Announcement PDF RNS Number : 1164J Aurrigo International PLC 19 May 2025 19 May 2025 Aurrigo International plc ("Aurrigo" or the "Company") Full Year Results for Year Ended 31 December 2024 and Notice of AGM Aurrigo International plc (AIM: AURR), a leading international provider of transport technology solutions, reports its full year results for the year ended 31 December 2024. Financial highlights · · · · · Revenue increased by 34% to £8.9m, in line with expectations (FY 23: £6.6m), comprising: 433% increase in Autonomous division revenues to £2.9m (FY 23: £0.5m) o Automotive division performance was comparable with the prior year, with revenues of o £5.9m (FY 23: £6.1m) Gross profit increased 146% to £3.6m (FY 23: £1.5m) Significantly improved gross margin of 41% (FY 23: 22.3%), reflecting an increase in Autonomous sales and improved Automotive product mix The Company delivered an adjusted EBITDA loss of £1.6m (FY 23: £3.2m), ahead of expectations and supported by increased sales, effective cost management and a favourable sales mix, alongside R&D tax credits. Aurrigo is well capitalised with net cash of £3.1m at year end (FY 23: £3.5m). This position was further strengthened by the funding round that completed in January 2025 Operational highlights · The high margin Autonomous division delivered strong growth in the year supported by increasing demand for autonomous airside solutions for the aviation industry. The year saw increased uptake of airside solutions with 6 direct airport engagements in place o (FY 23: 4 customers), 7contracts for our proprietary Auto-Sim® product, one cargo handler agreement and three strategic partnerships, which together provide access to a network of over 460 airports. Aurrigo currently has 10 vehicles that are operating around the world, and at the end of FY24 o 8 vehicles had completed or had ongoing tests in Singapore, Amsterdam, Stuttgart, Cincinnati and the UK. Sales pipeline remains strong, supported by an increasing volume of proof points that the o Company can demonstrate to prospects following successful trials completed in the year. Continued focus on innovation and improvement of our autonomous vehicles, led by o customer feedback and onsite learnings. Latest enhancements mean all Aurrigo's vehicles can now operate in 50mm/hr of rainfall. · Automotive division continues to underpin Company performance, with expertise from over 32 years' experience supplying advanced, innovative products for vehicle OEM's and delivering strong cash flows. Current trading and post-period end · · · · · In January 2025, we successfully delivered the further two vehicles to achieve the four vehicle fleet at Singapore Airport Changi. All-weather testing, under fleet operations, is currently underway using Aurrigo's Auto-Connect® management platform. Auto-DollyTug® and Auto-Sim® solutions formally approved for recommendation to Aviation Solutions B.V. (part of Schiphol Group) network of 60+ airports, significantly enhancing go-tomarket strategy. Launched latest product; Auto-Cargo®, the Company's largest autonomous aviation vehicle to date, developed in collaboration with UPS. It will now begin testing at UPS's hub at East Midlands Airport, the UK's second largest cargo terminal. Good start to 2025, with revenue continuing to be weighted to the second half, as expected, given timing of tender processes. Whilst the outturn will be somewhat dependent on the timings and outcomes of these tender processes, results for the full year are currently expected to be in line with the Board's expectations. With our vehicles deployed at airports around the world, significant strategic partnerships secured, an expanded team in key international hubs, and a market moving at pace, the building blocks are in place to drive material growth over the coming years. David Keene, CEO of Aurrigo International, commented:"FY24 was another year of real progress for Aurrigo, supported by significant revenue growth in our high margin Autonomous division. Awareness around the benefits of autonomous technology across airside operations is growing rapidly, helping to support our progress and the long-term outlook for the business. "Both our product and commercial teams have worked tirelessly this year to expand our customer base and improve and broaden our product range. With first mover advantage, a growing range of proof points and industry support, our go-tomarket capability is stronger than ever. As we progress through the new financial year, the number of tenders in play with prospective Autonomous customers is substantially higher than all of last year, and we are working toward closing a number of these in the second half. We believe our first-mover advantage, end-to-end technology offering and proof points delivered to date position us well to capitalise on the market opportunity." Notice of Investor Presentation David Keene, Chief Executive Officer, will host a presentation and Q&A relating to the