At the bottom of your screen, the Q&A. I'll get you to write those in and we'll go through them in turn at the end of the formal part of the presentation. Without further ado, let me pass over to Herbert. Over to you, Herbert.
Thank you, Adrian, and thank you for taking the time today to join the Titomic results call for the six months which ended on the December 31st, 2021. I'm Herbert Koeck. I'm the Managing Director of Titomic, and with me today next to me is Jon Nield , Titomic's CFO. Today, we wanna present the company's results for the first half and an overview on a renewed focus going forward. I can tell you we have worked really hard in the last six months to evolve our business model and to create revenue streams while focusing mainly on the defense and aerospace markets. These results show that the strategy is working, and we expect that this bears fruit in the subsequent reporting periods significantly more than the company envisaged just only a short period ago.
Now, I assume that you all have read the details of this disclaimer statement. From an agenda standpoint, let me share with you what we would like to share out to you today. Okay? Just briefly, from an agenda standpoint, I will walk you through the fiscal year H1 highlights we have in place and recap on our business. I will hand over to Jon Nield to share with you some of the financial results we had. At the end of the day, I will come back and to close with an operational update, trying to highlight on the very big things that have achieved. Actually, we will need to shut off the microphone on this PC. Okay. Now let me go immediately into the highlights.
Do we still have an, s till have an echo? Give me a second, please. A bit of technology. I think the echo should be gone by now. Everyone switch off. Do you need to switch off the microphone, Jon? Adrian. Adrian, can you still hear me? Just to check on the technology.
Yeah, all good, Herbert. You can continue on that.
Okay, awesome. Thank you very much. Now, I'm very pleased to be able to share out to you a selective list of significant achievements which you see on that slide, which represent the beginning of our strategies driving business results. That's what we really have achieved in the last six months. Starting with the highlights for the first half on slide number four, we did the following. What you see is we achieved a revenue at AUD 2.3 million, which was up 497% versus the comparable period last year. We have already today confirmed purchase orders of additional AUD 2.4 million as of December 31, 2021. We welcomed Repkon as a strategic investor. We completed the strategic acquisition of Dycomet in Europe and Tri-D Dynamics in the USA.
We were awarded with a great, grant of AUD 2.3 million Modern Manufacturing Initiative Grant from the government in Australia, which allowed us also to collaborate with Boeing to create, parts with green titanium. We signed a couple of non-binding agreements, one specifically with Triton Systems, to develop applications in the U.S. market. We sold, as you have heard already during the investor conference and the capital raise process, we did earlier this year, TKF1000 System to a leading research organization, TWI, in the U.K. We completed successfully a capital raise process, raising AUD 9.9 million in November earlier this year. Now, Titomic at a glance. For those of you who haven't been with us, let me ground us once again in what is Titomic all about. Okay?
What you see here is a little bit of a history, and I'm sure many of you have seen that one, so I'm sorry that I'm repeating this, but it's important to understand where we are coming from because it's key for all of us that we all know where we are going to. Okay. We are working off a couple of patents, which we have the exclusive rights to commercialize from CSIRO, and the company started in 2014. Okay? Our process is called Titomic Kinetic Fusion. It's trademarked, and it gives us a competitive edge across the globe. Just with the acquisition of Dycomet, we are complementing our product portfolio on top of it. We aim to be a global leader, which is an important element of our strategy.
We aim to be a global leader to providing cutting-edge technology in cold spray and cold spray solutions. It's important to understand that we don't try to compete with other players in the industry and to mimic what they have been doing already for a long time. We are providing an additional tool in the toolbox of manufacturing customers. We are helping them to get basically additive manufacturing as an element into their overall portfolio, and this is also what these customers and these joint venture partners of today are interested in. Now, cold spray as the next step is an interesting technology as of today. I hope you can see that slide, which I have shared already during the investor conferences earlier last year.
It's important to understand that all these technologies which exist out there in the metal additive manufacturing world are at different maturity levels. Actually, it is the company AMPOWER, a German research company, which surveys all these technologies every year and releases this kind of a maturity index. It gives an idea on which of these technologies are how far advanced in terms of being ready for industrial use. The interesting part, and I can't highlight this enough again and again, is that AMPOWER clearly states that cold spray technology is in less than two years be ready for commercial use. We are seeing this starting already. Okay. I can tell you, I'm very pleased on some of the results which you're gonna see later on.
