New Risk • May 24
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 25% of the size of the rest of the company's trailing 12-month earnings before tax. This is considered a minor risk. One-off items are incomes or expenses that the company does not expect to repeat in future periods. Examples include profits from the sale of a business or expenses from a restructuring or legal settlements. If the company's reported statutory earnings include a large proportion of one-off items it means they may be an unreliable indicator of its true business performance as the earnings were skewed by these incomes or expenses. This is currently the only risk that has been identified for the company. Buy Or Sell Opportunity • May 24
Now 21% undervalued after recent price drop Over the last 90 days, the stock has fallen 7.2% to €5.44. The fair value is estimated to be €6.93, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 4.4% over the last 3 years. Meanwhile, the company has become profitable. For the next 3 years, revenue is forecast to grow by 5.1% per annum. Earnings are also forecast to grow by 17% per annum over the same time period. Declared Dividend • May 23
Final dividend of UK£0.08 announced Shareholders will receive a dividend of UK£0.08. Ex-date: 23rd July 2026 Payment date: 20th August 2026 Dividend yield will be 2.1%, which is higher than the industry average of 1.4%. Sustainability & Growth Dividend is being paid despite the company being loss-making over the last 12 months. However, the dividend is well covered by cash flows (30% cash payout ratio). The dividend has increased by an average of 5.3% per year over the past 10 years and has been stable with no material reductions to payments, indicating a long track record of dividend growth and stability. Reported Earnings • May 22
Full year 2026 earnings released: EPS: UK£0.20 (vs UK£0.33 loss in FY 2025) Full year 2026 results: EPS: UK£0.20 (up from UK£0.33 loss in FY 2025). Revenue: UK£1.92b (flat on FY 2025). Net income: UK£107.5m (up UK£293.2m from FY 2025). Profit margin: 5.6% (up from net loss in FY 2025). Revenue is forecast to grow 5.1% p.a. on average during the next 3 years, compared to a 22% growth forecast for the Aerospace & Defense industry in Germany. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 79 percentage points per year, which is a significant difference in performance. Announcement • Feb 17
QinetiQ Group plc to Report Fiscal Year 2026 Results on May 21, 2026 QinetiQ Group plc announced that they will report fiscal year 2026 results on May 21, 2026 Announcement • Jan 20
QinetiQ Group plc Reaffirms Earnings Guidance for Fiscal Year 2026 QinetiQ Group plc reaffirmed earnings guidance for fiscal year 2026. For the year, the company continues to expect to deliver c.3% organic revenue growth and EPS growth of 15-20%. Announcement • Nov 19
QinetiQ Announces Management Changes Experienced executive leader Brad Feldmann and financial management expert John Kavanaugh have been appointed to the QinetiQ SSA Board of Directors. The QinetiQ SSA Board was established in July 2020 after an agreement was reached with the US Defense Counterintelligence & Security Agency, to operate all of QinetiQ US's defence and security operations under a new Special Security Agreement (SSA). With more than thirty years' experience as an executive leader at organizations including technology company Neology, defense and transportation company Cubic Corporation, airborne intelligence solutions provider, AEVEX, and the National Defense Industrial Association, Brad has extensive experience in building and scaling businesses through organic growth and acquisitions. In 2020, he was named by the Wall Street Journal as one of the world's most influential business leaders. John served as Chief Financial Officer at Perspecta Inc., which he launched as a publicly traded company in June 2018 before it was acquired in 2021 by Peraton, a leading provider of Government Services IT Solutions, where John retained his senior leadership position. He has held executive roles at IT services and consulting company DXC Corporation, was President of Xerox Federal Solutions Group and Vice President at Northrop Grumman. Brad and John succeed former outside directors Tom Vecchiolla, who stepped down from the SSA Board of Directors earlier this year to take up the role of President and Chief Executive, QinetiQ US, and Dr Pamela Drew, who sadly passed away earlier this year. We are grateful for Pam's service and for her significant contribution to the SSA Board. Announcement • Nov 13
QinetiQ Group plc Announces Interim Dividend, Payable on 6 February 2026 QinetiQ Group plc announced an interim dividend of 3.0 pence (H1 FY25: 2.8 pence) per share for the financial year ending 31 March 2026 on the Company's shares of 1 pence. The interim dividend will be paid on 6 February to shareholders on the register on 9 January 2026. The interim dividend represents a 7% increase on the prior half year dividend in line with progressive dividend policy. The full year proposed dividend will be announced with full year preliminary results in May 2026. Announcement • Oct 07
QinetiQ Appoints Corry Neale as Chief Executive, Australia, Effective 06 October 2025 QinetiQ has appointed Corry Neale as Chief Executive, Australia Sector, effective 06 October 2025. Corry brings more than 20 years' experience as a leader in defence, aerospace, and technology. Prior to joining QinetiQ, she held senior executive positions at Thales Australia, including Chief Strategy Officer and Vice President Land. Announcement • Jul 17
QinetiQ Group plc Provides Earnings Guidance for the First Half of 2026 and Reaffirms Earnings Guidance for Fiscal Year 2026 QinetiQ Group plc provided earnings guidance for the first half of 2026 and reaffirmed earnings guidance for fiscal year 2026. Consistent with full-year expectations The company anticipates c.46%-48% of revenue in the first half.
