Filtronic PLC has released its year-end trading update for the financial year ending 31 May 2024, indicating that both revenue and earnings before interest, taxation, depreciation, and amortization (adjusted EBITDA) have exceeded market expectations. The company reported a revenue of approximately £25.4m for FY2024, a significant increase from £16.3m in FY2023, and adjusted EBITDA of no less than £4.8m, compared to £1.3m in FY2023. The company's cash at bank on 31 May 2024 was £7.2m, with net cash at £5.2m, reflecting a strong financial position.
The operational highlights include significant scaling of business operations in the second half of the financial year due to strong product demand within the core markets served by Filtronic. The company experienced a surge in demand from the emerging low earth orbit ("LEO") space market, particularly from its lead customer, SpaceX. Filtronic quickly responded to this demand by developing the E-band Cerus 32 solid-state power amplifier ("SSPA") to meet the technical performance requirements for deployment in the ground stations of the Starlink constellation. The company's production ramp has reached ongoing demand needs, and it is investing in manufacturing capabilities to facilitate further growth potential.
Filtronic also achieved success in the aerospace and defense sector with contract wins from BAE, QinetiQ, and DSTL, in addition to demand from its long-established customers. The company is confident about revenue growth in this market and plans to invest in business development, with a focus on expanding opportunities. The CEO, Nat Edington, expressed optimism about the company's future, stating, "We enter the new financial year with a very strong order book, a growing list of customers, including key strategic targets that we have secured in the year, and an opportunity pipeline that continues to grow and mature."
The results for the financial year ended 31 May 2024 will be announced on 30 July 2024. For further information, the company can be contacted at [email protected] or through Cavendish Capital Markets Limited and Walbrook PR Limited.