Just an hour ago, here at our office in Melbourne, the team came forward with a tool which we produced, which took us exactly four weeks to produce the tool, while the current provider of the tool had a lead time just of half a year to get the billet of the titanium material to produce the tool. It's a significant improvement which we can manage, and we are getting these proof points going right now. That chart, which you see here, is just a proof that our technology is ready to commercialize business in less than two years, and it has started already. Now, the whole technology, and I'm sorry once again if I repeat, it is all about a superior speed, size, and sustainability.
I've told some of you who have been with me on previous calls, the big thing which attracted me also personally to join at the helm of Titomic was the ability to go for speed and size at the same time, while having a process which has so many opportunities and advantages versus, for example, the powder bed fusion process, where they are really struggling in getting into larger size parts. Now, over the course of the last month, I can tell you, as we have been focusing on a handful of key applications, we learned a lot about applying our technology. We are well on track to move to be less of a mile wide and an inch deep. We are reversing right now.
We have selected a few application and use cases, and we are getting a mile deep, and this is giving us all the insights we need to become attractive to the specific customers we are going for in this space. Now, it's one thing to see the technology as a drawing and what we are doing, and as you may know is we are taking basically a metal powder. We are accelerating this metal powder in a gas stream to supersonic speed, and literally supersonic speed, actually Mach 2.3-2.6, and then pushing this gas stream, which is enriched with the metal powder, out of a nozzle. When this goes against the scaffold or against the substrate, it starts to bond with each other. That's the theory. The reality is these turns into machinery.
As you can see on these pictures, these are actually the two big machines which have been in place at our office already for the last two years. On the right-hand side, you see the TKF 9000. On the left-hand side, you see the TKF 1000. As you can easily imagine, the numbering of the machinery talks about the maximum size of the parts we can produce in there. Okay. 1,000 would mean the maximum size of the part is 1 sq m. The TKF 9000 allows us to produce parts up to 9 meters. Actually, we are talking about 9 x 6 meters in theory out there. Now, this is a reality. These are the machines which we have here at the Melbourne Bureau. I now wanna share also with you something very, very new.
I think none of you have seen this so far. We have a new member in our machine portfolio, a new member of our machine family. What you see here behind the circle is actually a machine which has become available to us now as part of the Dycomet, which is now Titomic Europe acquisition. This machine right now, exactly right now, stands at the AusRAIL exhibit in Sydney, where our team is out there and showcasing the solutions we have on repair services to transportation companies. AusRAIL is a very well-established trade show, happens every year. We are looking forward.
Even last day, yesterday on Monday, we had already a very, very interested customers and created a couple of leads, because they immediately saw what this machine, which is a mobile unit, which is a manual spray gun, which that can do for the repair of their machine parks in the future. You also need to know is that almost half, technically 48% of all the cold spray applications today are already in transportation. This machine from Dycomet, now Titomic Europe, is opening up these opportunities to us also at Titomic. Now, the difference is of cold spray as is what you see here summarized. Okay. I don't wanna go into the details because you can read faster than I can talk.
You need to remember this cold spray technology allows us to go for speed, it allows us to go for size, it allows us to scale systems depending on the customer needs. An important element as we are in the midst of discussions with joint venture partners out there across the globe, you know there will be a TKF 1200. There will be a TKF 2500. Without making any forecast here on what that specifically means, but obviously the machine design has the flexibility so that we can build machinery in line with the expectations and the needs of specific customers out there. On top of it, we can produce stronger materials, we have less waste, and we can operate this machine with in a sustainable way. That's again a highlight. It's more important than ever. Okay?
Sustainability in manufacturing is gonna get key, especially now, okay? We are just experiencing another turmoil in the geopolitical scene worldwide, which is a challenge on its own. Besides that, it's gonna give major disruptions to supply chains across the world. To get a metal billet or a titanium billet at the moment for tool builders is a challenge. This challenge is just getting bigger as we speak. As I told you, the team here showed me that getting a billet of this kind of a carbon fiber tool, which we have produced within a month. Actually, the spray time was less than a week. At this point in time, you would need to wait more than 24 weeks to get such a billet on the global market. Okay?
We got the powder, we got it produced in a week, we got it heat-treated and finalized in the next 3 weeks. 4 weeks versus half a year. That's a significant improvement out there. Now, let me also share with you, and this is the business model. Okay? From the very beginning, my approach was always to focus on a few applications and use cases. Okay? We were challenged in the past by going for too many things and trying to do a lot of things in the industries because the technology allows it in the long run to do so, but that doesn't move us forward. Okay? We spent a significant amount of time and very hard work in the last couple of months to zoom in on a couple of use cases and applications.