Expectations for the full-year remain unchanged with c.3% organic revenue growth, EPS growth in the range of 15%-20% and good cash conversion. Announcement • May 22
Qinetiq Group plc Provides Earnings Guidance for Fiscal Year 2026 QinetiQ Group plc provided earnings guidance for fiscal year 2026. The company's Revenue growth expected to be c.3% for fiscal year 2026, with 75% revenue cover. EPS growth expected to be 15-20%. Announcement • Mar 22
QinetiQ Group plc Announces Board and Committee Changes QinetiQ Group plc announced that Susan Searle, Non-executive Director and Chair of the Remuneration Committee, will step down from the Board with effect from 31 March 2025, having completed her full allowable term. As part of a planned succession, Dina Knight, a Non-executive Director, will assume the role of Chair of the Remuneration Committee as Susan steps down. Announcement • Jan 09
Qinetiq Group plc Appoints Roger Krone as an Independent Non-Executive Director of the Board, Senior Us Independent Non-Executive Director and A Member of the Audit, Nominations, Remuneration and Risk & Security Committees, Effective 8 January 2025 QinetiQ Group plc announced the appointment of Roger Krone as an Independent Non-Executive Director of the Board with effect from 8 January 2025. Upon appointment Roger will also become the Senior US Independent Non-Executive Director, and a member of the Audit, Nominations, Remuneration and Risk & Security Committees. Roger Krone is a US citizen and brings extensive leadership and operational experience, including as Chairman and CEO of Leidos Holdings Inc. from 2014 to until his retirement in 2023. He also held numerous senior leadership roles at The Boeing Company and General Dynamics. He is currently a Director of Lear Corporation and the President and Chief Executive Officer of the Boy Scouts of America. Roger is a Director of Lear Corporation and the President and Chief Executive Officer of the Boy Scouts of America. Roger served as the Chairman and CEO of Leidos Holdings Inc. from 2014 to until his retirement in 2023. Previously, he has served as a Director of BorgWarner Inc. and of Mercury Systems Inc., and as President of Network and Space Systems for The Boeing Company from 2006 to 2014. He also held various senior programme management and finance positions at Boeing, McDonnell Douglas Corporation and General Dynamics Corporation. He is a Certified Public Accountant and has a bachelor's degree in Aerospace Engineering from the Georgia Institute of Technology, a master's degree in Aerospace Engineering from the University of Texas at Arlington and a Master of Business Administration from the Harvard Graduate School of Business. Declared Dividend • Dec 30
First half dividend of UK£0.028 announced Shareholders will receive a dividend of UK£0.028. Ex-date: 9th January 2025 Payment date: 7th February 2025 Dividend yield will be 1.9%, which is higher than the industry average of 1.4%. Sustainability & Growth Dividend is well covered by both earnings (35% earnings payout ratio) and cash flows (25% cash payout ratio). The dividend has increased by an average of 6.3% per year over the past 10 years and has been stable with no material reductions to payments, indicating a long track record of dividend growth and stability. EPS is expected to grow by 55% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Declared Dividend • Nov 17
First half dividend of UK£0.028 announced Shareholders will receive a dividend of UK£0.028. Ex-date: 9th January 2025 Payment date: 7th February 2025 Dividend yield will be 1.8%, which is higher than the industry average of 1.4%. Sustainability & Growth Dividend is well covered by both earnings (35% earnings payout ratio) and cash flows (24% cash payout ratio). The dividend has increased by an average of 7.2% per year over the past 10 years and has been stable with no material reductions to payments, indicating a long track record of dividend growth and stability. EPS is expected to grow by 56% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Nov 16
First half 2025 earnings released: EPS: UK£0.11 (vs UK£0.11 in 1H 2024) First half 2025 results: EPS: UK£0.11. Revenue: UK£946.8m (up 7.2% from 1H 2024). Net income: UK£63.0m (down 1.1% from 1H 2024). Profit margin: 6.7% (down from 7.2% in 1H 2024). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 6.5% p.a. on average during the next 3 years, compared to a 15% growth forecast for the Aerospace & Defense industry in Germany. Announcement • Oct 21
Qinetiq Group plc Appoints Ezinne Uzo-Okoro as an Independent Non-Executive Director of the Board and Member of the Audit, Nominations, Remuneration and Risk & Security Committees, Effective November 1, 2024 -QinetiQ Group plc announced the appointment of Dr. Ezinne Uzo-Okoro as an independent Non-Executive Director of the Board with effect from 1 November 2024. Upon appointment she will become a member of the Audit, Nominations, Remuneration and Risk & Security Committees. In 20 years of US government service, including a final tour at the White House from 2021 - 2024 as head of Space Policy, Ezinne's career has included contributions to US national policy and more than 60 NASA missions and programmes. Her work has resulted in strategies for US technological leadership and future economic growth. She is now a Senior Fellow at the Belfer Center, and a Venture Partner in SineWave, a venture capital fund focused on early-stage technology enterprises. She earned an undergraduate degree in Computer Science from Rensselaer Polytechnic Institute, and masters degrees in Aerospace Systems, Space Robotics and Science & Technology Policy from John Hopkins University, MIT and Harvard University, respectively. She also earned a doctorate degree in Aeronautics and Astronautics from MIT. Announcement • Oct 11
