**Summary**
Carclo plc issued a trading update on September 26, 2025, ahead of its AGM, highlighting that the group’s year-to-date performance is in line with management expectations. Key points include
1. **Financial Performance**Strong margin performance and positive underlying growth (excluding currency impacts) in both CTP Manufacturing Solutions and the Speciality business. Lower Design and Engineering (D&E) revenue and foreign exchange headwinds (due to a stronger sterling) slightly reduced overall revenues but did not impact the expected performance. Operating cash flow is on track, with net debt rising primarily due to a £5.1m pension scheme payment in April 2025.
2. **CTP Manufacturing Solutions**Strategic realignment completed in H1 2024, with a focus on operational consistency. US operations consolidation in Pennsylvania has improved performance, while EMEA and Asia Pacific operations show mixed results (strong in China, weaker in India due to lower demand from a key customer).
3. **CTP Design and Engineering**Revenue below expectations due to lower US customer activity, though EMEA projects are ahead of forecasts. Focus remains on asset revitalisation and efficiency improvements.
4. **Speciality Business**Strong double-digit revenue growth driven by aerospace demand and market share gains in specialist machining. Margins remain robust, supported by investments in additional capacity, including a new CNC machine in France.
5. **Outlook**Full-year expectations unchanged, with partial recovery in D&E revenues in H2 and sustained strong margin performance.
The update reaffirms Carclo’s strategic focus on precision engineering solutions for Life Sciences, Aerospace, and Safety & Security markets, with continued emphasis on operational efficiency and growth.