26th Feb 2025 09:59
(Alliance News) - Chemring Group PLC on Wednesday said its order book is at a "record level", as the military equipment maker secured new contracts, and it announced a GBP40 million share buyback.
Its shares were up 4.4% to 390.09 pence in London on Wednesday morning.
Chemring is a Romsey, England-based defence, security and space technology manufacturer. It is holding its annual general meeting on Wednesday.
Its order book stood at GBP1.35 billion as of January 30, up from GBP991 million a year earlier. The company reported order intake of GBP393 million for the first quarter, with "significant orders" secured across both its Sensors & Information and Countermeasures & Energetics sectors.
Chief Executive Michael Ord said: "Our order book is at a record level and order intake across both sectors benefitted from the receipt of several significant orders, demonstrating continued customer demand and confidence in Chemring's market-leading products and services."
Chemring also announced a new share buyback programme worth up to GBP40 million, starting on Wednesday and completing by the time of its annual general meeting in 2027. The company said the capital return reflects the board's confidence in its long-term growth prospects.
Looking ahead, Chemring said its outlook for financial 2025 remains in line with market expectations. The company noted that 81% of its expected revenue for the year is already covered by its first-quarter revenue and existing order book.
Chemring will release its results for the half-year ending April 30 on June 3.
By Eva Castanedo, Alliance News reporter
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