QinetiQ Group plc to Report First Half, 2025 Results on Nov 14, 2024 QinetiQ Group plc announced that they will report first half, 2025 results on Nov 14, 2024 Announcement • Jul 19
Qinetiq Group plc Provides Update Regarding Appointment of Martin Cooper as Chief Financial Officer QinetiQ Group plc announced on 16th April 2024, Martin Cooper has been appointed as Group CFO. Company now confirmed that Martin will join at the start of September, sooner than originally anticipated. Upcoming Dividend • Jul 18
Upcoming dividend of UK£0.057 per share Eligible shareholders must have bought the stock before 25 July 2024. Payment date: 22 August 2024. Payout ratio is a comfortable 34% and this is well supported by cash flows. Trailing yield: 1.8%. Lower than top quartile of German dividend payers (4.7%). Higher than average of industry peers (1.1%). Reported Earnings • May 26
Full year 2024 earnings released: EPS: UK£0.24 (vs UK£0.27 in FY 2023) Full year 2024 results: EPS: UK£0.24 (down from UK£0.27 in FY 2023). Revenue: UK£1.91b (up 21% from FY 2023). Net income: UK£139.6m (down 9.6% from FY 2023). Profit margin: 7.3% (down from 9.8% in FY 2023). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 5.8% p.a. on average during the next 3 years, compared to a 16% growth forecast for the Aerospace & Defense industry in Germany. Over the last 3 years on average, earnings per share has increased by 12% per year but the company’s share price has only increased by 5% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • May 24
Investor sentiment improves as stock rises 20% After last week's 20% share price gain to €4.91, the stock trades at a forward P/E ratio of 16x. Average forward P/E is 20x in the Aerospace & Defense industry in Germany. Total returns to shareholders of 27% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at €7.61 per share. Announcement • Mar 21
QinetiQ Reports First Successful Flights of New Design Rattler Supersonic Target QinetiQ, in partnership with the United States Department of Defense and White Sands Missile Range High Energy Laser Systems Test Facility (HELSTF), announced the successful flights of the first two Rattler Supersonic Target MkIs. As part of the High Energy Laser Measurement (HELM) Rattler program and a QinetiQ funded Research and Development project, the flights provided the first data for this design variant of the uncrewed target. It also presented opportunities for the HELSTF Tracking Illuminating Laser System to acquire, track and queue from a supersonic target at a short slant range, aiding the program's Rattler variant development. Emulating a variety of advanced missile threats, Rattler ST is a cost-effective supersonic target platform designed for threat replication, operational training and system evaluation. QinetiQ is customising the platform to support the U.S. Department of Defense's HELM Rattler Program, integrating a third-party target board to measure high-energy laser characteristics in flight, at supersonic speeds. The $10 million program started in February 2022 and is due to conclude in mid-2024. QinetiQ's portfolio of targets are built in line with customers' requirements to meet the current and evolving threats that they are needing to defend and train against, delivering realistic Threat Representation. Announcement • Mar 20
Qinetiq Group plc Announces Resignation of Lawrence (Larry) Prior III, Non-Executive Director QinetiQ Group plc announced that Lawrence (Larry) Prior III, who has been a Non-executive Director since August 2021, has resigned from the Board with effect from 16 March 2024. Larry Priorhas not and will not receive any loss of office payments, nor will he be paid any further remuneration for his service as a Director of QinetiQ, other than fees due for his services up to the date of his retirement from the Board. New Risk • Feb 16
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of German stocks, typically moving 10% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. Currently, the following risks have been identified for the company: Major Risk Share price has been highly volatile over the past 3 months (10% average weekly change). Minor Risk Profit margins are more than 30% lower than last year (6.0% net profit margin). Announcement • Feb 12
QinetiQ Group plc Announces Board Appointments, Effective from March 1, 2024 QinetiQ Group plc announced the appointment of two independent Non-Executive Directors to its Board. Ross McEwan CBE will join the QinetiQ Board on 1 March 2024. Ross has been Chief Executive Officer and Managing Director of National Australia Bank Limited since December 2019 and, as recently announced, will retire from NAB on 1 July 2024. Dina Knight will join the QinetiQ Board on 1 March 2024. Dina is Chief People Officer ofglobal technology services and solutions provider Datatec Group and Logicalis International, accountable for its people operations and strategy. Upon appointment, Ross and Dina will become members of the Audit, Nominations, Remuneration and Risk & Security Committees. Prior to joining the QinetiQ Board, Ross has been Chief Executive Officer and Managing Director of National Australia Bank Limited (NAB) since December 2019. He joined NAB from the Royal Bank of Scotland (RBS) where he served as RBS Group CEO from 2013 to 2019 and CEO UK Retail from 2012 to 2013. Prior to these appointments, Ross held the positions of Group Executive for Retail Banking Services and Executive General Manager at the Commonwealth Bank of Australia, during which time he was responsible for its branch network, contact centres and third-party mortgage brokers. Ross holds a