RC Fornax CFO Rob Shepherd joined Steve Darling from Proactive to discuss the company’s unaudited interim results for the six months ended 28 February 2026, highlighting improving revenue momentum, growing order conversion, and increasing visibility into the second half of the financial year.
The company reported revenue of £2.2 million for H1 FY26, compared with a restated £2.5 million in H1 FY25. Management emphasized that revenue during the period was 40% ahead of H2 FY25 revenue of £1.6 million, reflecting accelerating pipeline conversion and strengthening customer demand. RC Fornax also achieved an average month-on-month revenue increase of 26% during the reporting period, demonstrating growing operational momentum.
A significant component of the company’s strategy continues to center on expanding higher-value outcome-based services. These services represented 72% of the company’s revenue mix during H1 FY26, compared with 52% in the comparable prior-year period. Management noted that the increase aligns closely with the strategic objectives outlined at the time of the company’s IPO and supports efforts to build a more scalable, higher-margin business model.
Gross profit for the period remained steady at approximately £0.7 million, while gross margin improved to 31% from 27% a year earlier. According to the company, the stronger margin performance reflects a more favorable delivery mix and improving operational leverage as revenue growth continues.
The company also strengthened its financial position during the period, ending February 2026 with cash of £1.8 million, compared with £0.9 million at 31 August 2025. The improved balance sheet follows the successful completion of a £2.1 million net equity fundraise in December 2025, providing additional financial flexibility to support strategic growth initiatives.
Operationally, RC Fornax secured £4.1 million in new orders, including contracts subject to final agreement, and extensions during the first half of FY26. Management described the performance as clear evidence of pipeline conversion and growing customer engagement. Among the key developments was a contract award from a UK public sector space client, representing meaningful diversification beyond the company’s traditional Ministry of Defence-focused activities.
The company also announced unconditional acceptance by the Aurora Engineering Partnership as a Specialist Provider on the Evolve Engineering Delivery Partnership Provider Network, a major UK defence engineering framework expected to create additional long-term opportunities.
Reeves noted that development of the company’s SME Procure platform continues to progress on schedule, with commercialisation targeted during FY26. Management believes the platform could become an additional growth driver as the company expands its broader defence and engineering services ecosystem.
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