Defence and Aerospace Demand Fuels Revenue Growth at Somerset Manufacturer
Somerset components manufacturer Gooch & Housego (G&H) has announced a significant rise in revenues for the first half of the financial year, driven by robust demand in the aerospace and defence sectors. The Ilminster-based firm, which produces detectors, lasers, and fibre optic equipment, reported revenues of £81.9 million for the six months ending March 31, 2026, marking a 9.1% increase on an organic, constant currency basis.
Strong Order Book and Market Recovery
The company's order book has also shown impressive growth, climbing by £25 million to reach £167.3 million since September. This surge reflects increased customer confidence in G&H's ability to deliver complex photonics and optical systems. Chief Executive Charlie Peppiatt highlighted the positive progress, stating, "The strong order book growth in the period demonstrates the increased confidence our customers have in G&H to provide them with their most complex photonics and optical systems requirements."
Additionally, G&H noted encouraging signs of recovery in the semiconductor industry, alongside improvements in the industrial laser market. These factors have contributed to the firm's optimistic outlook for the medium term.
Strategic Acquisitions and Supply Chain Management
G&H's recent acquisitions of Global Photonics and Phoenix Optical have played a critical role in securing new orders from defence customers across the US, UK, and Europe. The company has also proactively managed supply chain challenges, re-sourcing key raw materials affected by retaliatory measures linked to US tariffs. Despite ongoing fluidity and intermittent supply issues, G&H successfully navigated these obstacles in the first half of 2026 and remains vigilant in its supply chain and inventory planning.
Future Outlook and Leadership Changes
Looking ahead, G&H expects to meet its full-year expectations, with trading currently aligned with forecasts. The group is set to announce its interim results on June 2, 2026. Peppiatt added, "Whilst there are significant macroeconomic uncertainties, the recovery in our industrial and semiconductor markets along with the strong growth in demand from our aerospace and defence markets should allow the group to make further positive progress on our journey to mid-teens returns over the medium term."
In a related development, James Corte, former Meggitt divisional CFO, has commenced his role as G&H's new chief financial officer and executive director, bolstering the company's leadership team as it continues to expand in high-demand markets.
