Gateshead-based security technology specialist Petards has announced a significant financial uplift, with expectations of a 24% increase in annual revenues. The firm, which operates from Team Valley, anticipates group revenues for 2025 to reach approximately £14.9 million, marking a substantial year-on-year growth.
Strong Performance Across Key Divisions
The company attributes this positive outlook to robust trading within its Petards Rail and Petards Defence divisions. Both sectors have reported increases in revenue and profitability, with order intake described as being "at levels not seen for several years." This resurgence has been bolstered by a profitable first full-year contribution from Affini, a Derby-based wireless specialist acquired by Petards last year.
Enhanced Order Book and Contract Wins
Petards' year-end order book has strengthened considerably, closing at £9.2 million, up from £7.1 million. Around 85% of these orders are scheduled for delivery in the current year. Key contract awards in the latter part of 2025, including a notable £2.2 million deal with Rheinmetall BAE Systems Land Limited (RBSL), have significantly contributed to this growth. Additional contracts from the MOD and BAE Systems, totalling £3.5 million, further solidified the firm's financial position.
Challenges and Future Outlook
Despite the overall positive performance, Petards faced some headwinds. Its subsidiary, QRO, which specialises in Automatic Number Plate Recognition (ANPR) and mobile average speed solutions, experienced delays in order placements during the second half of the year, leading to lower revenues. However, the company remains optimistic, citing framework contract wins, market interest in the newly launched Harrier Mini product, and potential overseas opportunities as drivers for a revenue recovery.
Raschid Abdullah, Chairman of Petards, commented on the firm's trajectory: "Petards performed well in 2025, generating cash and increasing revenues, with improvements in gross profit margin and profitability, while increasing its order book to £9.2 million at the year end. The group enters 2026 in a stronger position than it has in the past few years."
He added, "While trading continues to be challenging with extended tendering processes, given the strength of the opening order book and its cover for 2026 revenues, the Group is well placed to deliver a continued improvement in its trading performance in the coming year."
Adjusted Ebitda for 2025 is expected to be around £1 million, more than double the previous year's figure of £400,000, underscoring the firm's enhanced profitability and operational efficiency.
