Aurrigo is gearing up for significant growth driven by the rising demand for its autonomous airport vehicles.
- The company is anticipating a 450% increase in revenue from its autonomous vehicle division by the year’s end.
- Aurrigo is expanding its manufacturing capacity in the UK and is exploring outsourcing options in the US and Asia.
- Recent financial reports indicate a 26% revenue rise for Aurrigo, with noticeable reductions in pre-tax losses.
- The firm also sees promising opportunities for expansion into the American and Singaporean markets.
Aurrigo, based in Coventry, is preparing for a substantial surge in the demand for its autonomous baggage handling vehicles. The company projects a remarkable 450% increase in year-on-year revenues from its autonomous vehicle division, expecting to reach £3 million by the close of the year. This significant uptick is accompanied by strategic moves to enhance manufacturing capabilities within the United Kingdom, alongside considerations for outsourcing some production to the United States and Asia.
According to Aurrigo’s CEO, David Keene, the company is witnessing robust engagement with numerous customers across various locations. Keene emphasised that their strategic decisions are being driven by a solid market demand rather than aggressive pursuit of sales. He stated, “We’ve got vehicles out with quite a number of customers now in different locations and we’ve got very healthy enquiry pipeline that’s coming through. So we’re not chasing any business and the market is really proving that the business case is there.”
Aurrigo’s recent financial performance showed a 26% increase in overall revenues, bringing in £3.9 million for the first half of the year. The autonomous division alone saw a 60% revenue growth to £0.8 million, while the automotive division rose by 11% to £3.1 million. This growth trajectory has positively impacted the company’s stock, with shares climbing 3.7% to 77 pence.
The company is actively setting its sights on international expansion, having opened an office in Cincinnati to bolster its presence in the American market. Furthermore, Aurrigo is keen on establishing a footprint in Singapore, with ongoing discussions evaluating the feasibility of setting up a manufacturing facility there. Keene highlighted the strategy of incorporating American-made elements to strengthen market penetration, noting, “If you want to really crack the American market, you have to really have ‘made in America’ a part of your strategy.”
Modelling conducted by Aurrigo suggests that their autonomous solutions could offer a considerable return on investment for airports with over 40 million passengers annually. The projected benefits include a payback period of less than three years, increased operational efficiency, and an estimated 72% reduction in carbon emissions from tugs.
Aurrigo is strategically positioned for significant global expansion, poised to capitalise on the growing demand for autonomous airport technology.
