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A year after PWR Holdings (ASX: PWH) secured a milestone US government deal worth $US5.5 million ($8.9 million), the Gold Coast-based company widely known for developing cooling systems for some of the world’s elite racing teams has followed this up with a second agreement worth US$9.1 million ($13.5 million).
PWR says the follow-on contract to supply advanced cooling solutions for a US government project reinforces its position on the US project as it progresses to full production.
“PWR announced the initial US$5.5 million order for this project in January 2025 and securing a follow-on order reflects the successful delivery of that first phase and demonstrates our ability to execute reliably and adapt to evolving program requirements on complex projects,” says PWR’s acting CEO Matthew Bryson.
“Continued delivery on this platform supports PWR’s growing reputation as a leader in advanced cooling technology for aerospace and defence applications."
The exact nature of the contract has not been disclosed by PWR Holdings, but it was originally secured by the company’s US subsidiary C&R Racing Inc.
The last year’s US government order was the largest ever announced in the aerospace sector by the company since it first ventured into the field in 2020.
PWR, which was founded by father-and-son team Kees and Paul Weel in 1998, has made its mark in motor sports globally as a designer, manufacturer and supplier of high-performance cooling solutions. In 2024, the company supplied cooling solutions to every Formula One team in the world.
Kees Weel last year transitioned from managing director to chairman of the company, and last month the company announced that CFO Sharyn Williams would be its new CEO and managing director.
Williams will assume the role once a replacement CFO is announced with Bryson to remain as acting CEO until then.
The company says the US government project is scheduled to extend over several years, depending on forecast demand for the platform, US fiscal year funding and PWR’s performance. Delivery of the new contract is expected to largely occur in FY27.
Bryson told shareholders at the annual meeting in October that PWR was entering FY26 with a “strong order book” across motorsports and the aerospace and defence sectors.
The company, which has a manufacturing facility on the Gold Coast and at Minneapolis in the US and Rugby in the UK, posted revenue of $130.1 million in FY25, down 6.7 per cent from a year earlier.
Net profit after tax fell 60 per cent to $9.8 million due to lower volumes, factory relocation costs on the Gold Coast and investment in future growth.
However, PWR’s shares have made solid gains over the past year, hitting a 14-month high today of $9.86 – up from a 2025 low of $5.96 in April.
The shares closed 10 per cent higher at $9.59.
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