LONDON (ShareCast) - (Sharecast News) - Cohort reported record revenue, profit and order book for the year ended 30 April on Wednesday, driven by rising global demand for defence technologies and supported by strategic acquisitions.
Revenue rose 33% to £270m, while adjusted operating profit increased 30% to £27.5m.

Adjusted earnings per share climbed 27% to 54.44p, exceeding market expectations.

The AIM-traded defence technology group closed the year with a record order book of £616.4 million, up 19%, underpinned by a broad pipeline of deliveries stretching into the mid-2030s.

Excluding a large £135m Royal Navy order secured in the prior year, underlying order intake rose 11%.

Statutory profit before tax rose 29% to £25.6m.

Despite a 77% drop in net funds to £5.3m following the acquisition of EM Solutions for £75m in January, the board highlighted robust cash generation and a strong balance sheet.

The final dividend was raised 9% to 11.05p, bringing the full-year payout to 16.3p, up 10% year-on-year.

"Cohort has reported another record revenue and profit performance, with robust operating cash generation and a record closing order book stretching out into the mid-2030s," said chairman Nick Prest.

"This gives good visibility for the coming years, and along with our net funds and market position provides a robust foundation for future organic growth as well as the ability to make further strategic additions to the group."

Prest added that EM Solutions had already delivered a positive contribution in its first three months, strengthening the communications and intelligence division.

Looking ahead, Cohort said it saw a favourable outlook as geopolitical tensions drive demand and as the UK Strategic Defence Review creates further opportunities.

The board said adjusted earnings per share for the current year were now likely to come in ahead of previous expectations.

At 1316 BST, shares in Cohort were up 13.38% at 1,746p.

Reporting by Josh White for Sharecast.com.

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