Filtronic - Upgrading on stronger H225 expectations

Filtronic’s H125 trading update confirmed that the company expects to report FY25 results ahead of current market expectations. Robust customer demand has resulted in some orders being pulled forward from FY26 into H225. We upgrade our FY25 revenue and profit forecasts, with diluted normalised EPS up 26%, and maintain our FY26 forecasts. This assumes that further orders are received in H225 to replenish the order backlog. Filtronic’s strong position in the space market and growing presence in the aerospace and defence market provide it with multiple sources of growth.