QinetiQ Group (QQ)

Business description

QinetiQ provides technical support services to customers in the global aerospace, defence and security markets. The group operates through two divisions: EMEA Services (78% of FY17 sales) and Global Products (22%).

Stock data

Market cap.£1289.3m
Last close227.30p
High / Low (52 weeks)319.7p / 221.7p
Stock market listingLN
Forecast net cash (£m)198.6
Forecast gearing ratio (%)N/A
TeamIndustrials
SectorAerospace & Defence

Price performance

%1m3m12m
Actual(1.4)(19.4)(3)
Relative *(0.2)(18.3)(8.9)

* % Relative to local index

Other companies in sector Show

Company news

QinetiQ Group plc (QQ.)

Tue, 17 May 2011 14:24:21 GMT

QinetiQ shares tank as new contracts slow in the first quarter

Wed, 19 Jul 2017 09:40:14 GMT

QinetiQ share price slump brings stock into Goldman's price range

Thu, 20 Jul 2017 09:56:15 GMT

QinetiQ marches higher as Barclays upgrades to 'overweight'

Thu, 17 Aug 2017 09:22:30 GMT

All steady at defence contactor QinetiQ, with third-quarter trading "as expected"

Wed, 15 Feb 2017 07:35:37 GMT

Y/E Mar Revenue (£m) EBITDA (£m) PBT (£m) EPS (p) P/E (x) P/CF (x)
2016A 755.7 134.7 108.6 16.3 13.9 7.3
2017A 783.1 145.3 116.1 18.1 12.6 11.1
2018E 831.4 143.1 110.3 16.9 13.4 10.2
2019E 850.6 150.1 118.4 18.1 12.6 9.3

Last updated on 29/08/2017

Investment summary

QinetiQ’s AGM statement reconfirmed the outlook even in an environment that remains uncertain post the UK election. While some order deferrals in EMEA Services have undoubtedly occurred, this was to be expected and management maintains the modest revenue growth expectation for the full year. This suggests confidence that such delays are likely be recovered, leading to a more heavily weighted H2. Global Products’ results are more lumpy and dependent on timing of deliveries but further growth is forecast from improved year-on-year order backlog and pipeline, enhanced by the Target Systems acquisition. With LTPA investment on track and customer-focused change embedded, QinetiQ remains focused on driving medium-term organic growth and returns.

Last updated on 06/09/2017

Industry outlook

The UK business is underpinned by some good long-term contracts such as the LTPA and NCSISS. Indications are that following several years of decline due to decreases in conflict-related revenues, the Global Products division has now stabilised.

Last updated on 06/09/2017

Key management

Mark Elliot, Chairman
Steve Wadey, CEO
David Smith , CFO
David Bishop, Head of Investor Relations and External Commu

Company address

Cody Technology Park, Cody Building
Ively Road
Farnborough
Hampshire
GU14 0LX
United Kingdom
+44(0)8700 100 942
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