BATM Advanced Communications (LSE:BVC), the London and Tel Aviv-listed network infrastructure and cybersecurity group, has received its first order for a tactical encryption platform worth approximately $1.6m.
The order comes from a long-standing customer with which BATM has worked on next-generation cyber capabilities.
BATM delivered a proof-of-concept of the platform during the first half of 2026, which has now converted into an initial supply order due for delivery this year. The platform is hardware-based and designed to be quantum-era-ready, offering military-grade encryption compliant with the highest security standards.
Chief executive Moti Nagar called the order "another example of how our development projects transition to supply agreements", framing it as a significant expansion of the group's cybersecurity offer and its entry into a new market.
He added that the deal reflects BATM's strategy of offering customers a complete encryption solution and said the group looks forward to "delivering this initial order and receiving further contracts in due course".
News Intelligence what this means for the company
BATM has converted a first-half 2026 proof-of-concept into a $1.6m initial supply order for a hardware-based, quantum-ready encryption platform from a long-standing customer. The deal marks BATM's entry into tactical encryption as a commercial revenue stream and validates its strategy of transitioning development projects into supply agreements; CEO Moti Nagar signalled confidence in follow-on contracts. This follows a three-year $1.3m service agreement BATM converted in July 2026 with a major US broadband operator, showing the company is successfully moving from one-off product sales into recurring contractual relationships.
The $1.6m order is material relative to BATM's recent contract wins—equivalent to the full three-year value of the July 2026 broadband service deal—and demonstrates demand for military-grade encryption in a new vertical. However, this is a single initial order; the investment case hinges on whether follow-on contracts materialise as management suggests, and whether the encryption platform can scale beyond this customer.
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