QinetiQ backs full-year outlook, citing PS5 billion order book

QinetiQ Group PLC on Tuesday reiterated its full-year guidance despite ‘challenging’ trading in core markets, but the defence technology firm said it remains ‘well positioned’, backed by a strong order book.

Farnborough, Hampshire-based QinetiQ said it continues to expect 3% organic revenue growth, an operating margin of 11%, cash conversion of 90%, and earnings per share growth of 15% to 20% in financial 2026, which ends on March 31.

In financial 2025, QinetiQ reported revenue of £1.93 billion, an operating margin of 9.6%, cash conversion of 105%, and underlying EPS of 26.1 pence.

‘Whilst the near-term trading environment in our core markets remains challenging and we have revenue to secure in the last quarter, we have achieved positive momentum on order intake. Our book-to-bill is now greater than 1x, and we remain confident in maintaining this ratio for the full year,’ the company said in a trading statement.

Shares in QinetiQ were up 0.5% at 524.00p each in London on Tuesday.

QinetiQ said it continues to be ‘highly’ cash generative and is on track to deliver £150 million of free cash flow for the full year. This free cashflow will all be distributed back to shareholders through dividends and the company’s on-going share buyback programme, it said.

Chief Executive Steve Wadey said QinetiQ has made ‘positive progress’ securing more than £3 billion orders year to date.

‘We remain well positioned to deliver good in-year performance, long-term growth and value creation for shareholders. With an order backlog of around £5 billion and a qualified pipeline of £11 billion we have significant long-term visibility. Combined with our strong cash flow this allows for both investment in the business and compelling shareholder returns.’

Copyright 2026 Alliance News Ltd. All Rights Reserved.