Published on: December 7, 2022

Another strong set of results

SDI Group has announced strong H1 results to 31 October, with the full year expected to be in line with market expectations. Total revenue increased by 28.3% to £31.7m and adjusted operating profit by 19% to £6.9m. Despite increased global economic uncertainty, SDI’s niche businesses, operating in diverse end markets, have driven overall organic revenue growth of 3.8%. Safelab Systems and Scientific Vacuum Systems (SVS) acquired over FY 2022 and LTE Scientific Limited (LTE) in the first half of FY23, contributed to the strong sales growth, alongside the well-flagged, one-off Covid-19 related contracts within Atik Cameras. Management notes that post-Covid fluctuations in demand haven’t fully settled, but the general level of sales enquiries remains strong. Our FY23 and FY24 estimates are broadly unchanged, with the exception of an increased interest charge given the current interest rate environment.