President Donald Trump continues to win hearts and minds, at least among shareholders in Ultra Electronics (ULE). Shares in the engineering contractor registered a double-digit gain after executive chairman Douglas Caster pointed to the benefits accruing from “significant exposure to the strengthening US defence budget”.
Revenue for the December year-end is expected to be down by 2 per cent at around £770m, while underlying operating profit of just over £120m represents an 8.4 per cent decline on 2016. Cash conversion is expected to remain healthy at above 90 per cent and order intake “has continued to be strong at around £900m”. What’s more, order cover on expected 2018 revenue is around 62 per cent, a six percentage point increase year on year.
