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HighCom (ASX:HCL) – formerly known as XTEK – has announced its receipt of a contract order for ballistic products from a military customer.
The company specialises in making bulletproof helmets and vests designed to protect military and law enforcement.
The company did not name, specifically, which “military customer” the contract went to – typical for companies operating in this space.
However, products will be sent before FY25 from ‘existing inventory” and the company noted it continues to look for sales around the globe.
“This significant order, which is valued at A$4.7m and is being supplied from existing inventory [shows] customers are seeking to rapidly acquire large quantities of advanced high-end ballistic products to meet their needs,” HighCom chief Mark Stevens said.
“The order will be completed in the current financial year.”
Stevens hasn’t been in the job for long. Former chief Scott Basham abruptly quit earlier in 2024.
While the company didn’t explicitly say it – nor did Basham when he made a fairly intimate Linkedin post on the matter – a glance at the stock’s 1Y returns may shed light on why the board decided that Basham should leave.
Returns for HCL shareholders are down -64.89% YoY and HCL shares are down -57% YTD.
The thinly traded microcap has gained attention this morning, however, on the back of its $4.7M deal – the stock was up 22% on $170,790 worth of trades reflecting 1.06M shares heading into the second hour of trade.
HCL shares last at 16.5cps.
