Quarterly Activities/Appendix 4C Cash Flow Report

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Stock Orbital Corporation Ltd (OEC.ASX)
Release Time 29 Jan 2026, 2:52 p.m.
Price Sensitive Yes
 Orbital Corporation Ltd reports quarterly activities and cash flow
Key Points
  • Orbital UAV positions itself as a leader in Integrated Propulsion Systems for the unmanned aerial vehicle (UAV) market
  • Secured a new customer for the 350cc Heavy Fuel Engine, expanding its customer base into the heavy-lift UAV segment
  • Received strong interest for the new 350cc HFE from both existing and new customers
Full Summary

Orbital Corporation Ltd (Orbital UAV) presents its quarterly activities report for the period ended 31 December 2025. The company continues to position itself as a leader in Integrated Propulsion Systems (IPS) for the unmanned aerial vehicle (UAV) market, with a focus on the design, manufacture, and support of high-performance, reliable, mission-ready engine systems. Orbital's Heavy Fuel Engines (HFE) are designed for Group 2 & 3 Tactical UAVs, which are characterized by maximum take-off weights (MTOW) in the range of 20kg to 250kg and are typically employed in surveillance and logistics operations. During the quarter, the company secured a new customer for its 350cc HFE engine, receiving an initial order from US-based Skyfront Corporation. This marks a strategic expansion of Orbital's customer base into the heavy-lift UAV segment, as Skyfront will integrate the 350HFE as an electrical power generator to sustain its heavy-lift multirotor UAV platform, enabling high payload capacity and extended mission endurance through hybrid onboard power generation.The company also continued to deliver 150HFE engines to existing customers, completed the engineering development program and initial delivery of upgraded engines for a power upgrade to support the Textron Aerosonde 4.7 UAV platform, and continued flight trials in India with the 150cc HFE engine and the Dynamatics Cheel UAV platform.Global demand for larger capacity engines continues to rise, driven by increased payload requirements, more complex mission profiles, in-flight battery charging capability, and regulatory changes. The company has received strong interest for the new 350cc HFE from both existing and new customers and has commenced the manufacture of 10 engines to support the anticipated initial customer demand for integration and evaluation systems for both the defence and commercial segments.