Delivering record profits in challenging times

discoverIE’s FY25 trading update confirmed that it generated record underlying earnings despite a 3% revenue decline. Encouragingly, Q425 orders were 11% higher q-o-q and up 15% y-o-y on an organic basis. Tariffs are not expected to have a material direct impact and, with a track record of protecting profitability during downturns and organic revenue growth at the upper end of its peer group over the cycle, we view the company as well-placed to navigate this uncertainty. Good growth in design wins over the last year provides the foundations for organic revenue growth when customers start to order in line with end demand.