Company's results at 11:00am on Wednesday 21 May 2025. The presentation will enable existing and prospective investors the opportunity to listen to management discuss the Group's full year results. Questions can be submitted pre-event via the Investor Meet Company dashboard up until 9:00am the day before the meeting or at any time during the live presentation. To sign up to the presentation via Investor Meet Company please register using the following link:https://www.investormeetcompany.com/aurrigo-international-plc/register-investor Notice of AGM · · The Company also announces that its Annual General Meeting (AGM) will be held on 19th June 2025 at Aurrigo's offices at Unit 33, Bilton Industrial Estate, Humber Avenue, Coventry, CV3 1JL at 10:00am. The Annual Report and Accounts for the year ended 31 December 2024, together with the notice of the Annual General Meeting will be available to download from the Company's website athttps://aurrigo.com/documents-and-financial-calendar/and will be posted today to those shareholders who have elected to receive a hard copy. For further enquiries: Aurrigo International plc David Keene, Chief Executive Officer Ian Grubb, Chief Financial Officer +44 (0)2476 635818 Canaccord Genuity (Nominated Adviser and Sole Broker) Adam James Harry Pardoe +44 (0)20 7523 8000 Alma Strategic Communications Hilary Buchanan Caroline Forde Will Ellis Hancock +44(0)20 3405 0205 Cucumber PR Russ Cockburn +44 (0)78 1260 0271 Notes to Editors: Aurrigo International plc is an international designer and developer of fully integrated smart airside solutions for the aviation industry, including automated vehicles, systems and software. The Group's proprietary, award-winning autonomous technology and secure management system is supporting some of the world's leading airports. Customers choose to partner with Aurrigo to transform their baggage and cargo handling operations, improving safety, operational efficiencies and meeting sustainability targets, while navigating growing passenger volumes, rising costs and increasing labour shortages. Headquartered in Coventry, UK with offices in Singapore, Cincinnati and Ottawa, the Group has a 32+ year heritage designing and supplying automotive vehicle OEM's with highly advanced, innovative product and system solutions. For more information, please visit the Group's website at www.aurrigo.com. Chair Statement Introduction - Scaling our specialised Autonomous technology Looking back at the past year, it's clear that Aurrigo has reached an exciting point in its journey. Our Autonomous division is firmly in deployment mode - our end-to-end technology solutions have been proven, and we are actively operating in a number of key international airports. Thanks to the customers and partnerships we've secured, the strong relationships we've built and the growth within the aviation industry, now ahead of pre-COVID levels in many areas, we are in an excellent position to fully capitalise on this focussed market opportunity. Our significant Autonomous growth potential is underpinned by our Automotive business, which continues to provide deep technology and supply chain expertise, robust financial foundations and a strong industry track-record. Review of 2024 - Growing interest for our demand-led Autonomous solutions This year has been one of significant progress as we cemented our reputation as a leading provider of autonomous aviation solutions. Against the backdrop of growing demand for cost effective and more efficient airport operations, and air passenger levels now exceeding pre-COVID numbers, the Autonomous division has seen substantial growth marked by a series of key achievements. The significant revenue growth we saw in the Autonomous division last year supported good revenue growth at Company level, in line with our expectations for the year. We began the year with the first U.S. deployment of our Auto-DollyTug® at Cincinnati/Northern Kentucky International Airport in partnership with International Airlines Group (IAG). This was followed by another big step with one of our longest-standing airport partners, securing a deal to deploy a fleet of Auto-DollyTug® vehicles, further demonstrating the potential of our technology at one of the world's busiest airports. We also began operations in Germany, deploying our Auto-DollyTug® for testing at Stuttgart International Airport. While we're making considerable headway in our Autonomous division, it's also important to recognise the continued strength of our Automotive division, which remains a solid, profitable part of the business. As we push further into the autonomous aviation space, the strength of our automotive business gives us a stable foundation and the flexibility to focus on innovating and accelerating our growth. Finally, none of this progress would be possible without the incredible dedication of our team. Their hard work and resilience have been critical to getting us to where we are today. They've