus in the public safety, defence, utilities, transportation and resource sectors, Etherstack's technology and solutions can be found in radio communications equipment used in the most demanding situations. The company has Research and Development facilities in London, Sydney, New York and Yokohama.