TT Electronics Reports Growth in Profit and Revenue for First Half of Year

TT Electronics, a leading manufacturer of electronic components in the UK, has announced a significant increase in profit and revenue for the first half of the year. The company reported that all its businesses experienced revenue growth, with order intake remaining robust and returning to normal levels as expected.

During this period, TT Electronics secured 15 new significant contracts, amounting to a potential lifetime revenue of over £150 million. The company’s order book is providing visibility for the balance of revenue in 2023, with cover building for 2024.

The company’s pretax profit for the first half of the year reached £16 million, a notable rise from £5.6 million in the previous year. Similarly, revenue increased to £309.1 million from £269.2 million.

To mitigate the impact of cost inflation, TT Electronics primarily implemented price increases. As a result, the adjusted pretax profit, which excludes exceptional and one-off items, reached £20.7 million for this period, compared to £15 million in the same period last year.

The board has declared an interim dividend of 2.15 pence per share, reflecting an 8% increase.

Chief Executive Richard Tyson expressed confidence in the company’s ability to meet its full-year expectations, noting the strong momentum and performance in the first half of the year. In May, TT Electronics projected an adjusted pretax profit of £44.8 million for the year, within a range of £41.5 million to £46.0 million.

TT Electronics’ shares showed positive growth following the announcement, with an increase of 2.9% at 0818 GMT, trading at 157 pence.