I can share many of them with you, and you see here some of the focus areas we are definitely in. Okay? Space. Even so, space obviously is an industry, and it's not a specific application or use case because tooling, for example, plays a role in space. Okay? Tooling plays a role in civil aerospace. Tooling plays a role in defense. We are talking about repair services. We are talking about radiation shielding. We are talking about barrels. We are talking about ballistic barrels. Okay? For all these application use cases, we have now a very good understanding. We know exactly where the sweet spot of the technology is, where we are closer to implementation versus others.
You're also gonna hear from us, as I said at the very beginning, in the weeks ahead, and I'm saying weeks, not month, in weeks ahead, more details on which use cases we are gonna focus on, overall. Now, the important part is besides us obviously going and trying to sell machines for these use cases and support customers to produce these parts, the important element of our commercial strategy is also to go for joint venture partnerships. Joint ventures, as you know, is more than a machine. The reason once again why we are going into joint ventures is because it wouldn't be prudent from us to go for and become the expert in all these industries where we can apply the technology. We simply can't be on copy and get to the level of expertise that some of these players are out there.
Nèos in the tooling world is out there for 20 years. They have a lot of existing customer relationships, and we don't wanna compete with that. We wanna provide a tool, as I said, for their toolbox. We wanna ride on the shoulders of these giants, and with that one becoming attractive to their customers. The way to do it is to create joint venture partnerships. Okay. Joint venture partnerships, at the end of the day, it means to get something going faster than each of us could do it on our own at a significant reduction of cost. Because we go into a joint venture, usually you share the cost, you share the benefits later on.
On the long run for our business, that also means that we are not only having a commercial benefit and the business coming out that these joint ventures are buying machines, they're consuming materials, services, maintenance and all the other elements, but also that we have a financial return of the output of these joint ventures. Now, you could ask the question saying is, "Hey, you haven't even announced the joint venture yet." But as you know, we are talking in the final talks with some of these partners like Nèos, like Repkon in the U.K. and some of the others. It's a kind of a thing you don't wanna rush.
First of all, the T's and C's of these joint ventures are also a negotiation. You want to get the best deal because you wanna have a construction which is legally binding, which is to the best of both companies. Yes, there are some elements, where at the end of the day, you wanna get the best deal out of it. So do these joint venture partners, okay? These negotiations are going on because we just wanna achieve the maximum, for Titomic. At the same time, we wanna achieve a win-win situation for the joint venture overall going forward. It's always in these three phases, but I can tell you, we are at, pretty close, on a few in the design phase, and we have already made steps forward to go into the assembly phase.
As I said to you, this is nothing which has started now. This started already one and a half years ago, and you're gonna see, you can expect, something closing in the weeks ahead. Now, the logos up here, that list is growing bigger every other day, okay? I'm very proud of it. What you can see here is, there is a lot of logos coming on top of it. It doesn't fit anymore on the scale. You're gonna see a very big names out there if you think about the aerospace world and Boeing. You know, we are talking with Ascent Aerospace, Lockheed Martin and some others. Same on the defense world.
The most prominent and most engaged partner at this point in time with us is Repkon, which I will comment at a certain stage later on. Then when it comes to TWI as a research institute, you know, this is the company which has given us the first machine order which we are building right now, okay? Which we are completing in the weeks ahead, and which is supposed to get to go operational in May timeframe in the U.K. Now, we wanna take our technology to the world, okay?
Part of the strategy which I outlined is, and which we are following right now from the very beginning, is where I said, "Hey, while we are a Australian company which has an important foothold and its roots in Australia, we definitely need to get closer to where our large customers are in the world." Okay? This is without a doubt, the United States of America, and this is Europe. Very important element of our strategy to create a strong foothold was get engaged so that we have a foothold in the U.S. and in Europe. I'm very glad that I can report out to you that both of that one has completed. We've completed the acquisition of Tri-D Dynamics in the U.S. in July already last year, at the very beginning of my start at the leadership of Titomic.
We closed out on the acquisition of Dycomet in Europe, which has now become Titomic Europe. Both are bringing significant value add to us. Even so that, for example, Dycomet is bringing us additional revenue, an existing customer installed base, and a machine portfolio, which is very complementary, as you could see before with the machine, which is at the AusRAIL exhibition right now, to what Titomic already had. Dycomet is already also involved in the completion of the TKF 1000 machine, which goes to the U.K. Because this is something which we rearranged given the supply chain challenges out of Australia and the length of the supply chain. This really works out well.
