18th Jul 2024 20:46
Qinetiq Group PLC - Farnborough, Hampshire-based defence technology company - Provides trading update for first quarter ended June 30. Trades in line with annual guidance. Says on track to deliver "high single digit organic revenue growth at stable margin with good cash conversion". Notes good order intake performance as revenue under contract for full year up to 73% from 64% in April. Notes contract for its light-applique armour systems technology with US future long range assault aircraft programme. Says tethered aerostat radar system has grown company contract value 10% and wins two further framework contracts with US national security customers. Adds GBP100 million repurchase programme on track with GBP32 million worth of shares bought back in first quarter. Further, says Martin Cooper will assume role of chief finance officer at the start of September.
Chief Executive Steve Wadey said: "I am pleased that we have delivered a good start to the year, with performance for the first quarter in line with our expectations and attractive shareholder returns. The relevance and demand for our services and products remains high in the elevated threat environment, as we continue to focus on consistent operational delivery for our customers and disciplined capital allocation. These three factors underpin our confidence in delivering our [2027] target of c. [GBP2.4 billion] of organic revenue at c.12% margin and compelling value for our shareholders."
Current share price: 473.20 pence, closed up 2.0% in London on Thursday
12-month change: up 38%
By Aidan Lane, Alliance News reporter
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