AL3 sells $1.7M system to US defence contractor

Our 3D printing Investment AML3D (ASX: AL3) just sold a $1.7M 3D printing system to FasTech LLC.

FasTech LLC is a supplier to US defence, Aerospace, Energy, and other high-demand industrial sectors.

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This is another sale by AL3 into the US, which will be the 9th AL3 system to be installed in the US.

It now feels to us like AL3 is building up some momentum with sales into the US…

Especially after the most recent sale to a division of USA’s biggest shipbuilding company - HII (Huntington Ingalls Industries Inc) which is capped at ~US$11BN and is one of the biggest defence contractors in the US.

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And the Letter of interest from the US Navy which forecasted 100 3D printing systems that AL3 is capable of supplying..

Here is the part where they stated “100 new systems” that are required:

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AL3 ramping up it’s US growth strategy

Late last year AL3 announced that its US facility was fully operational and also made a commitment to double AL3’s capacity in the country.

AL3 is expanding into the US through contract manufacturing (where AL3 prints parts for customers) and by selling systems to suppliers…

Across the US military-industrial complex AL3 currently sells into the US Department Of navy…

AL3 could also start selling into the US Army and Airforce:

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Outside of the US government, associated industries AL3 can also sign big deals in other industries like oil and gas, utilities and other industries where on-site manufacturing is important.

AL3 is already selling systems and parts to other industries, like Boeing, Austal and oil & gas giants Chevron and Exxon - so it's not inconceivable to see AL3 sign bigger deals here:

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We have also previously covered the EU market opportunity here: AL3 signs expansion deal into EU market

And the UK market opportunity here: AL3 accelerates entry into the EU and UK markets

What does AL3 do?

AL3’s technology combines robotics, welding, automation and software.

AL3 tech “3D prints” complex industrial parts for the defence, oil & gas and aerospace industries, and sells these 3D printers to industries looking for on-site custom solutions.

We have been to AL3’s Australian facility in Adelaide to check the systems out and it's genuinely amazing to see these things in motion.

We saw the largest ever custom AL3 ARCEMY 3D printing system ever built, before it was to be shipped off to the USA:

As well as some of what the product software looks like:

To see our full site visit write up read: Our AL3 site visit and what we learnt.