Transense Technologies annual revenue falls on lower royalties

By Reuters News


Overview

  • UK sensor systems provider's revenue fell 17% as Bridgestone iTrack royalties declined sharply

  • Company posted a pretax loss for the year, compared with a profit previously

  • SAWsense revenue rose 20%, offsetting some weakness in Translogik and royalties


Outlook

  • Transense targets FY27 revenue growth exceeding 25% year on year

  • Company says trading for first two months of FY27 is in line with expectations

  • Unit royalty rate from Bridgestone iTrack unchanged in FY27, with volume growth expected


Result Drivers

  • ITRACK ROYALTY CUT - Revenue and profits were primarily down due to a 40% reduction in contracted unit royalty rates from Bridgestone iTrack, further diluted by weaker USD conversion

  • SAWSENSE GROWTH - SAWsense revenue rose 20% as the business deepened relationships in aerospace and motorsport, and expanded into robotics and electric drives

  • TRANSLOGIK CUSTOMER MIX - Translogik revenues were marginally lower as subdued demand from legacy tyre manufacturing customers was offset by new customer wins and expanded reseller channels


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

FY Revenue

GBP 4.23 mln

FY EBIT

-GBP 86,000

FY Gross Profit

GBP 4.08 mln

FY Loss Per Basic Share

GBP 0.007

FY Pretax Loss

GBP 105,000


Analyst Coverage

  • NOT AVAILABLENOT AVAILABLE

  • The average consensus recommendation for the entertainment production peer group is "buy."

  • Wall Street's median 12-month price target for Transense Technologies PLC is GBp251.00, about 477% above its September 21 closing price of GBp43.50

  • The stock recently traded at 56 times the next 12-month earnings vs. a P/E of 8 three months ago


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For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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