TT Electronics (LON:TTG) Announces Earnings Results

TT Electronics (LON:TTG) posted its quarterly earnings results on Wednesday. The company reported GBX 5.70 EPS for the quarter, Digital Look Earnings reports. TT Electronics had a negative return on equity of 31.21% and a negative net margin of 10.51%.

Here are the key takeaways from TT Electronics’ conference call:

• Adjusted operating profit rose 37% to £18.5 million in the first half, while operating margin expanded 230 basis points to 8.1%, driven by the Cleveland turnaround, the return to profitability of Components, and cost actions.
• Commercial momentum strengthened, with a book-to-bill ratio of 112% and an order book of approximately £550 million, up 20% year over year. Management expects second-half organic revenue growth and now forecasts full-year adjusted operating profit ahead of current market expectations.
• The cost-reduction program is substantially complete, with £3 million of net savings expected in 2026 and more than £6 million of annualized benefits from 2027 onward. The group also expects stronger second-half cash generation and further deleveraging from leverage of 1.1 times.
• TT is evaluating potential offers for its Components division after receiving several indications of interest, but any divestment remains subject to valuation and there is no certainty a transaction will occur. The company also does not currently expect to reinstate its dividend for 2026.
• New and extended commercial awards—including a multi-decade Rolls-Royce agreement, further Eurofighter work, an MBDA letter of intent, and a multimillion-dollar subsea contract—support long-term revenue visibility across aerospace, defense, healthcare, and industrial markets.

TT Electronics Trading Up 0.5%

Shares of TT Electronics stock traded up GBX 0.72 during trading hours on Thursday, hitting GBX 150.12. The company’s stock had a trading volume of 1,107,683 shares, compared to its average volume of 424,684. The company has a market capitalization of £267.85 million, a PE ratio of -5.27, a price-to-earnings-growth ratio of 0.60 and a beta of 0.83. TT Electronics has a 12 month low of GBX 93 and a 12 month high of GBX 155. The stock has a 50 day moving average of GBX 126.51 and a 200 day moving average of GBX 120.91. The company has a debt-to-equity ratio of 70.10, a current ratio of 1.71 and a quick ratio of 0.93.

Insiders Place Their Bets

In other TT Electronics news, insider Phil Swash acquired 100,000 shares of the company’s stock in a transaction on Tuesday, June 9th. The shares were purchased at an average price of GBX 119 per share, for a total transaction of £119,000. 8.80% of the stock is currently owned by company insiders.

Analyst Ratings Changes

TTG has been the topic of a number of recent research reports. Jefferies Financial Group restated a “hold” rating and issued a GBX 110 target price on shares of TT Electronics in a report on Wednesday. Berenberg Bank lifted their price objective on TT Electronics from GBX 150 to GBX 200 and gave the company a “buy” rating in a report on Wednesday. Finally, Royal Bank Of Canada upped their price objective on TT Electronics from GBX 115 to GBX 160 and gave the company a “sector perform” rating in a research note on Thursday. Two research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company’s stock. According to MarketBeat, the company has a consensus rating of “Hold” and a consensus target price of GBX 144.

Key TT Electronics News

Here are the key news stories impacting TT Electronics this week:

• Positive Sentiment: TT Electronics said it returned to profit in the first half, helped by improved margins, and raised its FY26 adjusted profit forecast to a level ahead of market expectations. The upgraded outlook is the main catalyst supporting the stock. TT Electronics Turns To Profit In H1, Lifts FY26 Adj. Profit View To Ahead Of Market; Stock Climbs
• Positive Sentiment: The company’s full-year profit outlook was raised after first-half margin improvement, signaling that its turnaround and operational recovery may be progressing faster than expected. TT Electronics Raises Full-Year Profit Outlook Following First-Half Margin Improvement
• Positive Sentiment: Berenberg raised its price target from GBX 150 to GBX 200 and upgraded its view to “buy,” indicating substantial potential upside if the earnings recovery continues.
• Neutral Sentiment: Royal Bank of Canada increased its target from GBX 115 to GBX 160 but retained a “sector perform” rating, reflecting improved expectations without a strong conviction that TT Electronics will outperform its peers.
• Neutral Sentiment: An Investors’ Chronicle article titled “TT Electronics prepares for take-off” adds to the positive turnaround narrative, but provides limited additional detail in the available headline. TT Electronics prepares for take-off
• Negative Sentiment: Jefferies reaffirmed a “hold” rating with a GBX 110 target, highlighting that some analysts remain cautious despite the improved outlook.
• Negative Sentiment: TT Electronics still reported a negative net margin and negative return on equity, meaning the recovery has not yet fully translated into strong bottom-line profitability.

About TT Electronics

TT Electronics is a global provider of engineered electronics for performance critical applications.
TT engineers and manufactures electronic solutions enabling a safer, healthier and more sustainable world. TT benefits from enduring megatrends in structurally high-growth markets including healthcare, aerospace, defence, automation and electrification. TT invests in R&D to create designed-in products where reliability is mission critical. Products designed and manufactured include sensors, power management and connectivity solutions.