Filtronic has secured its largest-ever order from SpaceX, a $68.1m (£51.3m) contract to supply amplifier units for satellite communications.
The AIM-listed maker of radio frequency technology said the follow-on order was for its Cerus E-band amplifiers. The amplifiers use gallium nitride, a material that offers higher power and efficiency than traditional alternatives, well suited to low Earth orbit satellite networks.
The deal follows a $62.5m order from SpaceX in August last year.
Nat Edington, Chief Executive Officer, said: “This follow-on order from SpaceX, is another significant milestone for Filtronic, providing extended order visibility and coverage over the next couple of years.”
“This order provides further evidence of the growing importance of GaN technology in high-frequency communications and reinforces Filtronic’s position at the leading edge of this transition. This order also provides significant revenue visibility into FY2028 and beyond, representing another important step for the business but also the continued development of our partnership with SpaceX.”
The order, worth close to Filtronic’s entire annual revenue, is expected to be largely fulfilled during its 2028 financial year, which the company said underpinned the order and provided greater visibility into future revenue.
Having such a large order to be delivered almost entirely in one year should encourage investors that the company can build on this, given it is also working to diversify its revenue base.
Filtronic shares were 11% higher at the time of writing.