Bachelor of Business Studies from Massey University, New Zealand and has more than 30 years' experience in the finance, insurance and investment industries. Prior to his position at CBA, Ross was Managing Director of First NZ Capital Securities and Chief Executive Officer of National Mutual Life Association of Australasia Limited/AXA New Zealand Limited. Ross is also Chair of the Australian Banking Association. Dina is Chief People Officer of Datatec Group and itsLogicalis International division. Datatec is an international IT solutions and services company, listed on the Johannesburg Stock exchange with revenues of over $5billion and over 11,000 employees. Logicalis is one Datatec's three business divisions, and is itself a global corporation with over 4,000 employees. Dina is accountable for people operations strategy from Board level down. Prior to Logicalis, she held the role of Global HR Director at Truphone, responsible for driving a collaborative and innovation-centred culture within an environment of rapid change from 2017 to 2022. Dina has also had positions as Group HR Director for Teledyne e2v and Group HR Director/HR Director for Northgate Information Solutions from 2007 to 2010. Dina read Business Studies and gained a Post Graduate Diploma in Personnel Management from Teesside University, and has thirty years of HR experience across private and PLC business environments. She is highly experienced in working across international workforces and building strong teams to deliver change and drive results, whilst ensuring that workforce and business well-being remain a top priority. Upcoming Dividend • Dec 28
Upcoming dividend of UK£0.026 per share at 2.5% yield Eligible shareholders must have bought the stock before 04 January 2024. Payment date: 02 February 2024. Payout ratio is a comfortable 42% and the cash payout ratio is 83%. Trailing yield: 2.5%. Lower than top quartile of German dividend payers (5.1%). Higher than average of industry peers (1.5%). Reported Earnings • Nov 17
First half 2024 earnings released: EPS: UK£0.11 (vs UK£0.19 in 1H 2023) First half 2024 results: EPS: UK£0.11 (down from UK£0.19 in 1H 2023). Revenue: UK£883.1m (up 31% from 1H 2023). Net income: UK£63.7m (down 42% from 1H 2023). Profit margin: 7.2% (down from 16% in 1H 2023). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 6.9% p.a. on average during the next 3 years, compared to a 15% growth forecast for the Aerospace & Defense industry in Germany. Over the last 3 years on average, earnings per share has increased by 10% per year whereas the company’s share price has increased by 5% per year. Recent Insider Transactions • Jul 29
Group CEO & Executive Director recently sold €1.2m worth of stock On the 27th of July, Steve Wadey sold around 300k shares on-market at roughly €4.05 per share. This transaction amounted to 31% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. This was Steve's only on-market trade for the last 12 months. Upcoming Dividend • Jul 20
Upcoming dividend of UK£0.053 per share at 2.2% yield Eligible shareholders must have bought the stock before 27 July 2023. Payment date: 24 August 2023. Payout ratio is a comfortable 29% and this is well supported by cash flows. Trailing yield: 2.2%. Lower than top quartile of German dividend payers (4.8%). Higher than average of industry peers (1.5%). Announcement • Jun 13
QinetiQ Group plc, Annual General Meeting, Jul 20, 2023 QinetiQ Group plc, Annual General Meeting, Jul 20, 2023, at 10:00 Coordinated Universal Time. Location: Ashurst LLP, London Fruit & Wool Exchange 1 Duval Square London United Kingdom Agenda: To receive the accounts and the reports of the Directors and the auditor thereon for the financial year ended 31 March 2023; to consider Remuneration Report; to consider Remuneration Policy; to consider Declaration of final dividend; to consider directorate elections; and to consider other matters. Reported Earnings • May 26
Full year 2023 earnings released: EPS: UK£0.27 (vs UK£0.16 in FY 2022) Full year 2023 results: EPS: UK£0.27 (up from UK£0.16 in FY 2022). Revenue: UK£1.58b (up 20% from FY 2022). Net income: UK£154.4m (up 72% from FY 2022). Profit margin: 9.8% (up from 6.8% in FY 2022). The increase in margin was driven by higher revenue. Revenue is forecast to grow 8.4% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Aerospace & Defense industry in Germany. Over the last 3 years on average, earnings per share has increased by 14% per year but the company’s share price has only increased by 9% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Apr 17
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to €4.24, the stock trades at a forward P/E ratio of 13x. Average forward P/E is 19x in the Aerospace & Defense industry in Germany. Total returns to shareholders of 21% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at €5.00 per share. Buying Opportunity • Apr 05
Now 23% undervalued after recent price drop Over the last 90 days, the stock is down 6.2%. The fair value is estimated to be €4.72, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 11% over the last 3 years, while earnings per share has been flat. For the next 3 years, revenue is forecast to grow by 9.5% per annum. Earnings is forecast to decline by 1.6% per annum over the same time period. Buying Opportunity • Feb 25
Now 21% undervalued after recent price drop Over the last 90 days, the stock is down 3.1%. The fair value is estimated to be €4.72, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 11% over the last 3 years, while earnings per share has been flat. For the next 3 years, revenue is forecast to grow by 9.5% per annum. Earnings is forecast to decline by 1.6% per annum over the same time period. Announcement • Feb 16
