US police forces preparing for the 2026 World Cup and the 2028 Olympics are giving a boost to defence manufacturer Avon Technologies, with inquiries for its ballistic helmets and respiratory protection.
The Melksham-based group, which changed its name from Avon Protection this summer, said the current geopolitical situation continued to support demand for its masks and helmets used by first responders and the military.
These included a rise in perceived threat levels including chemical, biological, radiological and nuclear (CBRN) attacks, along with continued equipment modernisation programmes by NATO countries.
In the US, what the firm called the prevalence of both guns and drugs supported demand for its products while West Coast police forces were re-capitalising in preparation for the World Cup, when matches will be played in Los Angeles, San Francisco and Seattle, and the Los Angeles Olympics.
Avon, which specialises in respiratory and head protection systems, gave details of the potential new orders along with its financial results for the year to 30 September.
It said it had put in a strong financial performance during the period, with significant growth in revenue, operating margin, return on invested capital (ROIC) and cashflow.
Pre-tax profits for the year were 80.7% higher at $25.3m on revenue up 12.8% at $275m (£220m), while its closing order book was 65.8% stronger at a record $225.2m.
Highlights during the period for the firm, which employs more than 900 people in seven locations in the UK and North America, included a contract worth up to £38m with the MoD general service respirators, delivery orders totalling $34m for its second-generation ACH (Advanced Combat Helmet) from the US Department of Defense and a new respirator contract win with Australian Defence Force along with orders from New Zealand and the German Navy.
Looking ahead, it said it continued to see “excellent visibility of orders from our recurring and aftermarket revenue base”.
Avon Technologies chief executive officer Jos Sclater said 18 months after launching a five-pronged transformation strategy known as STAR, it was making good progress, demonstrated by a much stronger financial performance, improving operating metrics and a fast-growing order book.
“I am, however, most excited by the ability of the organisation to change and translate strategy into action,” he added.
“We have built a culture where improving processes is becoming the Avon way of life, we have much more capable people and the pace of change is accelerating.
“As a result of the progress made during the year, we see the potential to reach our medium-term operating margin and ROIC guidance target ranges a year early, in 2026.
“We also expect the transformation programme to be largely complete by then, with an accompanying significant decrease in transformation cash costs providing the platform for a broader capital allocation strategy.”
