Chemring Grp Plc Unsp/Adr (CMGMY) Q2 2026 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good morning and welcome to the ChemRings interim results presentation for the six months to April 30th, 2026. I'm Mick Ord, the Group's Chief Executive, and I'm joined this morning by our CFO, James Mortenson. I'll begin with the first half headlines, then James will take you through the financial and operational performance in more detail. I'll then comment on the group's environment, the market environment, and spend some time on our key growth drivers and why this gives us confidence in Kemring's future growth. We'll then take your questions at the end. Operational and trading performance in the first half was in line with our expectations. Despite the headwinds in the UK market, order inflow in recent months has been encouraging, improving our near-term visibility and reinforcing our confidence in the full year. Approximately 91% of forecast 2026 revenue had either already been delivered or was in the order book at April 30th, and our full year expectations therefore remain unchanged. Market demand is strong, as growing geopolitical instability drives a shift to high-intensity deterrence and structurally higher defence and national security budgets. Against this backdrop, we continue to invest in areas which are aligned with our customers' priorities, particularly in countermeasures and energetics, where we delivered first-half growth and where our capacity expansion projects continue at pace. We continue to execute against our strategy and position in the group for strong future growth. James will take you through the financial performance in a moment, so I won't go into detail here. For me, I'd call out the increase in revenue reflecting a strong performance in cancer measures and energetics, the return to growth in sensors and information, and the order book ...