XTE is a military supplier.XTEK operates as two distinct divisions – ballistics and technology.
Shares on issue,101,761,703
MC at 40 cents $40,704,681
eps 19.09
PE...2.1
NTA.39 cents.
https://stockhead.com.au/this-asx-company-makes-helmets-that-can-stop-machine-gun-bullets-heres-how-it-feels-about-the-huge-australian-defence-overhaul/
FY 23 RESULT HIGHLIGHTS
Continued to execute on our Strategic Plan (reinforce success, seek adjacencies, and create our future)
Invested in our team to position ourselves to deliver into global markets
Grew pipeline of opportunities to +$375m, with multiple opportunities on foot for delivery in FY24 and beyond
Leveraged attractive sector fundamentals that continue to underpin future growth
Seeking inorganic opportunities to drive penetration into US, UK, EU markets
https://www.xtek.net/2023/09/01/bell-potter-report-xtek-armoured-and-ready/
And in other news the CEO is in Poland and I believe Regal is still selling their stake. XTE may need to prove itself over a few quarters / half years to get re-rated.
Quote from: Ferg on Sep 13, 2023, 10:50 PMAnd in other news the CEO is in Poland and I believe Regal is still selling their stake. XTE may need to prove itself over a few quarters / half years to get re-rated.
Looking like might still go sub-30c, and still buying opportunities if one wanted in, or to top-up.....
Buying in a downtrend is good, right?? ::)
An excellent contract win.
https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02720074-3A627453?access_token=83ff96335c2d45a094df02a206a39ff4
Wow. That is significant. It is worth approximately A$39m over the next 4 years, plus potential for another A$71m in the 6 years after that. That is a nice earnings base.
Quote from: lorraina on Oct 03, 2023, 01:49 PMAn excellent contract win.
https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02720074-3A627453?access_token=83ff96335c2d45a094df02a206a39ff4
https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02725449-3A628364?access_token=83ff96335c2d45a094df02a206a39ff4
Since lorraina's post which has an investor update there have been some other positive announcements. A snapshot of the recent announcements (https://www.xtek.net/announcements/) (all figures are A$m):
1. XTE to be renamed HighCom
2. Oz manufacturing facility to be relocated to USA to tap into the "buy USA" DoD requirement
3. The move noted above will deliver annual opex savings of $2m
4. As previously noted $39m contract secured with ability to upsell another $61m over the next 10 years to Australian DoD
5. XTE received an urgent order for body armour for $2.2m which was delivered ex stock (speculation is the client is based in Israel given recent events)
6. An existing European customer has placed a follow on order for $1.6m
7. These 2 latest orders were not part of the $375m pipeline previously announced
IMO these announcements show a few things: the Board and CEO are thinking strategically; current worldwide conflicts are providing macro tailwinds; urgent deliveries result in loyal customers, and follow on orders from existing clients demonstrate faith in the product(s).
All in all a happy holder and it didn't take many announcements to see XTE being re-rated by the market - previously I thought this would take a few quarters / half years.
XTE is a small cap so not everyone's cup of tea. This is not investment advice - do your own research.
Big shout out to lorraina for putting this on my radar.
https://www.xtek.net/announcements/
https://nz.finance.yahoo.com/quote/XTE.AX/chart?p=XTE.AX
https://urldefense.com/v3/__https:/www.xtek.net/wp-content/uploads/2023/10/MST-Access-XTE-Update-19-Oct-23.pdf__;!!PUVePWy_yMB-Yi4!GGYzV2f31lrPyhVmEYiSItTZvXfWZj_XT5FV-SCZORCKWAsu37cUnJ9YLrz4eSFaCehF72aN-T188RAwiu_anz57Evw$
Quote from: Sideshow Bob on Sep 14, 2023, 02:11 PMLooking like might still go sub-30c, and still buying opportunities if one wanted in, or to top-up.....
Buying in a downtrend is good, right?? ::)
I am no chartist but if we hold over 50c today, is that significant from a TA perspective? 50 day and 200 day MAs are around 38c & 45c and I'm picking the 50 should cross up through the 200 MA some time soon given the impact of the low SP late Sept will drop out of the 50MA in the next 2 weeks.
Was it a downtrend or an over zealous seller in Regal who couldn't see the fundamentals? I still wonder have they seen something that we can't?
This link may work.
https://henslow.com/news/research/xtek/
Figures from it.
...........................2023.................. ...2024.....................2025.
Revenue................$89.5mil..................$ 94.6mil..............$101.5mil
NPAT......................$6.1mil................. ..$.8.9mil................$9.8mil
EPS.........................6cents................ ......8.7cents.............9.6cents
eps growth................................45%......... .............10.3%
Thanks for that lorraina.
I had a look at that link from the other ST forum but it wanted an e-mail address so seeing the high level summary is great.
Cheers
Smart guy the CEO. Scott Basham. He speaks well.
Vimeo video:
https://vimeo.com/769289367/6b99d905e6
Tripled the revenue in 2 years.
Now expects to triple the revenue in the next 3 years.!!!
