Westminster Group PLC (LON:WSG), the supplier of managed services and technology based security solutions, delivered an upbeat end-of-year trading statement.
The group expects to report an improved financial performance for 2016, both in terms of revenue and adjusted underlying earnings (EBITDA).
Its cash position has been strengthened by the November 2016 fund-raising, which was structured with the aim of minimising dilution.
Westminster continues to enjoy significant high level governmental support for its various project opportunities around the world and has recently received direct introductions in respect of a number of potential aviation security opportunities in the Middle East, the group told investors.
Its major Middle Eastern airport security opportunity which has estimated annual revenues in excess of £35mln continues to progress through governmental processes. Its governmental relationships are also helping to introduce similar opportunities.
In recent weeks additional business development initiatives have begun to gain traction and deliver value, the company said.
The company has won a number of maintenance contracts in the UK over the last few months for x-ray screen equipment, adding more than £100,000 to annual recurring sales, and the company expects more contracts to follow, as enquiry levels are increasing.
In addition, Westminster has recently won a number of security and training contracts in airports around the world as its reputation as an expert in airport security grows.
Meanwhile, the group’s ferry services operation in Sierra Leone, which have had operational challenges during the set up period are now up and running and has been received well by passengers. The company has been approached by various bodies to provide specific ferry transport services in addition to the ferry services currently being provided.
Shares in Westminster rose 8.7% to 14.4p on the trading update.