North East aerospace specialist Filtronic has hailed a strong financial year, driven by its expanding partnership with Elon Musk's SpaceX. The Sedgefield-based company, which first began working with the trillionaire's Texas business in April 2024, now expects to report revenue of at least £55.5m for its 2026 financial year, ended May 31, and adjusted EBITDA of at least £11.1m – ahead of market expectations. Cash at bank stood at £13.4m.
SpaceX Contract Fuels Growth
The two firms signed a five-year strategic partnership and commercial agreement in 2024, starting with an initial order valued at £15.7m, later boosted by a secondary deal worth three times more. During the 2026 financial year, Filtronic secured a multi-year $62.5m (around £47m) contract with SpaceX, further deepening their relationship. Filtronic's products are used in SpaceX's Starlink satellite systems, which provide global broadband internet.
Expanding Customer Base and Capabilities
Filtronic has also won further contracts across US and European space and defence markets. The company completed next-generation high-power mmWave technologies and its new headquarters and manufacturing facility in Sedgefield is now fully operational, with capacity to support revenues exceeding £200m a year. The firm said it has entered the new financial year with a strong order book covering 90% of revenue.
Additionally, Filtronic announced a second contract win with a US-based customer for technology used on satellites. The contract, valued at approximately £400,000, is for an initial development phase to design a state-of-the-art high-frequency module. This follows a £6m contract announced in March with the same customer, described as deepening the relationship with a new technology offering for satellite payloads, reinforcing Filtronic's growing position in the satellite communications market.
CEO Comments on Momentum
Nat Edington, chief executive officer, said: “The additional US contract announced today reflects the strength of our customer relationships and reinforces the expanding opportunity landscape for our specialist complex RF technologies. Alongside our recent design wins, which we believe have the potential to be transformational for the business over time, and a strong order book, we are building increasing visibility across key programmes and entering FY2027 with real momentum and confidence.”
Edington added: “FY2026 marked another year of strong strategic progress, with continued investment in technology, operational capability and customer diversification strengthening our foundations for long-term growth. Together, these actions are positioning the group to capture the significant opportunities ahead and convert growing market demand into sustained value creation.”
Strategic Progress and Outlook
In a note to shareholders, Filtronic described its 2026 financial year as “a further step in Filtronic’s transformation into a business operating at greater scale with increasing customer diversification and enhanced operational capability”, demonstrated by the expansion of its relationship with SpaceX. The company now has a growing global reputation as a leading designer and manufacturer of advanced RF (radio frequency) solutions for space, aerospace, defence, and telecoms infrastructure sectors.
