REG - XP Power Ltd - Q1 Trading Update

XP PowerAnnouncement

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RNS Number : 5506B  XP Power Limited  23 April 2026

23 April 2026

 

XP Power Limited

(`XP Power' or `the Group')

 

Q1 2026 Trading Update

 

Strong order intake

Full Year expectations unchanged

 

XP Power Limited ("XP Power" or "the Group"), one of the world's leading
developers and manufacturers of critical power control solutions for the
Semiconductor Manufacturing Equipment, Healthcare and Industrial Technology
sectors, is today issuing a trading update for the first quarter ended 31
March 2026.

 

Trading

 

                     Q1     Q1     Change  Change in constant currency

                     2026   2025

 Order intake (£m)   79.1   57.4   38%     48%
 Revenue (£m)        51.8   53.8   (4)%    3%
 Book-to-bill        1.53x  1.07x  0.46x

 

 Quarterly performance (£m)                  Q2     Q3     Q4     Q1

                                             2025   2025   2025   2026

 Order intake                                55.3   55.3   57.9   79.1
 % change vs prior year - constant currency  32%    18%    32%    48%

 Revenue                                     57.1   57.6   61.6   51.8
 % change vs prior year - constant currency  (4)%   -      6%     3%

 Book-to-bill                                0.97x  0.96x  0.94x  1.53x

 

Q1 order intake was £79.1m, 38% higher than preceding quarter and 48% higher
than the comparative period in constant currency. Order intake improved across
all three sectors and all regions, with particularly strong demand from the
Semiconductor Manufacturing Equipment sector and continued progress in the
Industrial Technology and Healthcare sectors. Book-to-bill was 1.53x.

 

Q1 revenue was £51.8m and in line with our expectation. Revenue was 16% lower
than the preceding quarter but 3% higher than the comparative period in
constant currency. The sequential reduction was due to normal seasonal
patterns, the end of some US export licences for Semiconductor Manufacturing
Equipment customers in China as previously highlighted, as well as the planned
transfer of production from our now closed China site to Vietnam, which caused
a temporary slowdown in deliveries. We would expect revenue to increase in Q2.

 

Our order book at the end of the quarter was £143.1m.

 

Financial Position

 

Net debt as of 31 March 2026 was £41.8m, similar to the 2025 year end.
Leverage ended the quarter at 1.2x. Net debt is expected to increase modestly
in Q2 due to final payments for building work at the Malaysia site and
investment in inventory to support the delivery of increased orders.

 

Outlook

 

We are encouraged by the material increase in order intake at the start of the
year which has significantly improved visibility for 2026. We expect quarterly
order intake to remain above 2025 run rates but may not reach the highs of Q1
2026. We also remain mindful of macroeconomic and geopolitical conditions that
could impact supply chains and future demand although at the current time we
have not seen this.

 

Our full year expectations are unchanged, including for a second half
weighting.

 

The Group's strong market position, exciting product pipeline and portfolio,
robust operational performance and proven business model gives the Board
confidence in our long-term prospects and the strategic value of the Company.

 

The Group will publish its 2026 interim results on 4 August 2026.

 

Enquiries:

 
 XP Power
 Gavin Griggs, Chief Executive Officer  +44 (0)118 984 5515
 Matt Webb, Chief Financial Officer     +44 (0)118 984 5515

 CDR
 Claire de Groot                        +44 (0)207 638 9571

 

 

XP Power designs and manufactures power controllers, essential hardware
components in all electrical equipment that converts power from the
electricity grid into the correct form for equipment to function. Power
controllers are critical for optimal delivery in challenging environments but
are a small part of the overall customer product cost.

XP Power designs power control solutions into the end products of major
blue-chip OEMs, with a focus on the Semiconductor Manufacturing Equipment
(circa 37% of sales), Industrial Technology (circa 38% of sales) and
Healthcare (circa 25% sales) sectors. Once designed into a programme, XP Power
has a revenue annuity over the life cycle of the customer's product which is
typically five to seven years depending on the industry sector. XP Power has
invested in research and development and its own manufacturing facilities in
Vietnam, North America and Germany, to develop a range of tailored products
based on its own intellectual property that provide its customers with
significantly improved functionality and efficiency.

Headquartered in Singapore and listed on the Main Market of the London Stock
Exchange since 2000, XP Power is a constituent of the FTSE SmallCap Index. XP
Power serves a global blue-chip customer base from over 20 locations in
Europe, North America, and Asia.

For further information, please visit www.xppowerplc.com
(http://www.xppowerplc.com/)

Forward-looking statements

This announcement contains forward-looking statements that are subject to risk
factors associated with, among other things, the economic and business
circumstances occurring from time to time in the countries, sectors and
markets in which the Group operates. It is believed that the expectations
reflected in these statements are reasonable, but they may be affected by a
wide range of variables which could cause actual results to differ materially
from those currently anticipated. No assurances can be given that the
forward-looking statements in this announcement will be realised.

The forward-looking statements reflect the knowledge and information available
to management at the date of preparation of this announcement. XP Power and
its Directors accept no responsibility to third parties and undertake no
obligation to update these forward-looking statements. Nothing in this
announcement should be construed as a profit forecast.

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