Filtronic (FTC) H2 2026 earnings summary

Executive summary

• Achieved revenue of £55.5m for FY2026, broadly in line with prior year despite FX headwinds and non-cash share warrant charges.

• Adjusted EBITDA reached £11.3m, exceeding expectations, with a margin of 20%.

• Expanded strategic relationship with SpaceX via a $62.5m GaN E-band programme and secured new US satellite customers.

• Entered FY2027 with approximately 90% of revenue already covered by backlog, reflecting strong order book and multi-year programme visibility.

• Transitioned from bespoke engineering to high-volume, standard products and systems, improving scalability and revenue quality.

Financial highlights

• Group revenue was £55.5m (FY2025: £56.3m), with underlying revenue growth of 8% after adjusting for FX and share warrant impacts.

• Space market revenue was £42.1m, with 193% growth from non-SpaceX customers.

• Aerospace & defence revenue grew 136% to £5.9m; communications revenue increased 28%.

• Adjusted EBITDA was £11.3m (FY2025: £17.0m), reflecting margin impact from targeted pricing and investment.

• Operating profit was £4.0m (FY2025: £13.4m), impacted by increased COGS and operating costs.

Outlook and guidance

• Over 90% of FY2027 revenue is already in backlog, with growth expected to accelerate in H2 as GaN E-band production ramps.

• Consensus market expectation for FY2027 revenue is ~£63m, with 20%+ adjusted EBITDA margins targeted.

• Product roadmap advancing into higher-value RF opportunities, with new facility supporting >£200m revenue capacity.