VELOCITY COMPOSITES PLC - Interim Results

Velocity Composites PLC delivered a resilient H1 FY2026 investor update, reporting revenue of £8.4 million (H1 FY2025: £10.4 million), reflecting temporary customer order rephasing and supply chain disruptions rather than underlying demand weakness. The company maintained a strong 28% gross margin and generated positive adjusted EBITDA of £0.1 million for the third consecutive half-year, while improving its cash position by £0.3 million through disciplined working capital management. Management reaffirmed confidence in meeting full-year market expectations as delayed orders and material supply issues are expected to recover in H2. The aerospace market outlook continues to strengthen, supported by increasing aircraft production rates, improving supply chain conditions, and growing commercial and defence opportunities. Velocity is advancing its growth strategy through expanded US business development, new customer engagement, programme transfers, operational consolidation, and enhanced manufacturing capacity. With a healthy pipeline of new business opportunities, a robust order outlook, improving cash generation, and a continued focus on operational efficiency, the company remains well positioned to benefit from accelerating aerospace demand and deliver long-term shareholder value. This investor update highlights Velocity Composites' commitment to sustainable growth, margin improvement, and profitable expansion across its UK and US operations.