consistently pushed the business forward, and on behalf of the Board, I want to extend my heartfelt thanks to each and every one of them for their unfailing efforts. Sustainability - Building a responsible business We are committed to making sustainability a core part of everything we do, from our products to our operations. For example, our partnership with Aston University is advancing research on autonomous baggage handling, while also providing valuable opportunities for students to develop their talents. At the same time, we're dedicated to improving the health, well-being, and safety of our team, cutting down our environmental impact and ensuring strong governance across the business. Outlook - Positive momentum Post-period end, we have seen a number of developments that support our confidence for the year ahead. The launch of our Auto-Cargo® product in collaboration with UPS and an official endorsement from Aviation Solutions (Royal Schiphol Group's commercialisation arm) meaning our technology will be recommended to over 60 airports worldwide, gives us a good platform from which to drive further growth in the new year. Furthermore, following the successful completion of a £5.3m funding round post-period end, we now have additional capacity to invest in our teams and technologies to support the next phase of growth. We thank our existing shareholders for their continued support and warmly welcome new shareholders to the register. The aviation industry continues to evolve in the post-COVID era, with electrification and autonomy emerging as the solutions to address capacity challenges, stretched infrastructure and ongoing personnel constraints. As infrastructure investment becomes a priority across our industry, we see evidence that our specialist application in baggage handling, an operation which lends itself particularly well to autonomous transformation, is resonating with key players in the aviation ecosystem. Looking ahead, Aurrigo is in a strong position to continue its growth. Our technology is rapidly gaining momentum and the partnerships we've secured with Royal Schiphol Group and UPS, among other key industry stakeholders is helping open up new opportunities. We're focused on scaling our operations to meet the increasing demand for autonomous technology and efficiency in aviation and with a solid foundation in place, we're excited about the path ahead. CEO Statement Operational Review Introduction I am pleased to report on what has been a successful year for Aurrigo International. This year more AutoDollyTug®s were delivered to domestic and international airports to showcase the benefits our end-to-end autonomous solutions can bring the aviation industry. Thanks to the hard work of our teams around the world, FY24 saw the Company continue to make material progress and deliver excellent financial results, with revenue growth in line with expectations and an adjusted EBITDA loss that was better than expectations. Our strategy has materially advanced since the IPO of the Company in 2022, with our hardware and software products being used to improve operations at airports globally. We currently have 10 autonomous vehicles that have operated at 6 airports around the world including our new Auto-Cargo® solution at East Midlands airport through partnership with UPS. To have our technology and vehicles in use, and building up mileage on the tarmac, is something we as a team are very proud of. Each mile covered by one of our vehicles represents a further proof point to support our go-to-market strategy with customers around the world. Additionally, our Automotive division, which for over 32 years has designed and supplied automotive vehicle manufacturers with highly advanced, innovative product and system solutions, continues to deliver strong cash flows and good revenue visibility, providing robust foundations as we execute our Group growth strategy. Financial highlights The Group delivered an improved performance across all key financial metrics. In line with our strategic focus on Autonomous vehicles for aviation, we saw impressive growth in our Autonomous division, which delivered revenues of £2.9m, up 433% from the prior year (2023: £0.5m). Automotive revenues of £5.9m (2023: £6.1m) were comparable with the prior year, which, combined with the strength of the Autonomous performance, saw us achieve full year revenue growth of 34% to £8.9m (2023: £6.6m). Our Adjusted EBITDA loss of £1.6m (2023: £3.2m), was better than expectations, supported by our disciplined and focused approach to cost management notwithstanding the increase in output and an improved gross margin of 41% (2023: 22%), reflective of the increased mix of Autonomous revenues. As in FY 2023, capitalisation of labour costs, alongside the recent recognition of research and development grants also contributed to the total, the latter of which was recognised subsequent to the Group's trading update of 25 February 2025. Through our Automotive