25th Nov 2015 08:39
LONDON (Alliance News) - Chemring Group PLC on Wednesday said its full-year results will meet its guidance and said it has acquired new countermeasures assets.
Chemring said its revenue for the final quarter of its financial year to the end of October was GBP124.0 million, leaving its revenue for the year at around GBP377.0 million, down from GBP403.1 million a year earlier.
The company makes countermeasures such as flares and decoys that military aircraft use against missile attack, as well as sensors and electronics used in military vehicles. It said in October that revenue expected to be booked this year from a 40mm ammunition order in the Middle East had been delayed into the recently-started new financial year.
Its order book at the end of the financial year was GBP570.0 million, up from GBP486.8 million a year earlier.
Chemring also said it has reached an agreement with Esterline Corp, the US-based aerospace and defence company, to acquire patents, equipment, stock and selected contracts related to Esterline's Wallop Defence Systems subsidiary in the UK for GBP2.5 million in cash initially.
The consideration for the assets could rise to GBP11.5 million over the next three years, based on the receipt of specific orders.
Shares in Chemring were down 0.4% to 184.00 pence on Wednesday.
By Sam Unsted; [email protected]; @SamUAtAlliance
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