I added to my holding on Friday.
https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02741930-3A631139?access_token=83ff96335c2d45a094df02a206a39ff4
Looks like they are chewing through the built up inventory which is good. The question is can production keep up with sales demands in light of the equipment moving to the USA? I'm sure it is in safe hands but it would be a shame to lose sales due to the shift.
https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02744237-3A631562?access_token=83ff96335c2d45a094df02a206a39ff4
And agm presentation starts on page 8
https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02744260-3A631563?access_token=83ff96335c2d45a094df02a206a39ff4
Wooaf that is a big loss in 6 months
https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02772005-3A636267
Ouch. Apparently the CEO, Scott Basham, is already gone. Business goes from profitable and growing to a HY loss of 10-15m after a 4m stock write down. That does not compute. New Poland office closed and they think they can cost cut their way to profitability in H2. Pass the Tui. There must be more to this.
https://sendy.tarawera.co.nz/l/J6oLVth2f3f6IXNYvUBQEg/83JKNLKarLiuwfJBPQfdmg/scfy1Oo8MupfjV9JLFVQog
I sold out at 19.5 cents at open.
Approx 50% loss.
Given the determined nature of Regal selling down their holding, it makes me wonder how much did they know?
I'm also curious if you think Scott B is the scapegoat, or if responsibility sits elsewhere...?
In hindsight I should have taken more notice of Regal's selling.I thought they were wrong.
I missed any other warnings.
I had done extremely well with Scott Basham with AVA,so thought he would deliver.
Everything looked to be on track,and his 5th December 2023 Company Overview Presentation was very positive.
Quote from: lorraina on Feb 14, 2024, 08:02 AMhttps://sendy.tarawera.co.nz/l/J6oLVth2f3f6IXNYvUBQEg/83JKNLKarLiuwfJBPQfdmg/scfy1Oo8MupfjV9JLFVQog
I sold out at 19.5 cents at open.
Approx 50% loss.
Top marks for honesty Percy
When I sold sold books to schools any "bad" buys I would give them away,if the school had bought a lot of books.Saved time mucking around with them.I had good margins so could do so.
Same with shares.My performers perform.Non performers are either sold or given more time.Seems to work just fine.
Quote from: lorraina on Feb 15, 2024, 07:45 AMI missed any other warnings.
The market always knows. The charts will speak the truth. Exit was in March 2023. Stock put in a classic triple top (thats like a double top, but with extra emphasis lol) then went into a stage 4 downturn. It had a dead cat bounce off the bottom, but without having spent any time forming a base, any move upward was always going to be prone to failure. Second chance to get out was Dec 2023 when it once more dropped below the 200 day MA. After that, it was always a matter of just waiting for the other shoe to drop. Always be on high alert when a stock goes in the opposite direction (down) while the market is roaring ahead (ie. Santa rally/start of the new bull market that began on 1 Nov 23)
And remember, never ever buy shares in a downtrend.
hcl.png
Quote from: lorraina on Feb 15, 2024, 11:30 AMSame with shares.My performers perform.Non performers are either sold or given more time.Seems to work just fine.
Buy stuff that goes up. Sell stuff that goes down. Sounds ridiculously simple, but its amazing how many people do the actual opposite of that advice. Taking losses are part and parcel of the stock market business, the trick is to keep them small and do not give them time to grow. Or as Larry Livermore used to say, its more important to make money than to be right. And if you find you are wrong, don't make things worse by staying wrong.
Quote from: KW on Feb 16, 2024, 04:08 PMThe market always knows. The charts will speak the truth. Exit was in March 2023. Stock put in a classic triple top (thats like a double top, but with extra emphasis lol) then went into a stage 4 downturn. It had a dead cat bounce off the bottom, but without having spent any time forming a base, any move upward was always going to be prone to failure. Second chance to get out was Dec 2023 when it once more dropped below the 200 day MA. After that, it was always a matter of just waiting for the other shoe to drop. Always be on high alert when a stock goes in the opposite direction (down) while the market is roaring ahead (ie. Santa rally/start of the new bull market that began on 1 Nov 23)
Yes the charts were 100% correct.
And remember, never ever buy shares in a downtrend.
hcl.png
Yes the chart was 100% correct.
Highcom (HCL) retained at buy at Bell Potter; Price Target: $0.35 from $0.70
Reasons not to trust brokers - part 9
This announcement saw HCL's share price rise 25% to 30 cents.
https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02958275-3A670218&v=04711220c3a57065317ba4efca4a3459a4e46882
https://www.buzzsprout.com/2335647?client_source=large_player&iframe=true&referrer=https%3A%2F%2Fwww.buzzsprout.com%2F2335647%2Fpodcast%2Fembed#
05 August 2025
Dear Shareholder
The defence industry is experiencing a technological revolution, and HighCom Limited is positioning itself at the cutting edge.
HighCom's CEO Todd Ashurst explains the proprietary XTclave™ technology, he doesn't mince words: "While ovens and autoclaves operate at 1 to 15 bar pressure, our technology goes to 300 bar pressure, which is like diving on the Titanic."
This remarkable pressure system represents a quantum leap in ballistic protection manufacturing. Unlike conventional methods, HighCom's approach allows for creating complex geometries impossible with standard technology – including anatomically correct female body armour and ultra-lightweight plates that maintain superior protection. The strategic relocation of this system from Adelaide to Ohio wasn't just about doubling production capacity; it was a calculated move to overcome the "Buy America Act" restrictions that had previously limited HighCom's access to the world's largest body armour market.
Ready to learn how this Australian defence technology is revolutionising battlefield protection?
Listen to the full podcast below:
HIGHCOM LTD (HCL) - From Battlefield Protection to Drone Defence: HighCom's Evolution • ASX BRIEFS
https://open.spotify.com/episode/4FRhHECMG3m4bFYG9Htmqx
HCL interview on ASX briefs poddy this week
https://podcasts.apple.com/nz/podcast/asx-briefs/id1741642830?i=1000720525494