Cranfield Aerospace Solutions discloses fresh losses on back of UAV pivot

But UK-based firm has not updated its progress on Stingray development programme in latest accounts.
Newly released figures from Cranfield Aerospace Solutions (CAeS) show that the UK company endured another year of losses in the 12 months to 29 September 2025, a period that saw it pivot away from the development of a hydrogen fuel cell powertrain to a family of hydrogen-powered uncrewed air vehicles (UAVs).

Officially unveiled at the Dubai air show in November last year, the four-strong blended-wing-body Stingray family ranges from the 5.5m (18ft)-wingspan ST-5 with its up to 55kg (121lb) payload, all the way up to the 18m-wingspan, 2t-payload ST-18.

At the launch, UK-headquartered CAeS said the initial ST-5 demonstrator was supposed to fly in late 2025 or early 2026.

CAeS has not provided an update on the Stingray programme since that point, although in May 2026 it circulated an invitation from chief technology officer Paul Clarke to a flight demonstration event set for early June.

Poor weather ultimately scuppered those initial plans, with the event eventually pushed back to 17 June, which was then itself also cancelled.

But writing to potential attendees on 11 June to notify them that the event had been axed, Clarke did reveal some good news.

“Firstly, let me start with an exciting update, Cranfield Aerospace Solutions have successfully completed the first flight test of the Stingray ST-5 Hydrogen-Electric [uncrewed air system] platform this week.

“We will release a formal press release to be provided in due course.”

Curiously, no press release was ever forthcoming and CAeS does not mention the milestone in its accounts – the latest available — signed off on 11 November this year.

Although the maiden sortie falls outside the 12 months covered by the report, it is not uncommon for companies to draw attention to important post-balance sheet events.

The only reference to the first flight is a single line that states: “The first technology demonstrator is expected to fly in early 2026.”

CAeS did not respond to FlightGlobal’s questions related to the Stingray programme’s status.

Unconventional airframe design

CAeS describes the Stingray as using “unconventional but proven airframe designs” which are “fully optimised” for their intended mission and are “combined with hydrogen fuel cell propulsion developed under Fresson.”

Fresson was a project backed by the UK’s Aerospace Technology Institute that planned to develop a hydrogen fuel powertrain that could be retrofitted onto current aircraft. It planned to demonstrate the system on a modified Britten-Norman BN-2 Islander.

However, the programme ended before the aircraft ever took flight. Nonetheless, CAeS has built on those earlier fuel cell efforts to develop a “modular propulsion system” it calls Genesis.

Although acknowledging that the market for UAVs is already crowded, “it is anticipated the operational performance will exceed anything in the conventional UAV market today,” says CAeS.

The Stingray, it says, “will be a rather unique offering that offers the company [a] first-to-market competitive advantage.”

As such, the development programme “is expected to lead to significant orders over the forthcoming years,” the CAeS directors state.

However, the research and development costs associated with Stingray and Genesis “and the pivot from Fresson” saw CAeS record a net loss of £4.5 million for the period to end-September 2025, marginally worse than the £4.3 million net loss it made in the prior year.

Turnover was up considerably, however, rising to £6.9 million from £1.9 million a year earlier, mainly driven by the performance of the company’s Axsim motorsport simulator business.

Highlights included “an exclusive contract with a premier venue entertainment provider”.

Although this accounted for a significant revenue boost “a new factory had to be set up to deal with the manufacturing output”, necessitating additional capital expenditure.

It also took “early steps” in the period to recommence the aerospace design consultancy services “that had been the foundation of the business prior to Fresson.”

To fund Axsim manufacturing expansion, alongside the broader restructuring and R&D work, CAeS received a £3.5 million loan, via convertible notes, during the period.

“Whilst the company is forecasting profitability in the non-R&D parts of the business, new investment will be required for the development of the Stingray UAVs,” it adds.

As of 29 September 2025, CAeS had £13.4 million in interest-bearing convertible loan notes outstanding.

“The company continues to manage its cashflow carefully to enable the ongoing growth with Axsim and aerospace consultancy, along with the development activities on Stingray.

“The directors believe that [the] strategy pivot, restructuring and re-alignment with core revenue-generating activities, along with the opportunities to be generated from Stingray will allow the company to grow substantially in the coming years,” it states.

Investors in CAeS include the United Arab Emirates’ Strategic Development Fund and Safran Corporate Ventures.

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