A key strategy, getting a foothold in the U.S. and in Europe, has been completed in the last six months, and we are seeing the benefits already, coming through. Now, with that one, I would like to stop here on the strategic outlook once again before going to the operational highlights. I would like to hand over now to Jon , that he gives you an update on the financials of the first half of fiscal year 2022. Jon?
Good morning, everyone, and thank you very much, Herbert. As Herbert has mentioned, the momentum from our updated business strategy is certainly increasing, and it's already reflected in some of the financial numbers. With revenue increased to AUD 2.3 million in this half year, as compared to a lot smaller number. We've increased 479% on the prior period. Now, the key element of that I'd like to focus on is the customer revenue. Revenue from actual customer contracts is at AUD 647,000, which is a 194% increase on the same period last year. As well as that, there's AUD 1.7 million, which is made up of government grants and other revenue adjustments.
Moving to the operating loss, we are still in a loss position, but it's better than last year. On an operating basis, we're showing a 10% improvement on last year's numbers. We're controlling our costs and gradually seeing some benefit coming through from the increased revenue. Last year was an AUD 7 million loss. This year, we've got an AUD 6.2 million loss. It's reflecting those improvements, primarily through acquisitions, but also some improvement in revenues as well. The overall reported net loss of AUD 7.5 million is due to the recognition of future acquisition costs related to one of our acquisitions, and that amount is AUD 1.3 million.
Turning to the cash flow now. The company is funded well to execute its future growth strategy. We've got AUD 13.8 million in reserves in cash at the moment, and that follows completion of the AUD 9.9 million successful capital raise through a share placement and a share purchase plan, and a AUD 2.5 million strategic investment from Repkon. The key elements in some of the cash movements were a AUD 4.5 million outflow from operations. Investing cash outflows of AUD 1.1 million, again, primarily related to acquisitions. Noting that we also are retaining about AUD 1.5 million in deferred consideration as a non-current provision related to acquisitions.
A quick look down there at the statement of financial position. We've got a clean balance sheet. We're not retaining any debt at all, and we've got adequate funding for future activities. Overall, a healthy position considering where we're at in the state of the business with its startup at the moment. I'd like to hand over to Herbert now for an update on the operational review.
Back to myself. Thank you very much, Jon. Now, you know, as mentioned at the outset, this half has seen us evolve the business model and create multiple revenue streams while we are focusing on a few selected application and use cases. Okay? Most of them are certainly in aerospace and defense. From the key operational achievements, let me start on the upper left here. Okay? It's the strategic investment from Repkon, which was great to see that a customer who we have been engaged with for a while, who believes in the technology, who sees the applicability also for their own business and manufacturing business, and has taken the opportunity to invest AUD 2.5 million into Titomic.
Okay, at this point in time, we are in the negotiations together with Repkon on the creation of a joint venture, and you will see further announcements in the future, or when it is ready. It's important that whenever I give this outlook, and whenever we talk about specific achievements, that we have achieved material things. Okay. I'm not speculating. I'm not giving you an outlook, maybe. I'm telling you the facts of what we have achieved here. At the same time, we also have, and you could see that in the last one, we have completed the strategic acquisitions, both in the U.S. as well as also in Europe with Titomic Europe, which is now Titomic Europe. I share with you some more details about that acquisition in a minute.
We are completing the building of the TKF 1000 machine for TWI in the U.K., which will give us a very nice entry in this market as TWI as a research institute is gonna help us, first of all, not only to promote cold spray as a technology, but they're also gonna help us make cold spray known to customers like Rolls-Royce, like Airbus, like others in the U.K., as they have a membership in place where a lot of customers are looking at them and what they are doing and which technologies they are using. This is gonna be a huge step forward. At the same time, I can tell you we signed up a heads of agreement with Triton Systems.
From the very beginning, it was a very difficult situation because Triton Systems per se is involved in a lot of work with the U.S. customers, and a lot of that work also has been export or is export-controlled. That's per se a difficulty if you act, trying to act and engage with them as an Australian company if you do not have a foothold in the U.S. With Titomic USA being created last year and starting to become operational with the employees we have there, we can engage now with Triton. We can discuss export-controlled work, and we are building right now the manufacturing capabilities in the U.S. for the U.S. Last but not least, the overall Modern Manufacturing Initiative Grant, which we got from the Australian government with AUD 2.3 million earlier this year, is also helping us a lot. Okay?
