Significant further order intake North America
Hardide plc has secured significant new orders from a major North American energy sector customer, valued at £2.4 million, which will cover the remainder of their anticipated requirements for the financial year ending 30 September 2026. This order intake exceeds the Board's previous expectations and is expected to materially improve revenue and overall financial performance for FY26, with the majority of deliveries originating from the Group's US facility. The new orders incorporate selling price surcharges to mitigate input cost inflation, and the company has secured gas supplies at known costs through H1 FY27, ensuring continuity of operations.
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Hardide plc (AIM: HDD), the provider of advanced surface coating technology, is pleased to announce that it has received orders from its large North American energy sector customer to cover the remainder of that client's anticipated requirements for the course of financial year ending 30 September 2026 ("FY26"). The value of the contract is £2.4m and is greater than the Board's previous expectations for this current financial year. This will have the effect of materially improving revenue and overall financial performance expectations for FY26.
The majority of this new order intake will be delivered from the Group's Martinsville facility in the USA. Operational improvements delivered in recent months have enabled Hardide to deliver its existing order book at a faster rate than previously anticipated. The new orders reflect the increased output Hardide is now able to deliver to meet growing demand. These orders will be supplied concurrently with the recently announced orders being fulfilled by the Group's UK facility in Bicester.
The new orders include selling price surcharges which seek to mitigate the impact of recent input cost inflation. Hardide also continues to broaden its supply chain for process gas to manage cost inflation as far as possible and to ensure continuity of supply. Ongoing supplies of gas have been secured at known costs, covering anticipated demand for the remainder of FY26 and into H1 FY27. No restrictions in supply for the use of tungsten gas by Hardide at the higher volumes now being sought have been experienced to date.
Matt Hamblin, Chief Executive, said:
"We are very pleased that the customer has again placed an order with us and that we have visibility of their orders for the rest of the financial year. We expect these orders to continue into the next financial years and, as we work more closely with the customer, are developing a mutually beneficial schedule for orders and deliveries which will underpin FY27. We are also pleased to see developments across business lines and with our wider customer base, and look forward to reporting on progress in this regard later in the year."
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