# Hardide expects FY2026 results materially ahead of forecasts

- Link: https://www.directorstalkinterviews.com/hardide-expects-fy2026-results-materially-ahead-of-forecasts/4121257329
- Published: 2026-07-22T07:32:18+01:00
- Author: Ethan Davis

**Hardide plc **(LON:HDD), the provider of advanced surface treatment technology,
has provided an update on trading for the financial year ending 30 September 2026.

The strong momentum in the business continues. Revenues for the third quarter to
30 June were £4.1m in the period, such that revenues for the year to that date total
£8.9m. This has been enabled by new contract wins (as previously announced) and 
combined with ongoing improvements in operational performance which have facilitated
improved factory utilisation and output rates.

The Group is also achieving operating profit margins higher than anticipated, reflecting
effective management of input cost inflation, the ongoing identification and harnessing
of operational efficiencies, and a lower than expected investment requirement to
support the growth that is coming through.

As a result, the Board now expects that full year financial performance will be 
materially ahead of its previous expectations^(1).

The Board is also confident for the future. The momentum and trajectory of the business
mean that the Board now expects to achieve its first objective to double its revenues
in the current financial year, well ahead of the original schedule. Building on 
this progress, the Board believes that the foundations are now in place to support
an ambition to more than double annual revenues again over the next 2-3 years.

To support this anticipated growth the Board has approved capital investment in 
three new coating reactors and associated infrastructure at a total cost of £4.5m,
to become operational in the latter part of the 2027 financial year. This investment
will be funded through a combination of internal cash resources and borrowings as
necessary.

The growth is anticipated to be achieved by diversifying the customer base, growing
existing key accounts, including progressing ongoing supply arrangements with its
major energy sector customer in North America, and developing the potential for 
significant revenues in the Middle East from a similar end use application. In addition,
the Company has a growing pipeline of new business opportunities that it is seeking
to convert in the short to medium term, including in new end use sectors such as
semi-conductors.

**Effective management of input costs**

The costs of tungsten gas have recently stabilised, albeit at higher levels than
those prevailing in the first half of the year. These additional costs have been
mitigated through management actions previously announced.

In recent months Hardide has diversified its sources of tungsten gas supply and 
has now secured approximately 50% of its anticipated requirements for its 2027 financial
year. This provides the business and its customers with greater ongoing certainty,
stability and visibility of costs and pricing. As a consequence, the Company believes
it is prudent and has the financial ability to hold higher levels of inventory over
the financial year end, to cater for any fluctuation in commodity pricing.

**Management structure changes**

Hardide intends to establish a new Leadership Team effective from 1 October 2026
to manage delivery of the Group’s strategic ambitions and the expanding day to day
activities of the Group. This will include the appointment of two operational leaders
to run its plants in Bicester, UK and Martinsville, Virginia, USA, both reporting
to Matt Hamblin, CEO.

Dr. Yuri Zhuk, currently Technical Director, will become the Group’s Chief Technology
Officer and serve on the Leadership Team enabling him to focus exclusively on supporting
the growth of the business, including expanding the product range to meet customer
demand, developing IP and increasing the capacity and efficiency of our coating 
operations. Consequently, and to allow him more time to dedicate to this role, Yuri
intends to step down as a director of Hardide plc on 30 September 2026.

> **Matt Hamblin, Chief Executive said:**
> “I am delighted with the ongoing growth trajectory and progress being achieved
> across the Group, and I would like to thank all my colleagues for their individual
> and team contributions to this success.
> “We are now focused on doubling revenues again from current year levels and diversifying
> our customer base over the next few years.
> “In support of this, I am excited to announce the formation of our new Leadership
> Team. I believe this will improve our effectiveness in managing and realising 
> the significant further growth potential of the Group.
> “We would like to thank Yuri Zhuk for his highly valued contribution to the public
> company board since Hardide’s inception, and we look forward to continuing to 
> work with Yuri and benefiting from his unrivalled expertise in CVD coatings technology,
> as we further develop the business.”

1. The Board believes previous expectations for the financial year to 30 September
2026 to have been revenues of £13.4m and EBITDA of £4.3m

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