QinetiQ increases 2014 interim dividend by 27%

DividendMax Ltd.

QinetiQ increases 2014 interim dividend by 27%

QinetiQ, the defence, security and aerospace company, announces its interim results for the half year ended 30 September which saw:

• Encouraging increase in order intake in EMEA Services with growing international customer base

• US Services stabilising post restructuring but visibility remains limited

• Decrease in US conflict-related product sales and profits against record first half of last year

• Balance sheet strength achieved by on-going high cash conversion

 Increase in interim dividend reflecting re-basing of last year's final dividend and confidence in strategy

• Maintaining guidance for full year despite challenging markets


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Commenting on the results, Leo Quinn, QinetiQ Chief Executive Officer said:

"We continue to reshape the Group through our Organic-Plus strategy. Of the 'Core' businesses, EMEA Services has generated a robust performance with encouraging order intake and is expected to remain steady this year. Despite heightened market uncertainty, US Services is stabilising and the strategic review of this division will determine the path to maximum value. As expected, Global Products has seen a decrease in conflict-related sales and continues to work on broadening its portfolio especially beyond defence.

"Our newer 'Explore' businesses are making good progress with several strategic wins building a foundation for future growth.

"Although the short-term range of possible outcomes remains wider than usual, particularly in Global Products, the Board is maintaining its expectations for overall Group performance in the current year absent any material changes in customer requirements. Over the medium term, our confidence that our 'Core' businesses and newer growth opportunities will drive an increase in sustainable earnings is reflected in the increased interim dividend." 

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