Highlights

  • Titomic's Dutch Subsidiary has won a full-rate production contract in the semiconductor industry.
  • The contract follows a low-rate initial production run awarded in 2025.
  • Revenue of about EUR 0.9 million (A$1.5 million) is expected in 2027 based on the current run rate.
  • Revenue could rise to about EUR 2.0 million (A$3.2 million) in 2028 to meet customer requirements.

Titomic Limited (ASX:TTT) has announced that its wholly owned subsidiary, Titomic Europe B.V., has been awarded a full-rate production contract in the semiconductor industry. The award moves the customer from validation into ongoing production using Titomic's cold spray technology.

From Initial Run to Full-Rate Production

The contract follows a low-rate initial production run awarded in 2025. Titomic said the customer's move to full-rate production shows confidence in its ability to deliver consistent, production-quality results.

Based on the current run rate, the contract is expected to generate about EUR 0.9 million (A$1.5 million) in Revenue in 2027. This could rise to about EUR 2.0 million (A$3.2 million) in 2028 to meet customer requirements.

Shift Towards Recurring Manufacturing Revenue

Titomic said the award supports its shift from technology development and equipment Supply toward recurring advanced manufacturing production.

CEO Jim Simpson described Titomic as a "build and repair company" and said the strategy is to convert customer development and qualification programs into production, building a growing base of recurring revenue.

Cold Spray Technology Across Markets

The company uses its patented Titomic Kinetic Fusion (TKF) cold spray technology. Simpson said, "Cold spray is the enabling technology that delivers advanced manufacturing and repair solutions" for customer production and sustainment challenges.

Titomic serves aerospace, defence, shipbuilding, semiconductor, oil and gas, Mining and automotive markets, with operations in the US, Australia and Europe.

Key Takeaways

  • Titomic has moved a semiconductor customer from initial production to full-rate production.
  • The contract is expected to deliver about EUR 0.9 million in revenue in 2027.
  • Revenue could increase to about EUR 2.0 million in 2028.
  • The award supports Titomic's focus on recurring manufacturing revenue.