MCL awards Cohort subsidiary Marlborough Communications Ltd. (MCL) has been awarded three new contracts with the UK Ministry of Defence (MoD) with a combined value of approximately £3.75m. The contracts are further orders for hearing protection, including the tactical hearing protection system for the dismounted close combat user. All orders are deliverable in FY22 (Apr. y/e), further strengthening the order book and underpinning forecasts. We estimate that FY22E order cover nudges up to c72% (vs 70% at the time of the FY21 results on 27 July). Our View Cohort’s array of expertise in defence markets remain attractive, the balance sheet is deployable and geopolitical tensions continue to rise. Shares have recovered the July losses following good FY21 results on 27 July and a supportive macro backdrop, but still represent upside, on a CY21E P/E of 18x falling to 16x. Next events : DSEI show on 16 September (let us know if you would like to join us), AGM 20 September.