QinetiQ on track to meet FY expectations

FTSE 250 science and engineering group QinetiQ maintained its expectations for the year on Thursday.

In a pre-close trading update, the company said its EMEA services division has continued to perform as set out in the first-quarter trading update in July, with revenue under contract similar to the same period a year ago and as expected at this stage in the year.

Meanwhile, in the global products division – which has shorter order cycles and a more lumpy revenue profile than EMEA services – full-year 2017 revenue under contract continues to be slightly ahead of last year. However, the unit’s performance remains dependent on the timing and shipment of key orders.

QinetiQ said it has “a strong balance sheet that provides a solid foundation for investment in growth even at times of uncertainty”.

The company said that of the £50m share buyback announced in November last year, £21m remains to be completed. It expects to have achieved this by the end of 2016 as planned.