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Qinetiq Group PLC on Thursday said the new financial year has started as expected, as it welcomed the recent UK strategic defence review and NATO summit. The Hampshire, England-based defence technology company said performance in the first quarter to the end of June was as expected after it took a ‘prudent view on the recovery of short cycle order flow’. The company noted that it has started the year with revenue cover of 75%. It is on track with its cost efficiency programme, which the firm said it expects to see benefits from in the second half of the year. Qinetiq said it forecasts between 46% and 48% of revenue in the first half at a margin of around 10%. It left full year expectations unchanged at 3% organic revenue growth, a margin of 11% and earnings per share growth between 15% and 20%. ‘The ambition to accelerate warfighting readiness set out in the UK’s strategic defence review and the recent NATO summit clearly underpin the ongoing relevance of our mission essential capabilities, supporting our confidence in the long-term growth prospects for the group,’ said Chief Executive Officer Steve Wadey ahead of the company’s annual general meeting on Thursday. ‘We closed the first quarter with a record order backlog of £5 billion, providing a strong foundation for long-term sustainable growth. We remain focused on operational delivery and are on-track with our restructuring in the US.’ Qinetiq said a previously announced £1.54 billion extension to its long-term partnering agreement with the UK’s Ministry of Defence ‘is a major milestone for the company and provides a strong platform to put us at the centre of defence innovation in the UK and enabling further international growth’. Shares in Qinetiq were up 2.1% at 495.20 pence in London on Thursday morning. Copyright 2025 Alliance News Ltd. All Rights Reserved.
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