Qinetiq on track to meet FY guidance following 'good' Q1 performance

18th Jul 2024 09:02

(Sharecast News) - Defence technology company Qinetiq said on Thursday that it was on track to meet full-year expectations following a "good" Q1 operational performance.

Qinetiq said it was on track to deliver high single-digit organic revenue growth at stable margins and with good cash conversion, in line with its FY25 guidance.

Order intake performance was good, with revenue under contract for the full year increasing to 73%, up from 64% in April 2024.

Qinetiq also noted that as part of its continued focus on disciplined capital allocation, its £100.0m share buyback programme was on-track to be completed in the financial year, with £32.0m shares purchased by the end of Q1.

Chief executive Steve Wadey said: "The relevance and demand for our services and products remains high in the elevated threat environment, as we continue to focus on consistent operational delivery for our customers and disciplined capital allocation. These three factors underpin our confidence in delivering our FY27 target of circa £2.4bn of organic revenue at circa 12% margin and compelling value for our shareholders."

As of 0900 BST, Qinetiq shares were up 1.47% at 470.60p.

Reporting by Iain Gilbert at Sharecast.com