UK's TT Electronics profit soars as turnaround efforts gain traction

Sept 2 (Reuters) - Electronic components ‌maker TT ​Electronics ​forecast full-year profit to exceed current market expectations on Wednesday after posting a 37% jump in half-year ‌profit, as orders increased and its turnaround efforts helped ⁠cut costs.

Here are some details:

• TT now expects 2026 adjusted operating profit ‌to be ahead of the ‌current market view of £35 million ($47.27 million) on average in a company-compiled consensus.

• The company is implementing a cost-reduction programme ​that includes site closures and organisational changes, while reviewing its portfolio.

• Shares of the company rose as much as ⁠11.9% to 151 pence in early trading, the highest level since November 2025.

• TT said ​it had received an "encouraging" level of interest following a strategic review of its Components business and is ​evaluating a potential divestment, though any ‌transaction would depend on valuation.

• "The first half demonstrates that the actions we took in 2025 are ⁠starting to deliver tangible results," CEO Eric Lakin said in a statement, adding that order intake had been strong across all its ⁠divisions.

• The company, whose takeover talks with Swiss firm Cicor Technologies collapsed ​earlier this year after failing to secure sufficient shareholder support, also expects revenue to return to organic growth in the second half.

• TT said ‌its cost-reduction programme remains on track, with annualised savings from fiscal 2027 onward expected to exceed £6 ‌million.

• The company reported adjusted operating profit of £18.5 million for ⁠the half year ended June ‌30, compared with £13.5 million ​a year ago on an organic basis.

($1 = 0.7404 pounds)

(Reporting by Ankita Bora in Bengaluru; Editing by Rashmi ‌Aich)

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