Aurrigo International (AURR) , a provider of smart airside solutions and automotive products, issued a trading update for the 12 months to December 31, 2023 (FY23). The Coventry-based company designs, manufactures, and supplies automated vehicles to the aviation industry for use in airport operations.
Aurrigo noted significant contracts with new and existing customers and material operational progress during the year. The group signed an agreement with International Airlines Group (IAG) to deploy its Auto-Sim and Auto-DollyTug systems for automated baggage handling in the US at Cincinnati/Northern Kentucky International Airport. AURR signed a further agreement with IAG to deploy the systems at an unspecified "large UK airport".
On the product development side, AURR penned a multi-year partnership with Changi Airport Group (CAG) for the continued development of its automated airside solutions and joint demonstration of these to other airports and stakeholders. AURR also announced a collaboration with UPS to develop a large capacity cargo vehicle dubbed "Auto-Cargo" at UPS' East Midlands Airport hub in the UK.
On the M&A front, Aurrigo's Automotive division acquired GB Wiring Systems, reporting an "established network of new customers" and diversifying the division's customer base. AURR also noted that its headcount increased at all levels, expanding from 48 at the time of IPO in September 2022 to 95 at year-end 2023.
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A positive update from Aurrigo, detailing significant progress since the group listed on AIM at the end of 2022. AURR has now partnered with some of the largest names in the aviation industry - including a growing partnership with Singapore's Changi Airport - fueling product development and beginning deployment of its proprietary autonomous vehicle solutions.
Aurrigo's products offer significant benefits to airport operations by streamlining baggage handling, cargo transport, and passenger shuttle services. Airside operations are ideal candidates for vehicle automation and AURR is well-positioned to disrupt the $32bn ground and cargo handling market, set to double by 2029.
FY24 will see broad deployment of AURR's automated vehicles to key airport hubs around the world, which should boost revenues in FY25. Sales momentum is strong, with a 25% increase in revenues YOY in FY23 to £6.6m. Following a successful £4.1m fundraise in November 2023, the company is well-capitalised to continue scaling. To this end, Aurrigo is focused on expanding manufacturing capacity at its facility in Coventry UK, and also looking at additional capacity in the US, Europe, and Asia.
The Automotive division is also growing in line with management expectations, following acquisition of GB Wiring Systems. AURR is confident that its Aviation division will deliver at minimum £3m of revenues in FY24, together with a further minimum of £6m from the Automotive division. Cash was £3.5m at period-end, helped by tight cost control.
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