Advanced manufacturing business Quickstep has delivered its Q4 FY17 results to the ASX, registering a 4 per cent increase in year-on-year sales and quarterly results in line with expectations.
The quarterly report is the first delivered by new chief executive and managing director Mark Burgess, who joined the business in May and is tasked with delivering a market growth strategy that capitalises on Quickstep’s composite manufacturing capabilities at home and abroad.
The company currently holds key contracts in the manufacture of the F35 Lightning II Joint Strike fighter (JSF) and Lockheed Martin C130J Hercules components.
Total sales for the quarter surpassed $14 million, with the delivery of 401 parts for the JSF for the quarter – up 29 per cent on the previous quarter and 146 per cent on the same quarter last year, Burgess said.
Quickstep is a key supplier globally to Northrop Grumman for 21 JSF components, including doors, panels, skins and other composite parts.
It will also supply 700 sets of vertical tail composite parts such as skins, spars and fairings over the next 14 years under an agreement with BAE System’s supplier Marand Precision Engineering.
According to Burgess, Quickstep’s JSF production program will continue its strong growth trajectory in line with the program, with manufacturing expected to triple from FY16 to FY19.
Overall, JSF production has increased to 1,230 parts for FY17, up 108 per cent on FY16.
Burgess also said the delivery of composite wing flaps to Lockheed Martin for the C130J continues, with eight ship sets delivered in Q4 FY17, taking the production to 27.25 ship sets for the year, comprising of 26 full ship sets and five individual spares.
The business will also expand manufacturing to the LM100J, the commercial version of the C130J Super Hercules.
Overall, total sales for the 12 months to 30 June 2017 were $51.9 million, up 4 per cent on FY16.
The business has indicated a firm order book valued in excess of $98 million, not including further volumes under customer agreements outside US government purchase order timeframes.
Under a new CEO-led strategic and operational review, the business is expected to unveil a refreshed growth strategy in early August.