LPA Group - £1.4m contract caps a busy month of new deals
Shares in electronic components manufacturer LPA Group (AIM:LPA) have edged up today on the back of a contract win for the supply of inter-car jumper systems for a global train builder. The deal is worth £1.4 million, with the delivery schedule to the customer beginning in February 2027 and ending in May 2028. With the business making revenues of £21.5 million in its last financial year, this is a decent sized contract win for the firm.
Founded in the 1800s, LPA has origins in the first light installed in 'Electric Avenue', Brixton, so-called because it was the first market street to be lit by electricity. As of today the firm refers to itself as an innovation‑led engineering company that designs and manufactures electronic and electro‑mechanical components and systems. Focused on transport (rail and aviation), defence, infrastructure and industrial markets, and supplying into hostile and challenging environments, LPA is known for engineering solutions that improve product reliability, thus reducing maintenance and life cycle costs.
LPA Group 10 year share price chart
A busy month of new deals
Today’s contract win comes on the back of a number of other positive announcements this month. On 10th July the firm announced that in the previous five weeks it had been awarded a series of contracts with a combined value of approximately £989,000, with customer deliveries scheduled to commence in October 2026. Key deals included: a £550,000 contract with a major train operating company to supply rail components as part of a fleet refurbishment programme, and a £349,000 contract to manufacture a range of inter-car jumpers for an overhaul programme for a multinational train manufacturer.
Subsequent to that, on 23rd July LPA revealed a new distribution agreement with Boeing Distribution to distribute LPA Red Box Aviation's product portfolio across the global general aviation market. Red Box, a UK manufacturer of aviation ground power equipment, was acquired by LPA in January 2024. The rationale was to support the company’s long-term growth strategy and reduce dependence on rail projects. Under the agreement, an initial stocking order of approximately £0.5 million is expected in the second half of this calendar year.
These recent developments add to a decent first half of trading (to March 2026) for LPA Group, which reported revenues up by 45% to £13.8 million and an adjusted EBITDA profit of £1 million against a loss of £0.52 million in H1 2025. The company has a five-year plan in place, with a target of achieving organic revenue growth of 50% from 2024 to 2028. With the shares currently trading at 87.5p, the firm is capitalised at £11.6 million.
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LPA Group is not a research client of Optimo Research.
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