Solid State (AIM:SOLI) shares rose 7.8%, trading at 207.4p on Monday, after the technology and electricity supplier reported results that beat market expectations and lifted the full-year dividend.
Group revenue was led by the Systems division, where sales rose 47.8% to £62.5 million, largely reflecting recognition of a £23.3 million communications programme that had slipped from the prior year into the first half of the period under review.
Power division revenue grew 15.6% to £31.8 million, and Components revenue increased 8.1% to £59.8 million, with defence and security accounting for approximately 47% of total Group revenue across the period.
Group gross margins improved 200 basis points to 33.5%, while cash generated from operations strengthened and net debt stood at £4.2 million at period end, comprising £6.6 million cash against £10.2 million in bank borrowings.
The open order book stood at £102.4 million as of 31 May, with the board noting the absence of any NATO Supply and Procurement Agency orders in that figure, compared with £19 million a year earlier, and describing the non-NATO order book as significantly stronger.
"Solid State enters FY26/27 in its strongest position for several years," said outgoing chairman Nigel Rogers, who also confirmed that Victor Chavez CBE assumes the role of non-executive chairman with immediate effect.
