TT Electronics (LON:TTG) Posts Quarterly Earnings Results

TT Electronics (LON:TTG) posted its earnings results on Wednesday. The company reported GBX 5.70 EPS for the quarter, Digital Look Earnings reports. TT Electronics had a negative return on equity of 31.21% and a negative net margin of 10.51%.

Here are the key takeaways from TT Electronics’ conference call:

• Adjusted operating profit rose 37% to £18.5 million in the first half, while operating margin expanded 230 basis points to 8.1%, driven by the Cleveland turnaround, the return to profitability of Components, and cost actions.
• Commercial momentum strengthened, with a book-to-bill ratio of 112% and an order book of approximately £550 million, up 20% year over year. Management expects second-half organic revenue growth and now forecasts full-year adjusted operating profit ahead of current market expectations.
• The cost-reduction program is substantially complete, with £3 million of net savings expected in 2026 and more than £6 million of annualized benefits from 2027 onward. The group also expects stronger second-half cash generation and further deleveraging from leverage of 1.1 times.
• TT is evaluating potential offers for its Components division after receiving several indications of interest, but any divestment remains subject to valuation and there is no certainty a transaction will occur. The company also does not currently expect to reinstate its dividend for 2026.
• New and extended commercial awards—including a multi-decade Rolls-Royce agreement, further Eurofighter work, an MBDA letter of intent, and a multimillion-dollar subsea contract—support long-term revenue visibility across aerospace, defense, healthcare, and industrial markets.

TT Electronics Trading Up 12.8%

TTG traded up GBX 17.30 on Wednesday, reaching GBX 152.30. 3,188,563 shares of the company traded hands, compared to its average volume of 416,273. The company has a market cap of £271.74 million, a P/E ratio of -5.34, a price-to-earnings-growth ratio of 0.60 and a beta of 0.83. The company has a quick ratio of 0.93, a current ratio of 1.71 and a debt-to-equity ratio of 70.10. TT Electronics has a one year low of GBX 93 and a one year high of GBX 155. The firm has a fifty day simple moving average of GBX 125.83 and a two-hundred day simple moving average of GBX 120.77.

Insider Transactions at TT Electronics

In other news, insider Phil Swash bought 100,000 shares of the stock in a transaction on Tuesday, June 9th. The stock was acquired at an average cost of GBX 119 per share, for a total transaction of £119,000. 8.80% of the stock is currently owned by company insiders.

Analyst Upgrades and Downgrades

A number of research analysts have recently commented on TTG shares. Berenberg Bank increased their target price on TT Electronics from GBX 150 to GBX 200 and gave the company a “buy” rating in a research report on Wednesday. Jefferies Financial Group restated a “hold” rating and issued a GBX 110 price target on shares of TT Electronics in a research report on Wednesday. Two analysts have rated the stock with a Buy rating and two have issued a Hold rating to the stock. Based on data from MarketBeat, TT Electronics currently has an average rating of “Moderate Buy” and an average target price of GBX 140.

About TT Electronics

TT Electronics is a global provider of engineered electronics for performance critical applications.
TT engineers and manufactures electronic solutions enabling a safer, healthier and more sustainable world. TT benefits from enduring megatrends in structurally high-growth markets including healthcare, aerospace, defence, automation and electrification. TT invests in R&D to create designed-in products where reliability is mission critical. Products designed and manufactured include sensors, power management and connectivity solutions.