Filtronic (LSE:FTC) reported revenue of £55.50 million for the 2026 financial year, slightly below the £56.15 million consensus forecast from four analysts. Revenue also edged lower compared with the previous year, reflecting the impact of accounting charges and adverse currency movements.
Growth Investment Affects Profitability
Adjusted EBITDA for the year was £11.30 million, while net profit came in at £4.60 million. Both figures declined from the prior year as the company continued to invest in expanding its engineering capabilities, manufacturing capacity and business development activities. Earnings per share for the year were £0.02.
A key factor behind the lower revenue was a £2.2 million increase in amortisation charges linked to the SpaceX share warrant agreement. In addition, the weaker U.S. dollar reduced the value of dollar-denominated sales, creating a further £2.0 million year-on-year foreign exchange headwind.
Operating costs increased by 19% during the year as Filtronic accelerated investment to support future growth. Earnings before interest and tax totalled £4 million, while profit before tax reached £3.80 million.
Strong Order Book Supports 2027 Outlook
Filtronic entered the 2027 financial year with an order book covering approximately 90% of its anticipated annual revenue, providing good visibility for the year ahead.
Management expects trading to be weighted towards the second half of fiscal 2027 as production of its gallium nitride technology increases. Despite the timing of deliveries, the company said it expects full-year results to be in line with current market expectations.
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