23rd Jun 2025 13:29
(Alliance News) - Petards Group PLC on Monday said its loss widened in 2024 despite revenue growth, but it expects a stronger trading performance in 2025 on the back of a higher order book and contribution from its new acquisition.
The Guildford, England-based security, communication and surveillance systems developer posted a pretax loss of GBP1.4 million for the year ended December 31, widening from GBP1.2 million the year before.
Loss after tax was GBP1.1 million, broadly unchanged from 2023. Basic and diluted loss per share increased slightly to 1.91 pence from 1.86p.
Revenue rose 28% to GBP12.0 million from GBP9.4 million, supported by a full-year contribution from traffic enforcement systems and a six-month contribution from Affini Technology Ltd, which Petards acquired for GBP2.85 million in June. Adjusted earnings before interest, tax, depreciation, and amortisation rose to GBP410,000 from GBP340,000.
Affini is a West Drayton, London-based systems integrator that provides critical communications infrastructure and services to sectors including transport, defence, and energy. The company said Affini generated recurring revenue equivalent to around 50% of its sales.
Gross margin declined to 45% from 51%, which Petards attributed to the integration of Affini, whose margins are lower than its existing operations. Net debt stood at GBP1.5 million at year-end, compared with net funds of GBP1.2 million a year earlier, following the Affini cash acquisition.
Petards said 2025 has started positively, with trading in the first five months in line with budget and expected to be "well ahead" of the same period in 2024. The opening order book stood at GBP7.1 million, up from GBP2.4 million the year before, with around 75% of 2025 revenue now covered by existing orders.
Chair Raschid Abdullah said the board expects an "improved trading performance" for the year ahead, supported by Affini's full-year contribution and a strong pipeline, despite continued delays in the placement of new orders in the rail and defence sectors.
Shares in Petards were down 4.0% at 7.80 pence in London on Monday afternoon.
By Eva Castanedo, Alliance News reporter
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