Last checked at 29 Sep 2017 07:00
News release
QinetiQ Group plc
Pre Close Trading Update
29 September 2017
QinetiQ today issues a short trading update before entering its closed period for the half year ending 30 September 2017.
Outlook
Trading has been in line with expectations and the outlook for overall Group performance this financial year is unchanged.
EMEA Services
The EMEA Services division started the year in a strong position. Following stronger order intake in the second quarter, FY18 revenue under contract is as expected at this stage in the financial year. We reiterate our guidance for modest growth in revenue in FY18.
Global Products
The Group's Global Products division has been trading in line with expectations during the first half of the year. As a result of its contracted orders and pipeline of opportunities, as well as the anticipated full year contribution from QinetiQ Target Systems, the division is expected to grow in FY18.
Strategic progress
QinetiQ continues to make progress towards becoming a more customer focused and international company. In both the UK and internationally we are particularly well placed to help customers meet the challenges of increasing capabilities while addressing budgetary concerns, and this is reflected in recent key contract awards.
In our UK home market, as part of our strategy to modernise test and evaluation, we secured:
· | An £8m order from the UK Ministry of Defence (MOD) to provide naval combat systems expertise for Type 26 Global Combat Ship added to the £110m 11-year Naval Combat System Integration Support Services (NCSISS) contract agreed with the MOD this time last year |
· | An order from Boeing, worth approximately £25m, to continue to deliver wind tunnel testing for their commercial aircraft development until 2024 |
In our US and Australian home markets, as part of our strategy to build an international company, we were awarded:
· | A significant order for aircraft launch and recovery equipment for the new class of US Navy aircraft carriers |
· | An AU$8m order to manage mine warfare maintenance facilities at HMAS Waterhen for the Australian Department of Defence |
ENDS
Notes for Editors:
For further information please contact:
David Bishop, Group Director Investor Relations and Communications | +44 (0) 7920 108675 | |
Investor Relations | Ian Brown, Group Head of Investor Relations | +44 (0) 7908 251123 |
Media Relations | QinetiQ press office | +44 (0) 1252 393500 |
QinetiQ's interim results for the half year ending 30 September 2017 will be announced on 16 November 2017.
Listed on the London Stock Exchange (LSE: QQ.L), QinetiQ is a leading science and engineering company operating primarily in the defence, security and aerospace markets. Our customers are predominantly government organisations including defence departments, as well as international customers in other targeted sectors.
· | Visit our website www.QinetiQ.com |
· | Follow us on LinkedIn and Twitter @QinetiQ |
· | Visit our blog www.QinetiQ-blogs.com |
Disclaimer
This document contains certain forward-looking statements relating to the business, strategy, financial performance and results of the Company and/or the industry in which it operates. Actual results, levels of activity, performance, achievements and events are most likely to vary materially from those implied by the forward-looking statements. The forward-looking statements concern future circumstances and results and other statements that are not historical facts, sometimes identified by the words 'believes',' expects', 'predicts', 'intends', 'projects', 'plans', 'estimates', 'aims', 'foresees', 'anticipates', 'targets', 'goals', 'due', 'could', 'may', 'should', 'potential', 'likely' and similar expressions, although these words are not the exclusive means of doing so. These forward-looking statements include, without limitation, statements regarding the Company's future financial position, income growth, impairment charges, business strategy, projected levels of growth in the relevant markets, projected costs, estimates of capital expenditures, and plans and objectives for future operations. Forward-looking statements contained in this announcement regarding past trends or activities should not be taken as a representation that such trends or activities will continue in the future. Nothing in this document should be regarded as a profit forecast.
The forward-looking statements, including assumptions, opinions and views of the Company or cited from third party sources, contained in this announcement are solely opinions and forecasts which are uncertain and subject to risks. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, it can give no assurance that these expectations will prove to be correct. Actual results may differ materially from those expressed or implied by these forward-looking statements. A number of factors could cause actual events to differ significantly and these are set out in the principal risks and uncertainties section of this document. Most of these factors are difficult to predict accurately and are generally beyond the control of the Company. Any forward-looking statements made by, or on behalf of, the Company speak only as of the date they are made. Save as required by law, the Company will not publicly release the results of any revisions to any forward-looking statements in this document that may occur due to any change in the Directors' expectations or to reflect events or circumstances after the date of this document.