Satellite specialist Filtronic sees earnings slip regardless of ‘report’ order e-book after SpaceX deal

British satellite firm Filtronic saw its profit fall in the six months ending 30 November, despite securing a record order book. 

The Aim-listed business provides bespoke innovative radio frequency solutions, which it claims cannot be found anywhere else. 

It said it was entering the second half of its financial year with a ‘record order book’ as it continues to operate at a ‘greater scale’. 

It reported revenue of £25.3million for the six months ending 30 November 2025, broadly flat against £25.6million in the same period the previous year.

Adjusted EBITDA fell to £5.1million from £8.7million, with operating profit slipping to £2.6million, down from from £6.8million.

Ambitious: Nat Edington is the chief executive of Filtronic 

Profits were hit by investments in people, facilities, and product development, which should strengthen the foundations for future growth, the business said. 

Despite lower profitability, cash generation improved slightly, with operating cash flow improving to £3.4million from £2.1million.

Filtronic, which was set up in 1977, specialises in the design and manufacture of what it calls ‘mission-critical’ communication networks for the aerospace, defence, telecoms infrastructure and low earth orbit space markets.

It has two manufacturing sites in County Durham and the US, as well as three engineering centres in the UK.

In August 2025, Filtronic secured its largest ever contract with Elon Musk’s SpaceX, worth £47.3million. 

The deal will see it supply its next-generation gallium nitride E-band technology, which is a type of radio frequency tech designed for high-performance wireless communication. 

The deal unveiled last August saw Filtronic further cement its role in SpaceX’s Starlink programme, with having the firm first striking up a strategic partnership and commercial agreement with SpaceX in April 2024. 

In the six months to 30 November, Filtronic also secured a multi-year contract with a European space customer and a £13.4million deal with a leading European defence firm.

Around 90 per cent of the group’s current year revenues are now covered by contracted orders, Filtronic said. It said it remained confident it will meet current market expectations for annual revenue and EBITDA.

Nat Edington, chief executive of Filtronic, said: ‘The first half of the year demonstrated the strength of Filtronic’s positioning in markets where performance, reliability and security are mission critical.

‘Demand across our space, aerospace and defence markets remains robust, and our focus on high-frequency RF technologies continues to differentiate us with customers operating in the most demanding environments.

‘With a record order book, increasing customer diversification and the business now operating at greater scale, we have entered the second half confident of continuing our planned growth.’