One of the key topics of that manufacturing grant is to talk about, quote-unquote, "green titanium." Specific applications which can be used to commercialize space vehicles and as space is commercializing as we speak in parallel to what we are doing at Titomic. The outlook is awesome, and that also got us engaged with Boeing, who is very much engaged in this space too. Now, let me share a few thoughts about, and a few details about, Titomic Europe B.V., the company we acquired and where the acquisition was closed in beginning of December. Now, Titomic, as I said to you, gives us an immediate entry into the European market and they're also complementing the product portfolio of Titomic. Okay?
While Titomic traditionally has been focusing on the high-end side of the machinery, on the hard metals like titanium and Invar and Inconel and some steels, Dycomet has developed applications and machinery on the softer materials on the lower-pressure cold spray technology. They have existing customers with Rolls-Royce, Mercedes, Siemens, and many more customers, and they also have an existing installed revenue base, which is already giving us an advantage. Even so, as you can imagine, as we close the acquisition in December, the roll-in revenue is only one month in our numbers right now coming from Dycomet, but we definitely and I can show this in the months ahead and will give us a solid foundation of revenue.
On the product portfolio, they also have a specific application and use case with customer in the manufacturing world of glass, and we are talking with them to expand this to other application and use sites. Culturally and operationally, we've spent a lot of time over the last three months to align. You know, we have regular engagement processes to exchange the know-how of the engineering team here in Melbourne and the engineering team they have in Holland, which is bearing already a lot of fruit. We are learning a lot from each other, and we are using already one of their machines, as you saw on the picture on slide number 10, for the AusRAIL exhibition here in Sydney right now. Now, this completes the formal presentation. Adrian, I'd like to hand back to you and I'm available. We can open up for questions. Thank you.
Thanks, Herbert. Thanks for your presentation. Not unexpectedly, we have a number of questions.
Yeah.
Let me find the first one. It's actually there are three questions, so hopefully it's pretty simple to give answers to these. From a long-term investor, do you expect more capital raisings in the future six to 12 months? When do you expect revenue from the Boeing projects? Any update on composite technology?
Yeah. Let me just note them down because actually these were three questions. Capital raises, Boeing and composite technology. Okay. Let me start with the capital raise process first. Now, you know, we are in the situation as Titomic, where at this point in time, as you could see from the financial update, we are still not cash flow positive. Okay. That's a reality. Like with many other startup companies, we're in the situation. While nothing has been decided right now, it's for a capital raise later this year. Second question on the Boeing business as such. You know, the engagement with Boeing is one out of many. Okay. It's an important one. There are multiple conversations happening with Boeing right now.
As I said before, Boeing is highly interested also on this quote-unquote, "green titanium," solutions, and this is something which we are working on and where we're intensively engaged as part of the Modern Manufacturing Initiative grant. Okay. There is nothing specifically I can disclose, but the collaboration with Boeing is going into both directions. On one side, on the manufacturing of specific parts they need in our Melbourne office and also elsewhere. At the same time, there's also conversations going on potentially about a machine sale, but this is future projects, and there isn't anything else I can disclose at this point in time. Important, though, to say is that Boeing is just one out of many. You know. There is a couple of other providers in the defense market in the U.S.
Unfortunately, I can't disclose at this point in time, given that it's export-controlled, where our team in the U.S. is working on and which will see an opportunity for revenue as soon as the operational capabilities in the U.S. are up and running, so in Europe. On the last question on the composite, nothing has changed on to what I have said already in the past. Titomic and composite, we continue to work on developing the commercial relationship. We have developed testing plans on the materials to be used for this specific defense part, which was part of the agreement. At this point in time, we are doing extensive testing. The truth is also that COVID obviously wasn't helpful in the engagement overall.
Despite COVID, despite some supply chain challenges around the materials, which are related to this project, we are investigating also other solutions which, potentially are going into oil and gas industry. That's the latest and greatest, I can share at this point in time, regarding composite.
Thanks, Herbert. Next question. What is the delivery schedule for the new AUD 2.4 million contract, which was referred to in the highlights slide?
The AUD 2.4 million, if you go into further details, would be a breakdown of operational revenue where we have confirmed orders for customers for parts, but it's also mainly the TWI machine, which we have sold earlier. The revenue you saw so far is completely aside from the big revenue which is gonna come, going forward from the TWI machine, which is planned for later this fiscal year.
