Sprintex Limited (ASX:SIX)

Sprintex Limited (ASX: SIX) reported quarterly activities for the three months ended 30 September 2026 alongside its Appendix 4C cash flow report, highlighting progress in commercialising its mechanical vapour recompression technology through a €25.71 million (A$41.1 million) Mest Water order book, including extended on-farm testing in the Netherlands, engineering optimisation of high-capacity systems into a three-motor configuration, and a revised delivery schedule extending through late calendar 2028; after quarter end, Sprintex received €815,000 (A$1.3 million) from Mest Water, comprising production deposits and final settlement, allowing commercial manufacturing of the first 40 systems to commence at Kunshan. The company also entered a co-development agreement with Jiangsu Bosiwei Chemical Equipment Engineering Co., Ltd. to target China’s industrial MVR market via an initial retrofit opportunity with Hebei Yufeng Industrial Group, with Bosiwei targeting up to 500 sub-3-tonne MVR systems per annum across its markets, although these volumes are not contracted. Financially, customer receipts for the quarter were A$392,000, government grants and tax incentives were A$426,000, net cash used in operating activities was A$991,000, and cash at 30 September 2026 was A$166,000; operating cash outflows were driven mainly by staff costs and manufacturing and operating costs associated with the Kunshan facility and prototype work. Financing activity included A$820,000 raised from shortfall shares, A$915,000 of convertible notes converted into equity, borrowings and lease repayments, and total drawn financing facilities of A$2.69 million at quarter end, while the company stated it expects operating cash outflows to reduce as receipts from existing Mest Water purchase orders increase.