HighCom (ASX:HCL) has provided an update on its first-half trading for FY26, with revenue expected between $10.5 million and $11 million and an EBITDA loss of $5 million to $5.8 million.
The results were primarily affected by the temporary US government shutdown during H1, which delayed contract awards, procurement, and revenue recognition across the company's US operations—its largest market, accounting for roughly 75% of global revenue.
Despite this disruption, HighCom's Armor and Technology businesses continued to progress, with momentum in its XT Clave product line and small uncrewed aerial systems sales underpinning its Technology segment.
Looking ahead, management expects a recovery in US procurement and funding cycles in H2 FY26, with revenue projected to surpass first-half levels and EBITDA trending back to positive territory.
The company is also advancing a diversification strategy, including expansion into direct-to-consumer channels and state-based procurement panels, alongside operational improvements in its US sales channels, aimed at supporting margin growth and long-term resilience.