Okay, thanks, Herbert. Next question. What stage are you at with plans for a powder plant here in Australia?
Yeah, sorry that I gave it a smile right now. It's because we're having quite intensive conversations overall, okay? The situation with the powder plant has become more actual with the geopolitical situation right now than ever before, okay? We all have to understand that a powder plant as such is a solution which I would say the whole world is looking for, because at this point in time, as you may know, the majority of the powder which is produced, titanium powder specifically, in this world is coming either from Russia or from China. From a geopolitical situation overall, not really two locations which are preferred, get preferred treatment in the world right now.
At the same time, we also know that Australia sits on the largest, I think mineral sands on titanium, for example, in terms of raw materials as a resource in the world. Now, that's a great combination as such. The only point is that if we go for a powder plant, and we have made the plans, and we also have the financials behind, at this point in time, it isn't part of the financial envelope and the scale we have, okay? This is something which you're gonna hear from myself in the weeks ahead on what we wanna do here, because it has two elements. One, it's a very big investment which is on and beyond the scale we can afford right now.
Even so, strategically, it's very important for us going forward. Second, if you have a powder plant, you also need to make sure that the powder which is then produced by that plant is consumed elsewhere, okay? You need to find the right timing and the right balance between the two, the amount of powder you produce in your own powder plant and when you go out there and produce enough parts so that you consume the production capacity which you have in the powder plant. It's a balance system, but it's more important than ever, and you're gonna hear more conversations from my side with you as investors of what we wanna do here. Strategically, it's very clear. Having an independent powder supply in the for the future is an important element of our strategy. It's actually an important element for anyone in the world who consumes titanium powder.
Thanks, Herbert. Very full answer. If you're just sticking to the similar theme, and it might be better for this question to be asked with respect to geopolitical risks. What does the Russia-Ukraine war mean for Titomic? You know, will it change any defense-oriented work?
First of all, I think the story which is happening right now is a human tragedy on its own, and it's not on me to comment on that one. What we are seeing already are some challenges in supply chains, okay? Even so, we have been proactive, and made sure that we are sufficiently stocked on certain powders which we need for our production right now. The impact we see is that supply chains are getting longer. Supply chains are getting disrupted.
At the same time, also, we are checking right now to what extent we are using, for example, components in our machinery, and this relates more so to Dycomet than to Titomic originally, which are coming potentially all from either China or from Russia, specifically. The work which we are undertaking right now is also doing a complete reverse engineering on the machinery which we inherited from Dycomet, so that we are becoming independent of these two key regions in the world, as it is foreseeable that the situation will not ease going forward. We clearly strive for independence, but short term, there could be one or the other timing challenge imposed on us coming A from supply chain or B coming potentially from components which will not be immediately available before we are finding alternative sources.
Thanks, Herbert. Next question with respect to Triton. What applications are involved with the Triton agreements in the U.S., and what are the next steps for leveraging this agreement?
First of all, you need to be clear on that one. The primary goal of going with that acquisition was to have a foothold in the U.S., okay? I would say mission achieved from that perspective. The second big goal is that we can engage with customers in the U.S. based on the team we have now in the U.S. Even it was so that in the last six months, to give you an idea, this team also helped Titomic to overcome some of the challenges we had around COVID, okay? Because there were several trade shows in the U.S. There was a trade show like Formnext in November in Europe. At that point in time, nobody from Australia could attend these trade shows because of the COVID regulations and the lockdowns we had in Australia.
This team stepped up and stepped in and helped us to participate in these trade shows, generating leads, and customer interest for Titomic, while otherwise we couldn't have done so. Okay, the specific use cases and applications is the entire portfolio we have as Titomic. Okay? It wasn't so that we went for Tri-D Dynamics in the past for a specific use case. Yes, we have one with these intelligent pipes, which we are working and continue to work with a big manufacturer in Japan, for which they have originally designed that solution. That's ongoing, okay, and that's completing, and we are discussing here the next level of agreement with these guys.
The Titomic, the U.S. guys now immediately took on all the solution, the entire portfolio, which we have as Titomic. On top of it now what we get in from Dycomet and presenting this day in, day out to U.S. customers. Okay? Contrary to the situation which we had before, where we only could engage a couple of hours a day with the U.S. customers, we now have a full day. Okay?