QinetiQ Group plc Appoints Gary Stewart as CEO for Australia Sector, Effective 01 May 2023 QinetiQ Group plc announced the formation of a new Australia Sector and names Gary Stewart as the Sector's Chief Executive, effective 01 May 2023. Gary will join QinetiQ from Rheinmetall Defence Australia where he was the Managing Director responsible for strategy and operational delivery in the Asia Pacific region. Gary has a proven track record of transforming and growing businesses, with more than 20 years of experience within the defence industry in the US, Canada, UK, Germany and Australia. He is an engineer and served in the Royal Australian Air Force for 11 years. Gary will join QinetiQ's Leadership Team led by Steve Wadey, QinetiQ's Group Chief Executive Officer. Buying Opportunity • Feb 10
Now 22% undervalued after recent price drop Over the last 90 days, the stock is down 5.1%. The fair value is estimated to be €4.75, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 11% over the last 3 years, while earnings per share has been flat. For the next 3 years, revenue is forecast to grow by 9.5% per annum. Earnings is forecast to decline by 1.6% per annum over the same time period. Buying Opportunity • Jan 13
Now 20% undervalued after recent price drop Over the last 90 days, the stock is down 4.2%. The fair value is estimated to be €4.58, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 11% over the last 3 years, while earnings per share has been flat. For the next 3 years, revenue is forecast to grow by 9.9% per annum. Earnings is forecast to decline by 0.5% per annum over the same time period. Upcoming Dividend • Dec 29
Upcoming dividend of UK£0.024 per share Eligible shareholders must have bought the stock before 05 January 2023. Payment date: 03 February 2023. Payout ratio is a comfortable 24% and this is well supported by cash flows. Trailing yield: 2.0%. Lower than top quartile of German dividend payers (5.1%). Higher than average of industry peers (1.3%). Buying Opportunity • Dec 28
Now 20% undervalued Over the last 90 days, the stock is up 12%. The fair value is estimated to be €4.98, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 11% over the last 3 years, while earnings per share has been flat. For the next 3 years, revenue is forecast to grow by 9.9% per annum. Earnings is forecast to decline by 0.5% per annum over the same time period. Announcement • Dec 15
QinetiQ Group plc to Report Fiscal Year 2023 Results on May 25, 2023 QinetiQ Group plc announced that they will report fiscal year 2023 results on May 25, 2023 Announcement • Dec 13
QinetiQ Group plc Announces Lynn Brubaker Retires as Non-Executive Director, Effective 31 December 2022 QinetiQ Group plc announced that Lynn Brubaker, who has been a Non-executive Director since January 2016, is to retire from the Board with effect from 31 December 2022. Board Change • Nov 16
High number of new directors There are 5 new directors who have joined the board in the last 3 years. Independent Non-Executive Director Steve Mogford was the last director to join the board, commencing their role in 2022. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Reported Earnings • Nov 11
First half 2023 earnings released: EPS: UK£0.20 (vs UK£0.042 in 1H 2022) First half 2023 results: EPS: UK£0.20 (up from UK£0.042 in 1H 2022). Revenue: UK£673.4m (up 12% from 1H 2022). Net income: UK£112.4m (up 372% from 1H 2022). Profit margin: 17% (up from 4.0% in 1H 2022). The increase in margin was primarily driven by higher revenue. Revenue is forecast to grow 4.7% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Aerospace & Defense industry in Germany. Over the last 3 years on average, earnings per share has increased by 2% per year whereas the company’s share price has fallen by 1% per year. Announcement • Nov 10
Qinetiq Group plc Provides Earnings Guidance for the Fiscal Year 2023 QinetiQ Group plc provided earnings guidance for the fiscal year 2023. The company announced second half of Fiscal 2023 with confidence, a healthy order-book and positive momentum with 95% revenue under contract - the company is increasing revenue guidance and are on-track to deliver profit in-line with expectations for Fiscal 2023. Given strong growth in the first half, will deliver high single-digit percentage organic revenue growth. Announcement • Nov 02
Redwire Corporation (NYSE:RDW) completed the acquisition of QinetiQ Space N.V. from QinetiQ Group plc (LSE:QQ.). Redwire Corporation (NYSE:RDW) entered into a definitive agreement to acquire Qinetiq Space NV from QinetiQ Group plc (LSE:QQ.) for €32 million on October 3, 2022. Under the terms of the agreement, Redwire will acquire Space NV for €32 million, subject to customary working capital adjustments. Space NV has independent facilities, management, and operations and as part of the agreement, Space NV will be combining business with Redwire. Redwire has received financing commitments for equity-linked securities from AE Industrial Partners. After giving effect to this financing, the transaction is expected to be financially accretive. For the year ended March 31, 2022, as reported by QinetiQ Group, Space NV recorded €49 million of revenue and €3 million of profit after taxes. The transaction is subject to customary approvals and closing conditions and is expected to close in the fourth quarter of 2022. Upon closing, the transaction is expected to be accretive to Redwire’s Adjusted EBITDA and free cash flow. Jefferies LLC acted as financial advisor and Matthew S. Arenson, P.C., Rachel Wolfenden and Dan Hoppe of Kirkland & Ellis LLP acted as legal advisor to Redwire. Kroll, LLC acted as financial advisor and Osborne Clarke acted as legal advisor to QinetiQ Group.