heritage, we have an extensive track record of servicing customers within a highly regulated industry characterised by complex supply chains, and it is this experience we lean on to manage our resources in a cost-effective and efficient manner. It is this approach to capital management that saw the Company end the year with a net cash position of £3.1m (2023: £3.5m). Our cash position was further strengthened following the completion of the funding round that closed in January 2025, raising a total of £5.3m gross proceeds, of which £3.5m was received in December 2024. I would like to thank those new and existing shareholders who supported the raise. This capital gives us the capacity to invest in our software and hardware engineering teams around the world, manufacture new vehicles and ultimately deliver better results for our customers and drive the business forward. In addition, we continue to apply and win grant funding to support our R&D activities. Business Review Aurrigo is an international designer and developer of fully integrated smart airside solutions for the aviation industry, including automated vehicles, systems and software. The Group supports some of the world's leading airports, helping them to become more scalable whilst improving safety, operational efficiencies, passenger experience and sustainability. The Group achieves this through a combination of highly-engineered hardware and proprietary software which works together to help aviation customers transform baggage and cargo handling operations. The Group's endto-end transformation solution principally comprises: Hardware: · Auto-DollyTug®: fully autonomous baggage and cargo handling vehicles · Auto-Cargo®: fully autonomous vehicle for the handling of heavier cargo loads Software: · Autonomous Driving Software stack (ADS): in-house software for all our autonomous vehicles · Auto-Sim®: purpose-built Airport Simulation and modelling, 3D visualisation software tool · Auto-Connect®: cyber-secure and resilient vehicle fleet SaaS management platform The Group's solutions have been designed from the ground-up and in collaboration with customers to meet the specific needs of the aviation industry, including improved aircraft turnaround, an important KPI. This ground-up approach means Artificial Intelligence (AI) and Autonomous Technology are at the heart of each of our products, with each technology being harnessed to maximise effectiveness and results in the airside environment. Autonomous Market The progress we have seen in the Autonomous market this year is extremely pleasing and is illustrative of the demand-led growth available to us. Our products continue to be pulled into the industry to address key operational challenges for airports as they seek to tackle net zero targets, improve sustainability, and introduce greater digitalisation. Awareness around automation and the role it is going to play at airports is growing rapidly. With global passenger [1] traffic set to double by 2040 , the market and industry is moving fast to find solutions that can improve efficiency, manage demands on skilled human capital while limiting increases in carbon emissions. The rapid growth in market acceptance is helping to drive demand for our solutions and is being reflected in the number of trials and vehicles we now have in operation. It is not just in baggage where automation is being adopted. We are seeing evidence of autonomous and AI technology being adopted at various stages of the crucial aircraft turnaround process, to optimise and drive [2] efficiency at every step . In the baggage handling space, which has seen limited innovation to date, our firstmover advantage is widely recognised. In a close-knit industry where the airports we count as customers, like Singapore Changi Airport, Amsterdam Airport Schiphol and Cincinnati/Northern Kentucky International Airport, are seen as market leaders in the adoption and roll out of technology, working with them to deliver vehicles and software solutions with proven results carries weight. Progress on the ground We continued to make good progress at Singapore Changi Airport this year, with two vehicles delivered under the Phase 2b contract in H2, following vehicle enhancement works as previously announced. Post-period end we delivered the further two vehicles to achieve the four-vehicle fleet operations, currently underway using Aurrigo's Auto-Connect® platform. We look forward to being able to update shareholders on the results of this phase of testing and next steps in due course. In January 2024 we signed a project agreement with Amsterdam Airport Schiphol for Auto-Sim® and AutoDollyTug®. Further to this, we also signed a formal partnership agreement with Aviation Solutions B.V. ("AS"), a business within Royal Schiphol Group, which focuses on commercialising innovative technologies that have successfully passed rigorous testing at Schiphol, to support the roll-out of Aurrigo's autonomous solutions