Exostar eyes significant near-term growth

Philadelphia
Source:
This story is sourced from Pro
See more Pro news »

Aerospace e-procurement exchange Exostar this year is on track to grow revenues in excess of 20% as well as boost its already-robust user base, and is forecasting significantly larger figures in the near future.

Over 40,000 customers are currently tied into the Exostar network, while “well over 100,000 users” within those companies use the system, says president and CEO Kevin Lowdermilk in an interview with ATI.

Within the next 12 to 18 months, however, Exostar expects to see growth “that will be at least 50% in the companies leveraging the exchange and more than double the number of users” based conservatively on contracts underway today, he says.

The company’s new “trusted work space”, a network for secure multi-collaboration for aerospace and defence, is driving much of the growth. Exostar’s decision to also direct research & development spending at security applications and adding capabilities for the supply chain have proven popular.

The commercial market now constitutes a significant part of Exostar’s business. “If you look at our customer base, we don’t have a large piece of our business that comes from the airlines themselves, but if you look at the manufacturing base, at least half is coming from the commercial space,” says Lowdermilk.

He adds that “probably better than 50% of our business comes from the commercial side”.

Established in 2000 and owned by BAE Systems, Boeing, Lockheed Martin, Raytheon and Rolls-Royce, Exostar offers customers a suite of online products covering sourcing, collaboration and procurement for buyers and suppliers.

Ownership remains the same, and Exostar has no plans for an initial public offering. “We’re a private company and that’s where we leave it,” says Lowdermilk.