Volex Raises FY27 Profit Outlook After 28% Organic Revenue Growth

Key Points

• Volex reported 28% constant-currency organic revenue growth in the first four months of FY27, with broad-based gains across all five end markets, led by complex industrial technology and data-center demand.
• The company raised its FY27 underlying operating profit outlook to above current market expectations, citing strong trading, cost controls and operating leverage. Growth is expected to normalize as comparisons become less favorable, although monthly revenue remained 8% above the prior half-year average.
• Volex completed its acquisition of the remaining stake in Kepler SignalTek and moved to the London Stock Exchange’s Official List and Main Market, expanding its medical capabilities and potentially broadening its investor base.

Volex LON: VLX said it made a strong start to fiscal 2027, reporting 28% constant-currency organic revenue growth in the four months through July 2026 and raising its outlook for full-year underlying operating profit.

Speaking at the company’s 2026 Annual General Meeting, Chief Executive Officer Nat Rothschild said growth was broad-based across Volex’s five end markets. Complex industrial technology led the performance, supported by sustained demand from data center customers, while electric vehicle and electrification product demand increased amid continued electrification trends and customer attention to energy efficiency.

Volex also recorded good growth in consumer electricals, off-highway and medical markets, Rothschild said.

Growth expected to normalize

Rothschild noted that the 28% year-over-year growth rate partly reflected a comparatively weaker period a year earlier, when revenue increased progressively as new data-center programs ramped up. As a result, headline year-over-year growth rates are expected to normalize during the remainder of the financial year.

He said sequential performance provided a better indication of underlying momentum. Average monthly revenue in the first four months of fiscal 2027 was 8% above the average monthly level in the second half of fiscal 2026.

Operating expenses continued to be closely managed, according to Rothschild, with efficiency measures and higher operating leverage supporting improved underlying operating margin performance in line with the group’s medium-term strategic plan.

Kepler SignalTek acquisition completed

During the period, Volex completed the acquisition of the remaining interest in Kepler SignalTek. Rothschild said integration was proceeding as planned and would extend the group’s medical offering into patient-to-device applications while enhancing its underlying operating margin.

Volex also completed its move from AIM to the Official List and Main Market of the London Stock Exchange on July 24, 2026. Rothschild said the board believes the move better reflects the company’s scale and maturity and could broaden the potential investor base.

Profit outlook raised

“As a result of the strength of trading in the opening months and the operating leverage inherent within the business model, the board now expects FY 2027 underlying operating profit to be ahead of current market expectations,” Rothschild said.

He added that the group remained positioned to make further progress against the medium-term plan presented at its Capital Markets Day in April.

At the formal AGM proceedings, Chief Financial Officer Jon Boaden, acting as chair of the meeting because Board Chair Dave Webster was unable to attend in person, confirmed that the meeting was quorate. Shareholders considered 19 resolutions, with resolutions one through 14 classified as ordinary resolutions and resolutions 15 through 19 as special resolutions.

All resolutions were taken on a poll. Boaden said final voting results would be announced through the London Stock Exchange and posted on Volex’s website as soon as practicable following the meeting. No shareholder questions were received during the meeting.

About Volex (LON:VLX)

Volex plc AIM: VLX is a driving force in integrated manufacturing for mission-critical applications and a global leader in power and data connectivity solutions. Our diverse operations support international blue-chip customers in five key end-markets: Electric Vehicles, Consumer Electricals, Medical, Complex Industrial Technology and Off-Highway. Headquartered in the UK, we orchestrate operations across 27 advanced manufacturing facilities, uniting 13,000 dynamic individuals from 25 different nations.

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