Shares in FTSE 250 aerospace and defence firm Chemring (LON:CHG) climbed by 9.78% to 297.50p (as of 15:15 GMT) after the firm reported that revenues for the year ended 31st December increased by 20%. Underlying pre-tax profits were up by 31% as overall performance exceeded management expectations.
CEO Michael Ord commented: “Our focus in recent years has been on putting in place the foundations on which to build a stronger, higher quality business. The resilience of the Group in response to the coronavirus pandemic is a consequence of the dedication and commitment of all our people and clearly demonstrates the significant progress that we have made. We set ourselves demanding goals and our teams across the Group have risen to those challenges, delivering a financial performance that was ahead of the Board’s expectations.
“Trading since the start of the current financial year has been in line with expectations. With 78% of 2021 expected revenue covered by the order book, the Board’s expectations for 2021 performance remain unchanged. Chemring is well placed, with a robust strategy, market-leading positions across different geographies and sectors, and with products and services that are critical to our government and blue-chip customers. Chemring’s long-term prospects remain strong.“