Why Is Solid State plc Up on 11 Nov 2026?

Solid State plc shares rose 5.85% on 11 Nov 2026, with LSE:SOLI among the notable risers on the day. The move follows the company's results for the year ended 31 March 2026, which showed Revenue growth of 23.2% to £154.1 million.

Adjusted operating profit rose 60.0% to £9.6 million, adjusted Diluted Earnings per Share increased to 11.0p from 6.2p and gross Margin improved by 200 basis points to 33.5%.

The open order book stood at £102.4 million at 31 May 2026, and the board said current trading was in line with expectations.

About Solid State plc

Solid State plc designs and manufactures specialist electronics and supplies components and systems to demanding industrial, defence and security markets. The group operates through three divisions: Systems, Power and Components.

Defence and security customers represented about 47% of group revenue. For LSE:SOLI, the combination of engineered products and a diversified customer base is central to its development.

Divisional Performance

Systems revenue rose 47.8% to £62.5 million, helped by a £23.3 million communications programme recognised in the first half.

Power revenue increased 15.6% to £31.8 million and Components revenue rose 8.1% to £59.8 million.

Cash Generation and Balance Sheet

Cash generated from operations was £13.5 million compared with £10.4 million, and net Debt fell to £4.2 million from £7.4 million.

Net Assets increased to £63.3 million from £61.5 million.

Project CAIN and Order Book

The initial Project CAIN shipment, worth US$10.8 million, was completed in the first quarter of FY26/27.

The open order book of £102.4 million provides visibility, and the board expects to exceed current market expectations for FY26/27.

Dividend and 2030 Ambition

The full-year Dividend was 2.75p, up from 2.5p, including a proposed final dividend of 1.83p.

The company has set a 2030 ambition of at least 20p of adjusted earnings per share and a £250 million revenue milestone.

Defence Electronics Context

Governments across Europe and North America have been increasing defence and security spending, which supports Demand for specialist electronics.

Companies with long-standing qualifications and engineering expertise can be well placed to Supply these programmes.

Business Overview and Financial Performance

Solid State reported FY25/26 revenue of £154.1 million, adjusted operating profit of £9.6 million and adjusted profit before tax of £8.6 million, up 72.0%. Reported profit before tax was £5.8 million compared with £0.3 million a year earlier.

Gross margin rose to 33.5%, cash generated from operations reached £13.5 million and net debt fell to £4.2 million.

Strategy and Priorities

The company aims to deliver adjusted earnings per share of at least 20p and revenue of £250 million by 2030, through organic growth and selective investment.

Capital expenditure could exceed £7.5 million over the next two years to support capacity and new programmes.

Leadership

John Macmichael became Chief Executive on 26 March 2026, and Victor Chavez CBE is Non-Executive Chairman, with a transition period supported by Nigel Rogers until the end of the calendar year.

The new Leadership team is focused on executing against the order book and the 2030 ambition.

Dividend Record

The full-year dividend rose to 2.75p from 2.5p. The AGM was held on 15 September 2026, with the final dividend paid on 29 September 2026.

Consistent dividend growth reflects the improvement in earnings and cash generation during the year.

Understanding the Update

Adjusted figures remove certain items to show underlying performance, while reported figures include them. Solid State reported both and showed improvement in each.

An open order book is the value of confirmed orders still to be delivered and gives a guide to future revenue.

What Investors Tend to Follow

Industrial and technology-led manufacturers are usually assessed through order books, revenue growth, margins and the strength of customer relationships. Updates on contract wins and capacity expansion help investors see how demand is developing.

Key Themes to Watch

Cash conversion, net debt and capital spending also matter, as they show how much of the profit the Business turns into cash. Commentary on supply chains and input costs adds useful context.

Key Factors to Monitor

Investors may follow order intake, delivery of defence programmes, divisional margins and the interim results.

Planned investment, with Capital Expenditure potentially exceeding £7.5 million over two years, is also relevant to future capacity.

Conclusion

Solid State plc's 5.85% advance on 11 Nov 2026 reflects interest in its revenue growth, higher profit and healthy order book.

With improving margins, lower net debt and clear 2030 ambitions, LSE:SOLI has several developments to follow. Order intake and interim results are the next items to watch.