Technically, even as we had a great board meeting recently, and I was personally in the U.S. three weeks ago, it's just great to see the level of engagement and the amount of customer engagements we have now because we also handed over basically from the Australian team to our U.S. team, the customer engagement, you know, answering their questions, doing the presentations out there, and it's really starting very, very nice. It's given us big progress with some of the potential joint venture partners there, also in the tooling world, and we are making great progress here.
Thanks, Herbert. A couple of questions on Dycomet. Are we getting traction from local or Euro prospects on the combined offer from Dycomet Titomic JV? And also, as part of the acquisition, is it expected that a TKF machine will be built at the Titomic Europe facility?
Yeah. Actually, that's happening already. You know? Not necessarily as original thought for the TWI machine was that we assemble here in Melbourne, we put it on a ship, on a cargo, and then get it, unpacked, in the U.K., installed and commissioned by the customer, later this fiscal year. Now, the reality is that supply chain disruptions has forced us to come up with a plan B. Plan B is that we're having now a mix, of the assembly and on the installation activities. Some of them still happens right now here in Melbourne. We are closing out on that one. That thing is gonna go on a boat anytime soon. Will be then completed in Holland, and also the installation overall in the U.K. will be performed by engineers from Dycomet and out of Australia. Okay?
A kind of a routing we couldn't have done in the past because we simply would have seen the situation that we would have been late in the installation and potentially being delayed also in the commissioning of the machine by many, many months. Now, the ability which Dycomet brings in now, because we have people there who really understand cold spray, because of the facility they have in Holland, because of the supply chain they have in Holland, we are coming up with a solution which is very beneficial also for TWI as a customer. For example, we are making immediate improvements on cabinets because they have a great supplier there in Holland. We have one in Australia. It's a great combination of both worlds.
From the machine and the solution perspective overall, it's extremely well complementing what we have already at Titomic. Okay? For them, they're learning from us on all the applications on the hard metals, dealing with titanium, dealing with Inconel, dealing with Invar on the tooling side of the house, something which they haven't done in the past and where they're gonna build also a TKF 1000 system in Holland for their own use. At the same time, in Australia, we are learning a lot about their low-pressure system, which they have developed over time, and which becomes available to them and to us now also in Australia. Like, for example, at the exhibition, which happens just this week.
Thanks, Herbert. Next question goes to slide seven. I think that's the one that has the industrialization index against-
Yeah.
Against the technology maturity index. Referring to that chart, what's changed in these sectors, and why are customers only getting that CSAM is a good option now? Is it to do with supply chains or education or something else?
It's an interesting aspect, okay? We may look at it in the bigger scheme of additive manufacturing, because there is a lot of disputes out in the industry: is additive manufacturing 3D printing a successful business as such? I know there are still investors out there who believe it's still not the case. It's still an immature industry overall. To a certain extent, that's correct. Okay? You need to think about it. You know, the first 3D printer developed by Chuck Hull, who is with 3D Systems, my previous company, was developed by him in 1984. Because we always need to understand is that whenever additive manufacturing makes inroads into a manufacturing customer, that's a big change project, actually.
It's more so that convincing somebody about the technology. I think that's what we tried to do for a long period of time, and we get excited about the technology. Unless we can find the commercial benefit of that solution, it's not gonna making its inroads. Okay? Today we have we are changing. We are progressing on our way to highlight basically the technical features and benefits, which is one thing, but at the same time we are gaining experience, and we are getting much better now to find the commercial articulation of the solution. Okay? We are finding the commercial benefits. Why is it that the customers can take the solution and this tool in their toolbox? This is a process. This is a process.
Still, the 3D printing industry is it now $15 billion or $20 billion, whatever the latest numbers from Wohlers Report are saying. You know, manufacturing industry is $12 trillion. Okay, so is this immature versus the manufacturing industry? Absolutely. But at the same time, I can tell you for a laser bed, powder bed fusion technology, which is basically one of the first technologies which was developed 10, 15 years ago in the metal side of the house, there are specific use cases where there is literally dozens of machines working day in, day out, producing metal parts out of it. Okay? There is. If you go to Ireland and you go to Johnson & Johnson or 3D Systems in Colorado, they have literally dozens of machines which are producing specific parts. So, us creating these capabilities and this capacity is an absolutely necessity going forward.
Because if one comes to you and saying, "Hey, can you produce that part for me?" That's one question. If the same customer comes to you and says, "Can you produce 1,000 of these parts for me in the next six months?" It's another question. Okay? This is what we are working right now to find that solution in the sense that first we prove that we can do one part, and then immediately the next question is, how can we build capacity to scale production for literally hundreds of products the customers may need.
