Solid State plc reports record revenues driven by organic and M&A growth

By Daniel Face

5 April 2023

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Solid State plc, a Redditch-based specialist value added component supplier and design-in manufacturer of computing, power, and communications products, has reported strong trading for the 12 months ended 31 March 2023.

The company announced record revenues of £125 million and adjusted profit before tax of £10.5 million, both up more than 46 per cent on the previous financial year. It also expects organic revenue growth on a constant currency basis to reach close to 20 per cent.

This figure excludes revenue contributions from Custom Power, a Californian battery systems and energy solutions provider acquired by Solid State in August 2022. The purchase has opened up new international opportunities in target markets, with Custom Power’s open order book growing by 11 per cent over the last year to $18.6 million.

Solid State has also been building relationships with BAE Systems and NATO, as the current geopolitical environment continues to drive government spending in the security and defence sectors. Late last year it secured key contracts to supply communications equipment to a defence sector client through NATO.

Other acquisitions for the period include Willow Technologies and Active Silicon, which have enabled Solid State to make progress in the medical and transport sectors.

The company continues to invest in its own supply chain to fulfil upcoming orders this year and beyond. This proactive approach has reduced Solid State’s reliance on the global component supply chain, which continues to show inconsistencies.

Results from the last financial year have validated the Group’s organic and M&A driven growth strategy, as it sought collaborations, introduced new own brand products, and focused on structural growth markets.

Going forward, Solid State hopes to maintain in excess of 20 per cent compound growth in total shareholder return over the next phase of its development, which will take the company up to 2030.

By Daniel Face

Born and raised in Berkshire, Dan fell into journalism after completing his bachelor’s degree in English at UCL.

Writing for The Business Magazine and local Biz News sites has given him the opportunity to chat with all manner of small business owners and share their success stories with a wider audience.

Outside of work, Dan enjoys live music, board games and quiz shows, and is making a slow but persistent effort to learn Spanish.