Key Highlights

  • Boresight shares were trading at $0.175 during the 13 November 2026 session, up 6.06%.
  • A repeat purchase order of US$383,275 was received from a North American military Training customer.
  • Cash stood at A$5.39 million with no Debt at 30 September 2026, after the company built A$1.45 million of inventory.

During the Trading session on 13 November 2026, Boresight Ltd (ASX:BST) shares were trading at $0.175, up 6.06%, while the S&P/ASX 200 was down 0.73% at 9,079.70 at 12:39 pm AEDT. Boresight designs and manufactures target drones for defence customers, including the BQ-750 and the BF100 fixed-wing target drone platform. Its latest update was its quarterly activities report and Appendix 4C for the quarter ended 30 September 2026, released on 19 October 2026.

Revenue and deliveries in the quarter

Q1 FY27 Revenue was about $829,000, unaudited, reflecting lower deliveries in the quarter. Boresight said the timing of defence procurement is lumpy, and it used the period to build inventory and expand its operations ahead of expected demand. Net operating cash outflow was A$2.28 million, compared with A$0.90 million in Q4 FY26, reflecting lower receipts ahead of payment for the North American order and purchases of long-lead electronics.

Repeat order and US production

Boresight received a repeat purchase order of US$383,275, or about A$532,000, from a North American military training customer. The company said this is roughly three times the value of that customer's previous order and is being manufactured at its Huntsville, Alabama facility. Production has commenced at the Huntsville site, and about A$136,000 was invested in expanding US Manufacturing during the quarter.

Product and customer developments

The BQ-750 Block 2 was released to market on 6 July 2026, and first orders have been delivered. Boresight also became a register supplier to Lockheed Martin. The company said its global conference attendance produced positive indicators of interest in the BF100 target drone, and that requests for demonstrations from multinationals in Australia, the United States and Europe have increased.

Inventory and team growth

Boresight spent A$962,516 on materials during the quarter, bringing total spending since listing to A$1.13 million. The company said it has more than doubled its US team and aims to hold enough drone inventory by the start of Q3 FY27 to respond to customers immediately. Its managing director and chief executive, Justin Olde, described the quarter as one of building and preparing for scale.

Sector context

Defence procurement for training and target systems is driven by government budgets and military programs, which can produce uneven order timing. Small Australian defence technology companies are increasingly looking to US production as a route to larger customers. Companies in this space typically report results in step with contract deliveries rather than evenly across quarters.

Final Word

Boresight's Quarterly Report describes a period of inventory build, a larger US Facility and a repeat military order. Whether the order book converts into deliveries in the coming quarters will show how the scale-up is working.