StockMarketWire.com - Defence technology company QinetiQ has announced revenue growth of 18% to £1,072.9m in its annual results, while underlying operating profit rose 7% to £133.2m during the year, as it recorded its largest annual order intake in nine years with orders up 25%.

In its results for the year ended 31 March 2020, the company said orders in the year totalled £972.1m, compared to £776.4m in 2019, a 19% increase on an organic basis.

This was driven by £168m of orders under the Engineering Delivery Partner framework contract in EMEA services, a £67m UK Robust Global Navigation System order and a €75m contract with the European Space Agency for the Altius satellite in global products.

Underlying pre-tax profit increased 7% to £132.2m, in line with the increase in underlying operating profit, while total pre-tax profit before tax was £123.1m, compared to £123.2m the previous year.

QinetiQ completed the acquisitions of MTEQ in the US and NSC in the UK during the year.

Group chief executive Steve Wadey said: 'We delivered a fourth consecutive year of top-line growth. Our strategy is working to successfully become a truly integrated global company.

'With strong order intake, organic profit growth and net cash on balance sheet, we enter this period of uncertainty in a strong position enabling us to be agile and proactive in addressing both the short-term challenges and pursuing medium to long-term growth.'

In response to COVID-19, the company said the chief executive and CFO had volunteered a salary reduction of 33% and the wider board have volunteered a 25% reduction in fees.

QinetiQ previously announced on 1 April that it will postpone the decision on the proposal of a dividend until a later date.


At 9:18am: [LON:QQ.] Qinetiq Group PLC share price was +17.5p at 321.5p



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