Fastbrick’s ‘move fast and build things’ strategy seems to be working
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Robot brick-layer Fastbrick (ASX:FBR) has rapidly cut its losses this year, after landing an $8 million capital raising in December.
Fastbrick, which listed via reverse takeover of ex-wine merchant DMY Capital in 2015, doesn’t yet have a commercial product.
It reduced its full year loss to $1.3 million, from $5.8 million.
Last year Fastbrick undertook an $8 million capital raising, at 8.1c a share, from Hunter Hall Investment Management as a cornerstone investor.
This left the company with $8.7 million in cash by June 30.
An equity placement in July from Caterpillar provided another $2 million, with an option to invest another $8 million if shareholders approve.
While research costs on the company’s flagship Hadrian X were no longer a longer factor this year, staff and supplier costs blew out by 172 per cent to just over $2 million.
It’s been a big year for Fastbrick. The deal with Caterpillar means the Hadrian X can capitalise on the international company’s brand, a factor in another deal signed this month to supply 55,000 houses in Saudi Arabia.
“Scaling up to a new facility, appointing a high calibre COO and the signing of two material MOUs, have given Fastbrick a solid foundation heading into FY18,” said Fastbrick Robotics CEO Mike Pivac in a statement.
“Fastbrick’s key FY18 objectives include completion and demonstration of the Hadrian X construction robot, advancing the Caterpillar commercial relationship and continuing our customer discovery process with a pre-launch order book.”