TT Electronics has had a mixed start to 2026 in its AGM trading update, with continued strength in Aerospace and Defence partly offsetting expected softness in EMS end-markets.
Group revenue in the four months to 30 April was 4.8% lower than the prior year on an organic basis, reflecting softness in EMS demand flagged in the FY25 results.
Stripping out a £10m drag from the previously announced customer transfer between TT Suzhou and TT Kuantan, plus the Plano site closure, the underlying picture isn’t too bad with group revenue rising 2.9% organically.
The more encouraging signal is book-to-bill at 107%, driven largely by Aerospace and Defence, where structural tailwinds continue to support strong customer demand. With defence spending firmly in growth mode globally, this remains the standout growth engine.
Today’s update covered operations and progress on the shift to a divisional structure that aligns more closely with how customers engage.
The cost reduction programme remains on track to deliver a net £3m benefit in 2026, with the annualised run-rate expected to double over the medium term. Sales transformation efforts, including investment in business development, CRM and pricing.
This was a steady as you go update that was reflected in shares trading little changes at the time of writing.