Strip Tinning secures D phase order for Zoox Robotaxi battery connectors
Strip Tinning Holdings has landed the purchase order for the D phase of its battery system connector on the Zoox Robotaxi programme. Parts will be delivered in Q4 2025 and Q1 2026, with serial production at Strip Tinning scheduled to start in April 2026.
The company notes this Cell Contact System (CCS) nomination for the Robotaxi battery modules is the largest of its three major project wins. Alongside a solid trading comment and a £269k R&D tax credit now received, this is a meaningful milestone on a programme management teams have called transformational.
What exactly has been ordered?
The purchase order covers Strip Tinning’s battery system connector for the D phase of the Zoox Robotaxi project. In automotive development, the D phase is the final pre-production stage, where parts are produced to near-serial standards for final validation and build readiness before mass manufacture.
The CCS is the electrical interface within a battery module that connects and monitors individual cells. It is critical kit for battery performance and safety. While the order value is not disclosed, management states this Robotaxi CCS nomination is the largest among its three major nominations.
Why this D phase matters for investors
- Final step before production: D phase is the last stop before serial production, which Strip Tinning plans to start in April 2026. Hitting this order on time is essential to lock in the production ramp.
- Largest nomination: Being the biggest of the three major wins suggests this programme could be the most influential for future revenue mix, even though exact figures are not disclosed.
- Validation of capability: Securing D phase parts shows the customer is progressing Strip Tinning’s design through to the finish line. That de-risks the transition from development to manufacturing.
- Alignment with a growth area: Robotaxis are flagged by management as a growth segment. Participation at the battery module level embeds Strip Tinning in the core electrification stack.
Key dates and milestones for the Zoox Robotaxi CCS
| Milestone | Detail | Timing |
|---|---|---|
| D phase purchase order | Battery system connector for Robotaxi CCS | Announced 20 October 2025 |
| Part deliveries | D phase components shipped to customer | Q4 2025 and Q1 2026 |
| Serial production start | Strip Tinning SOP for Robotaxi CCS | April 2026 |
| Relative scale | Largest of three major nominations | Stated by company |
Trading outlook: headwinds acknowledged, guidance reaffirmed
Management reiterates that 2025 trading has faced headwinds, including US tariffs and supply restrictions. Despite this, with Q3 complete the Board remains very confident in achieving current market expectations.
Strip Tinning cites market expectations for the year to 31 December 2025 of revenue of £8.5m and Adjusted EBITDA of (£0.9m) (Source: FactSet). That implies a negative EBITDA for 2025, consistent with a business still in the investment and programme-launch phase ahead of a planned 2026 production ramp.
On cash, the company confirms HMRC has accepted and paid its 2023 R&D tax credit claim of £269k. R&D tax credits are a UK scheme that reimburses a portion of eligible development spend, providing a helpful cash inflow while programmes progress through validation.
How I read the numbers
- Revenue expectations of £8.5m and Adjusted EBITDA of (£0.9m) set a modest base for 2025, before any benefit from serial production that starts in April 2026.
- The D phase order underpins the transition from development to manufacturing on the largest nomination, which is the crucial driver for improving utilisation and margins in 2026 and beyond.
- The £269k R&D tax credit is small in absolute terms but timely for working capital as parts are built and shipped through D phase.
Risks and watch-outs
- Tariffs and supply constraints: The company has flagged US tariffs and supply restrictions in 2025. These could continue to affect costs, lead times or customer schedules.
- Programme timing: D phase is the last hurdle, but serial production relies on both Strip Tinning and its customer meeting quality and timing targets. Slippage would push revenue recognition.
- Execution at scale: Moving from prototype and pre-production to serial manufacture demands consistent quality and yield. This is where operational discipline matters most.
- Customer concentration: The Robotaxi CCS is the largest nomination, which is positive for growth but increases dependency on a single programme’s success.
What to look for next
- On-time D phase deliveries across Q4 2025 and Q1 2026.
- Confirmation of April 2026 serial production start and any volume guidance, if disclosed.
- Updates on the other two major nominations won in 2024, including their phase progression and production timing.
- Margin and cash commentary as the company bridges from negative 2025 EBITDA to post-launch economics.
My take: a constructive step on a transformational programme
This update does what investors needed: it confirms the D phase purchase order on the company’s largest nomination, puts concrete dates on deliveries, and keeps April 2026 as the serial production start. That is exactly the cadence you want to see on a critical programme.
Set against ongoing tariff and supply headwinds and a guided 2025 Adjusted EBITDA of (£0.9m), the investment case is still about 2026 execution. If Strip Tinning hits its D phase and SOP milestones, the move to serial volumes on its biggest award should be the turning point for scale and margins. Until then, it remains a story of disciplined delivery and careful cash management, with the £269k R&D tax credit a small but welcome boost.
Net-net, I see this as a positive, milestone-rich update that supports the path to production in 2026, while keeping a realistic lens on 2025 headwinds. The next proof point is simple: ship D phase parts on time, then switch the line to serial in April.