to the global aviation sector. We were delighted to announce post-period end the results of these trials, with our Auto-Dolly Tug® moving into testing in increasingly complex environments. Significantly however, following the success of the trials, our AutoDollyTug® and Auto-Sim® solutions have been formally approved for recommendation to Aviation Solutions' network of 60+ airports, which will significantly enhance our go-to-market strategy. Aviation Solutions will now support the rollout of our products to their network of well-informed, supportive aviation customers and we expect this to have a positive impact on the volume and quality of prospects in the sales pipeline. At Cincinnati/Northern Kentucky International Airport (CVG), one vehicle is currently undergoing trials. We were delighted to open a new office in Cincinnati this year, where we now have a team to support this trial and future deployments in the US. In the year we were also pleased to see the completion of trials of our Auto-DollyTug®s at both Stuttgart and a large UK airport. Each trial helped to further demonstrate the capability of our vehicles. We continue to focus on winning new customers and driving our business strategy from Auto-Sim® consultancy projects through to full fleet operations using our autonomous vehicle products and managed through our AutoConnect® platform. Following the fundraise that completed in January 2025, we continue to prudently manage our cash and the funds raised, ready to support the scaling of Auto-DollyTug® production to meet expected future customer demand. The results from tests we are currently conducting around the world are being used to finalise the specification of the vehicles we produce in the future, to ensure customers receive products capable of meeting all that is required of them. Automotive We have a strong track-record in the design, manufacture and delivery of highly advanced, innovative product and system solutions for automotive OEMs through our Automotive division. Through this, we have extensive experience and know-how managing complex supply chains, building products of quality, and meeting the exacting standards of vehicle OEM manufacturers in a cost effective and efficient manner. It is this expertise that underpins our operations across both divisions, ensuring we deliver for clients. The Automotive division continues to underpin the Company's performance and deliver steady cash generation. Longstanding customer relationships with multi-year contracts continue to provide robust revenue visibility and strong cash flows despite some recent macro-linked volatility of client schedules. Through the year the Company saw good levels of order intake from both new and existing vehicle OEM customers, supported by ongoing demand from global Tier 1 suppliers for our specialist engineering services. R&D Commitment to innovation, while being cognisant of cost and resource, remains a core aspect of the Company's growth strategy. Alongside driving growth, the Company has been focused on R&D and innovation in the year, with enhancements made to both hardware and software in the Autonomous division. We are constantly updating and evolving our vehicles based off learnings from deployments around the world. Following the development of a new software algorithm in FY24, Aurrigo's Autonomous vehicles are now able to operate in heavy rain and light snow fall ensuring their operational effectiveness during those periods. We continue to listen to our customers and evolve our products to meet their demands. It is this collaborative nature that helps strengthen our customer relationships and further innovate our solutions. Post-period end we were delighted to announce the launch of our latest product; Auto-Cargo®, our largest autonomous aviation vehicle to date, following a project initiated in September 2023 in collaboration with UPS. Auto-Cargo® is a fully autonomous electric vehicle designed to move heavy cargo and freight loads to and from aircraft. It was built using a combination of highly engineered hardware and Aurrigo's proprietary autonomous software. It is the latest product we have released and is testament to the quality of our design and engineering teams. Purpose built in collaboration with UPS, it will now begin testing at UPS's hub at East Midlands Airport, the UK's second largest cargo terminal. Product enhancements have been supported by the expansion of our global teams to support a growing pipeline, with total Group headcount standing at 110 at year end. In particular, since the receipt of funding we have strategically invested in our engineering and software development teams in international markets, enabling our engineering function to operate across a 24 hour cycle, increasing the speed at which we can roll-out new developments and enhancements. Current trading and outlook The new financial year has got off to a busy start. With a fleet of Auto-DollyTugs® operating at Singapore