REG - Cohort PLC - AGM Statement

CohortAnnouncement

24/09/2024 07:00

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RNS Number : 3322F  Cohort PLC  24 September 2024

 One Waterside Drive

 Arlington Business Park

 Reading

 Berks

 RG7 4SW

 24 September 2024

 

COHORT PLC

("Cohort" or "the Group")

 

AGM UPDATE ANNOUNCEMENT

 

Cohort, the AIM listed independent technology group, is today holding its
Annual General Meeting ("AGM") and issues the following comments on current
trading and outlook.

 

Cohort achieved record financial results in the year ended 30 April 2024
("FY2024"), with strong performances in revenue, adjusted operating profit,
order intake and net funds. The year ended with a robust cash position and a
record closing order book of £518.7m, stretching out to 2037, with strong
revenue cover for the current financial year ending 30 April 2025 ("FY2025").

 

Based on trading and order intake to date, we expect the first half trading
performance to be significantly ahead of the same period last year, driven by
the strong order book in Sensors and Effectors. We also expect to see an
improved net margin for the first half. In line with past experience, we
expect to see a continued weighting to the second half in the year as a
whole.

 

Following contract wins since the start of FY2025 of over £120m, the order
book on 20 September 2024 stood at over £575m, representing consensus FY2025
revenue cover of around 90%. We are optimistic about our prospects for further
significant new orders, given demand for our products and services from both
our domestic and export customers. For FY2025, we now forecast that the
Group's revenue and profit performance will be a little ahead of our previous
expectations.

 

As previously disclosed in the FY2024 Final Results announcement, given
planned capital expenditure and expansion in working capital to support our
record order book, net funds at the end of FY2025 are expected to be slightly
lower than the £23.1m reported at the end of FY2024.

 

The Group's strategy continues to be to grow both organically and through
acquisitions. Current geopolitical tensions are driving increased investment
in defence and those are expected to continue for some years to come, creating
the conditions for organic growth. Our business model is also well adapted to
generating value from carefully targeted acquisitions, and we continue to seek
opportunities for these in the UK and elsewhere.

 

 

ENDS

 

For further information please contact:

 Cohort plc                            0118 909 0390
 Andy Thomis, Chief Executive
 Simon Walther, Finance Director

 Emily McBride, Group Head of Marketing and Corporate Communications

 Raquel McGrath, Company Secretary

 Investec Bank Plc (NOMAD and Broker)  020 7597 5970
 Carlton Nelson, Christopher Baird

 MHP                                   07817 458804
 Reg Hoare, Ollie Hoare, Hugo Harris   cohort@mhpgroup.com

 

 

NOTES TO EDITORS

 

Forward-looking statements

This announcement may include statements, beliefs or opinions that are, or may
be deemed to be, "forward-looking statements". These forward-looking
statements may be identified by the use of forward-looking terminology,
including the terms "believes", "estimates", "plans", "projects",
"anticipates", "targets", "aims", "continues", "expects", "intends", "hopes",
"may", "will", "would", "could" or "should" or, in each case, their negative
or other variations or comparable terminology, or by discussions of strategy,
plans, objectives, goals, future events or intentions. No representation or
warranty is made that any of these statements or forecasts will come to pass
or that any forecast results will be achieved. Forward-looking statements may
and often do differ materially from actual results. Any forward-looking
statements contained in the announcement speak only as of their respective
dates, reflect Cohort's current view with respect to future events and are
subject to risks relating to future events and other risks, uncertainties and
assumptions relating to Cohort's business, results of operations, financial
position, liquidity, prospects, growth and strategies. Except as required by
any applicable law or regulation, Cohort expressly disclaims any obligation or
undertaking to release publicly any updates or revisions to any
forward-looking statements contained in this announcement or any other
forward-looking statements it may make whether as a result of new information,
future developments or otherwise.

 

Cohort plc (www.cohortplc.com
(https://protect.checkpoint.com/v2/___http:/www.cohortplc.com/___.bXQtcHJvZC1jcC1ldXcyLTE6bmV4dDE1OmM6bzoyMTc3NDU5NzEyMzY4MjYwNWYzZjRmYjJiNDMxZDI2Yzo2OmZkM2U6Yjk2NDk3YzhlNGE4ZWY4MzRjY2U0MTkyZWMyZjdiMjU3YzlhOTBkOTVmNGFlNDUxZmM5ZGE0NjNkNWJhNjFhZTpwOkY6Tg)
) is the parent company of six innovative, agile and responsive businesses
based in the UK, Germany and Portugal, providing a wide range of services
and products for domestic and export customers in defence and related markets.

 

Cohort (AIM: CHRT) was admitted to London's Alternative Investment Market in
March 2006. It has headquarters in Reading, Berkshire and employs in total
over 1,300 core staff there and at its other operating company sites across
the UK, Germany, and Portugal.

