SDI Group raises guidance on 'significant' one-time contracts

SDI Group

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16:55 01/11/24

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Manufacturer SDI Group said on Wednesday that two of its units had secured "significant one-time contracts" for equipment related to the treatment and testing of Covid-19 and similar respiratory and viral diseases.

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While SDI noted that most of its businesses had seen revenues negatively impacted by the Covid-19 pandemic, its Atik Cameras unit secured follow-on camera orders from an original equipment manufacturer of real-time PCR DNA amplifiers, a deal it referred to as "a significant endorsement" of the product's design and production capability.

The AIM-listed group noted that while timing for delivery of the orders was still to be finalised, it now believes it will exceed revenue and profit expectations for the year ending 30 April at £34,000 and £6,700, respectively, and "substantially exceed" those for the year ending 30 April 2022 at approximately £42,000 and £8,700, respectively.

Chairman Ken Ford said: "These are exceptional prospective outcomes in unprecedented times, during which the staff across SDI have executed on all aspects of our buy-and-build business model."

As of 0830 GMT, SDI shares had surged 23.65% to 149.0p.