Redwire Corporation (NYSE:RDW) completed the acquisition of QinetiQ Space N.V. from QinetiQ Group plc (LSE:QQ.) on November 1, 2022. Announcement • Oct 12
QinetiQ Group plc Provides Earnings Guidance for the Fiscal Year 2023 QinetiQ Group plc provided earnings guidance for the fiscal year 2023. With more than 90% of fiscal year 2023 revenue under contract remain confident to deliver in-line with expectations for the full year, despite the challenging macro-economic environment. Announcement • Oct 05
Redwire Corporation (NYSE:RDW) entered into a definitive agreement to acquire Qinetiq Space NV from QinetiQ Group plc (LSE:QQ.) for €32 million. Redwire Corporation (NYSE:RDW) entered into a definitive agreement to acquire Qinetiq Space NV from QinetiQ Group plc (LSE:QQ.) for €32 million on October 3, 2022. Under the terms of the agreement, Redwire will acquire Space NV for €32 million, subject to customary working capital adjustments. Space NV has independent facilities, management, and operations and as part of the agreement, Space NV will be combining business with Redwire. Redwire has received financing commitments for equity-linked securities from AE Industrial Partners. After giving effect to this financing, the transaction is expected to be financially accretive. For the year ended March 31, 2022, as reported by QinetiQ Group, Space NV recorded €49 million of revenue and €3 million of profit after taxes. The transaction is subject to customary approvals and closing conditions and is expected to close in the fourth quarter of 2022. Upon closing, the transaction is expected to be accretive to Redwire’s Adjusted EBITDA and free cash flow. Jefferies LLC acted as financial advisor and Kirkland & Ellis LLP acted as legal advisor to Redwire. Kroll, LLC acted as financial advisor and Osborne Clarke acted as legal advisor to QinetiQ Group. Announcement • Oct 04
QinetiQ Group plc (LSE:QQ.) reached an agreement to acquire Air Affairs (Australia) Pty Ltd for a cash consideration of AUD53 million. QinetiQ Group plc (LSE:QQ.) reached an agreement to acquire Air Affairs (Australia) Pty Ltd for a cash consideration of AUD53 million on October 3, 2022. In related transaction, Redwire Space Europe reached an agreement to acquire QinetiQ Space NV from QinetiQ Group plc for €32 million. In the 12 months to June 30, 2022, Air Affairs delivered AUD 43 million revenue, EBITDA of AUD 5 million (on IFRS-16 basis) and will be reported within EMEA Services. The both transactions to complete within 6 weeks. Announcement • Sep 07
QinetiQ Group plc to Report First Half, 2023 Results on Nov 10, 2022 QinetiQ Group plc announced that they will report first half, 2023 results on Nov 10, 2022 Board Change • Sep 02
High number of new directors There are 5 new directors who have joined the board in the last 3 years. Independent Non-Executive Director Steve Mogford was the last director to join the board, commencing their role in 2022. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Buying Opportunity • Aug 06
Now 23% undervalued Over the last 90 days, the stock is up 4.4%. The fair value is estimated to be €5.51, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 13% over the last 3 years. Earnings per share has declined by 12%. For the next 3 years, revenue is forecast to grow by 5.0% per annum. Earnings is also forecast to grow by 12% per annum over the same time period. Upcoming Dividend • Jul 21
Upcoming dividend of UK£0.05 per share Eligible shareholders must have bought the stock before 28 July 2022. Payment date: 25 August 2022. Payout ratio is a comfortable 46% and this is well supported by cash flows. Trailing yield: 1.9%. Lower than top quartile of German dividend payers (4.5%). Higher than average of industry peers (1.3%). Announcement • Jun 14
QinetiQ Group plc, Annual General Meeting, Jul 21, 2022 QinetiQ Group plc, Annual General Meeting, Jul 21, 2022, at 10:00 Coordinated Universal Time. Location: Ashurst LLP, London Fruit & Wool Exchange 1 Duval Square, London E1 6PW London United Kingdom Agenda: To receive the accounts and the reports of the Directors and the auditor thereon for the financial year ended 31 March 2022; to discuss remuneration report; to declare dividend; to consider Board changes; to re-appoint PricewaterhouseCoopers LLP as auditor of the Company until the conclusion of the Annual General Meeting to be held in 2023; and to discuss other matters. Valuation Update With 7 Day Price Move • Jun 04
Investor sentiment improved over the past week After last week's 18% share price gain to €5.00, the stock trades at a forward P/E ratio of 17x. Average forward P/E is 23x in the Aerospace & Defense industry in Germany. Total returns to shareholders of 67% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at €6.47 per share. Reported Earnings • May 20
Full year 2022 earnings released: EPS: UK£0.16 (vs UK£0.22 in FY 2021) Full year 2022 results: EPS: UK£0.16 (down from UK£0.22 in FY 2021). Revenue: UK£1.32b (up 3.3% from FY 2021). Net income: UK£90.0m (down 28% from FY 2021). Profit margin: 6.8% (down from 9.7% in FY 2021). The decrease in margin was driven by higher expenses. Over the next year, revenue is forecast to grow 5.6%, compared to a 27% growth forecast for the industry in Germany. Over the last 3 years on average, earnings per share has fallen by 11% per year but the company’s share price has increased by 5% per year, which means it is well ahead of earnings. Announcement • May 19
Qinetiq Group plc Proposes Final Dividend for the Year Ended 31 March 2022, Payable on 25 August 2022 QinetiQ Group plc proposes a final FY22 dividend per share of 5.0 pence (FY21: 4.7 pence) making the full year dividend 7.3 pence (FY21: 6.9 pence). The full year dividend represents an increase of 6% in line with the Group's progressive dividend policy. Subject to approval at the Annual General Meeting, the final FY22 dividend will be paid on 25 August 2022 to shareholders on the register at 29 July 2022. Announcement • May 18
