Tech-oriented defence firm QinetiQ (QQ.) is scheduled to report on its first-quarter performance on 18 July amid robust demand across the industry backed by global geopolitical tensions.

This was reflected in a strong set of results for the 12 months to 31 March – with revenue and earnings ahead of consensus, a record order intake of £1.74 billion and the company’s net debt materially lower. The announcement was received positively by investors.

The big driver of growth is its EMEA Services business, while its Global Solutions arm has proven more of a laggard thanks to difficult market conditions in the US. These principally relate to the wrangling over the government budget in Washington.

Investors will likely be interested to note whether the passing of an $825 billion Department of Defense budget in March has already helped QinetiQ’s business across the Atlantic.

Formerly the Ministry of Defence’s research arm, and believed to be the inspiration for James Bond's gadget-man Q, QinetiQ still earns a large chunk of its revenue from UK military spend.

It will be interesting to see in this context if management has any comment on the new Labour administration. Its manifesto pledge to conduct a strategic defence review within the first year of government and set out a path to spending 2.5% of GDP on defence is less definitive than the Conservative government’s previous commitment to get to 2.5% by 2030. 

UK UPDATES OVER THE NEXT 7 DAYS

FULL-YEAR RESULTS

16 July: Sosander

17 July: Renold

FIRST-HALF RESULTS

16 July: Ocado, RM

TRADING UPDATES

16 July: Intermediate Capital Group, McBride

18 July: Dunelm, Diploma, SSE, QinetiQ

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