SRT Marine Systems - Final Results

SRT MARINE SYSTEMS PLC

(AIM: SRT)

("SRT" or the "Company")

FINAL RESULTS FOR THE YEAR ENDED 30 JUNE 2025

SRT Marine Systems PLC, a provider of maritime surveillance, monitoring and management systems, announces its results for the year ended 30 June 2025.

FINANCIAL SUMMARY

·      426% increase in revenues to £78.0m.

·      Profit before tax and exceptional one-off non-cash finance charge of £4.9m.

·      £325m of system contracts.

·      New system contract prospects pipeline of £1.8bn.

·      Unrestricted cash balance of £4.3m at year end. Balance at 30^th September 2025 of £13.6m.

OPERATIONAL HIGHLIGHTS

·      Systems division actively implementing SRT-MDA System with 5 sovereign customers.

·      Significant investment in new SRT-MDA System functionality with increasing focus on use of Ai.

·      Pre-production and certification of NEXUS data and voice transceiver and commencement of final pre-shipment functionality refinement. 

·      Post year end received notification of award from a new sovereign customer for the supply of a substantial maritime surveillance system. The contract is expected to be worth approximately US$200m. The award is subject to completion of the project contract and a project financing package.

NOTICE OF AGM

·      The AGM will be held at the Centurion Hotel, Charlton Lane, Radstock BA3 4BD commencing at 11.00am on 4^th December 2025. Prior to the commencement of the formal AGM there will be an Open Morning at SRT's offices, commencing at 9.00am.

Commenting on today's results, Simon Tucker, CEO of SRT said:

"The marine domain is critically important in many ways to everyone.  And yet what goes on there is mostly unseen and remains a mystery. SRT is working to solve this global issue with our integrated marine domain systems that deliver Ai driven insight and intelligence to stakeholders that range from sovereign states seeking territorial and border security to mariners focused on safer and efficient navigation. Todays' results are indicative of the latent demand waking up to the availability of our systems and the valuable insight and intelligence they can access on demand. I believe we are right at the start of this global adoption."

CONSOLIDATED STATEMENT OF FINANCIAL POSITION AS AT 30 JUNE 2025

CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE 15 MONTH PERIOD ENDED 30 JUNE 2025

Notes

1.        Status of financial information

SRT is a public limited company incorporated in England and Wales whose ordinary shares of 0.1p each are traded on the AIM Market of the London Stock Exchange.  The Company's registered office is Wireless House, Westfield Industrial Estate, Midsomer Norton, Bath BA3 4BS.

The Board of Directors approved this preliminary announcement on 21 October 2025. This announcement does not itself contain sufficient information to comply with all the disclosure requirements of IFRS and does not constitute statutory accounts of the Company for the year ended 30 June 2025 or the 15-month period ended 30 June 2024.

The financial information has been extracted from the statutory accounts of the Company for the year ended 30 June 2025 and the 15-month period ended 30 June 2024. The report of the auditors on those statutory accounts was unqualified and did not contain a statement under section 498(2) or (3) of the Companies Act 2006. The audit report for the year ended 30 June 2025 drew attention by way of emphasis to a material uncertainty relating to going concern and recoverability of certain assets. The going concern uncertainty is due to the current rapid growth phase and the possibility of a mismatch between customer receipts and supplier payments which could require bridging finance. Whilst the Group has an extensive track record of securing such facilities and has a secured loan note programme with sufficient capacity, there are loan notes repayments which fall due within the next 12 months and there is no guarantee of such financing.

The statutory accounts for the period ended 30 June 2024 have been delivered to the Registrar of Companies, whereas those for the year ended 30 June 2025 will be delivered to the Registrar of Companies following the Company's Annual General Meeting.

2.        Basis of preparation

The financial statements have been prepared in accordance with UK-adopted international accounting standards.  For the purposes of the preparation of the consolidated financial information, the Group has applied all standards and interpretations that are effective for accounting periods beginning on or after 1 April 2024. The financial information has been prepared under the historical cost convention unless otherwise stated.

3.        Dividends

The Board is not recommending the payment of a final dividend.

4.         Earnings / (loss) per ordinary Share

The basic earnings per share has been calculated on the profit after taxation of £2,026,692 (2024: loss £13,653,819) divided by the weighted number of ordinary shares in issue of 238,278,281 (2024: 202,114,658).

During the current year the calculation of diluted earnings per share has been calculated on profit after taxation of £2,026,692. It assumes conversion of all potentially dilutive ordinary shares, all of which arise from share option and warrants. A calculation is performed to determine the number of shares that could have been acquired at fair value, based upon the monetary value of subscription rights to outstanding share options and warrants. The number of dilutive shares under option and warrant was 5,061,157 and the weighted average number of ordinary shares for the purposes of dilutive earnings per share was 245,828,975.

During the previous period, the Group incurred a loss after taxation and therefore there is no dilution of the impact of the share options granted.

5.         Exceptional finance charge

During the year, an existing shareholder Ocean Infinity Group Limited was granted 20,000,000 warrants at a strike price of 35p, and an exercise period of 3 years. The issue of warrants was  for the provision of a guarantee in respect of a project performance bond.

In accordance with international accounting standards, these warrants have been valued during the period over the expected life of the services that are provided, being the guarantee. The assumed expected life of the guarantee is the period to June 30, 2025. This has generated a notional non-cash exceptional finance charge in the statement of comprehensive income for the year of £3,447,203.

6.         Borrowings

Loan notes

As of 30 June 2025, the outstanding balance of loan notes amounted to £13,610,000. These all relate to drawdowns on a secured note programme which has been arranged by LGB Capital Markets and which is secured by a floating charge over the Group's assets. The loan notes have terms of up to 3 years and an interest rate of 8%-12%.  

Equipment loan

As of 30 June 2025, the outstanding balance of an equipment loan amounted to £2,987,250. This loan was drawn in the previous period in respect of purchases for a systems project and was increased during the year by £625,664.

Ocean Infinity loan

On 28th October 2024, an existing shareholder, Ocean Infinity Group Limited provided a $21.3m guarantee to enable the group to issue a performance bond of a similar value in respect of a project contract worth $213m which was signed on 30th October 2024. This guarantee was initially provided as a cash loan of $21.3m at an interest rate of 0.75% per month. During the year the loan was repaid as the guarantee was replaced with firstly a bank guarantee on Ocean Infinity's behalf and then a combination of SRT's own cash resources and the UKEF guarantee program. In return for providing this guarantee, Ocean Infinity was granted 20,000,000 warrants at a strike price of 35p, with an exercise period of 3 years

7.         Annual Report and AGM

The Annual Report will be available from the Company's website, www.srt-marine.com once it is published.  To locate the report, click "Investors" and then scroll down the page to "Reports and Presentations".  The Annual Report and Notice of AGM will be posted to shareholders on 6 November 2025.

The AGM will be held at the Centurion Hotel, Charlton Lane, Radstock BA3 4BD at 11.00am on December 4, 2025. Prior to the commencement of the formal AGM there will be an Open Morning at SRT's offices, commencing at 9.00am.