Pennant International Group PLC on Friday said it continued to invest in its proprietary software products amid strong growth in Europe.

The Cheltenham, England-based provider of training technologies and product support for various industries, including defence and aerospace, said pretax loss narrowed to £367,000 in 2023 from £1.4 million a year prior.

Revenue grew 14% to £15.5 million from £13.7 million. Cost of sales reduced 1.1% to £7.8 million from £7.9 million. Administrative expenses increased 14% to £7.8 million from £6.9 million.

Pennant said it was boosted by ‘strong European revenue growth,’ underpinned by progress on the Boeing Defence United Kingdom Apache upgrade programme worth about £9 million. It anticipates final deliveries in September.

The firm said it continued to invest significantly into its proprietary software products, having invested £1.4 million in 2023.

Chair Ian Dighe said: ‘The board is encouraged by the improvements already realised, reflecting the implementation of the growth strategy, and is optimistic about the group’s prospects. Current economic and geo-political trends are driving significant increases in global defence spending and the outlook for our other key markets also appears to be improving; promising growing tailwinds for the group in the short-to-medium term.’

He added: ‘The board believes that this integrated product suite, coupled with the group’s underlying strengths - our long-term customer relationships with governments and major original equipment manufacturers, our specialist services together with our quality-assured reputation - will provide opportunities for long-term success.’

Pennant shares rose 6.2% to 25.49 pence each on Friday afternoon in London.

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