 

The group is split into two segments - Communications and Intelligence, and
Sensors and Effectors:

 

Communications and Intelligence

 

 ·      EID designs and manufactures advanced communications systems for
 naval and military customers. Cohort acquired a majority stake in June
 2016.  www.eid.pt
 (https://protect.checkpoint.com/v2/___http:/www.eid.pt/___.bXQtcHJvZC1jcC1ldXcyLTE6bmV4dDE1OmM6bzoyMTc3NDU5NzEyMzY4MjYwNWYzZjRmYjJiNDMxZDI2Yzo2OjliYjk6NTIyM2Q1NmI5NTVhM2Y4NjYyZTRhNmUxMTNlN2UxOWE0ZDI2MGRhMjk2OTJkZGMwYjBkM2Y3MjQ2Njk4MzdmYTpwOkY6Tg)

 ·      MASS is a specialist data technology company serving the defence
 and security markets, focused on electronic warfare, digital services, and
 training support.  Acquired by Cohort in August 2006. www.mass.co.uk
 (https://protect.checkpoint.com/v2/___http:/www.mass.co.uk/___.bXQtcHJvZC1jcC1ldXcyLTE6bmV4dDE1OmM6bzoyMTc3NDU5NzEyMzY4MjYwNWYzZjRmYjJiNDMxZDI2Yzo2OmMxYzc6NDBjMTYyYjVkODZlZTQxZmYyNTViMWU4MWRmNGRiOTc2ZjRmYjRmNGI5ZmZkY2QzMjExNTZiZTJhNjE4YTFhYjpwOkY6Tg)

 ·      MCL designs, sources, and supports advanced electronic and
 surveillance technology for UK end users including the MOD and other
 government agencies. MCL has been part of the Group since July
 2014. www.marlboroughcomms.com
 (https://protect.checkpoint.com/v2/___http:/www.marlboroughcomms.com/___.bXQtcHJvZC1jcC1ldXcyLTE6bmV4dDE1OmM6bzoyMTc3NDU5NzEyMzY4MjYwNWYzZjRmYjJiNDMxZDI2Yzo2OjExN2E6ZDBlNTU0OTkxZTViMjRkMzhjYWEwOGFhMTAzOWRjMmU5ZTMxMjdjMTQ1NjhlZjAzNGU2YTkzZTc1ZmY3MDNlNDpwOkY6Tg)

 

 

Sensors and Effectors

 

 ·      Chess Dynamics offers surveillance, tracking and fire-control
 systems to the defence and security markets. Chess has been part of the Group
 since December 2018. www.chess-dynamics.com
 (https://protect.checkpoint.com/v2/___http:/www.chess-dynamics.com/___.bXQtcHJvZC1jcC1ldXcyLTE6bmV4dDE1OmM6bzoyMTc3NDU5NzEyMzY4MjYwNWYzZjRmYjJiNDMxZDI2Yzo2OmNmYjg6ZTQ3NGI5ZTkyNGE0MjgyYzMzNWIzNjA4ZjQwMGI5ZDQxNDk3YmRlZmQwMzM1NDIwMzU5N2ExMWFkZWRiNzMyMTpwOkY6Tg)

 ·      ELAC SONAR supplies advanced sonar systems and underwater
 communications to global customers in the naval marketplace.  Acquired by
 Cohort in December 2020.  www.elac-sonar.de
 (https://protect.checkpoint.com/v2/___http:/www.elac-sonar.de/___.bXQtcHJvZC1jcC1ldXcyLTE6bmV4dDE1OmM6bzoyMTc3NDU5NzEyMzY4MjYwNWYzZjRmYjJiNDMxZDI2Yzo2Ojg2ZDY6NTI0OGI5ODJhZGE1M2E5OTIyZDk5M2Q3ZTllZDRiNGNjNDhhMGQ1OTg0MTkzYzc2MDVhYzRiMWVjMGUwYTdiNTpwOkY6Tg)

 ·      SEA delivers and supports technology-based products for the defence
 and transport markets alongside specialist research and training
 services. Acquired by Cohort in October 2007. www.sea.co.uk
 (https://protect.checkpoint.com/v2/___http:/www.sea.co.uk/___.bXQtcHJvZC1jcC1ldXcyLTE6bmV4dDE1OmM6bzoyMTc3NDU5NzEyMzY4MjYwNWYzZjRmYjJiNDMxZDI2Yzo2OmFjNjE6ZWMyM2MwYWMzMDg4ODlmOWE5ODk0ZjkzMzU1NjBkM2E0MjcwNDU2Mjg0MzVkZGQxZDJkZTJkNDM4NDk4NDhhNjpwOkY6Tg)

 

 

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