Strong performance in FY24 with positive momentum in all key markets

Robust order book at year-end underpins confidence for FY25 and beyond

Synectics plc (AIM: SNX), a leader in advanced security and surveillance solutions, announces its audited final results for the year ended 30 November 2024 (“FY24”).

Financial highlights

• Revenue increased by 13.6% to £55.8 million (FY23: £49.1 million)
• Underlying operating profit¹ increased by 56.8% to £4.8 million (FY23: £3.1 million)
• Underlying EBITDA² increased by 27.2% to £6.2 million (FY23: £4.8 million)
• Underlying earnings per share³ increased significantly to 21.6p (FY23: 14.2p)
• Record cash balance at 30 November 2024 of £9.6 million with no bank debt⁴ (30 November 2023: £4.6 million, no bank debt)
• Strong order book at 30 November 2024 of £38.5 million (30 November 2023: £29.2 million)
• Recommended final dividend of 2.5 pence per share (FY23: 3.0p) giving an increased total dividend up 50% to 4.5p per share (FY23: 3.0p)

¹ _{Underlying operating profit represents profit before tax, finance costs and non-underlying items; see note 4 to the financial statements.}
² _{Underlying EBITDA represents profit before finance costs, tax, depreciation, amortisation and non-underlying items.}
³ _{Underlying earnings per share are based on underlying profit after tax but before non-underlying items.}
⁴ _{Excluding IFRS 16 lease liabilities.}

Operational highlights

• Strong results, with record gross margins and adjusted profit before tax being materially ahead of recently upgraded market expectations⁵, supported by a solid year of growth in all sectors, particularly within Gaming
• Strong order book, boosted by consistent contract wins across all of the Group’s sectors, which has continued into FY25
• New AI capabilities with the launch of Synergy DETECT and upcoming launch of Synergy SEARCH
• Rebrand of Synectics Security to Ocular Integration (“Ocular”), reflecting a broader transformation programme designed to sharpen Ocular's focus on delivering cutting-edge security solutions and innovations across its focus sectors

 ⁵ _{Prior to the release of this announcement, FY 2024 market expectations were for revenue of £57.0m and adjusted profit before tax of £4.3m}

^{The footnotes above apply throughout this announcement.}

Post-period end events & outlook

• Continued momentum in contract wins, including material Gaming awards announced in the US and South-East Asia worth an aggregate $4.9 million
• Product enhancement initiatives underway to support the development of additional AI capabilities for Synergy, along with an alternative COEX range suitable for the offshore renewables market
• Strategic redefinition of its focus sectors will enable the Group to better align with current market dynamics and opportunities

Commenting on the results, Amanda Larnder, Chief Executive Officer and Chief Financial Officer, said: “I am immensely proud of our strong performance in FY24 and the positive momentum we have built heading into FY25, which is backed by a robust order book. During FY25, we are investing in strategic initiatives across our products, operations, and in strengthening customer and partner relationships to ensure sustainable growth in future years.

“We are confident that our commitment to delivering operational excellence combined with our innovative offerings position us to be a trusted leader in our chosen markets, enabling us to seize new and exciting business opportunities.”

For further information, please contact:
Synectics plc
Amanda Larnder, Chief Executive Officer and Chief Financial Officer
Claire Stewart, Company Secretary
Tel: +44 (0) 114 280 2828
info@synecticsplc.com

Shore Capital
Corporate Advisory: Tom Griffiths / David Coaten 
Corporate Broking: Fiona Conroy 
Tel: +44 (0) 207 408 4090

Vigo Consulting
Jeremy Garcia / Fiona Hetherington / Peter Jacob
Tel: +44 (0) 20 7390 0230
synectics@vigoconsulting.com