Filtronic Shares Surge on Major SpaceX Order for Satellite Components
The British firm's value has risen significantly as its technology is integrated into SpaceX's expanding Starlink network.
Filtronic, a UK-based manufacturer of radio frequency components, has seen its shares climb significantly following a substantial follow-on order from SpaceX. The company announced it received a $68.1 million order for its Cerus E-band gallium nitride amplifiers, marking the largest single transaction between the two entities.
This latest order is anticipated to be fulfilled during the 2028 financial year. The news has had a considerable impact on Filtronic's market performance, with its shares advancing 19% in the past week, contributing to an almost 80% year-to-date gain. Over the last year, the stock has more than doubled, increasing by 153%. This growth is attributed to the increasing commercial adoption of Filtronic's proprietary gallium nitride technology within the satellite communications sector, driven by the rapid expansion of SpaceX's Starlink network.
Filtronic is recognized as one of the larger companies on London's AIM market, with a market valuation exceeding £700 million. The company's success is a notable point in the context of the junior market, which has seen some companies migrating to the Main Market. A recent report from PwC indicated that seven companies had moved from AIM to the Main Market by the third quarter of the year, compared to four at the same point in the previous year. Despite these movements, the report also highlighted fresh listings on AIM and a busy secondary market, suggesting that recent regulatory reforms may be having a positive effect. However, the broader AIM All-Share index experienced a downturn this week, falling 0.8% and underperforming the FTSE 100.