Ultra Electronics trading in line as capital requirements rise
International defence, security, transport and energy group Ultra Electronics updated the market on its trading on Thursday, ahead of its year0end on 31 December, reporting that its full-year performance remained in line with the expectations set at its interim results on 6 August.
Aerospace and Defence
10,798.84
16:59 23/04/24
FTSE 250
19,799.72
16:59 23/04/24
FTSE 350
4,424.29
16:59 23/04/24
FTSE All-Share
4,378.75
17:14 23/04/24
Ultra Electronics Holdings
3,500.00p
17:09 29/07/22
The FTSE 250 firm said it continued to experience “strong” order inflow, and remained focused on execution and delivery while continuing to win new business.
As it had previously guided, the group said it was experiencing increased working capital requirements, arising mainly from the higher order book, underlying revenue growth and a constrained supply chain.
That was currently expected to result in 2018 cash conversion in the 65%-75% range.
“The group remains well positioned in areas of priority spend with significant exposure to the strengthening US defence budget - this gives continued confidence in the longer-term outlook,” the board said in its statement.
Ultra said its preliminary results for the year ending 31 December would be announced on 6 March.