Sparks - Concurrent Technologies

Concurrent Technologies (AIM: CNC) has provided a positive H126 trading update, confirming that it expects to report record results for a first half, with revenue of c £23.1m (+9.5% y-o-y) and PBT of c £3.3m (+22% y-o-y). H126 order intake was 110% higher at £46.9m, with demand across key geographies and end markets. The company has announced two large orders over the last two months: the first (falling in H126) is a four-year order worth c £17m from a major European defence equipment prime contractor. This is Concurrent’s largest single contract to date, significantly exceeding the previous largest order of $6.2m received in 2025. The second (booked in early H226) is a $9.4m order from a major US defence prime contractor, following a design win in 2024, and marks the programme moving into production.

In H126, Concurrent secured design wins with a projected lifetime value of £129m – this compares to the £145m secured for the whole of FY25.  The Systems business secured orders worth $8m in H126 and was profitable. The Products business saw modest order intake in Q126 followed by improved order intake in Q226. The company continues to proactively manage its supply chain in the face of industry challenges, including securing supplier commitments for DRAM requirements in 2026 and into 2027. Its manufacturing capacity expansion is on track, with output expected to double from Q326. The board expects the company to deliver FY26 results at least in line with consensus (revenue £53m, PBT £8m) and we view the growing order backlog and recent design wins as supportive of medium-term growth forecasts.