Qinetiq Group plc Appoints Steve Mogford as an Independent Non-Executive Director, Effective from August 1, 2022 QinetiQ Group plc announced that Steve Mogford will be joining the QinetiQ Board as an independent Non-executive Director, effective from August 1, 2022. Steve Mogford was appointed Chief Executive Officer of United Utilities Group PLC in March 2011. FTSE100 listed, United Utilities provides water and wastewater services to approximately seven million customers in the North West of England. Board Change • Apr 27
High number of new directors There are 5 new directors who have joined the board in the last 3 years. President & CEO of QinetiQ US and Director Shawn Purvis was the last director to join the board, commencing their role in 2022. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Valuation Update With 7 Day Price Move • Mar 01
Investor sentiment improved over the past week After last week's 23% share price gain to €3.60, the stock trades at a forward P/E ratio of 15x. Average forward P/E is 21x in the Aerospace & Defense industry in Germany. Total returns to shareholders of 7.7% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at €6.17 per share. Upcoming Dividend • Dec 30
Upcoming dividend of UK£0.023 per share Eligible shareholders must have bought the stock before 06 January 2022. Payment date: 04 February 2022. Payout ratio is a comfortable 54% and the cash payout ratio is 94%. Trailing yield: 2.6%. Lower than top quartile of German dividend payers (3.3%). Higher than average of industry peers (1.7%). Executive Departure • Dec 01
Group CFO & Corporate Governance and Director David Smith has left the company On the 30th of November, David Smith's tenure as Group CFO & Corporate Governance and Director ended after 4.8 years in the role. As of September 2021, David still personally held 426.28k shares (€1.6m worth at the time). A total of 3 executives have left over the last 12 months. The current median tenure of the management team is 4.33 years. Recent Insider Transactions • Nov 17
Independent Chairman of the Board recently bought €156k worth of stock On the 15th of November, Neil Johnson bought around 50k shares on-market at roughly €3.13 per share. This was the largest purchase by an insider in the last 3 months. This was Neil's only on-market trade for the last 12 months. Reported Earnings • Nov 12
First half 2022 earnings released: EPS UK£0.042 (vs UK£0.13 in 1H 2021) The company reported a poor first half result with weaker earnings and profit margins, although revenues were flat. First half 2022 results: Revenue: UK£600.1m (flat on 1H 2021). Net income: UK£23.8m (down 68% from 1H 2021). Profit margin: 4.0% (down from 12% in 1H 2021). Over the last 3 years on average, earnings per share has fallen by 7% per year but the company’s share price has increased by 1% per year, which means it is well ahead of earnings. Board Change • Nov 02
High number of new directors There are 5 new directors who have joined the board in the last 3 years. Director Carol Borg was the last director to join the board, commencing their role in 2021. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Upcoming Dividend • Jul 22
Upcoming dividend of UK£0.047 per share Eligible shareholders must have bought the stock before 29 July 2021. Payment date: 26 August 2021. Trailing yield: 2.1%. Lower than top quartile of German dividend payers (3.2%). Higher than average of industry peers (1.6%). Reported Earnings • Jun 20
Full year 2021 earnings released: EPS UK£0.22 (vs UK£0.19 in FY 2020) The company reported a solid full year result with improved earnings and revenues, although profit margins were flat. Full year 2021 results: Revenue: UK£1.28b (up 19% from FY 2020). Net income: UK£124.5m (up 17% from FY 2020). Profit margin: 9.7% (in line with FY 2020). Over the last 3 years on average, earnings per share has fallen by 4% per year but the company’s share price has increased by 11% per year, which means it is well ahead of earnings. Announcement • May 22
QinetiQ Group plc Proposes Dividend for the Fiscal Year 2021 QinetiQ Group plc proposed a full year dividend of 6.9 pence, an increase of 5% on fiscal year 2020 and in line with the company's progressive dividend policy. Reported Earnings • May 22
Full year 2021 earnings released: EPS UK£0.22 (vs UK£0.19 in FY 2020) The company reported a solid full year result with improved earnings and revenues, although profit margins were flat. Full year 2021 results: Revenue: UK£1.28b (up 19% from FY 2020). Net income: UK£124.5m (up 17% from FY 2020). Profit margin: 9.7% (in line with FY 2020). Over the last 3 years on average, earnings per share has fallen by 4% per year but the company’s share price has increased by 9% per year, which means it is well ahead of earnings. Executive Departure • Apr 29
Independent Non-Executive Director has left the company On the 26th of April, Ian Mason's tenure as Independent Non-Executive Director ended after 6.9 years in the role. As of December 2020, Ian personally held only 10.00k shares (€36k worth at the time). A total of 2 executives have left over the last 12 months. Announcement • Apr 15
QinetiQ Group plc Provides Earnings Guidance for the Full Year Ended 31 March 2021 QinetiQ Group plc provided earnings guidance for the full year ended 31 March 2021. The company expects results for the full year to 31 March 2021 to be above previous guidance and above market consensus expectations. The company expects the full year underlying operating profit margin percentage to be modestly ahead of that delivered in the first half, resulting in underlying operating profit for the full year of at least £147 million. Is New 90 Day High Low • Mar 10
