- Revenue up 11% to new record
- UK government a key customer
- Shares up 54% year-to-date
Shares in Cohort (CHRT:AIM) were up 4% to 859p in morning trading as the defence specialist said its subsidiary MCL (Marlborough Communications) has been awarded two orders with a total value of £21.4 million by a government customer.
In addition, last month the firm’s EID subsidiary signed a €33 million three-year contract with NATO's Communications and Information Agency to supply the Portuguese Army with a TDCIS (Tactical Deployable Communication and Information System).
RECORD RESULTS
Separately, the company announced strong results for the financial year ending 30 April 2024 and a positive outlook.
Revenue climbed 11% to a new record of £202.5 million while adjusted operating profit also rose 11% to £21.1 million.
Cohort said that it had seen an encouraging start to the 2024/2025 financial year and left expectations for the full year unchanged.
WHAT DOES COHORT DO?
The group is headquartered in Reading, Berkshire and has 1,300 core staff across the UK, Germany and Portugal.
The group is split into two divisions – communications and intelligence, and sensors and effectors:
EID designs and manufactures advanced communications systems for naval and military customers.
MASS is a specialist data technology company serving the defence and security markets focused on electronic warfare, digital services and training support.
MCL designs, sources and supports advanced electronic and surveillance technology for UK end-users including the MOD (Ministry of Defence) and other government agencies.
The other businesses which make up the sensors and effectors division include Chess Dynamics which offers surveillance, tracking and fire-control systems to the defence and security markets.
EXPERT VIEW
Analysts at Shore Capital were upbeat about Cohort: ‘Cohort offers a solid and growing order book with a robust book-to-bill ratio, a positive industrial backdrop in defence and security markets, and a strategic supplier position with clients. This all points towards premium valuation being sustained for Cohort, in our view.’
