I have been looking through the release 'FOUNDATIONS FOR 2016' released in December
To date, Alexium has been rapidly delivering on its target of establishing a global footprint. Leading into 2016,
we have already secured over 45 customers for an approximate US$18.5M (baseline) of earnings, within a
potential order book of US$44.7M from these customers alone for 2016.
Going through each market segment and the secured (for which I assume are signed contracts) so as to put a monetary figure on what we have already in forecast commitments for 2016 as of December. (Assumed income in current A$)
HOME FURNISHINGS
The US FR market size in the home furnishings sector is US$132M with an estimated 2016 total revenue
potential to Alexium of US$14.5M. Alexium has secured 38% of our overall 2016 baseline group revenue
through current home furnishings customers.
This is the big one thus far with $10 million committed
DEFENSE SECTOR
The US FR market size in the military sector is US$240M with an estimated 2016 total revenue potential for
Alexium to US$13M. Alexium has secured 23% of our overall 2016 baseline group revenue through current
Defense Sector customers/existing contracts.
$6 million for 2016 to AJX as of December 2015
WORKWEAR
Recent developments in the Defense Sector have shown that our NyCo fabrics pass the NFP 2112 body burn
required for many workwear applications. Our partners, iTextiles, have scheduled overseas trials both in Poly
Cotton and NYCO overseas where we see the biggest immediate opportunities.
No mention of income from this sector so anything generated from iTextiles will be cream on the revenue cake.
TRANSPORTATION
The US FR market size in the transportation sector is US$52.8M with an estimated 2016 total revenue
potential to Alexium of US$9M. Alexium has secured 22% of our overall 2016 baseline group revenue
through current transportation market customers.
A$6 million
OUTDOOR
The US FR market size in the outdoor sector is US$52.8M with an estimated 2016 total revenue potential for
Alexium to US$4.2M. Alexium has secured 8% of our overall 2016 baseline group revenue through current
outdoor market customers.
A$2.1 million
COATINGS/POLYMERS
The US FR market size in the coatings/polymers sector is US$270M with an estimated 2016 total revenue
potential to Alexium of US$4M. Having only entered this market in the last quarter, Alexium has gained new
customers and has already secured 9% of our 2016 baseline group revenue.
A$2.3 million
So this gives us a total of A$26.4 million in commitments for 2016 (average of A$6.6 million/quarter) and with the approximate forecast of US$18.5M (baseline) of earnings from these 45 customers with a further A$37.2 million from "potential order book"
This is only my take on the Foundation for 2016 and the word "secured" used by Alexium may have a different meaning to my interpretation.
Bring on the Bedding customer announcement, can be far away now and the rocket ships shall return in force
AJX Price at posting:
65.3¢ Sentiment: Buy Disclosure: Held