Thanks, Herbert. Final question here. You mentioned the diversification of revenue streams. Can you give us a sense of the transition away from machine sales and consumables to partnerships and JVs, and what's the ideal revenue split?
A good one. First of all, just to be clear on that one, I don't want to transition away from these two things. We want to create it on top of it, okay? To articulate our commercial strategy, once again, is we continue to drive machine sales as such, because machine sales at this point in time is going to help us to promote the technology as such, give us nice revenue streams by the selling of the machines, and also nice revenue streams which come in consequence of these machine installations, which means powder consumption, service and maintenance, and the potential for us to consult the customer on the specific geometries of the parts. This is something we want to continue, we want to grow. Okay?
On top of it, while this usually machine sales are related to one-off customers. One-off customers, by any means, I don't wanna mean this in a negative way. These are customers which have a need for one machine or maybe two going forward, like TWI. What we also wanna go into it are customers where we're going into a joint venture which are using these machines on an ongoing production and manufacturing capability. Think about that we have the ability to produce barrels, and that's actually the specific use case we are engaged with Repkon. Repkon would produce barrels every day, 360 times a year. Okay? Do they use a machine at the first run? Absolutely. Would they use more than one machine in the future? Yes. We wanna build on top of it, these use cases and these joint ventures with these partners.
The same on the tooling side with Nèos, the same on radiation shields and some other stuff we are working on right now. As I said to you, I really wanna come back, and I'm more than happy to share out to you in the weeks ahead. We have down selected these many use cases, and there are literally hundreds. We have done the exercise and are gonna come back to you in the weeks ahead.
Herbert, we just have one late question just popped in.
Yeah.
If you've got time for this one. Simply, how is the door you supplied to the Royal Australian Navy testing going?
That's. You know, interesting enough, I give it a laugh right now just because this was the first project which I was engaged with. Okay? In reality, it was picked up, I think two or two and a half years ago, if I got it right. John can correct me on that one. It's a project long ago, which has started. The story somehow was put a little bit to sleep over many months because the initial interest by the Navy wasn't that big. At the end of the day, it's a combination of a couple of application and use cases which we are warming up right now again.
Actually, we started the engagement with the Navy again on that topic because it's the combination of you could say so a metal door and on the back of the door, we are putting a kind of an isogrid. Okay? An isogrid are stiffening structures established in the industry. That's very important because they have the best ratio between weight and stiffness. The ability to produce an isogrid on something which is curved like a door is something which we're having a lot of focus recently. The same thing applies to airplane doors; the same thing would apply to stiffening structures on missiles. The same thing would apply to any kind of stiffening structures in pipes in the oil and gas industry. Okay?
What we are experiencing and what we are seeing and where we are getting a lot better in understanding how can we apply the same learning which we have on a door in a ship to a door in a plane, to a pipe in the oil and gas industry, because at the end of the day, we are talking isogrids. Again, isogrid specifically is one of the solutions which is among the focus areas we look at right now. Work in progress has gone down. It's coming up now, and it's very actual on the engagement with the Navy on that path.
Thanks, Herbert. We've exhausted the group, so let me hand back to you for some closing remarks.
Yeah. You know, I really would like to start to thank you first of having spent the time today with us. As you saw in the things we have reported out to you is we are making progress. Okay? Is it fast enough? Never. I think, there's many things that we gonna further improve, and we are working. The only thing what I would like to leave you with is the strategy which we have developed, okay? To go for these distinct revenue streams, A. B, to have a global foothold in place. C, also, to be clear and to narrow our work on a few use cases and applications as is really working. We are seeing the first fruits already coming back. The one thing is, we continue on that path. Okay?
We have a stronger than ever our team in place. Okay, the engineering teams with the people coming in with Tri-D Dynamics in the U.S., the team in Holland, the team here in Melbourne. These are real experts. Okay. Going forward, you're gonna see a couple of more announcements in regard to our repair services and what we can do here to simply repair surface on metal components. Is this around the surface of a ship? Is this around the surface of an airplane? Is this around simply the surface of any machinery which is built out of metal in oil and gas or in the mining industry? Okay?
Sometimes very small things like the repair of aluminum frames, which we are doing right now, for example, a transportation company here in Melbourne. The strategy is working, and I look forward to work with you and to share out to you in the future about all these cases. As we progress on the business, I'll look forward to a successful next meeting. Thank you very much. Thanks for joining.