Changi Airport, the endorsement from Aviation Solutions and the release of Auto-Cargo®, our teams around the world are working hard to drive growth. We continue to progress our strategy, centred on driving pipeline growth and conversion, accelerating existing customers through staged Autonomous pipeline deployment, and leveraging our Automotive expertise to grow sales. Importantly, as we continue our scale-up trajectory in the Autonomous division, we are highly focused on optimising our manufacturing function and managing our cost base effectively. Interest from new airport customers around the world remains high and gives us confidence as we look ahead. The number of tenders for autonomous vehicle projects from prospective customers is substantially higher than this time last year. While we continue to expect revenues for FY25 to be backend weighted due to timing of these tender processes, the demand we are seeing and our position in the market give us confidence in our ability to scale. Whilst the outturn will be somewhat dependent on the timings and outcomes of these tender processes, results for the full year are currently expected to be in line with the Board's expectations. With our vehicles deployed at airports around the world, significant strategic partnerships secured, an expanded team in key international hubs, and a market moving at pace, the building blocks are in place to drive material growth over the coming years. CFO Statement Chief Financial Officer's Report for the Year Ended 31 December 2024 I am pleased to present the Chief Financial Officer's report for Aurrigo International plc for the financial year ended 31 December 2024. This year has been marked by significant growth, particularly in our Autonomous division, and strategic investments that position us well for future success. Financial Performance Total revenue for the year was £8.9 million, representing a 34% increase from £6.6 million in 2023. · Autonomous Division: Revenue grew to £2.9 million, a remarkable 433% increase from £0.5 million in 2023. This growth reflects the successful deployment of our Auto-DollyTug® at multiple global airports and the uptake of our Auto-Sim® 3D digital twin software modelling product. · Automotive Division: Revenue remained stable at £5.9 million, compared to £6.1 million in 2023, continuing to provide a solid foundation for the Company's operations. The adjusted EBITDA loss for the year was £1.6 million, an improvement over the previous year's loss of £3.2 million, primarily due to increased sales, effective cost management and a favourable sales mix. As in FY 2023, capitalisation of labour costs, alongside the recognition of research and development grants also contributed to the total, the latter of which was recognised subsequent to the Group's trading update of 25 February 2025. The Company continues to attract grant funding, both for operating activities and capital projects. Other operating income for the year includes £0.3m of grant funded activity with a further £0.3m deferred in the balance sheet for capital related grant activities. Capital Raising In December 2024, we received £3.5 million of an overall £5.3 million gross share placing with the balance received in January 2025. We continue to prudently manage our cash and the funds raised, ready to support the scaling of Auto-DollyTug® production to meet expected future customer demand. The results from tests we are currently conducting around the world are being used to finalise the specification of the vehicles we produce in the future, to ensure customers receive products capable of meeting all that is required of them. The capital will also support our efforts to accelerate commercial sales timelines and facilitate the launch of our new cargo handling vehicle, Auto-Cargo®, in partnership with UPS. Cash Position As of 31 December 2024, our net cash position was £3.1 million (FY23 £3.5m). Following the receipt of the balance of the gross share placing in January 2025, the Company is well-capitalised to support its next phase of growth. Outlook We enter 2025 with strong momentum, particularly in our Autonomous division, supported by a robust sales pipeline and an expanding partner network. The Automotive division continues to provide steady cash generation, underpinning our overall performance. I would like to thank both our existing shareholders for their continued support, our new shareholders who joined the register in the latest fundraise and our team for their ongoing dedication and hard work. We remain committed to delivering innovative solutions and driving sustainable growth in the years ahead. Ian Grubb Chief Financial Officer Aurrigo International plc FINANCIAL STATEMENTS GROUP STATEMENT OF COMPREHENSIVE INCOME FOR THE YEAR ENDED 31 DECEMBER 2024 Notes Revenue Cost of sales Gross profit Other operating income Administrative expenses including non-recurring expenses, share based payment charges, depreciation and amortisa