XP Power books £106.8 million in third-quarter orders
Key Facts
XP Power booked orders worth £106.8 million in the third quarter of 2026, according to details of its trading update reported by Investing, as its order book grew and output improved at its Vietnam factory. The company's financial calendar scheduled the update for 20 October 2026, covering the three months ended 30 September 2026. The order book stood at £216.9 million at the end of the quarter, continuing to rise from its level at the end of the first half. The company had reported in its half-year results that its order book stood at £173.9 million at the end of June 2026. The comparable figure at the end of June 2025 was about £121.8 million, according to the same results.
Order activity during the quarter included some customers bringing forward purchases because of longer lead times, according to Investing's account of the company's explanation of order timing. The company said "customers placed their orders earlier than usual", while estimating that underlying demand remained similar to the previous quarter's level. As background to its business, XP Power links the wider adoption of artificial intelligence to increased demand for semiconductors, according to its overview of the markets it serves on its corporate website. It says growing demand for these components in turn drives demand for low-voltage and high-voltage power solutions, alongside radio-frequency solutions. The demand chain described by the company thus encompasses artificial intelligence applications, semiconductor devices and the power solutions they require.
On sales, reported third-quarter revenue totalled £63.8 million, according to details of the company's update for the period ended September carried by Investing. This revenue included a £3.7 million reduction related to a one-off U.S. tariff refund, an item that affected the reported figure for the period. Excluding the tariff refund item, quarterly revenue totalled £67.5 million, according to figures Investing cited from the company. In manufacturing operations, shipments from the Vietnam factory rose 70% from the previous quarter as output improved during the third quarter. This improvement in production helped support revenue growth, according to the company's explanation of its operating performance, alongside continued customer orders.
The third-quarter update followed half-year results showing higher orders alongside a modest decline in reported revenue, according to results published by XP Power. Orders in the first half of 2026 totalled about £167.2 million, compared with £112.7 million in the first half of 2025. Year-on-year order growth was 48% on a reported basis and 55% at constant currency, according to the comparison in the half-year results. Revenue totalled £109.1 million in the first half, compared with £110.9 million in the corresponding period of the previous year. This represented a reported decline of 2%, while revenue grew 2% at constant currency.
On financing, XP Power received £50.2 million following the release of the bond related to the Comet case, according to Investing's account of the trading update. The cash received from the release of the litigation bond contributed to a reduction in net debt during the third quarter, according to details reported by the website. The company had said in its first-half results that the U.S. Court of Appeals had remanded the case to the trial court for a new trial. On investment, the half-year results presentation issued on 4 August 2026 included guidance for total capital expenditure of between £25 million and £30 million for the year. The scope of this spending includes capitalised product development costs, according to the company's wording in the presentation.
XP Power maintained its outlook for the current year in the trading update, according to Investing, while giving a more positive assessment of next year's performance relative to market expectations. The company expected that performance to be "slightly above" market expectations, according to the wording reported by the website on its outlook for next year. In its manufacturing plans, the schedule in the half-year results presentation issued in August targeted full production at the Malaysian factory during the fourth quarter of 2026. This timing formed part of the factory's operating schedule presented by the company at the time alongside its investment guidance for the year. XP Power is scheduled to publish its annual results for 2026 on 2 March 2027.