Petards (AIM:PEG) reported group revenue of £14.95m for the year to 31 December 2025, up 24% from £12.02m, with adjusted EBITDA rising to £1,002,000 (2024: £410,000) and a reduced loss after tax of £406,000 (2024: £1,127,000). Gross margin widened to 49.7% and operating loss narrowed to £435,000.
Performance was driven by the first full-year contribution from Affini and stronger trading at Petards Rail and Defence.
The group highlighted three late-year defence contract wins totalling £3.5m — including a £2.2m order from Rheinmetall BAE Systems Land tied to the Challenger 3 upgrade — lifting the year-end order book to £9.2m, of which £7.7m is scheduled for 2026 delivery. QRO saw delayed order placement in 2025 but has moved to larger premises in February 2026 and is expected to regain momentum.
Cash generation improved: operating cash inflow was £1.384m and net debt (before leases) stood at £1.339m at year end. Management also appointed Ben Gillam as Group Finance Director effective 15 April 2026.
"The Group's £9.2 million opening order book and its revenue coverage for 2026 is encouraging and provides a solid base from which the business can progress." Raschid Abdullah, Chairman, added that first-quarter earnings were in line with the Board's expectations and the Group is "well placed to deliver a continued improvement in its trading performance" in 2026.
