• Austin re-negotiated its Chile OEM contract for improved pricing and payment terms
• The previous contract was loss-making, but the new terms are expected to return the contract to targeted profitability
• The revised contract will take effect from May 2026 with an initial $6.7 million purchase order

Austin Engineering Limited (ASX: ANG) has announced that it has successfully concluded a re-negotiation of its Chile original equipment manufacturer (OEM) contract. The previous OEM contract had been loss-making, leading Austin to suspend accepting any new orders. The re-negotiated contract provides for a pricing adjustment that is expected to return the contract to targeted profitability for Austin and includes improved payment terms. The revised pricing and payment terms will take effect from the commencement of deliveries under the new purchase order, with deliveries expected to begin from May 2026 onwards. The volumes associated with the re-negotiated contract are not material to FY2026 and do not impact Austin's current FY2026 guidance. An initial purchase order under the re-negotiated terms received has a value of approximately $6.7 million, with execution expected to occur principally into FY2027. Austin expects the relationship with the OEM customer to continue beyond the fulfilment of this initial order, reflecting the strategic importance of the customer and Austin's position in the Chilean market.