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Solid State PLC shares fell more than 10% in London on Tuesday after its annual accounts showed profit all but evaporating in its recent financial year, due to revenue from key communications contracts falling the years before and after. Solid State was quoted at 185.65 pence per share, down 11% in London on Tuesday afternoon. The stock is down 37% over the past 12 months. Solid State is a components supplier to industry and defence customers based in Redditch, near Birmingham, England. Pretax profit in the financial year that ended March 31 plunged 98% to £300,000 from £12.2 million, as revenue fell by 23% to £125.1 million from £163.3 million. Solid State said the sharp decline in revenue in financial 2025 reflected the pull forward of revenue into financial 2024, a record year for the company, and the delay of a significant defence contract into financial 2026. ‘The group has demonstrated resilience amidst challenging market conditions, including geopolitical uncertainties and economic headwinds. The results for the reporting period are ultimately impacted by the timing of major contracts, which does not reflect the significant progress made in the business,’ Chair Nigel Rogers says. Solid State said its strong order book gives it confidence of meeting market expectations for financial 2026, returning to growth in revenue and profit. The open order book stood at £101.6 million as of May 31, up 14% from £89.2 million a year before. The company cut its final dividend to 1.67 pence per share from 2.90p, reducing the full-year payout to 2.5p from 4.3p. The year-earlier comparisons are restated to reflect a bonus share issue that Solid State conducted in 2024. Copyright 2025 Alliance News Ltd. All Rights Reserved.
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