Orbital begins to manufacture new drone engines

Unmanned aerial vehicle engine manufacturer Orbital Corporation has entered a period of pre-production activities in support of production of two new engine types.

The company, also known as Orbital UAV, said low-rate initial orders had been received for the Textron Systems’ Aerosonde HQ and DSO National Laboratories' Veloce 60 UAV programmes, with initial sub-assembly build processes beginning in FY24.

Orbital UAV told investors: “”It is expected that final build processes and the first shipment of both customer engines will occur in the first quarter of FY25.

“The initial orders are multi-year build programmes which extend beyond FY25.

“Completion of the small batch order for a Southeast Asian client, originally planned for FY24, is now scheduled for the first quarter of FY25.”

The Perth company is also finalising system integration validation work in conjunction with the transition of new engines lines into production and shipment.

“These programmes have progressed well and have tracked closely against revenue forecasts for the year.

“In addition to the client delivery programs, Orbital UAV is also undertaking further Research and Development programmes to achieve larger payload delivery and enhanced power to weight specifications to address unmet market demands.”

As previously announced, Orbital has received an order from existing customer DSO National Laboratories for a larger engine type which is now in its final phase of design.

The expected delivery date for first prototype of these engines is scheduled for early 2025.

The fourth quarter of FY24 saw Orbital receive a $1.8 million payment in R&D Incentives, and $1.0 million in WA Government Loan grant conversions.

Picture: Orbital Corporation