New 90-day high: €3.82 The company is up 20% from its price of €3.19 on 10 December 2020. The German market is up 9.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Aerospace & Defense industry, which is flat over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is €6.06 per share. Is New 90 Day High Low • Jan 09
New 90-day high: €3.67 The company is up 19% from its price of €3.10 on 09 October 2020. The German market is up 9.0% over the last 90 days, indicating the company outperformed over that time. However, it underperformed the Aerospace & Defense industry, which is up 31% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is €5.95 per share. Announcement • Jan 05
QinetiQ Group plc Wins £127 Million Typhoon Contract Through EDP QinetiQ Group plc disclosed details of a £127 million contract from the UK MOD to provide engineering services for the Typhoon combat aircraft. This contract has been won through the Engineering Delivery Partner (EDP) framework and was included in announcement, on 12 November 2020, that the total orders achieved through EDP since inception now exceeds £500 million. The order is a five year contract providing a range of services for Typhoon, from planning and acceptance through to regulatory assurance, trials support and optimisation of in-service capability. QinetiQ will also provide expertise to the Typhoon radar development programme and data analytics for operational missions. This win has been achieved through the EDP framework, highlighting added-value and long-standing support to Defence Equipment and Support (DE&S) on Typhoon, and signals a strong start to the second half of the financial year for QinetiQ. Announcement • Dec 05
Luna Innovations Incorporated (NasdaqCM:LUNA) acquired OptaSense Holdings Ltd. from QinetiQ Group plc (LSE:QQ.) for £29 million. Luna Innovations Incorporated (NasdaqCM:LUNA) acquired OptaSense Holdings Ltd. from QinetiQ Group plc (LSE:QQ.) for £29 million on December 2, 2020. The transaction consideration will be paid in cash and is subject to adjustment. The deal will be financed using £15 million ($20 million) of Luna’s cash and £15 million ($20.1 million) through a term facility and a revolving facility. Upon completion, OptaSense will become a fully owned subsidiary of Luna Innovations Incorporated, while continuing to operate under its existing brand for the foreseeable future. OptaSense employees will remain within the company, with offices in the United Kingdom, Dubai, the United States and Canada. The acquisition was approved by the Board of Directors of Luna. The deal is expected to be accretive for Luna in 2021. B. Riley Securities served as financial advisor and Cooley LLP served as legal advisor to Luna while Ashurst LLP acted as legal advisor and Duff & Phelps Securities Ltd. acted as financial advisor to QinetiQ.
Luna Innovations Incorporated (NasdaqCM:LUNA) completed the acquisition of OptaSense Holdings Ltd. from QinetiQ Group plc (LSE:QQ.) on December 2, 2020. Reported Earnings • Nov 13
First half 2021 earnings released: EPS UK£0.13 The company reported a solid first half result with improved earnings and revenues, although profit margins were flat. First half 2021 results: Revenue: UK£603.2m (up 24% from 1H 2020). Net income: UK£74.0m (up 19% from 1H 2020). Profit margin: 12% (in line with 1H 2020). Over the last 3 years on average, earnings per share has fallen by 7% per year but the company’s share price has increased by 17% per year, which means it is well ahead of earnings. Analyst Estimate Surprise Post Earnings • Nov 13
Revenue beats expectations Revenue exceeded analyst estimates by 19%. Over the next year, revenue is forecast to grow 1.7% compared to a 7.9% decline forecast for the Aerospace & Defense industry in Germany. Is New 90 Day High Low • Oct 30
New 90-day low: €2.69 The company is down 20% from its price of €3.36 on 31 July 2020. The German market is down 4.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Aerospace & Defense industry, which is down 8.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is €4.02 per share. Is New 90 Day High Low • Sep 23
New 90-day low: €2.80 The company is down 16% from its price of €3.33 on 25 June 2020. The German market is up 4.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Aerospace & Defense industry, which is down 2.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is €3.57 per share. Announcement • Sep 22
QinetiQ Group plc Announces Directorate Change QinetiQ Group plc announced the appointment of General Sir Gordon Messenger KCB, DSO and Bar, and OBE as an independent Non-executive Director to the QinetiQ Board with effect from 12 October 2020. The General will replace Admiral Sir James Burnell-Nugent KCB, CBE, who, after ten years, will step down from the Board at the end of 2020. Within the UK Ministry of Defence, his roles included the Director Force Development, Director Joint Commitments (Military), Chief of Defence Staff's Strategic Communication Officer, Deputy Chief of Defence Staff (Military Strategy and Operations) and, finally on promotion to General, Vice Chief of the Defence Staff, a position he held for three years until his retirement in 2019. Announcement • Jul 30
QinetiQ Group plc (LSE:QQ.) acquired Naimuri Limited for £25 million. QinetiQ Group plc (LSE:QQ.) acquired Naimuri Limited for £25 million on July 14, 2020. £30 million of proceeds received as a part of divestment of Boldon James Ltd on June 25, 2020, will be used to fund the acquisition of Naimuri. Post acquisition, Naimuri will be reported in EMEA Services, managed within the Cyber & Information business of QinetiQ Group plc.
QinetiQ Group plc (LSE:QQ.) completed the acquisition of Naimuri Limited on July 14, 2020. 
