SRT Marine Systems PLC on Thursday said it expects 2022 revenue to multiply, but remain below expectations.

The Scottish provider of maritime domain awareness systems and technologies said it expects pretax loss for the year ending March 31 to narrow to £1.0 million from £6.8 million the year before. Meanwhile, the company’s earnings before interest, tax, depreciation, and amortization is forecast to be £2.5 million.

Additionally, SRT said it anticipates revenue to multiply to £30.0 million in financial 2023 from £8.2 million in financial 2022. However, the company stated this result is lower than market expectations for the current year, due to a delay in project completion.

SRT also announced it signed a new coast guard project contract letter of intent earlier this week, worth £145million.

Looking ahead, the company said it continues to grow a pipeline of prospective new project opportunities, with current ongoing discussions worth around £1.4 billion. Nevertheless, SRT noted that several projects are still in early stages and could take ‘several years’ to develop, and is therefore focused on a validated subset worth approximately £535 million.

Chief Executive Officer Simon Tucker said: ‘The £145.0m letter of intent signed earlier this week is a major milestone for SRT. Not only because it is a significant project in itself, but because it adds another coast guard customer who has an active long-term strategy to move to an intelligence lead operational model and therefore have an active plan to build up their independent maritime surveillance and intelligence capabilities; and therefore future follow-on contracts.’

Shares were up 11% at 42.01 pence in London on Tuesday afternoon.

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