Synectics: Security firm reports 'solid' order book after expanding in Yorkshire
Security and surveillance company Synectics said its trading remains comfortably in line with full year market expectations after its performance was boosted by contract wins and the expansion of its team in Yorkshire.
In the six months ended May 31 2025, Sheffield-headquartered Synectics’ revenue increased by 35 per cent to £35.5m and its underlying operating profit also rose by 48 per cent to £3.3m.
The work secured over the half year included a £2m contract with West Midlands Police and a $2.2m deal with a “high-profile gaming resort” in South-East Asia.
It also secured a contract for a £1.1m pilot project with Stagecoach, the UK's largest bus and coach operator.
The group said it had taken early steps to strengthen its partner network and build regional presence, including new senior appointments in the UAE and North America, and for its partner programme.
It has strengthened its long-standing partnership with PENN Entertainment, Inc, after securing two further contracts in the US.
It recently announced the appointment of Paul Williams as chief financial officer, which takes effect from August 26.
Adjusted, diluted earnings per share rose by 59 per cent to 16.4 pence.
Commenting on the results, Amanda Larnder, chief executive and chief financial officer, said the group had delivered strong financial results for the first half, underpinned by the planned delivery of a major customer contract which contributed to “meaningful growth” in both revenue and profit.
She added: "We are seeing encouraging early progress of our refreshed strategy, including building activity in our core sectors, strengthening our partner network, and continuing to invest in technology capability to support long-term growth.
"With a solid order book, a strong cash position and a clear focus, we are well placed to deliver on our longer-term priorities."
Ms Larnder told The Yorkshire Post: “Importantly, we are taking the time at the moment to really look at what we need to do to move forwards..focusing more around commercial growth, sales team and product development.”
She said Synectics had around 150 staff in Yorkshire, adding: "We’ve grown the size of the Yorkshire team quite a lot in the last 18 months particularly in the development team. We’ve also partnered with Sheffield University. We have some extra roles still to fill so I do expect there will be an element of recruitment in Yorkshire.”
In a note, analysts from Shore Capital said the strong profit recovery over the last two years shows Synectics had effectively managed the business, with gross margins improving in both divisions.
The note added: “Within Systems, we believe that Synectics will benefit from further growth in its end markets, especially as and when the partner channel becomes more effective in securing sales.
It continued: “As this happens, there remains the potential for a further significant uplift in profits, leading to even more compelling valuation metrics.”