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Highlights

  • Revenue rose by 11.4%, supported by new customer orders and integration of Phoenix Optical.

  • Adjusted operating profit increased by 60.5%, with improved margins and a turnaround in the A&D segment.

  • Acquisition of Global Photonics set to enhance presence in the US aerospace and defence market.

Gooch & Housego PLC (LSE:GHH), a specialist manufacturer of optical components and systems, has released its interim financial results for the six months ending 31 March 2025. The company reported growth in revenue, profit, and order book, alongside strategic progress in expanding its market reach.

The integration of Phoenix Optical, acquired in late 2024, is proceeding according to plan. The addition has contributed significantly to the company’s commercial performance, particularly through new customer orders. As part of its continued expansion strategy, Gooch & Housego signed an agreement in May 2025 to acquire Global Photonics, a move that is expected to enhance the company’s capabilities and offering within the aerospace and defence (A&D) segment in the United States.

Revenue for the six-month period rose by 11.4% compared to the previous year. On an organic and constant currency basis, this represents a 7.5% increase. Adjusted operating profit grew by 60.5%, with operating margins improving to 8.7%, up from 6.0% in the prior year. The A&D division, which had previously underperformed, returned to profitability during the period.

The group order book expanded to £121.5 million as of March 2025, an increase from £104.5 million reported in September 2024. Approximately £7 million of this growth is attributed to orders generated through Phoenix Optical. Management stated that the order book continues to grow.

Gooch & Housego’s financial position remains stable, with leverage at 1.3 times. The company has also extended its existing debt facility to March 2030, under improved margin conditions.

The company maintained its full-year guidance, supported by order coverage exceeding 95% of forecast revenue. Management acknowledged that while order volumes remain high, there are elevated execution risks due to ongoing global uncertainty. Nonetheless, the company sees favourable conditions for continued growth and aims to achieve mid-teen returns on sales by 2028.